Evidence of meeting #8 for Status of Women in the 40th Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was benefits.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Paul Thompson  Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development
Louis Beauséjour  Director General, Employment Insurance Policy, Department of Human Resources and Skills Development
Allen Sutherland  Director General, Labour Market Policy, Department of Human Resources and Skills Development
Athina Ngjelina  As an Individual
Lucya Spencer  Executive Director, Immigrant Women Services Ottawa, Ontario Council of Agencies Serving Immigrants

11:10 a.m.

Liberal

The Chair Liberal Hedy Fry

I shall call the meeting to order.

This morning, as you can see from your agenda, we have officials from the Department of Human Resources and Skills Development.

As you know, witnesses present for ten minutes, so I just wanted to know if each of you will present for ten minutes or are your sharing your time?

11:10 a.m.

Paul Thompson Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

I will be the presenter.

11:10 a.m.

Liberal

The Chair Liberal Hedy Fry

You will be the presenter. Thank you, Mr. Thompson.

All right, then we will begin. Mr. Thompson, would you like to introduce your colleagues?

11:10 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

I would.

With me today is Louis Beauséjour, Director General, Employment Insurance Policy, and Allen Sutherland, Director General, Labour Market Policy. My name is Paul Thompson, and I am Associate Assistant Deputy Minister, Skills and Employment Branch.

I am pleased to appear before the Standing Committee on the Status of Women to discuss the current Employment Insurance program and the impact this program has on women in Canada, as well as highlight some additional labour market programs.

Today we are faced with the unique challenges raised by an unprecedented global economic downturn. At such a time, programs such as employment insurance are crucial supports for Canadians and their families as they face job losses and significant changes to the labour market.

There are many positive achievements to report at this time regarding the situation of women in the labour force. Over the last 30 years, one of the most dramatic labour market trends has been the increase in women's educational attainment and labour force participation. This places women in a strong competitive position for the future, when we emerge from the downturn and continue the shift to a knowledge-based economy. At the same time, we recognize that continued efforts are required to address the challenges that women face as they seek to prepare for, find, and maintain employment. Gender-based analysis is embedded in our ongoing analyses of the labour market at both the strategic policy and program levels.

There is good news to report concerning the educational attainment of women as well as their labour force participation. In the area of post-secondary education, Canadian women have steadily increased their participation and now represent a clear majority, 60%, of all new university graduates.

Canadian women have the highest rate of post-secondary educational attainment among OECD countries. These high levels of educational attainment have positioned the younger generation of Canadian women for success in a globally competitive, knowledge-based economy. At the same time, women's labour market participation and employment rates have risen strongly. Since the early 1990s, the labour force participation gap between men and women has been cut in half and now stands at only eight percentage points.

In 2007, the proportion of Canadian women who were employed, 70%, significantly exceeded both the G-7 average and the OECD average. Similarly, the labour force participation rate for Canadian working-age women was 74.3%, the highest among G-7 countries, and was sixth among OECD countries. As well, since the early 1990s, women's unemployment rates have been below those of men. The rate of unemployment for women is currently 1.8 percentage points below that of men. In 2007, the unemployment rate of 5.7% for Canadian women was comparable to the G-7 average and below the OECD average.

Women still earn less than men in Canada. However, with the increasing education of women, the gender wage gap of full-time employees is narrowing, from 74% in 1995 to 79% in 2005, and this gap is narrowing further for young women with post-secondary education.

I'd like to turn to the current economic context. During the last few months, the global economic situation has clearly deteriorated further and faster than anyone but the most pessimistic forecasters would have predicted. As a result, many Canadians are experiencing difficult times of transition during the current economic slowdown.

It's important to note that past recessions have affected men and women differently. In the recessions of the eighties and nineties, fewer women than men lost their jobs. This was primarily due to a higher representation of men in the goods sectors, such as manufacturing and construction, where most of the job losses actually occurred. Women were and still are more highly represented in the services sector, which traditionally experiences less employment loss during turbulent economic times.

To date, we have seen that the impact of the current downturn has varied by age group and has been felt disproportionately by men. Women account for a minority of net job losses to date in Canada as a result of the downturn, which is consistent with the experiences in both the United States and the European Union.

The International Labour Organization indicates that while the current economic downturn is expected to be more detrimental for females than for males in most regions of the world, it is less obvious whether there will be such a gender impact here in Canada.

Now let's talk about our programming. In addition to Employment Insurance (EI), HRSDC offers a variety of programming to support Canadian men and women, such as Aboriginal Human Resources Development, Targeted Initiative for Older Workers, Trades and Apprenticeship Strategy, and the Opportunities Fund. Through Labour Market Development Agreements with provinces and territories, the federal government also supports a variety of initiatives designed to improve the labour market participation of Canadian men and women. I will begin by discussing the EI program and its impacts on women.

A deck presentation of the materials has been distributed, which goes into more detail on some of the facts and figures I will be presenting.

First is the question of access to the employment insurance program. Particularly during an economic downturn, employment insurance is the first line of defence. It is an insurance system for the loss of employment income where access is determined by individual work patterns of the contributors and not, of course, by gender specifically.

Currently the EI program divides the country into regions based on similar labour market economic conditions. As unemployment rates increase in a given region, the number of insured hours required to access the program is reduced, and the duration of benefits increases. These requirements are adjusted on a monthly basis to reflect the latest regional economic situations. This allows for a certain measure of automatic stabilization and responsiveness to local job markets.

EI access is high for those who have been contributing to the program. The rate of eligibility has been between 80% and 84% every year since 2000.

Women's access to EI regular benefits is also high. In 2007, 81% of unemployed women who had been paying premiums and were then laid off or quit with just cause were eligible for regular benefits.

The EI program contains many additional features of particular importance to women in light of their broader societal role and the disproportionate burden of unpaid work that they do in the form of caring for children, the elderly, persons with disabilities or chronically ill family members. For example, the fifty weeks of EI maternity and parental benefits plays a critical role in supporting Canadian families by providing temporary income replacement for working parents of newborn or newly adopted children. These benefits help provide flexibility for many women and men to stay home and nurture their child during that all-important first year.

The EI program also provides compassionate benefits to provide some income support to enable workers to take time off to care for a critically ill family member. Women's access to these EI special benefits, which include maternity and parental, is very high. In fact, 97% of women working full-time quality for these special benefits.

Women accounted for 68% of the special benefit claims and received 84% of the $3.7 billion paid in special benefits in 2006-2007. The majority of new compassionate care claims were also established by women at 75.1%, and women received 76% of the claims associated with the family supplement.

Beyond these benefits, which support balancing work and family responsibilities, it is recognized that women make up a large portion of the non-standard workforce: contract or self-employed or part-time workers. Among women working part-time, 66% have sufficient hours to be eligible for special benefits such as maternity leave, and part-time workers can access EI regular benefits having worked as little as eight to fourteen hours per week over the course of the previous year.

The government is also creating an expert panel to consult Canadians on how best to provide self-employed Canadians with access to EI, maternity, and parental benefits.

Overall, women are net beneficiaries of the EI program, as they receive more in benefits than they contribute in premiums.

Turning to some of the recent improvements or changes to the EI program, in response to the extraordinary economic circumstances, the government has made a number of adjustments to the program to support Canadians in making transitions during the current economic slowdown. Budget 2009 committed to making available nationally the five weeks of extended EI benefits that have previously been available only through a pilot project in regions with the highest unemployment rates.

This measure also increases the maximum duration of benefits available under the program from 45 to 50 weeks. And it is our estimate that about 400,000 claimants would benefit from these changes during the first year.

Other improvements that would benefit workers affected by the downturn in the economy, regardless of their gender, include extending income support for long-tenured workers that are undertaking training, allowing earlier access to EI benefits for those workers investing in their own training using part or all of their severance pay, improving the work-sharing program by extending the duration and making the agreements more flexible, and freezing EI premiums in 2010 at the levels of 2009 and 2008.

So EI income benefits are one pillar that supports the participation of Canadian women in the labour market, but as mentioned earlier, there are other programs that do this as well. One notable example is the aboriginal human resource development strategy, funded in part through employment insurance, which helps first nations, Métis, and Inuit women prepare for, find, and keep their jobs and offers important supports for women in areas such as child care.

Another area is the targeted initiative for older workers, which provides support to unemployed older workers in communities that are affected by significant downsizing or closures and/or ongoing high unemployment. It does this through programming aimed at improving their employability or integrating them into employment. Budget 2009 committed an additional $60 million over three years to this program to expand eligibility and to include more cities. Women make up approximately 50% of the participants in this program.

The trades and apprenticeship strategy is another area designed to build and strengthen the infrastructure and capacity of apprenticeship systems across the country, particularly the interprovincial standards red seal program, to respond effectively to labour market requirements for skilled and mobile tradespeople.

According to Statistics Canada's registered apprenticeship information system, the number of women in apprenticeships has been increasing considerably. Since 2001 the number of women registered in apprenticeship programs has increased by 68%, from 16,365 in 2001 to over 27,000 in 2006. In terms of the percentage of the total number of apprentices, female participation has grown from about 9.2% to over 10% in 2006.

Another area of activity is the youth employment strategy, which supports Canadian youth as they move into the world of work. The YES provides young Canadians with access to programs and services to help them gain the skills, knowledge, career information, and work experience they need to find and maintain employment, and to make transitions in the labour market.

In budget 2009 the government committed to provide a one-time grant of $15 million to the YMCA and the YWCA to place youth, both male and female, in internships in not-for-profit and/or community service organizations, with a focus on environmental projects. This initiative will assist young Canadians and provide them with valuable work experience and earnings to support their further education.

In conclusion, I have outlined the contribution that EI and other programs make in supporting women's participation in the labour market, as well as how they assist women to manage roles they play as caregivers, parents, and workers. While much has been achieved, we must not lose sight of the varied needs of Canadians, particularly during these difficult economic times. In order to maintain these gains, and to improve upon them, the government will continue to support and promote full participation of vulnerable groups, including women, in the labour force.

11:20 a.m.

Liberal

The Chair Liberal Hedy Fry

Thank you.

Now we will open this up to questions.

Ms. Neville.

11:20 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

Thank you very much, Madam Chair.

Thank you for attending this morning.

I wish I had brought some other materials with me, because I'm having a little bit of difficulty reconciling some of what you've told us this morning with some of what we've heard before.

Before I begin my line of questioning, there was a series of e-mails going around last night indicating that the government had extended employment insurance, not just by the five weeks they had announced in the budget, but also by an additional four weeks. Is that the case?

11:20 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

I'm not aware of the specific e-mails.

11:20 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

It would be a total of nine additional weeks.

11:20 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

No. The measure announced in the budget was to extend the benefits by five weeks, as I indicated.

11:20 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

I realize that.

11:20 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

11:20 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

But there haven't been an additional four weeks added on to that?

11:20 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

There are no additional—

11:20 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

That information was certainly floating around fairly aggressively last night, and I don't know where it emanated from. Okay. Thank you.

I don't quite know where to begin, because I'm having a little bit of difficulty. You've certainly given us an outline of the employment insurance program and all that it covers.

You say you've done a gender-based analysis of programs. Could I ask that we receive it, please? I would find it very helpful if we, as a committee, saw the gender-based analysis you did.

11:20 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

The gender-based analysis is generally integrated into our ongoing labour market analysis. The statistics that I gave you are part of our ongoing assessment of gender issues in the labour market at large. We also embedded into the analysis of our programs one of the documents we prepare regularly with respect to employment insurance, the annual monitoring and assessment report, which includes, interspersed throughout it, various statistics on the access women have to employment insurance.

11:20 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

And you have disaggregated figures in it that show women's access to programs both nationally and regionally.

11:20 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

Louis can speak more to some of the details in it, but there are certainly breakdowns of EI use by gender. I can't recall specifically if we have it by gender and region at the same time. That's something we could look at.

11:25 a.m.

Louis Beauséjour Director General, Employment Insurance Policy, Department of Human Resources and Skills Development

We don't have all the statistics for all the regions, but we do have some statistics that we do present by regions. I think we never presented both by region and by gender.

11:25 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

You don't present it by region and by gender. Are those figures available, and do you put that into your considerations when you're making recommendations and policy?

11:25 a.m.

Director General, Employment Insurance Policy, Department of Human Resources and Skills Development

Louis Beauséjour

To the extent that we look at the impact the program has?

11:25 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

Regionally, by gender.

11:25 a.m.

Director General, Employment Insurance Policy, Department of Human Resources and Skills Development

Louis Beauséjour

We don't look at it more specifically, region by....

11:25 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

The gender analysis is usually done at a national level unless specific issues arise that there's a particular gender issue in a given region.

11:25 a.m.

Liberal

Anita Neville Liberal Winnipeg South Centre, MB

How do you determine that?

11:25 a.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

We're doing ongoing analysis from a labour market perspective. Allen Sutherland can speak to the nature of the gender-based analysis that is usually undertaken in the department. We have a unit responsible for that.