OMERS Pension 2020 Increase

On Thursday morning, OMERS will announce on our website the January 1, 2020 pension indexation increase of 1.89%. The 2020 increase applies to all pensions in payment. Most members whose pension began in 2019 will receive a pro-rated increase.

Indexation also applies to some deferred pensions from the date the member leaves their OMERS employer to the date the member’s pension begins. Deferred pensions in respect of service before January 1, 2013 are indexed; any portion of deferred pensions in respect of service earned after December 31, 2012 will not be adjusted for inflation before payment begins, unless the member is retirement eligible at the time they left their OMERS employer.

The formula for the 2020 indexation adjustment, as defined in the Primary Plan text, is the percentage increase in:

  • the 12-month average Canadian Consumer Price Index (CPI), for the period from November 2018 to October 2019, over
  • the corresponding 12-month average for the period from November 2017 to October 2018.

The CPI is reported by Statistics Canada. The most recent five years of OMERS pension indexation increases are:

Effective Date

Pension Indexation Increase

January 1, 2020

1.89%

January 1, 2019

2.29%

January 1, 2018

1.49%

January 1, 2017

1.45%

January 1, 2016

1.16%

 

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