Mr. Speaker, there is unanimnous agreement on Bill C-12 dealing with employment insurance. For two years now, in Canada and in Quebec, we have seen Canadians and numerous groups representing them oppose this unfair bill which will only make workers poorer, especially young workers and women who already have a most difficult time on the labour market.
If government had not gagged the human resources committee, these groups could have explained once more how the bill will not help the jobless because the reform it proposes will create even more poverty and, by modifying eligibility criteria, will send more people onto welfare.
During the last election campaign, the Liberals, besides promising to scrap the GST, also used another very important slogan: jobs, jobs, jobs. Now, Quebecers and Canadians know quite well the value of promises made by members of this government. What has the government accomplished since October 25, 1993? The answer is simple: it has just carried on with the previous government's program, the Mulroney agenda. Cut after cut, social programs, and therefore the have-nots, are the main targets.
Our harsh judgment is not based on an erratic bias against an intelligent reform of social programs or a logical reform of our unemployment insurance program. The proposed reform makes no sense. These programs must be reviewed so that they will equitably meet the real needs of people who are having a hard time finding and keeping jobs. But there is only one objective to the current reform: to make blind cuts that will hit hard the poorest and workers. The government is artificially reducing the deficit at the expense of employers and workers who contribute to the unemployment insurance fund.
Indeed, since 1990, that is for the last six years, the government has been pulling out of financing the fund, while continuing to manage it. The very substantial surpluses realized by the funds these last few years have been used to reduce the deficit. Premiums have been slyly disguised as a tax to reduce the deficit. Those who are lucky enough to work have the exceptional privilege of paying this new tax called unemployment insurance contribution, even though it is not being used exclusively to meet the needs of those who are not as privileged.
The Bloc Quebecois, in its minority report on social program reform, proposed "that the unemployment insurance fund be treated as a non-budget entity managed by an independent organization. The way the program is controlled and contributions used must be changed". Therefore, the preferred route chosen by the Bloc Quebecois would be to give management of the program to the provinces. We could also set up a new organization which would exercize a better control over unemployment insurance and would not come under the control of the Department of Human Resources Development.
Major labour confederations in Quebec and Canada, as well as organizations like the Canadian Manufacturers Association and the Conseil du patronat du Québec were highly critical of the the government's accumulation of surpluses in the unemployment insurance fund. Such surpluses, combined with the fact that the government continues to cut into the program, do not contribute in any way to job creation. On the contrary, they are a major obstacle.
As for unemployment insurance eligibility, Bill C-12, if passed, will have a devastating effect on the possibility of benefiting from unemployment insurance in case of job loss. In 1990, 87 per cent of unemployed people were receiving benefits, while only 46 per cent do today. It does not make sense to think that this percentage could decrease even further.
Yet, what the minister is proposing to us in his bill will not increase this percentage, quite the opposite. In fact, the number of hours required to qualify for benefits is more than doubled, going from 420 to 700 hours, instead of the 180 to 300 hours required at this time. For new workers, it will be even more dramatic, because they will have to work for 910 hours before qualifying.
Furthermore, the maximum benefit will decrease from $448 to $413 per week. This $35 cut thus reduces by more than 7 per cent the maximum a person losing his job will be entitled to, provided, of course, he meets the eligibility criteria. So, their reduced buying power will force the unemployed to curtail their lifestyle and cut into some of their most basic needs. It is a bread and butter matter. Everyone understands that, except the government, of course.
So, people will have to work longer to receive fewer benefits and for a shorter period. That is how the Liberal government sees the improvement of the system. These new eligibility criteria will particularly affect young people and women. Since these groups represent the majority of part time workers, they will need a very high number of hours to qualify for benefits.
The Minister of Human Resources Development should take example on his colleague from the finance department who, as recently as yesterday, in the House, during question period, reiterated his statement that the promise to abolish the GST had been a mistake. He even said he was making this statement on behalf of the government of the Liberal Party. It is high time the minister admitted that his bill is a gross error and that it must be withdrawn without delay.
In conclusion, I would like to draw the attention of the House to a statement in the May 1, 1989 issue of Hansard : ``The point I am trying to make, which many of us will have to look at seriously, is the whole notion of trust and credibility. Canadians are prepared to share the burden, if they think it is being done fairly. Unemployment insurance, family allowance, and old age pensions are a sacred trust. We must not allow the trust of Canadians to deteriorate to a point where they become cynical. I have listened to people talk about New Zealand, the United Kingdom, and about other countries and how they do it. This country is very special in how it deals across the board with men and women in every part of the country. There are basic standards, basic programs, universal programs, and programs that allow people to deal with their future with some degree of security''.
What stands out from these remarks made by the Minister of Human Resources Development when he was in opposition is that, with Bill C-12, the degree of security the minister is referring to
will certainly turn into income insecurity for those who will lose their jobs under the Employment Insurance Act. It is unfortunate that logic is dependent on which side of the House one sits on.