moved that Bill C-241, An Act to amend the Employment Insurance Act (removal of waiting period), be read the second time and referred to a committee.
Madam Speaker, I will be pleased to read the summary of the bill.
This enactment removes the waiting period that precedes the commencement of benefits after an interruption of earnings and repeals provisions that refer to that waiting period.
Let us begin with a definition of what a waiting period is. It is the two weeks following application for employment insurance. This two week period starts the day following the day the person loses his job. There are very few cases where this waiting period does not apply. There are exceptions for maternity leave for the first child, etc, but they are very rare. In our opinion, the two week waiting period is not right and that is why we want to get rid of it.
On November 25 last year, the Minister of Human Resources and Skills Development answered a question from the Bloc Québécois concerning abolition of the waiting period as follows:
It is insurance, and as with any insurance, there is always a wait period, because of course there must be confirmation that they are being laid off for longer than just a week or two. This is necessary to ensure the integrity of the system.
We do not agree with this. Even if people are laid off just a week, that week ought to be paid. As a general rule, in the present crisis situation, people are rarely laid off for a week, or for two weeks, but for far longer than that.
The truth is that the waiting period is nothing more and nothing less than a way of punishing the workers. Because they have lost their jobs, they get nothing to live on for two weeks. How can a family with several children and a single breadwinner survive for two weeks without that one income? It does not occur to the present government that people have huge hardships to cope with during that period.
I will even give examples of people in my riding who worked overtime for which they were not paid for several years. It was paid when they lost their jobs, even though they had worked those hours several years earlier. In the case of people receiving a pension, the employer’s part was considered income by employment insurance, even though it had been paid in 2006-07 and was not current income. It was calculated, therefore, as income and divided by the number of weeks worked, which pushed back the beginning of the waiting period, in some cases by as much as several weeks. In other words, people who are without an income and who have spent all their money are punished with a two week delay without an income. This puts them in a very difficult situation and it is totally unnecessary.
Does the government arrange it so that the unemployed suffer serious economic difficulties, in the hope that they will get back to work faster? This kind of logic is totally nonsensical. The role of government is quite the opposite: to help people and meet their needs.
Sweden sets an example for the whole world, even though it is sometimes criticized for giving too much. Still, 80% to 85% of Swedes who lose their jobs find another and go back to work.
The two week waiting period does not exist and everyone who loses their job gets one year of employment insurance.
There is no work penalty, and the duration is not affected by a waiting period. We think that if the waiting period were eliminated, people who lose their jobs could find another more easily and more quickly because they would not be worrying about how they are going to survive the next two weeks. It would help people get back to work.
The government deprives the unemployed of $900 million. The minister has actually calculated that such a step would cost $900 million. It is possible. We will take that number. We do not say it is unrealistic and it may be true. What it means, though, is that $900 million is not being given back to the unemployed. That $900 million would do a lot to help people get back to work.
The current economic crisis is creating more unemployed people and the government therefore wants to inject money into the economy as quickly as possible. I think that the $900 million that has been paid by both the unemployed and their employers should be given back to the unemployed and should not be turned into something that is discriminatory. I will actually read an article in a few minutes from a newspaper in my riding which points out just how discriminatory this is for working people.
As I said earlier, all the large amounts received just delay the waiting period. This money is subtracted and pushes back the two week waiting period.
I would like to mention a few short passages from a newspaper in my riding, a large regional paper from Sherbrooke, which talks about a terrible scandal, the two week waiting period. It says:
Economic groups, unions and politicians have been fighting for over a decade to amend the Employment Insurance Act.
This specifically concerns the waiting period. This is fair to say because it has been demanded by unions, by community groups, by groups that defend the unemployed and also by workers. Truly everyone is demanding that the waiting period be eliminated.
It has been said that employment insurance is a universal system. If it is universal and is imposed by the government, why now are only 53% of people eligible for employment insurance benefits when in 1989, 83% of people who lost their jobs were eligible? Fewer and fewer people are eligible for employment insurance and, on top of that, there is a waiting period that should not exist.
In addition, I would like to point out that they have added—and this is the argument we will keep hearing—five weeks to the end of employment insurance benefits. However, these five weeks at the end do not replace the two weeks at the beginning. We know that only 28% of people use all of their employment insurance benefits. That means that this five week measure affects only 28% of unemployed people. Once again, this is obviously discriminatory.
I would like to come back to the newspaper article. It talks about how we have moved from an employment insurance system to a deficit insurance system. It adds that this is scandalous. How true.
We agree fully with this newspaper, which also mentions that eliminating the two week waiting period would have a much greater impact on the financial security of claimants. That is exactly what I am trying to say. You can see that the Bloc Québécois are not the only ones to think this way.
The article also goes on to say:
In an economic crisis, these measures penalize the most vulnerable workers in our society.
That is quite right. The most vulnerable in our society need these two weeks.
According to the Canada Labour Congress, estimated benefits lost...total more than $43 million a year for the City of Sherbrooke alone—
The figures are the same. Sherbrooke is just beside my riding. I live in the Eastern Townships and the amount of employment insurance benefits not handed out and kept by the government is estimated at $100 million. These monies could cover the two week waiting period. The money is there. We do not have to look for it elsewhere. Workers have already paid for it.
How can the Government of Quebec tolerate having this social cost passed on to it—
Given that employment insurance is not paid during these two weeks, the social cost is passed on to Quebec, or Ontario or the other provinces because people have to get through these weeks with a minimum amount of money.
Sherbrooke is already seeing what it can do—
It is not just a national matter. Cities are also interested in this problem as are regional stakeholders such as the chambers of commerce. Earlier, I spoke about those advocating for this change. As we can see, the chambers of commerce also want the waiting period to be eliminated.
This article asks—and so do we together with the Liberals and the New Democrats—that everyone join us to create a majority and eliminate the waiting period, which is a real failure of our democratic system.
This government must recognize the pressing need to eliminate the two week waiting period for everyone—
I did not say it. It was in an article that was just published on February 19. That is very recent.
—to improve access to the program and speed up payment of premiums.
This injustice must be corrected now. For many of our fellow citizens, access to insurance paid for by employers and employees is not a privilege but a right and a question of dignity.
That is how the article ends, and we completely agree with it. We would also like to ask the Liberals to support our bill. In the past, it was under the Liberals that the employment insurance system began to deteriorate. However, since they have been in opposition, they are keeping an eye on employment insurance and they appear much more willing to listen. We hope they will be receptive to the unemployed workers who are having difficulty during those first two weeks. We are not asking for a major revolution; we are simply asking that the two week waiting period be completely eliminated for everyone and that as soon as someone loses his or her job, that individual can receive employment insurance immediately.
The waiting period always comes at the beginning, except when money is found and it is pushed back even further. The two consecutive weeks end the Saturday of the following week. It is all planned very carefully so there can be no getting around it.
We are asking that these two weeks be replaced by employment insurance. Even if it costs $900 million, that would be one way of injecting $900 million into the economy immediately. Indeed, we can be sure that anyone who loses their job will not be setting this money aside, either in the bank or in a trust fund. They will spend it immediately, because they need it.
This is what we really want and we hope that all members of the House will understand the importance of this bill to amend the Employment Insurance Act.