A fragile economic recovery is no time to cut Employment Insurance benefits, says Fisheries, Aquaculture and Rural Development Minister Neil LeClair.
“Because many sectors of our economy are seasonal in nature, the cut in benefits under the EI program will have a major impact on workers and employers in this province, “said Mr. LeClair. “This is absolutely the wrong time to make cuts in the program, and we are requesting that the federal government reverse its decision.”
The proposed changes will mean that workers will file EI claims based on their last 14 weeks of employment instead of the best 14 weeks. At the same time, EI premiums are being raised which Mr. LeClair said will impose further hardships on employers and employees. The federal government has already cancelled an additional five weeks of benefits introduced during the economic downturn.
“It is inconceivable to me that the federal government is attempting to resolve its deficit problems on the backs of those who are continuing to struggle to survive,” said Mr. LeClair. “This is further evidence of the Harper government’s insensitivity to the needs of workers and their families.”
Mr. LeClair said that seasonal industries in rural areas such as fish processing and potato packing experience peaks and valleys in employment, and workers who continue employment when hours are shorter will be penalized under the new rules.
“The economic downturn has already had a major negative effect on our agriculture and fishing industries with lower prices and reduced levels of exports,” said Mr. LeClair. “Cuts to the EI program will further penalize workers who rely on jobs in these industries at a time when they are already facing difficult financial challenges.”