Evidence of meeting #61 for Human Resources, Skills and Social Development and the Status of Persons with Disabilities in the 39th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was insurance.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Bill James  Director General, Employment Insurance Policy, Employment Programs Policy and Design Branch, Department of Human Resources and Social Development

4:05 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

The Honourable Michael Chong says that he did not have an opportunity to obtain data or responses, but we do have the opportunity of having you with us today. Bill C-278 was tabled in the House on May 12, 2006. That is almost a year ago. Your department therefore had an opportunity to undertake studies in order to respond to Mr. Chong's concerns. Did the government ask you to undertake a study—you're bringing us all the statistics—or did it indicate to your department that it had concerns?

4:05 p.m.

Director General, Employment Insurance Policy, Employment Programs Policy and Design Branch, Department of Human Resources and Social Development

Bill James

I'll take the question, if I understand it correctly, as being what have we done in terms of studies around the proposal that's in the bill here. I can say that there is a significant amount of work under way. I should say, first of all, that we do closely monitor and report on sickness benefits every year. There's a document placed before Parliament in that regard every year through the Employment Insurance Commission.

In terms of the issue of sickness benefits specifically and those who exhaust them, we have a number of things under way. To be more specific, those studies are complex and they involve multiple steps. They are not finished yet, but there are a number of things under way. I could speak more specifically to that if you'd like.

4:05 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

My question is, has the minister, or somebody, asked you specifically for Bill C-278, or did they have some concerns and want to hear about it specifically?

4:05 p.m.

Director General, Employment Insurance Policy, Employment Programs Policy and Design Branch, Department of Human Resources and Social Development

Bill James

In terms of whether a minister has asked me for a briefing on this, I would leave that to---

4:05 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

No, my question is for you. I'm asking the question to you, the witness. You are representing the department right now, and I'm asking you if your department was asked to study Bill C-278--if they had concerns and they wanted some answers.

4:05 p.m.

Director General, Employment Insurance Policy, Employment Programs Policy and Design Branch, Department of Human Resources and Social Development

Bill James

I can confirm that we have been asked to look at Bill C-278 and the issues involved with those who are exhausting the 15 weeks.

4:05 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

Is there any question that was not answered because you didn't have the time to answer it?

4:10 p.m.

Director General, Employment Insurance Policy, Employment Programs Policy and Design Branch, Department of Human Resources and Social Development

Bill James

The work that's under way at this point in time has not concluded.

March 1st, 2007 / 4:10 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

Was it asked for in regard to Bill C-278, or do you just do it normally as you go along?

4:10 p.m.

Conservative

Lynne Yelich Conservative Blackstrap, SK

If I can respond, I know I did.... We talked about this bill, and that's why I asked you to confirm why you arrived at 15 weeks. We discussed it, and you said that you were...it's always under study; you are monitoring it closely. I don't know what you're expecting.

4:10 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

Mr. Chair, they said we didn't bring any witnesses. Even if we had brought witnesses for the next week, nobody would have been able to answer because the study is not finished. That's the point I'm trying to make.

We have a bill in front of us, and it seems to me we're giving a fair share to the bill. EI has been here for 10 years, and they've been studying it now since 1996. It's not like we're missing information. I don't think so.

That's the point I wanted to make, and I think I got the answer.

I will follow up on Mr. Chong's train of thought because he asked some questions that I am interested in.

Employment insurance benefits currently last for 15 weeks for an individual who has a disability or an illness. That individual can use employment insurance but they should not be able to, if one refers to the bill, because not everybody can. If I have understood correctly, everyone should be included. Because the program does not include everyone, it is not a good program.

Does the same issue apply to the 15 weeks? Should it be eliminated? Because in fact, this does not apply to everyone.

Yesterday, our witnesses included some individuals who spoke to us about this bill and about the people they represented who had heart problems or cancer, for example. It was pointed out that usually the longest period of time for which one can receive benefits is 50 weeks. It can't be for longer. Or it was 45 weeks.

Yet it takes approximately a year, for someone who has cancer and needs chemotherapy treatments, to go through all those treatments. The witnesses were very clear about this yesterday. It was crystal clear: that is the problem. Amongst people who become ill from the flu or another minor illness, only 30%, and I believe you confirmed this yourself, require benefits for more than 15 weeks, I believe. Usually those individuals who need it for longer are individuals who need long-term care.

I have yet to see an individual who's treated for cancer apply to the Canada Pension Plan and immediately begin receiving pension benefits. Under employment insurance, one can receive benefits immediately with a physician's signature. One can quit work.

Do you not think that the 15 or 50-week periods actually fall under the same category? If it's discriminatory to give 50 weeks, then it's also discriminatory to get 15. Do you agree with me?

4:10 p.m.

Director General, Employment Insurance Policy, Employment Programs Policy and Design Branch, Department of Human Resources and Social Development

Bill James

I'm not sure I understand the question as it pertains to the bill.

4:10 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

I'll try in English then. If a person can apply for 15 weeks, and this bill is to go up to 50 weeks...if 50 weeks is discriminatory to other workers in the country because they cannot get it, would you agree with me that 15 is discriminatory? So 15 or 50, what's the difference, as long as you get it or don't get it?

Now do you understand my question?

4:10 p.m.

Director General, Employment Insurance Policy, Employment Programs Policy and Design Branch, Department of Human Resources and Social Development

Bill James

I wouldn't have a comment on that as an official.

4:10 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

As an official, I appreciate that.

I will let others raise questions and then come back.

4:10 p.m.

Some hon. members

Oh, oh!

4:10 p.m.

Conservative

The Chair Conservative Dean Allison

I spoke too soon about moving through the bill quickly.

We're going to move to Mr. Lessard, Mr. Savage, and Mr. Chong.

4:10 p.m.

Bloc

Yves Lessard Bloc Chambly—Borduas, QC

I would like to continue along the same lines as the previous questioner and I would like our Conservative colleagues to listen closely because if they ask the same question again, Mr. Chairman, that would be rather unfortunate.

Before January of last year, when the Conservatives were in the opposition and the Liberals were in power, this committee, which was made up of other members, including Mr. Cuzner whom we had the honour of having with us yesterday, Mr. Godin and myself, worked for more than one year on the report that is before us and that contains 28 recommendations. The 27th recommendation corresponds exactly to Mr. Eyking's bill.

When we undertook this study, we heard approximately 50 groups. There was no lack of witnesses. Those individuals testified on a variety of items which led to the committee drafting 28 recommendations.

For the benefit of our Conservative colleagues once again, I would say that throughout that process, the Conservatives never questioned the idea of using the employment insurance fund for benefits during sick leave. Today this is what they're doing.

Mr. Godin's question is therefore the right one. If this is going to apply for the 50 weeks, then logically it should also apply to the 15 weeks, Mr. Chairman. What we need to determine is whether or not this is the right fund to use to pay for leave on compassionate grounds. We think it is for now, because that is the fund that has been used to date. None of the parties have questioned that.

If the Conservatives do not think that this is the appropriate fund, then they should table a bill that suggests we go elsewhere for that money. The issue before us is not whether or not the period of time should be extended, but rather whether this is the right fund or not.

Mr. Chairman, let's not play around with words. I want us to be clear with each other. If they do not agree with increasing the number of weeks, then they should simply say so. I do not think it is right to use false excuses for abstaining from voting. If our Conservative friends are convinced that this is not the right fund, then they should table a bill that would provide for money being put into another fund at another time. I don't know which fund that would be, but they probably know. Meanwhile, let's not deprive individuals who need compassionate leave from receiving financial assistance.

Our friend Mr. Chong was asking whether or not this solution was economically viable. Mr. Chairman, I do not want to offend our friends opposite, however Mr. James stated that people take on average nine days of leave. More specifically, 32% of individuals take 32 days. If the period is extended to 50 weeks, that average may be 10 or 11 days, but it will not endanger the fund. There has been a surplus year after year. The money simply has to be used appropriately and not for other purposes.

Mr. Chairman, I shouldn't have come back to this, but I do find it somewhat shocking. In my opinion, whether or not the fund is viable is not the issue. Nor is whether or not this is the right place to take the money from the issue. The issue is whether or not they agree on increasing the number of weeks to 50. Then it would be clear. If they refuse, then we must accept that. They have a right to refuse, but they should have the courage to say so.

4:15 p.m.

Conservative

The Chair Conservative Dean Allison

Thank you, Mr. Lessard.

We're going to move to Mr. Savage, followed by Mr. Chong.

4:15 p.m.

Liberal

Michael Savage Liberal Dartmouth—Cole Harbour, NS

Thank you. My points have been covered a bit by Monsieur Godin and Monsieur Lessard.

Mr. Chong mentioned that there's nothing to base decisions on. That's not the case. If he had been here yesterday when Mr. Eyking presented his bill...he is knowledgeable on this, he's done research on this, and he had a host of information on this. He had an estimate of the cost, as good as you could get, because we don't know exactly who would draw this benefit or how long. He had researched it. He did in fact have witnesses. He had the Heart and Stroke Foundation of Canada and the Canadian Cancer Society, the two biggest speakers for disabled Canadians, who speak enthusiastically for this bill.

If more witnesses were needed...it was the steering committee that determined we didn't need witnesses. We could have discussed it with this committee if we'd needed more witnesses. In fact, it was us who went back and allowed for the Heart and Stroke Foundation and the Canadian Cancer Society to appear yesterday. There is the option to bring forward amendments if they're thought out, if they're considered, and based on the fact that they didn't think the bill had enough information in it.

I think it's a very full bill, Mr. Chair, even if it's a short one.

I think there's a lot of information on this. The department obviously has been doing some work on this. I'm sure the government is looking at this issue, but this is a way to rectify the situation right now, take a positive step for a large number of Canadians, and make life better for Canadians who are disabled. More and more and more, long-term disability is an issue. Things that people used to die of, they are now living with. It's a good news thing; they come back into the workforce eventually, but not immediately.

It's an eminently sensible bill, and I urge my Conservative colleagues, who I know at heart are very compassionate people, to support it.

4:20 p.m.

Conservative

The Chair Conservative Dean Allison

Thank you, Mr. Savage.

Mr. Chong, Mr. Godin, and then Mr. Lake.

4:20 p.m.

Conservative

Michael Chong Conservative Wellington—Halton Hills, ON

Thank you, Mr. Chair. I just want to go back to the point about the witnesses. The witnesses from the department were not called to testify on this bill, and therefore we don't have the detailed costed information that will allow us to make an informed decision. And to suggest that one individual member of the opposition has fully costed this out and presented all the risk analysis and information around the financial implications of this is I think a little trite.

The fact is the department has not conducted its full analysis. To Monsieur Godin's points that they haven't done it now and therefore we should just get on with the bill, if we had called the department as official witnesses, I have no doubt that the professional public service would have delivered an appropriate analysis in time for a committee meeting had we called them as witnesses. But we chose not to.

So we are in some ways making decisions here about a significant piece of legislation without any evidence or information from the department, the very people who are the experts on these sorts of things and the very people who can fully cost things out and who have been working on these files for years. I think in some ways it's foolish for us to support something like this when we don't have all the evidence in front of us.

The second point I want to make has to do with the basic notions of equality and ensuring that federal government social programs are designed for all Canadians. The fact of the matter is that the uptake on employment insurance is much lower in places like Toronto; in other words, the percentage of the unemployed in cities like Toronto who are eligible for employment insurance benefits is much lower than in other parts of the country.

Empirically, I can tell you the fact is the people who are most disadvantaged by this are immigrants, newcomers to Canada who are settling in the GTA, because they disproportionately participate in parts of the economy where they do not pay into employment insurance.

Right now we have a system that's in place, yes--15 weeks--but what you're proposing, Mr. Godin, is to exaggerate that inequality to an even greater extent by extending it to 50 weeks, and that's not fair for some of the most vulnerable in our society, immigrants, who have come here, who have chosen to make this country their home, and who are not eligible disproportionately for these kinds of benefits because of the types of work they're in, because they're disproportionately starting up small businesses, because they're entrepreneurs, because of a whole range of other socio-economic factors.

So we're of the position that this needs to be studied to a much greater extent. We acknowledge as a government that the issue of the gap in sickness benefits is one that merits attention and merits study, but to do so on the basis of no information from the department, no analysis, is foolish. And furthermore, to do so in a way that would simply widen the inequality gap between Canadians and our most recent immigrants I think is completely unfair and I don't think speaks to the values that we hold as Canadians.

I think that's the second reason why we should oppose this bill, because it doesn't take into account the fact that many Canadians don't pay into employment insurance, and those Canadians disproportionately, especially in areas like Toronto, are immigrants.

4:25 p.m.

Conservative

The Chair Conservative Dean Allison

Thank you, Mr. Chong.

I've got Mr. Godin and Mr. Lake.

4:25 p.m.

NDP

Yvon Godin NDP Acadie—Bathurst, NB

Thank you, Mr. Chairman.

I have some reservations with respect to Mr. Chong's comments and I'll tell you why.

With all due respect for immigrants in Toronto, I should point out that we also have people creating jobs in small and medium-size businesses, who are not immigrants. We have people in small businesses who are not paying into the employment insurance regime. If the members of the Conservative Party of Canada, the Canadian Alliance or the Reform Party of Canada had voted in favour of the bill I tabled for self-employed workers, then perhaps those workers would be contributing and would be eligible.

In my opinion, Mr. Chong is contradicting himself. He complains about the amount this could cost, but on the other hand, he says that it does not go far enough and that it will exacerbate discrimination. However, we are discussing a system that the federal government does not invest in. Workers and employers contribute financially and it is their insurance. It is the employees of these employers who get sick. Yet, since 1986, to pay down its debt and achieve a zero deficit, the government has been stealing money from the employment insurance fund that is supposed to pay employees who are on sick leave. That money belongs to employees who get sick and must take extended sick leave, but we're being told that there's no system to help them. And yet, this is insurance that they paid into, not the Government of Canada. There is no discrimination there. The employees and employers contributed to that insurance in order to protect employees in the event of illness.

I do not see where the discrimination lies. If there is any, then I would suggest to Mr. Chong that he table a bill that would allow self-employed workers to contribute to employment insurance, and that would apply to all of the immigrants he has been talking about. We have been asking for a long time now that self-employed workers be able to participate in this program. They should be a part of it.

I agree that self-employed workers should be eligible. Under the employment insurance system, whether an individual who has paid into the fund gets sick in Bathurst, New Brunswick, Caraquet, or Toronto, they have a right to receive employment insurance or sickness benefits. So there is no discrimination between Toronto, Bathurst and Caraquet. There's no connection with the fact that the unemployment rate is 4.5 or 6% in Toronto whereas it is 20% in Acadie-Bathurst. Employees who have paid into the fund and who get sick and qualify, can receive sickness benefits. Everyone is treated equally. In order to be eligible for sickness benefits, one has to have worked a minimum of 600 hours over the year. This applies whether one is in Toronto, Bathurst, Moncton, Halifax, or Nanaimo, British Columbia. There is no discrimination. The program belongs to the employees, and today we are discussing their program. We're saying that rather than granting 15 weeks of benefits...

I don't know whether or not you received the testimony that we heard yesterday. Mr. Preston said that the witnesses had convinced him that something had to be done. But it looks like those who were convinced yesterday are not here today.

There are also those who do not work and are not on an employer's payroll. Let us take, for example, an individual who receives welfare benefits, and learns that he has cancer and must undergo treatment. That individual will continue to receive welfare benefits; he will not lose his income.

A man called me to tell me he had cancer. Do you know what the word “cancer” means for most people? I don't wish it on anybody. It means death. That is what is so scary. The man who called me was experiencing that fear of dying.

In his testimony yesterday, a man said that he had been to see his physician and that he had been told that he had cancer. He would have to undergo chemotherapy treatments, etc. Usually in a case like that one, an individual cannot go back to work for at least a year. Fortunately, today, with treatment, people can go back to work. It takes about a year. Those who cannot go back to work are eligible for Canada Pension Plan benefits for long-term leave. That is what one of the witnesses told us yesterday.

Take someone who is 40 or 50 years old, who has worked their whole life, is told they have cancer and must undergo chemotherapy treatments for one year. After 15 weeks of receiving sickness benefits, an employment insurance officer tells that individual that they will no longer receive any income. That announcement will be harmful to their health and will compromise their recovery. Specialists and individuals who testified here yesterday said that this is counterproductive and that it could compromise any treatments. It is horrible to hear people cry over the phone and tell us that they can no longer feed their family.

Mr. Chairman, take someone who has experienced a heart attack. We know that that can happen to people under stress. Imagine learning after 15 weeks of receiving benefits that you will no longer be receiving any.

Who are we to not support that? If we had cancer, we would be able to stay at home and receive a net salary of at least $7,000 per month. Who are we to say no to these workers? Is there discrimination? Are you willing to give up your pay cheque in order to satisfy everyone in the country, all those workers who do not have a right to benefits, self-employed workers, immigrants who do not pay into it? If you had cancer, would you be willing to give up your net salary of $7,000 per month after a seven-week absence?

Ask yourselves that question and perhaps when you find the answer you'll support the bill.

4:30 p.m.

Conservative

The Chair Conservative Dean Allison

Thank you, Mr. Godin.

We have Mr. Lake, followed by Mr. Chong.