Mr. Speaker, before beginning debate, I should let the House know that I intend to split my time with the member for Prince Edward—Hastings.
With this motion, my hon. colleagues are suggesting that somehow the government job credit for small businesses is nothing but an incentive to lay off employees. As I mentioned in my first question to the member for Kings—Hants, it is a little difficult for us to wrap our heads around the logic, and I suspect it is difficult even for the Liberals, that somehow any government, not just this government with a reputation of creating jobs, would take any action to reduce the number of jobs available. It is truly ludicrous.
What we are doing is exactly the opposite. The small business job credit will lower EI premiums for small businesses by 15%. Over the next two years, the premium reduction will save employers $550 million, money they can use to hire more Canadians.
The Canadian Federation of Independent Business estimates the credit will create 25,000 person-years of employment over the next two to three years. The Minister of Finance also confirmed that in 2017, EI premiums will go from the current $1.88 per $100 of earnings down to $1.47 per $100 of earnings. This means that employers will have more money to invest in things like training and increasing wages, and workers will have more money in their wallets at the end of the day.
Our government has a responsibility to create the right conditions for economic growth, and it is clearly one that we do not take lightly.
Since the economic downturn, we have had a steady increase in employment, low interest rates and the kind of economic growth that has made us the envy of other countries. We got here by implementing concrete measures to ensure Canadians have the skills they need for the jobs that are in demand. That is a big part of it. On the other side of the coin is how we are supporting employers to ensure they continue to grow their businesses and create jobs for Canadians. The small business job credit is simply the latest step in a broader plan to support job creation in our country.
Another element of our plan, as members know, is the Canada job grant, an employer-driven approach to help Canadians gain the skills and training they need to fill available jobs. So far we have finalized agreements with all of the provinces and territories, and six of them are already accepting applications from employers with a plan to train people for jobs. Matching employers with employees across this country will continue to create jobs across Canada. What this means is that employers can be sure they will have an employee with the skills that the job requires. It means as well that there is a real job at the end of the training.
We are also partnering with several colleges and training institutions to get more businesses directly involved in ensuring there is a better matchup between skills taught and skills wanted. That is also why we invest so much in apprenticeships. However, support for apprentices will not accomplish much if it is difficult for people to hire them. To change this, the government has provided tax credits for employers who hire eligible apprentices.
Employers can also take advantage of provisions in the EI system for supplemental unemployment benefits or SUB plans. Employers with a registered SUB plan can provide supplemental payments to EI benefits for temporary periods of unemployment due to a temporary stoppage of work, training, illness or injury. So far close to 3,000 employers across Canada have approved SUB plans, and over 887,000 workers are benefiting from these payments. The SUB plan, among other things, solves a major challenge for employers who hire apprentices. It means that employers can pay up to 95% of their apprentice's regular salary, while the apprentice is completing his or her technical training at college.
Our priority is clear. Since the depths of the global recession we have implemented a range of measures to create jobs and prosperity for all Canadians, and we are seeing the results. Canada's economy is performing well in the context of the weakened global economic recovery. We have created over 1.1 million jobs since July 2009, and over 80% of these jobs have been in full-time positions. Nearly 80% are in the private sector and 65% of those are in high-wage industries.
As I said, this job credit for small business is the latest measure in a much broader plan, a plan that includes a commitment to a national EI program that is more reflective of, and responsive to, local labour market conditions and that stimulates job creation. The job credit we announced two weeks ago intends to do just that.
However, it is increasingly clear that the Liberal leader does not have a plan for the economy. He believes that budgets balance themselves, and now he is trying to make us believe that taxing small businesses would somehow create jobs. In fact, it is the opposite. The Liberals' plan for employment insurance would cost Canadians nearly $6 billion. This would lead to a massive increase in payroll taxes, with an increase in EI premiums of nearly 50¢, and would kill thousands of jobs.
If we take a look at just one part of this plan, the 45-day work year, its cost alone would be over $4 billion. Other parts of their plan are equally thoughtless, including $3 million to provide EI for prisoners. They would compensate perpetrators of crime.
It is abundantly clear that we do not need the measure that our Liberal colleagues are proposing today. Therefore, I urge all members not to support the motion. This applies particularly to the members of the NDP, who I am sure do not need to be reminded of their record of being the least democratic party in the House, without a single dissenting vote against the party line since becoming the official opposition.
In closing, I know my colleague from Prince Edward—Hastings has more to add to this speech. What we have here is flawed Liberal logic backed up by flawed NDP logic. Really, the facts speak for themselves. This is a good incentive. It would create jobs across this country. This is legislation we need. We do not need the naysayers.