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OP-ED COLUMN

Week of Oct. 25, 2010

Raising EI Premiums Slows Recovery

By Garry Breitkreuz, M.P.
Yorkton-Melville

As we head out of the worst recession the world has seen since the 1930s, many Canadians are focused on a stronger and more reliable economic recovery for Canada in the long-term.

Though the worst appears to be behind us, the economy and jobs remains a top priority for this government. To ensure our ongoing economic recovery and to continue helping workers in Canada, we are taking steps to reduce the recommended Employment Insurance rate increase.

First, we will limit the increase to one-third of what’s recommended for 2011. This translates to a savings of $75 for the average Canadian family.

Second, we will limit this increase to two-thirds of what is recommended for the following years. This will save Canadian employers and employees $600 million per year.

We also plan to engage with a diverse group of Canadians from across the country on how to build on these improvements to help everyone emerge from this recession stronger than ever.

We see this plan as the best way of striking a balance between supporting our economic recovery and ensuring the Employment Insurance program breaks even over time.

However, the opposition has a different idea.

The Liberal-NDP-Bloc Coalition has put forth a plan requiring citizens to work a mere 45 days to qualify for a year of Employment Insurance benefits.

Not only is this plan offensive to hard-working Canadians who dedicate themselves to seeking and maintaining employment all year round, it would cost taxpayers at least $7 billion and result in a permanent premium increase of 35 percent.

This is just another tax hike proposed by the Liberal leader that will serve to kill jobs and stop our fragile economic recovery in its tracks.

This government has stood up to the opposition, voting against this reckless plan in Parliament because we wish to support families and workers in Canada and understand the harm it would create for workers and businesses, both large and small.

Canadians don’t want to see rapid increases in premiums. We have listened to business people and are acting on their concerns by limiting Employment Insurance premium increases to protect Canadian jobs where and when they are needed most.

Our plan for stronger economic growth in the future focuses on keeping the tax burden low for workers and employers.

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