Mr. Speaker, I would first like to inform you that I will be sharing my time with the member from Sudbury.
I am pleased to rise today on the NDP opposition day to speak to the employment insurance program.
I would like to reread the motion:
That the House call on the government to reverse devastating changes it has made to Employment Insurance which restrict access and benefits, depress wages, push vulnerable Canadians into poverty and download costs to the provinces; and reinstate the Extra Five Weeks pilot project to avoid the impending “black hole” of financial insecurity facing workers in seasonal industries and the regional economies they support.
This debate is timely because the Conference Board of Canada told us this week that rising social and economic inequality in Canada weakens the country's social fabric. It compared the socio-economic data of 17 industrialized countries and ranked Canada 7th for living conditions and the well-being of its population.
Canada under the Conservatives gets a very poor grade when it comes to social inequalities and child poverty. Yet, the employment insurance system, as originally conceived, should act as a tool for the Canadian government to combat inequalities and poverty. However, since the Mulroney government, Conservative and Liberal governments have continued to chip away at employment insurance.
The reforms carried out in the 1990s completely changed the playing field as far as employment insurance is concerned. From that point on, the government no longer participated in the funding of the system. Eligibility rules were changed, benefit levels were reduced, and the number of exclusions rose, which reduced the employment insurance coverage rate to 40%.
As one would expect, the situation is even more precarious for women. Since women often hold part-time, temporary or casual jobs, they quite simply do not accumulate enough hours to qualify for employment insurance. The figures speak for themselves. Only four out of every ten unemployed persons have access to employment insurance, and among women, the figure is three out of every ten.
Since the mid-1990s, the government has dipped into the employment insurance fund to bankroll its everyday spending, robbing workers and businesses that pay premiums of over $55 billion.
Since the Conservatives won a majority, they have begun to implement their ideological agenda and limit the scope of the employment insurance system. On September 15, for example, they abolished the pilot project covering six regions in Quebec, which was being used to test a five-week extension of regular benefits. The demise of this pilot project will mean many jobless people will, once again, find themselves in a black hole.
Moreover, on April 6, the pilot project whereby benefit rates are based on the best 14 weeks will be abolished, which will result in a substantial loss of income for a number of people in seasonal industry, among other sectors.
Furthermore, in April 2013, the board of referees will be replaced by the social security tribunal. The board, a tribunal of first instance that has proven its worth over time, will be replaced by a tribunal on which only a single government-appointed commissioner will sit.
That said, the most deplorable measure is the repeal of section 27 of the Employment Insurance Act dealing with the definition of unsuitable employment, along with a series of unreasonable constraints for workers in seasonal industries. Because of these provisions, so-called “frequent” claimants, who have filed up to three claims and have received over 60 weeks of benefits in the previous five years will, after a certain period, be forced to accept jobs at 70% of their previous compensation level within one hour of their place of residence.
On this side of the House, we believe that this witch hunt against seasonal workers is motivated by persistent prejudice against the unemployed. Members will recall that the minister who spearheaded the reform is known for her disgraceful remarks regarding the unemployed. In January 2009, she stated, for example, that her government did not want it to be lucrative for the jobless to stay at home and do nothing, as if the unemployed were all lazy.
Last Friday, she again declared that “once again, the NDP is supporting the bad guys”. The unemployed are “bad guys”. Those words are not worthy of the minister responsible for employment insurance.
We also learned last week that Service Canada employees had been mandated to hunt down unemployed people and get back $40,000 per month. Instead of training her officials to better assist the unemployed and smooth their return to the workforce, the minister is sending her investigators out after them in the hope that she can deprive them of as much money as possible.
Treating honest, unemployed Canadians like criminals is no way to come to grips with the real criminals. The minister is more and more out of touch with the daily reality of Canadians, proving that this tired government, which is constantly on the defensive and has no regard for ethics, is a tired government that must be replaced.
I have spoken at length about the Conservatives' reforms that target seasonal workers, but it is important to point out that entire communities will be decimated. Unlike the shareholders and directors of large corporations who have received tax breaks so that they will reinvest in the economy, the unemployed do not hoard their benefits. They immediately spend them in their communities on their basic needs.
In 2003, the CLC produced an interesting report on the economic impact of employment insurance. The union calculated the annual loss per constituency after the various reforms in the 1990s. The study showed, for example, that the economy in a constituency such as Rivière-des-Mille-Îles was $44 million per year poorer as a result of the cuts to the benefits paid to the unemployed.
We have to be crystal clear. This regressive reform affects all workers, not just the workers who are the most likely to receive employment insurance benefits. With the economy slowing down and the labour market on its deathbed, all workers may well feel the adverse effects of the reduced benefits.
In recent weeks, I have had the opportunity to meet with residents of Rivière-des-Mille-Îles on this matter. In November, the leader of the NDP also came to the suburbs north of Montreal to meet people there and restate the NDP's commitment to improving the employment insurance program.
Specifically, I had the opportunity to meet with representatives of the 1,000 workers who are laid off each summer by the Seigneurie-des-Mille-Îles school board. They shared their concerns with me. I also saw that the 650 school crossing guards in the city of Montreal issued a press release yesterday to denounce the cuts that this Conservative government has made to employment insurance. Let me read you a passage that sums up their situation:
...crossing guards earn very modest salaries for working four hours a day divided into three shifts. They therefore have to travel six times a day for work. Now, the employment insurance reform will decrease their income and require some of them to accept minimum wage jobs. It is extremely unfair for these men and women, who ensure the safety of children, to be penalized like this.
A survey of 1,000 Rivière-des-Mille-Îles residents conducted last year also showed that there is strong support for the NDP's position on improving the employment insurance program. Fifty percent of those surveyed believe that the current program does not meet the needs of unemployed workers and that changes must be made to better support our workers.
Rather than listening only to his party's ideologues, the Prime Minister should listen to Canadians, who are calling for a more humane and more cost-effective approach.
In closing, I would like to present the NDP's plan for employment insurance, which is an important way of showing the difference between us and the government.
First, the NDP has already announced that it would eliminate the new measures related to seasonal workers. Let us also remember that, during the last election campaign, the NDP formally committed to restoring the integrity of the employment insurance program, as finances permit. We said we would eliminate the two-week waiting period and return the qualifying period to a minimum of 360 hours of work for all regions.
For weeks, we have been seeing major protests throughout Quebec and Canada. I hope that the government paid attention to these heartfelt appeals and that it will cancel the devastating changes to the EI program.