Mr. Speaker, I would like first of all to thank the member for starting this debate.
I appreciate the opportunity to speak to his bill, Bill C-308, and I thank the member for putting it forward.
As the House has heard, this bill seeks to make far-reaching amendments to the employment insurance program including reducing the entrance requirements to a minimum of 360 hours of work for regular benefits. Let us put this into clear language. What the member and his party propose is a 45-day work year. Our government believes that the amendments proposed by the bill would be nothing short of a policy catastrophe.
Jeane J. Kirkpatrick once said that history is a better guide than good intentions. While I have no doubt about the good intentions of the hon. member, history shows us the components of the bill are nothing more than a return to the Liberal policies of the 1970s. These policies would have the same catastrophic effects on our economy today as they did then. These are not just my words. In using the term “catastrophic effects” I am quoting David Gray, an economist with the University of Ottawa, who clearly articulated these points in early August. This is when the Liberals were still espousing the 45-day work year as a panacea for the entire EI system. This was before the Liberals walked out on the EI working group, abandoning Canada's unemployed.
One of the primary objectives of the EI program is to provide temporary income support to Canadians who are between jobs. In other words, the program is designed to help unemployed Canadians facing transition find employment and reintegrate into the workforce. Shortening the qualification period for EI would be tantamount to encouraging higher employment turnover of workers. The result of that kind of misguided policy would be a permanent rise in the unemployment rate.
Allow me to quote the Canadian Chamber of Commerce from its July 23 press release:
--moving to a national standard of 360 hours or 420 hours of work as the basis for qualifying for EI...would have substantial adverse impact on Canada's labour market -- it would discourage work, increase structural unemployment, exacerbate skills and labour shortages, and stifle productivity.
On August 1, the president of the Canadian Federation of Independent Business said that the 360-hour proposal was “just ludicrous”.
On the same day, Colin Busby, a policy analyst with the C.D. Howe Institute, said that lowering the entrance requirement “could create seasonal unemployment where maybe it didn't exist before. The consequence of lowering [the minimum threshold]...in places like Alberta from 700 hours in most places to all of a sudden 360...it's likely that you'll create more forms of seasonal unemployment over time”.
On June 3, in the National Post, Jack Mintz said that the flat 360-hour proposal, this 45-day work year proposal, is one of the worst ideas getting serious attention”.
The government is focused on taking prudent action to help Canadians and help them get back to work as soon as possible. Our economic action plan is working on three fronts by protecting jobs, providing income support and helping families and Canadians get the training they need so that they can get back to work as quickly as possible and on to a new career path.
The proposal put forward in Bill C-308 would truly hurt our ultimate goal of encouraging and supporting unemployed Canadians in their efforts to get back to work. The issue is not access but rather duration, duration of benefits and ensuring that people can transition effectively into the workforce.
Let us look at how this government has addressed the issue of access.
According to the results of a Statistics Canada employment insurance coverage survey, among the unemployed who have paid premiums and then been laid off or quit with cause, 82% were eligible to receive EI benefits in 2008. In fact, fewer than 10% of those who paid premiums and lost their jobs lacked the required hours to qualify. Furthermore, since last October, more than 82% of Canadian workers who qualify and are in need of accessing EI do qualify and are receiving the benefits.
As a result of the variable entrance requirement, from October 2008 to September 2009 access to EI became more responsive for workers in 38 of 58 regions across Canada. These include 15 in Ontario, all 6 in British Columbia and all 4 in Alberta. In light of these statistics, I trust the hon. member opposite will appreciate that the variable entrance requirement mechanism far better meets the needs of unemployed Canadians across the country than do changes proposed in his bill to accommodate a 45-day work year.
It is also very important to note that during this period where work has become more difficult to find during this global recession, the duration of benefits has increased. Our economic action plan is now temporarily providing an additional five weeks of EI right across the country.
In regions of high unemployment, we are also increasing the maximum number of weeks of benefits available under the EI program from 45 to 50 weeks. This means that claimants who previously had their benefits capped at 45 weeks can now receive an additional 5 weeks.
Our Conservative government has introduced more measures in Bill C-50 to ensure that Canadians who worked hard and paid into the EI system for years are now provided the help they need while they search for employment.
This bill will provide between 5 and 20 weeks of additional benefits to long-tenured workers should they need the extra help. This is an important step for Canadian workers who have worked hard and paid into the system all their lives, but because of the global recession and through no fault of their own have found it difficult to get back into the workforce. In these challenging economic times, these measures are giving hard-working Canadians who would otherwise have had to use up all of their benefits more time to find a job.
We have also said that we will be introducing further legislation to help the self-employed. All of these things are good for Canadians.
While the current economic environment is very challenging, under the prudent management of this Conservative government we are seeing progress. The economy will recover. This is why we have proposed that regular EI and long-tenured workers measures that enhance the system will be temporary. One of the reasons for these temporary proposals is that we were facing a labour shortage before this economic downturn and we will be facing the same challenges as the economy begins to recover.
That is why we acted early to help the hardest hit. That is why we expanded work sharing, which is now protecting over 164,000 jobs, making sure that shops do not lose their workers and workers do not lose their skills. This action by our government will help Canadian businesses gear back up when times are better.
To ensure that Canadian workers have the skills that our economy needs, we have increased training programs. We have helped people to transition back into the workforce with the best skills so that they can compete not just with their neighbours but with the whole world.
While I thank the member for putting forward this matter for debate, I respectfully suggest that it is a bad proposal and I will be voting against it. However, I will continue to support our economic action plan which helps people who are going through hard times get back on their feet.
When this global recession is over, Canada will emerge stronger than ever.