Women of an
(Un)certain Age
Imagining Public Policy to Meet
Women’s Economic Security
Needs
October, 2005
1
Roundtable Presenters
„ Lillian
Zimmerman, Gerontology Research
Centre, Simon Fraser University
„ Charmaine Spencer, Gerontology Research
Centre, Simon Fraser University
„ Elsie Dean, Women Elders in Action
(WE*ACT)
October, 2005
2
“Old age means something quite different —
and more troubling — for women than for
men”
…The World Bank (1994)
October, 2005
3
Part 1
Why Such an Uncertain
Future?
Lillian Zimmerman
October, 2005
4
Background and Context
„ 45.6%
of unattached older Canadian
women live at or below the poverty line
(vs 32.8% of unattached older men).
„ An International Plight: 2002 United
Nations study on the “Economic Status of
Older Women” finds that in the 56
countries they studied older women were
consistently amongst the poorest age
group.
October, 2005
5
Who is Poor?
„ Close
behind female headed single parent
households, poverty commonly occurs in
divorced, separated, and widowed older
female populations.
„ Widowhood is a woman’s issue.
– Given average longevity and the fact that
more women are living to be 85+, widowed
women suffer a large drop in income and
living standards.
October, 2005
6
Poverty in Widowhood is Common.
„
„
„
Senior widows outnumber
senior widowers 4 to 1.
Widowers remarry at 5 times
the rate for women.
The incomes of widowed
women decline 9.8% over the
years compared to married
women (or 6 X greater than
their married counterparts)
Poverty rates and family status
are closely connected.
October, 2005
7
Which Women Fare Better
Financially in Later Life?
„
„
„
“Ever single” women fare the best; married are
second.
Divorced or separated (including common-law)
are the poorest among unattached older
Canadian women (poorest of the poor)
Security in widowhood is variable
– some widows have built assets with their late
spouses, many others may not be able. Poverty in
widowhood commonplace.
October, 2005
8
Factors Behind Older Women’s
Current Economic Insecurity
Social Expectations and Social Structure
„ Fewer women were in the paid workforce
from 1950s to 1980s.
„ Expected to “interrupt their work” for child
rearing and other family responsibilities.
„ Worked in female traditional occupation
and earned much less.
October, 2005
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As a Result…
„
Late life incomes of older Canadian
women are an economic map of their life
course … (where they have been and
where they will go)
October, 2005
10
The Future of Women
Baby Boomers
„ Boomers
were born 1947 to 1964.
„ 9 million adults in Canada are “boomers”;
2nd largest (US is 1st); of which 4.5 million
women.
„ Not a homogeneous group.
October, 2005
11
Boomers and Retirement
„
„
A profound structural change boomers will retire between 2011
and 2029.
Leading edge of boomers is now
59 years old; some are already
retired.
October, 2005
12
Boomers and Retirement
„ The
Big Question “Will boomer women
retire into a golden sunset?”
„ Perceived Positive Economic Factors
Portending a Positive Future: More
boomer women- are likely to be in the
paid labour force; have fewer children and
have them later; interrupt work less;
better educated compared to earlier
generations.
October, 2005
13
Why the Sunset may not be so
Golden…
„
„
A 2000 study finds that only 20% of U.S.
women would be secure in their later years
(Dailey).
No similar Canadian studies done; but a
building body of related research to suggest
economic insecurity is likely for them.
– Increased living costs, less job security, less
ability to save. Blamed for “not planning”.
October, 2005
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Factors Affecting Women’s Current
and Future Insecurity
„
„
Shift from industrial society to an
information and service society.
Major growth in non-standard
work – casual, contract etc.
– not stable jobs, few benefits & lower
paying.
„
Women over represented in these
McJobs – 40% of women vs. 27%
of men.
October, 2005
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Plus the Caregiving Factor
in Middle and Later Life
„ Caregiving
as unpaid and unrecognized
work that contributes to the country’s
economy. Allows economy to function.
„ Valuable but not valued.
– The average annual value of caregiving
estimated ranges
– $13,000 to $17,000 for women and
– $8,000 to $10,000 for men.
– Annual total $133 billion to $218 billion.
October, 2005
16
Caregiving Factor (cont’d)
in Middle and Later Life
„ Increasing
need for elder care (older
spouse or aging parents).
„ This will happen just at the time when
women in the paid workforce need to be
saving for their own retirement.
October, 2005
17
Private Workplace Pensions
„
„
Portion of women with workplace pensions has
increased (men’s has decreased).
46.4% of women are now covered by workplace
pensions. However, this means that about
54% are not covered.
– Many service jobs are small businesses where there
are not enough employees to warrant employer,
workplace pensions.
„
Existence of a workplace pension and adequacy
of that pension are not the same.
October, 2005
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Canada’s Public Pension
„ Comprised
of C/QPP, the OAS, the GIS
and the Allowance.
„ Canada’s public pension system has been
described as ‘woman-friendly’.
October, 2005
19
Canada’s Public Pension
„
„
80
Helped significantly to
bring down poverty rates
for older women and
men.
70
60
50
40
Large gender gap
remains in average
monthly CPP benefit
30
1980
2001
20
– Early structural inequalities
in workplace have long
lasting economic effects
10
Women
October, 2005
0
20
CPP & Gender
600
600
400
500
400
300
200
100
0
CPP$
AVMonth
Women
Men
200
0
Recent
Retirees
Women
Men
– Average monthly C/QPP benefit (Aug. 2005) received by men
was $585.09, and women $341.72. (Women receiving 57.8%)
– For new retired persons, aged 60 and over average C/QPP
payment was $535.89 for men & $350.89 for women.
October, 2005
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A common erroneous impression
the public is given…
October, 2005
22
Part 2
Law and Government Policy
Uncertainty in the Face of Employment and Assistance
Charmaine Spencer, LL.M.
October, 2005
23
Human Rights in BC
„
„
„
„
Patchwork approach to discrimination
affecting older women.
Age discrimination often intersects
with sexism, racism. Multiple bariers
in middle and later life.
Protection from “age” discrimination
in employment in BC only covers 19
to 64.
Multiple changes to human rights
process eroded rights of older women
October, 2005
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Human Rights in BC
„
In the key area of providing services,
facilities and accommodation ordinarily
available to the public, AGE IS NOT a
protected category in BC Human Rights
Code. Makes it ”legal” to discriminate in
these areas at any age.
October, 2005
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Erosion of Human Rights
„
Elimination of the BC HR Commission
– responsible for public education, settling cases;
„
„
Use of "self help" approach for bringing human
rights complaints to the BC Human Rights
Tribunal; and
Little or no public education (people less likely
to know their rights and employers less likely to
know their responsibilities).
October, 2005
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Age Discrimination in
Employment
„
„
Canada needs to survey age discrimination in
the workplace (OECD)
Mandatory retirement is only one aspect of
age discrimination in the workplace
– Tip of the iceberg
„
Older workers as the retractable employee
(the Slinky Effect)? Used only when economy
wants her?
October, 2005
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Ability to Maintain Gainful Employment
„
„
„
Ageism in the labour force– starts in the 40s and
50s, expectation of winding down
Skill sets are not necessarily transferable
The failure to train
– The age disadvantage- upgrading/ new skills is well
not supported by public or private sector employers
ƒ Industry atrophy
– Failure to train the older worker and yet blame as
“out of date”
– Failure to educate in a manner suitable for the older
adult
October, 2005
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October, 2005
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Stereotypes are commonplace
„
„
“A younger employee tends
to be more enthusiasticand cheaper"
"The older employee on the
other hand is usually valued
for experience and
professionalism-- but
there's a dark side.
Companies… become
concerned about lack of
flexibility or negative
thinking from older staff.“
October, 2005
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Ageism in the Labour Force:
Common Euphemisms
Retiring
„ “Weeding out the dead weight”
Not Hiring
„ Overqualified/ too much experience
(euphemism for too old)
„ Opening position for young
„ Should have career potential
October, 2005
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And the “expert” advice to older
workers?
„
"Keep up appearances of good health "make sure if you
are older you never talk about personal health issues at
work.”
„
“Don’t wear dated clothing. It translates into dated
thinking, implying you are behind the times".
„
"Older employees should clock in half the number of sick
days a company allows, if any".
Source: Vancouver Sun, October, 2005, Business Section
October, 2005
32
Health Cost and Labour
„ Need
to recognize the cost of privatizing
or offloading health care costs.
– Shifting costs to individuals or employers
“supplementary insurance” (Blue Cross).
„ In
the U.S., one of the primary reasons for
“getting rid of” older workers, is the high
health costs that the employer bears for
private insurance.
October, 2005
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Challenges in (Re)gaining Employment
„
„
„
„
Experience, but less formal education than younger
adults on average
The shift from "work experience“ qualifications to
paper qualifications (e.g. the college degree) in many
sectors
Less ability as a couple or with a home to simply "pull
up roots and move"
– Important for community stability
Fewer re-training opportunities available for older
workers.
October, 2005
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Provincial Policy Changes
Middle Aged ~ Older Women
Social Assistance
„ Loss of the “age differential” for social
assistance
– ignores significant challenges in gaining employment
among displaced older workers
– “equal in poverty”
„
„
Forced application for early CPP
– Permanently reduced benefits
Liens on house if on social assistance > 6
months.
– older adults more likely to be home owners
October, 2005
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Changes to Employment Standards Act
(2002)
„
„
„
Changes led to reduced legal protections for
workers: especially affect women (Fuller &
Stephens).
Minimum shift length was reduced from 4 to 2
hours.
Introduction of the $6/hour “training wage”
– Youth focus, but “training wage” also easily applies to
first timers, especially after mid/late life divorce
– Recent research indicates very little if any “training”
occurs (McBride, et al.). Just cheap labour.
October, 2005
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Other Employment Standard
Changes in 2002…
„
The introduction of
“voluntary averaging
agreements”
– allows employers to avoid
paying overtime, provided
hours in the overall period
average 40 hours per week
or less.
„
Weakening of monitoring
and enforcement of the
regulations
October, 2005
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Imagining Policy: Needed Directions
Policy Development Generally
(a) Gender policy analysis across the lifespan
1.
– The need for an “age impact lens” within gender
analysis- short term and longer term
(b) Integrated and multifaceted approach to
government policy
– Financial security in later life is not just income
that people receive, it is what is people must pay
out- housing, medications, home support, health
care, energy, taxes.
October, 2005
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… Needed Directions
2. BC Human Rights Policy
„ A human rights framework that recognizes
age (age 19 plus) as a protected categories in
employment as well as in services, facilities
and accommodation ordinarily available the
public
„ Gender, age and race analysis of “neutral”
concepts such as bona fide occupational
requirement.
October, 2005
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… Needed Directions
3. Employment
„ A framework for achieving more gender and
age equality in workplace, while recognizing
relevant differences.
„ “Building equality" may include programs that:
– Provide appropriate training and retraining
throughout work lifespan.
– Address ageism and sexism in the workplace
(employers, employees, and unions).
– Provide age discrimination protection. Redress
inequality.
October, 2005
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…Needed Directions
4. Labour and economic security frameworks that
recognize the different life paths of women,
including their caregiving roles.
5. An authentic voice for seniors now…
– E.g., representatives on the Premier's Council on
Aging and Seniors Issues and on other influential
groups who are able to raise and speak
knowledgeably about employment and economic
security issues.
October, 2005
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Part 3
WE*ACT
Elsie Dean
October, 2005
42
WE*ACT
„
Is an organization of older women concerned
about social and economic issues affecting older
women.
– Developed in 2000 in response to
recommendations from the BC Seniors’ Summit
the year before
– Is supported by grant from Status of Women
Canada.
Focusses on advocacy, increasing awareness.
„ Prepared Pensions in Canada: Policy Reform
„
Because Women Matter. >30 recommendations.
October, 2005
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Select Recommendations from
WE*ACT
Pensions in Canada: Policy Reform Because
Women Matter
October, 2005
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1. Increase the Guaranteed Income
Supplement (GIS)
„
Federally paid to low income seniors who
receive
– Eligible if income is < $$1,126 per month
(single); <1,468 per month (couples)
Only paid to those receiving Old Age
Security (OAS)
„ Well below the low income cut off, LICO
„
October, 2005
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2. Make OAS/ GIS universal
„
„
Currently residency
requirements limit amount
paid to immigrants coming
to Canada after age 65
Inequities:
– only some immigrants from
favored countries status
– violate international and
Canadian commitment to
human rights
October, 2005
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3. Analyse the impact of C/QPP
Joint & Last Survivor Rates
„ CPP
or QPP is reduced by 40% upon a
spouse’s death
– Joint and Last Survivor Benefit rates are
currently set at 60%
„ Does
60% rate cover the real costs of
maintaining living standards of the
survivor?
„ Is 60% a proper differential between
singles and couples?
October, 2005
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4. Increase eligibility for
workplace pensions
„ Work
place pensions are considered a
valuable source of income in retirement
„ Few women are eligible due to their fewer
hours of paid work time and lower wages
„ Enable
anyone working more than 10
hours weekly to be eligible for one
October, 2005
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5. Prevent incomes from falling below the
poverty line.
6. Make private pension and retirement
savings more equitable -- move from
deductions for RPPs and RRSPs to
credits
October, 2005
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A Final Thought
Women’s economic uncertainty
and poverty in later life reflects
„ Political choices in areas such as
taxation, as well as
„ Political and philosophical
decisions around the relative
distribution of responsibility
between individuals and society
as a whole
October, 2005
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Imagine the Possibilities
…governments have the economic capacity
and social responsibility to improve the
lives of older women and fulfill their
commitment to women’s equality…they
can continue to reduce poverty …they can
eliminate it
October, 2005
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Time for Discussion
Your perspective on issues ….
October, 2005
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Select References
„
WE*ACT (2005) Pensions in Canada: Policy Reform
Because Women Matter , Vancouver, BC
„
Fuller, S. & Stephens, L. Women’s Employment in BC:
Effects of Government Downsizing and Employment
Policy Changes 2001–2004 (Canadian Centre for Policy
Alternatives)
„
International Longevity Center USA. The Economic
Status of Older Women. An International Report.
Prepared for the United Nation Second World Assembly
on Ageing. www.ilcusa.org/_lib/pdf/econwomen.pdf
October, 2005
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Select References (cont’d)
„
Townson, Monica (2000) Reducing Poverty among older Women:
The Potential of retirement income policies. Ottawa. Status of
Women Canada.
„
Dailey, Nancy. (1998) When Baby Boom Women Retire. Westport
Connecticut & London. Praeger, p. 4.
„
Statistics Canada, the Daily, Tuesday May 4 2002 and Vanier
Institute of the Family. Divorce Facts: Causes and Consequences
(2002). http://www.vifamily.ca/library/cft/divorce.html
„
Zimmerman, L. & Spencer. C. Bismarck meets the boomers.
Gerontology Research Centre, Simon Fraser University.
October, 2005
54
Select References (cont’d)
„
Statistics Canada. (1995) System of National accounts
and Environment Division Households. Unpaid Work:
Measurement and valuation. Ministry of Industry.
„
National Council of Welfare Reports (Autumn,
2004) Poverty Profile 2001. Ministry of Public Works and
Government Services Canada.
„
Yalnizyan, A, Canada’s Commitment to Equality: A
„
Gender Analysis of the Last Ten Federal Budgets (19952004) (Prepared for FAFIA)
Shillington, R. (April, 2003) New Poverty Traps: MeansTesting and Modest-Income Seniors (Backgrounder in
Brief) CD Howe Institute.
October, 2005
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