Leaves, time off and retirement
If your work situation changes because of COVID-19, your pension could be affected. Learn about your options if you take a leave, have your hours reduced, are temporarily laid off or change your retirement plans.
Note: all leaves are subject to Income Tax Act limits.
Will deadlines be extended?
No, deadlines remain the same. If you’ve had a delay in getting required documents, contact us. We may ask you to provide information regarding the cause of the delay.
What if I already submitted my pension application, but I’ve decided to work longer?
Contact us in writing as soon as possible using My Account Message Centre.
Can I retire early because of COVID-19?
Earliest retirement ages haven’t changed. If you do retire early, you may receive a reduced pension.
If I take a COVID-19 leave under the Employment Standards Act (ESA), what does that mean for my pension?
It depends on if you take an unpaid leave or a leave with full pay:
- If you take an unpaid leave, you have the option of buying service for the period of your absence. Leaves taken under the ESA are shared-cost leaves – if you choose to buy service for such a leave, both you and your employer will pay a portion of the purchase cost.
- A leave with full pay doesn’t count as leave because both you and your employer are still contributing to the plan.
If you take an unpaid leave approved by your employer that isn’t covered by the COVID-19 leave under the ESA, you may be able to buy service for this period – it will be treated as general leave. This may apply, for example, if you’re self-isolating to follow general physical distancing guidelines. You’ll be required to pay the full cost of the purchase of service.
If my hours are reduced, what does this mean for my pension?
You may be eligible to buy the service for the difference between your normal (full-assignment) hours and the hours you actually work. According to the Canada Revenue Agency, all the following must apply:
- You must have been employed by your employer for at least three years
- You may only purchase a period of reduced pay that occurs after those three years
- You must have been working your normal (full-assignment) hours sometime before your hours were reduced
If you choose to buy this service, it will be treated as general leave. You’ll be required to pay the full cost of the purchase of service.
If I’m temporarily laid off, what does this mean for my pension?
If you’re laid off (rather than being on a leave of absence), you won’t be able to buy service for this period.