Disabled seniors: Quebec will no longer reduce their retirement pension at age 65

Disabled seniors will no longer be penalized when they turn 65. The CAQ budget, tabled on Tuesday, provides for the elimination of the reduction in their retirement pension at age 65.

"This is the measure I'm most proud of," said Finance Minister Eric Girard at a press conference. "I think today is a good day."

The measure will come into effect on Jan. 1, and will require legislative amendments.

It will affect 77,000 people aged 65 and over, who will benefit from an increase in their retirement pension as of Jan. 1, 2025.

 Another 23,000 people currently aged 60 to 64 over the next few years.

 A total of $135 million will be paid out in additional benefits each year.

The case of some disabled seniors and their reduced retirement pensions is already before the courts, with Quebec filing an appeal after some disabled seniors initially won their case. Though it's unclear what will happen to the request before the courts, Girard confirmed at a press conference that the measure is not retroactive.

It's a change in direction for the Quebec government, which was under pressure from opposition parties and seniors' rights groups, who saw it as an injustice and discrimination against vulnerable seniors.

 Quebec justified the cost of the plan, saying "the basic plan had sufficient financial margin to fund this increase" at the time of the last actuarial valuation of the Quebec Pension Plan.

"Consequently, no increase in contributions will be applied" to finance this measure, he carefully pointed out in the budget.

"I am consuming 80 per cent of my margin of manoeuvre," warned Girard, who, as a result, doesn't foresee any further improvements to the plan in the near future.

Quebec claims that getting rid of the reduction will represent for seniors aged 65 and over an increase in their retirement pension of up to $3,930 per year.

- This report by The Canadian Press was first published in French on March 12, 2024.