Human Resources Committee on Feb. 12th, 2009

[Paul Thompson]

The current annual funding is $50 million. It used to be $30 million, but with the new investment, it's $50 million per year.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

So funding was increased by $20 million. Previously, there was $30 million per year.

[Paul Thompson]

Yes, that is right, $30 million annually.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

Was the $30 million envelope used up completely?

[Paul Thompson]

I would have to ask the financial director in order to get a sense of what level of spending occurred.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

I would like you to get an answer on that.

How much money was spent on training as part of the Targeted Initiative for Older Workers? How many projects were instituted and in which locations? How many workers took part in this? What happened to those individuals who were not able to take part?

[Paul Thompson]

The initiative was comprised of 90 projects, and the annual budget was $30 million. As I said, I will be able to get back to you with the current level of spending.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

I would like you to provide all these details in writing, please. I am interested in the amount of money spent, the number of projects that were put in place and their nature, the number of people who were turned away, and the number of workers who took part in the program.

[Paul Thompson]

The program was run according to each province's recommendations. The province's proposals were submitted.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

We're on the same page, but what I want is factual data. I understand that the provinces are subject to strict federally set rules. The fact that all provinces comply with these rules lead to outcomes, and I want to know what those outcomes were.

[Paul Thompson]

We will forward that information on to the committee.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

Good, that is very kind of you.

Now that the budget is being passed, the office has received or will receive instructions to not cover the deficit resulting from additional budgetary expenditures totalling $2.9 billion. Are we to understand that this deficit would be covered by the consolidated revenue fund?

[Paul Thompson]

As indicated in the budget, the government has undertaken to invest $2.9 billion. The costs are due to additional employment insurance investments.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

Where is the money coming from?

[Paul Thompson]

The money is coming from the government's general revenue.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

Were you the one that recommended a freeze of employment insurance premiums? And if so, why?

[Paul Thompson]

It is not appropriate for me to talk about recommendations. The government's fiscal policy is a matter for the Department of Finance.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

If it is not appropriate to give us the reason for the decision, can you tell us what motivated it? You undoubtedly took part in the process.

[Paul Thompson]

The purpose of the measure to maintain the current premium level is to avoid an increase which may have an impact on the economy.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

So, its purpose is to help management?

[Paul Thompson]

And labour.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

How can the freezing of premiums help employees when it prevents improvements being made to the system?

[Paul Thompson]

Without the premium-freezing measure, employment insurance revenue would total an additional $4.5 billion. So there is a lot more revenue to fund the system.

[Yves Lessard, Bloc, Chambly—Borduas, QC]

Correct me if I am mistaken. Every cent accounts for $100,000 in the budget. The government said that the budget was prepared on the basis of consultations. I imagine you also took part in the process. Were wage earners consulted before proceeding with a freeze on premiums?

[Paul Thompson]

The minister and his staff held a number of consultations.