Mr. Speaker, I appreciate the member's concerns regarding this issue.
Seasonal industries are an important part of the Canadian economy. Seasonality is a major factor in key Canadian industries such as construction, forestry, agriculture, mining, fisheries and tourism.
The economic importance of seasonal industries goes far beyond their direct impact on GDP and employment figures because of the additional economic activity performed by a range of companies serving them, particularly in rural and remote regions in Canada.
Seasonal workers present unique challenges for individual Canadians. Often these individuals face a limited working season, sporadic work durations and in many rural areas, a lack of off season alternatives.
Seasonal industries, by their very nature, are often vulnerable to factors beyond their control. Global market conditions, diseases, weather and many other variables can create fluctuation in supply and demand for their products as well as operating costs. Given this reality we have to determine how we can best address the needs of seasonal workers and their communities. We have to determine how to offer appropriate support.
In general, EI is serving the needs of seasonal workers well. Seasonal workers represent about 3% of the labour market, but approximately 27% of EI claimants. The average number of weeks of entitlement and benefits received are comparable for seasonal and non-seasonal workers. Seasonal workers also receive a higher average benefit rate than regular claimants. Moreover, an additional $1 billion annually has been invested since 1996 to address the needs of these workers, including three new pilot projects totalling $300 million per year just initiated by the previous government.
While a significant number of seasonal workers rarely need support under EI, the combined weeks of work and EI benefits for some seasonal workers are not enough to provide income each week of the year. These workers turn to the program on a regular basis. They experience an income gap when their EI claim runs out before they return to their seasonal job.
We are sensitive to the challenges faced by these workers, particularly so-called seasonal gappers, and the need for employment based long term solutions.
EI pilot projects are allowed under section 109 of the EI act in order for the government to assess the labour market impacts of new approaches to issues that have been identified within the EI program before national and permanent changes are considered.
The increased weeks of EI benefits pilot project was intended to test whether providing additional weeks of EI benefits would help address the annual income gap faced by a subset of EI claimants known as seasonal gappers; would maintain current incentives to work; and have any adverse labour market effects on other EI claimants.
It is important that pilot projects be assessed based on evidence and that consideration be given to the effectiveness and efficiency of these programs.