As if we needed a reminder that inequality is alive and well, men in Ontario continue to hold the financial upper hand over women in a substantial pay gap.
With the 2025 tax season approaching and Ontario residents preparing their final RRSP contributions, a landmark report, Understanding the Gender Pension Gap in Canada, shows that women still receive smaller pensions than men.
The report, conducted by labour lawyer Dr. Elizabeth Shilton, finds that, on average, women in Ontario earn about $0.83 for every $1.00 men receive in pensions, highlighting the ongoing challenge women face in achieving financial equality.
The gender pension gap affects women not only in retirement but also throughout their working lives. According to Dr. Shilton, women are more likely than men to earn lower wages and work fewer hours, which directly reduces their overall retirement income.
Even though Canada has a strong retirement income system, women still face an uphill battle securing financial stability in their golden years.
Canada earned a solid B grade in the 2025 Mercer CFA Institute Global Pension Index, placing mid-pack among 52 countries. Its score of 70.4 out of 100 improves on last year's 68.4, showing gradual progress, though at a slow pace.
Data from the Organization for Economic Co-operation and Development (OECD) shows that in countries like Estonia, the gender pension gap is relatively small (four per cent) while in Japan it is much higher (47 per cent).
Canada ranks somewhere near the middle, with a pension gap below the OECD average of 23 per cent, showing that while discrepancies between women's and men's pensions are smaller, they still exist.
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