Critics say EI overhaul will hurt some groups
The federal government’s sweeping employmentinsurance reforms — set to take effect in a few weeks — will devastate some communities and withhold EI benefits many Canadians rightly deserve, opposition parties charged Thursday.
The federal government’s changes to the $17-billion employment-insurance program will come into force Jan. 6, 2013, when recipients will be expected to commute possibly an hour or more for a job and accept work if it pays between 70 and 90 per cent of their previous income.
Human Resources Minister Diane Finley announced Thursday the implementation date and the regulations of the EI changes, which have sparked outrage from opposition parties but have been praised by small business groups.
“What we wanted to do is make sure people understood that when they exercise their right to EI, that they do understand — clearly — the responsibilities that go along with it,” Finley said.
The EI changes were initially unveiled in May but the government released more information Thursday, including details around two contentious issues, such as what is considered a “reasonable job search” and “suitable employment.”
Opposition parties insist the federal government’s regulations are far too subjective and that there are no guarantees people who may have transportation or daycare challenges in accepting certain jobs will receive the benefits they are owed.
NDP human resources critic Chris Charlton said the EI reforms are sim- ply about saving money, not about giving unemployed Canadians access to the benefits they rightly deserve.
“This isn’t the government’s money,” Charlton said. “This is not some government slush fund, this is the workers’ money and the government is making it harder and harder for workers to access the benefits that they’ve paid for.”
The new rules will cripple some coastal communities dependent upon seasonal industries, she argued. Businesses will be unable to find the necessary workers during the busy season because employees they would normally hire will be forced to take jobs elsewhere during the months seasonal industries shut down.
“You’re devastating entire communities,” she said.
Finley, however, said there has been “an awful lot of fearmongering” by opposition parties and that EI will be there for Canadians when no suitable jobs are available.
The federal government’s definition for “suitable employment” will be based on six previously announced criteria, although more details have now been released:
Personal circumstances (poor health, physically incapable of working, family obligations and limited transportation);
Working conditions (job offered is not vacant due directly to a strike, lockout or other labour dispute);
Hours of work (all available hours of work, including hours per day and availability outside the previous work schedule, will be deemed suitable for employment);
Commuting time (workplace is within a one-hour commute from home, although it could be higher, taking into account previous commuting history and a community’s average commuting time);
Type of work (responsibilities, tasks, qualifications and experience); and
Wages.
For a job to be considered “suitable employment,” EI claimants must be better off financially accepting the position than receiving EI regular or fishing benefits.
Financial costs associated with accepting a job — such as child care and transportation costs — will be considered by Service Canada officials when determining whether the work is suitable.
The pay levels and type of work deemed “suitable” for EI claimants will be based on a person’s EI history and the duration of the claim. As the length of a person’s claim increases, he or she would be required to expand the scope of their employment search in terms of type of work and wage.
Also, EI claimants will be expected to undertake a number of activities to be considered as having performed a “reasonable job search,” including: undergoing competency evaluations; research and assessing job opportunities; preparing a resume or cover letter; registering for job search tools such as electronic job banks or employment agencies; attending workshops or job fairs; networking; contacting prospective employers; submitting job applications; and attending interviews.
The federal government’s new job-alert system will see claimants e-mailed twice a day with the latest career listings for their area of work from various job boards.
The EI overhaul is expected to most dramatically affect seasonal sectors and their workers. Some Atlantic premiers, including Prince Edward Island’s Robert Ghiz, have said they are worried the reforms could hurt their economies.
The government has said the changes will see less than one per cent of EI claimants cut off from their benefits.