Indexing rate – Retired members – Pension

The indexing rate effective January 1, 2025, is 2.7%.

Indexation

The indexing of public service pension plan benefits is governed by two pieces of legislation; the Public Service Superannuation Act and the Supplementary Retirement Benefits Act.

Indexation ensures that your pension will be protected from losing its value because of inflation or increases in the cost of living.

Rate calculation

Consumer Price Index (CPI) data published by Statistics Canada is used each year to calculate pension increases for retired members and their survivors. The index used for the calculation is the CPI for Canada for all items (not seasonally adjusted).

The increase for 2025 is calculated by completing the following 2 steps:

The increase for 2025 is calculated by completing the following 2 steps:
Step Calculation instructions Calculation
1. Subtract the monthly average for the first 12-month period (October 2022 to September 2023) from the monthly average for the second 12-month period (October 2023 to September 2024). 160.1 – 155.9 = 4.2
2. Divide the result by the monthly average for the first period and multiply it by 100. (4.2 ÷ 155.9) x 100 = 2.7%

Note: The calculation does not include the monthly increases for the last three months of the previous year (October to December). These rates will be incorporated in the following year’s calculation.

The following data were used to calculate the 2025 pension increase.

Monthly evolution of the Consumer Price Index (CPI)
Month/Year CPISee table 1 note * % Month/Year CPISee table 1 note * %

Table 1 Notes

Table Note *

Statistics Canada. Table 18-10-0004-01 Consumer Price Index, monthly, not seasonally adjusted

Return to table note * referrer

October 2022 153.8 October 2023 158.6
November 2022 154.0 November 2023 158.8
December 2022 153.1 December 2023 158.3
January 2023 153.9 January 2024 158.3
February 2023 154.5 February 2024 158.8
March 2023 155.3 March 2024 159.8
April 2023 156.4 April 2024 160.6
May 2023 157.0 May 2024 161.5
June 2023 157.2 June 2024 161.4
July 2023 158.1 July 2024 162.1
August 2023 158.7 August 2024 161.8
September 2023 158.5 September 2024 161.1
Total 1,870.5 Total 1,921.1
Monthly Average 155.9 Monthly Average 160.1

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