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  • Budget 2018: The Most Disappointing Budget Ever March 14, 2018
    Premier Pallister’s Trump-esque statement that budget 2018 was going to be the “best budget ever” has fallen a bit flat. Instead of a bold plan to deal with climate change, poverty and our crumbling infrastructure, we are presented with two alarmist scenarios to justify further tax cuts and a lack of decisive action: the recent […]
    Canadian Centre for Policy Alternatives
  • 2018 Federal Budget Analysis February 14, 2018
    Watch this space for response and analysis of the federal budget from CCPA staff and our Alternative Federal Budget partners. More information will be added as it is available. Commentary and Analysis Some baby steps for dad and big steps forward for women, by Kate McInturff (CCPA) An ambition constrained budget, by David Macdonald (CCPA) Five things […]
    Canadian Centre for Policy Alternatives
  • CED in Manitoba - The Video January 29, 2018
    Community Economic Development in Manitoba - nudging capitalism out of the way?
    Canadian Centre for Policy Alternatives
  • With regional management BC’s iconic forest industry can benefit British Columbians rather than multinational corporations January 17, 2018
    Forests are one of the iconic symbols of British Columbia, and successive governments and companies operating here have largely focussed on the cheap, commodity lumber business that benefits industry. Former provincial forestry minister Bob Williams, who has been involved with the industry for five decades, proposes regional management of this valuable natural resource to benefit […]
    Canadian Centre for Policy Alternatives
  • Community Economic Development in Manitoba - a new film January 16, 2018
    Cinameteque, Jan 23.  7:00 pm - Free event Film Trailer CCEDNET-MB, CCPA-MB, The Manitoba Research Alliance and Rebel Sky Media presents: The Inclusive Economy:  Stories of Community Economic Development in Manitoba
    Canadian Centre for Policy Alternatives
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Parental Leave and Pay Equity

Budget 2018 is being advertised as a truly comprehensive gender budget, with two key pieces of that being use-it-or-lose-it paternity leave, and action on pay equity.

Last year’s gender budget implemented the Liberal campaign promise to extend EI parental leave from a total of 12 months to 18 months, despite the fact that the idea was universally panned by feminists, Canada’s unions, and business groups.

The problem? Other than the fact it doesn’t recognize that the primary issue facing parents of young children is the need for a national childcare system, the plan didn’t increase the total amount of funding, it simply extended the current allotment over a longer period of time. Instead of getting 55% of your average earnings for 35 weeks of parental benefits, you can choose to get 33% for 61 weeks. If you earn more than the maximum insurable earnings threshold of $51,700, the 35 week maximum benefit is $547/week, and the 61 week maximum benefit is $328/week. The main benefit for parents taking the 18 month leave would be the accompanying change in the duration of job-protected leave, and some parents might have collective agreement top-ups that make the 18 month leave more attractive (although that will likely change rather quickly).

On the whole, an excellent example of how not to do gender budgeting.

So what should we be looking for to make sure that this year’s changes to parental leave and pay equity will be meaningful?

Well, for any measure we should be looking for how it will affect differently located women – women with disabilities, racialized women, women in rural areas, women with different levels of income … you get the idea.

For parental leave specifically, it is useful to look at Quebec’s program. Andrea Doucet, Lindsey McKay, and Sophie Mathieu, have found that Quebec’s QPIP does a better job of reaching low income families. There are several features that contribute to this – lower eligibility requirement ($2,000 of income vs. 600 hours of EI eligible employment), dedicated second parent leave, and a higher 70% replacement rate for both the dedicated maternity leave & the dedicated second parent leave, as well as the first seven weeks of parental leave. Any modification of Canada’s parental leave program that only does part of this will likely fall short.

On pay equity, many stakeholders are expecting stand-alone legislation to implement proactive pay equity at the federal level. In the budget, we might see set-asides for what this could be expected to cost the federal government as an employer, as well as funding for independent Pay Equity Commission and Hearings Tribunal, and a commitment to funding to support workers’ and advocacy groups’ access to advice, information, training, and participation in the pay equity process.

Last year I asked how it could be a gender budget without “higher minimum wages, better employment standards enforcement, proactive pay equity legislation, and affordable childcare”. Those are still the questions I’ll be asking this year.

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