Final answer:
QPP contributions are required to be withheld from all workers aged 18 or older in pensionable employment, which includes part-time, full-time, and temporary employees. It ensures financial security in retirement, similar to Social Security, and is legally mandated for protection against employers' bankruptcy under pension insurance.
Step-by-step explanation:
QPP contributions must be withheld from all workers aged 18 or older who are in pensionable employment, including employees who are:
- Part-time
- Full-time
- Temporary
- All of the above
Deductions from an employee's wages, such as those required for QPP contributions, include taxes and various insurance programs such as unemployment and disability. Furthermore, those in pensionable employment, upon reaching retirement age, may be entitled to certain benefits, as Social Security addresses retirement concerns by providing pensions based on the worker's lifetime earnings.
Pension insurance exists to offer financial assistance to workers if their employer goes bankrupt and cannot pay the pensions it has promised. This demonstrates the importance of mandated contributions to systems like the QPP, which ensures retirement income security for all eligible workers regardless of their employment status.