Madam Speaker, I am pleased to have the opportunity to rise today and speak in support of Bill C-12.
I do not think anyone in the House would argue that to maintain the status quo is a non-issue. I believe the modernizing of our employment insurance system is a crucial part of the government's job and growth agenda.
The changes we as a government have brought forward more accurately reflect what works best in today's economy. EI will continue to provide Canadians with basic income protection, as it does under the current system. It will also include a range of new employment measures to help people find work more quickly. In short, it is a system designed more effectively to meet the needs of Canadians.
I will focus my remarks today on how the bill will affect those who work in the seasonal industries. Bill C-12 will ensure that up to 500,000 part time and seasonal workers who were not covered under the old rules will now be insured. About 45,000 seasonal workers who currently are not eligible for UI benefits, despite paying premiums, will become eligible under the new hours based scheme. Some 270,000 workers in seasonal industries will receive an additional three weeks of benefits.
Bill C-12 also commits to a number of important active employment measures, including wage subsidies, earnings supplements, self-employment initiatives and job partnerships.
In my riding of Annapolis Valley-Hants seasonal workers make up a large and very important part of the local economy. Those employed in seasonal industries work extremely hard. If members were to talk to any one of the people in my riding I have spoken with they would say that if there were work year round they would be glad to take it. The reality, however, in many rural communities is quite different. Through no fault of their own people do not always have access to full time year round employment.
I have had the opportunity to meet with many groups and individuals in my riding to discuss this issue. In our conversations they expressed to me some serious concerns about how employment insurance would impact those who work in the seasonal industries. They asked me to bring the message to Ottawa. They said we as a government must ensure any changes are fair and do not unduly target those employed in seasonal industries.
I, like many of my Atlantic caucus colleagues, brought that message to Ottawa. I am pleased the Minister of Human Resources Development has listened and responded positively to these genuine concerns. The end result is a system that is both fair and balanced, a system which will allow more seasonal workers to qualify more quickly for more weeks of benefits.
One of the most serious concerns I have heard in recent weeks was how will the government deal with individuals who have gaps or breaks in employment, those whose work patterns consist of some steady weeks of work interrupted by a few weeks of unemployment and then more steady weeks of work.
For constituents in Annapolis Valley-Hants this is a real concern. For instance, the agriculture sector is the backbone of our economy. However, this means for many people there will be
plenty of work available in the spring and fall but there may be gaps in their employment during the summer months.
I have also heard similar concerns from constituents who work in the fishing industry. For these individuals, setting a relatively short consecutive period of weeks of work on which to calculate possible benefits could mean very low benefits. The number of people who would have been affected is not small. It is approximately 35 per cent of all claimants who apply for income benefits each year. That means nearly 850,000 Canadians with irregular work patterns deserve access to the same protection against job loss as do those with regular jobs.
In my home province of Nova Scotia the average length of gap is over three weeks. Therefore it is not fair to those who through no fault of their own have not had steady work prior to becoming unemployed. I am pleased the minister has adopted the recommendations of the standing committee to count back a full 26 weeks to find the required weeks of work when calculating average income for EI benefits.
This will allow individuals to have gaps of between four and twelve weeks without affecting their benefit levels. Benefits will still be based on how much one earns in the last 26 weeks.
This compromise of maintaining a fixed period of 26 weeks will maintain one of the central objectives of this new legislation. It will increase work incentives while at the same time ensuring a better relationship between benefits paid and the normal pattern of earnings. This 26-week period significantly helps workers with irregular work patterns in every region of the country and in all industries from agriculture to the service sector.
Many people in seasonal industries earn relatively low incomes. As well, they may live in communities that offer relatively few opportunities or have relatively few skills that would lead to better paying work. I believe that the new EI system will more effectively respond to their needs.
Strong efforts have been made by the government to protect low income workers in seasonal industries by focusing on higher income workers for the savings that are essential to EI. Low income people in these industries will also benefit from a new system that focuses on helping people get work and creating incentives for people to take all the work that is available. Simply put, every hour worked will increase an individual's eligibility for benefits.
A key feature of the new system is the family income supplement. This supplement is meant to top up benefits in order to reflect family circumstances. It will bring total insurance benefits up to as much as 80 per cent of a person's average insured earnings. Across Canada, 350,000 claimants in low income families with children will be eligible for the supplement. Many will be in the seasonal industries and many will be in my riding. In Atlantic Canada alone the family income supplement will benefit 54,000 low income families.
Thanks to the efforts of the members of the Standing Committee on Human Resources Development, I am pleased to say that those who are receiving family income supplement will be exempt from the intensity rule. I believe this is consistent with the government's overall efforts to redirect assistance to those who are most in need. This is the Liberal way.
These are just a few of the many positive elements of the legislation. I am pleased that the concerns of seasonal workers have been positively addressed in the legislation. I believe that Bill C-12 will be good for seasonal workers, good for the people of the riding of Annapolis Valley-Hants, and good for Canadians.