About 3,700 federal public service workers have applied for early retirement since the government launched a new measure late last month in a bid to help reduce the public service workforce.
The applicants aim to join the Early Retirement Incentive (ERI) program the government launched on March 27, Mohammad Kamal, spokesperson for the Office of the President of the Treasury Board, told The Canadian Press.
Under the program, eligible employees can retire early with an immediate pension based on their years of service, with no reduction for retiring before the normal pension age, according to a release from the Treasury Board.
Normally, public service employees who retire early face a permanent pension reduction of 5 percent for each year they retire before the pension age. For example, retiring five years early would reduce the pension by 25 percent. Under the ERI program, eligible employees can retire early without any reduction, with their annual pension calculated based on total years of service up to the retirement date. They can apply until July 24, 2026….