Mr. Speaker, I appreciate the opportunity to speak on this bill introduced by my hon. colleague.
The proposal invites us to consider a topic most important to this House and indeed to the whole country: the financial integrity of the unemployment insurance program.
Every member of this House knows the vital importance of small business. Every member personally knows of families in their ridings who work long hours to be independent, to achieve family goals, to contribute to their community. Every one of us is very much aware how difficult, demanding and rewarding a family business can be.
The unemployment insurance program has been extremely important to thousands of family businesses across this country. In thousands of offices, stores and plants when the business has run into a temporary slow period, revenue cannot support the employment of a family member and the person has been laid off, unemployment insurance has been there.
The family employee who has contributed along with the other employees of the company to the unemployment insurance account and qualifies for a claim has received temporary income from the unemployment insurance program. Many family business members have been able to receive help for training, help in searching for a job with another firm, help in seeking work elsewhere.
Along with millions of other Canadians, people who have been employed in a family firm have obtained their rightful benefits. Thousands of Canadians have also worked for small business corporations with which they have had close relationships. These men and women have also benefited from the unemployment insurance program.
Throughout Canada these two groups have received regularly their rightful benefits which they have earned as legitimate employees of legitimate enterprises. They confirm that they are genuine participants in our unemployment insurance program and they obtain the temporary income while they seek new employment.
For hundreds of thousands of these Canadians the present Unemployment Insurance Act has been there in their time of need. That is the intent of the act.
My hon. friend who has introduced Bill C-218 is rightly concerned about the unemployment needs of family small businesses. Every member in this House I am sure shares her concern.
Every one of us knows family enterprises in our ridings which have experienced difficulties in recent years. A father, mother, sister, brother has faced unemployment when business has turned down. Regrettably there are too many families who have served the community for 10, 25 and even 50 years and suddenly are no longer in business.
The record shows that these families have been well served by the unemployment insurance program. For example, in the fiscal year 1992-93 family businesses filed tens of thousands of claims for unemployment insurance benefits. Of those, 15,000 cases were reviewed and 75 per cent were confirmed as qualifying for benefits.
This position of the vast majority of claims by employees of family businesses has been most satisfactory, from the viewpoint of the employer and employee who finance the program, and from the viewpoint of the administrators who have the fiduciary responsibility to collect and to disperse the funds.
All members of the House who are familiar with the purpose of the unemployment insurance fund understand that a balanced and fair approach must be maintained. They know that funds are to be dispersed to respond to lack of income because of temporary and involuntary unemployment and to expedite return to employment by claimants. This is the mandate of Human Resources Development Canada.
These are funds collected from employers and employees to alleviate temporary lack of employment by those who have contributed. Any other treatment of these premiums collected for specific purposes does not come within the scope of the Unemployment Insurance Act.
The government has a responsibility to manage these funds with prudence and fairness, ensuring that to the greatest possible extent for those who have contributed, the misfortune of unemployment is alleviated. To act otherwise is to risk the integrity of the entire unemployment insurance program, to go beyond the bounds of responsibility, competence and the financial stability of the fund.
This is not to say the Unemployment Insurance Act does not require examination, review and revision by the House. As the Minister of Human Resources Development has clearly pointed out, all our social programs do indeed require reform. This view has the support of Canadians. They require a comprehensive, forward looking, perhaps sweeping reform to ensure they all meet the needs of Canadians as they enter the 21st century.
Therefore, I feel it would be premature to look into the application of unemployment insurance to the isolated situations where the employer and the employee are not dealing with each other at arm's length.
We all share the concern of the member who has introduced this bill. Each one of us has in our own riding family businesses that have been in difficulty. We know employees of family businesses who have needed and obtained the benefits for which they have paid.
I suggest that this bill for all its intent of responding to the difficulties of family businesses is not quite what this House would consider an appropriate contribution to our legislation at this time.
I suggest that this question would be better considered as part of our general review and reform of our social programs which is now under way. I can assure the hon. member it will be.