Surrey Board of Trade Participates in EI Reform Discussions

It was indicated that the EI fund has significant debt, and this should not be taken lightly. Even before making enhancements, it was indicated that there is a need to significantly increase premiums well beyond the 5-cent maximum deemed fiscally responsible to balance the account in 7 years. According to the EI Reform consultation backgrounder:

The EI program is designed to support labour market transitions. The program provides temporary income support to help the unemployed find a new job and remain attached to the labour market.

The EI system, as it is currently financed and structured, is not designed to assist Canadians with whatever life events that occur. The threshold for eligibility should remain between 420-700 hours (20 weeks). Many groups indicated that their region is unique and therefore variable entrance requirements are required. Support for the self-employed is complex and needs further study. Alternatives beyond the employment insurance system should be contemplated.

The premium reduction program is ripe for practical improvements that both employee and employer representatives agree on. The program is complex and has been tweaked and adjusted for decades. Continuing the legacy of tweaks does not serve the EI system or Canadians well. One of the first things that needs to be done is a process to review the Employment Insurance system every 5 years. The process should engage experts on the employment insurance system. The review must be comprehensive, examining both parts 1 & 2 and all the moving parts therein. The process should also include actuarial support in order to project the financial impacts of proposals. We have had a good start but there is still much work to be done.