I do want to thank the chair and the committee for inviting me today to discuss with them an important issue: how we can work towards better defining and measuring precarious work, and do so in a way that helps to evaluate and design policies to address it.
I want to spend the first half of my presentation discussing options to achieve a more standardized definition of precarious work. Then I want to spend the last half discussing why the way we define precarious work matters because it leads to, and in some ways predetermines, policy responses.
Economic uncertainty is on the mind of many Canadians. It is increasingly understood that the benefits of economic growth in recent years are not being spread evenly among all workers. As a result, many feel excluded from the benefits of economic progress. Of course, the pressures of economic progress—technological development and how it's facilitated by globalization—have had a major impact on labour markets and workplace insecurities.
Yet, keep in mind, we designed the blueprints of our social safety net and our foundational labour legislation standards in a very different era. Most labour legislation regulations and institutions, although modestly amended over the years, were put in place in the 1970s and the 1980s, a time when many businesses were large—mainly manufacturing—and were the main source of full-time, full-year jobs, and most workers were male.
Large employers were often protected by tariffs and faced limited competition, and union coverage was far higher, whereas today there is more open competition and there are more small employers, more services and, of course, more women in the labour force.
When you add to this workers' anxiety about new technology and how it might replace their work, it's not hard to understand why so many Canadians feel this sense of economic unease.
Although there is no consistent definition of precarious work in academic and policy literature, there are some common threads. Conceptually, the term “precarious work” aims to express the uncertainty and vulnerability of one's work. Broadly defined, it captures job uncertainty, in terms of potential future layoffs, for example; predictability or lack thereof, in terms of someone's shift scheduling, for instance; and being low income or having few benefits or entitlements.
Statistics Canada keeps track of what's called non-standard employment, like part-time temporary work, which the previous witnesses have already talked about. Precarious workers are often associated with the results of these data because of their availability.
Still, because people in non-standard jobs can be well compensated, sometimes as a result of the insecurity of their jobs, there has been a shift towards focusing more on low-paid workers as the central element of job precarity, regardless of the form of employment. Previous witnesses have mentioned this, and I want to support it because, after all, some full-time, full-year work is quite insecure. Low-paid workers may have little opportunity for career advancement and little protection from unions, and they might not have extended medical benefits that improve their access to prescription drugs, dental or other extended health benefits.
As we search for a more common, better way to measure precarious work, I would add, as was just mentioned by the previous witness, that we do want to know about whether specific groups of workers are potentially more affected in precarious work over time. Those can be women, racialized groups, new immigrants, youth service workers, people with disabilities, etc.
I would also echo the point made by Parisa: Knowing the total number of precarious workers from one year to the next tells us only part of what we as policy-makers need to know. We need to know whether or not episodes of precarious work are long lasting, whether or not they're more of a temporary phenomenon and whether or not they lead to more permanent, full-time, well-compensated opportunities.
Again, this is a point of repetition, but I will make it because it's important: The 2017 Changing Workplaces Review in Ontario used two definitions of precarious work, focusing mainly on low income as the underlying variable. It's a methodology decision that I strongly support and, as Chris mentioned previously, they found that about one-third of workers in Ontario, using either definition, could be classified as precarious.
However, we must be mindful of how we define precariousness because it influences how we develop policies. When it comes to improving support and security for workers, what are we trying to provide: job security, income security or some combination of the two? If job security is the main focus of our definition of precarity, we might focus more around labour legislation issues like hiring and firing, as well as severance rules. But if income security is the focus, we might end up focusing more on the social safety net in the absence of job security. However, most likely, we probably want to be looking at a balance of the two.
I want to give a very quick example as to how we define precarious work. One way of doing so can contribute to how we analyze policy responses. Statistics Canada recently produced research called “Assessing Job Quality in Canada: A Multidimensional Approach”. It looks at six elements of job precariousness, which I'll go through very quickly: things like income and benefits, career prospects like opportunities for career advancement, work intensity, autonomy in the job and in the workplace, training opportunities and so on.
The results of this study shed light on the more complex issues of precarity. They show major differences in workplace precarity across sectors but also within specific sectors. The data also show important implications with respect to gender, with women more commonly in precarious work, as well as increased job precariousness for youth and those in part-time work.
To take one result from this study and ponder briefly on how these findings can shape policy responses, consider the finding in the report that large firms tend to provide much higher quality, well-paid jobs relative to small businesses. What do we make of this? Does it mean that we should stop favouring small businesses through a more favourable tax regime relative to large businesses? Or, to the extreme, should we stop worrying about growing market concentration among firms and antitrust legislation if it means more stable, high-paid work for some?
I don't have the answers to those questions and I don't want to speculate, but I want to highlight that the issue of precarious work is intertwined with the competitive environment for Canadian businesses. I think this is what the private member's motion was trying to get at when stating that a common definition of precarious work should “enable us to look to prevention, support, and the opportunity for innovation in both the public and private sectors.” Underlying all this is a tension between the vulnerability and uncertainty that workers face and our options to address them and the fact that we encourage competitive business climates that require giving firms flexibility in making business decisions and employing workers and purchasing capital.
What this boils down to in how we look at ways to address workplace precarity and maintain an innovative economy is as follows. Although efforts to better define and track precarious work are an invaluable task of the federal government that arguably Statistics Canada should undertake, ignoring the inevitable tension and pressures facing workers and firms and the need to find compromising solutions to these problems means we're going to probably risk struggling to make progress in shaping policy responses.
On this point—I'm going to conclude shortly—the need for governance solutions that brings together tripartite groups—business, labour and government agencies—should be an essential part of the way that we aim to advance policy going forward.
I want to conclude by stating that I favour a standard definition of precarious work that places the greatest weight on income uncertainty as I do believe it underpins most economic security issues regardless of type of work and because it would also support the widest range of potential policy responses.
On that point, we should strive for the right and more modernized mix of labour legislation, income security programs and programs that encourage work and transitions among jobs as we go about addressing precarious work.
Thank you.