Wall Strikes Out on Fiscal Federalism

Saskatchewan’s Brad Wall recently issued a statement exhorting his fellow Premiers to blaze largely unspecified new trails on healthcare, Employment Insurance and Equalization. Unfortunately, he misses the ball on all three issues. Greg Fingas and Verda Petry have already refuted Wall’s call for further healthcare privatization. On Employment Insurance, Wall implies that eastern Canadians are collecting excessive benefits funded by […]

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EI Benefits Decline Amid Rising Unemployment

Today, Statistics Canada reported that the number of Canadians receiving Employment Insurance (EI) benefits fell for a third consecutive month in November. This decline would be good news if it reflected an improving labour market. Unfortunately, unemployment has also increased for three consecutive months. The trend is a dwindling number of beneficiaries among a growing pool of jobless workers. An […]

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The “Job Seekers Allowance”

Michael Mendelson has posted a long comment on my earlier post regarding the Mowat Report on EI. He defends Caledon’s proposal for temporary non EI income support for the unemployed as a clear improvement over welfare , and stresses that it is not intended to undermine EI as a social insurance program. I read the Caledon paper – there is […]

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Social Insurance Benefits Increase!

Amidst the plethora of media reports on “payroll tax” increases for 2012, there was little mention of increases in benefits.  For example, the Toronto Sun,cued by the Canadian Taxpayers Federation, reported: If you feel a hand grabbing at your wallet next week, calling the cops won’t do any good because it’s the federal government picking your pocket. It’s that time […]

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EI Coverage Falls Below 40%

It may be a grim Christmas for thousands of unemployed Canadians. Today’s Employment Insurance figures show that fewer workers received benefits in October, even as more became unemployed and filed EI claims. Specifically, the number of people receiving regular benefits declined from 546,580 in September to 541,230 in October. The Labour Force Survey indicates that unemployment rose from 1,334,200 in September […]

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The Mowat Centre and Employment Insurance

The Mowat Centre final report on Employment Insurance (EI) released today has won a fair bit of media attention, and will serve to deepen the national debate over Canada’s most important income security program for working age adults and families. The Task Force has commissioned and published a number of important research studies which improve our understanding of the way […]

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Who Holds the Family Purse-Strings?

Statscan have released an interesting paper, “The Income Management Strategies of Older Couples in Canada.” It looks at who controls the family finances in couples with one partner aged 45 and over. (They used the age cut off because a special question was added to the General Social Survey which is restricted to that age group.) This is important because […]

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The Case Against Wage Insurance

 At the CEA meetings I participated on a panel organized by IRPP to discuss a recent paper  – by Finnie and Gray – on older laid-off workers and the policy option of “wage insurance.”  The paper shows that older laid off workers leaving stable jobs and finding new employment typically experience significant declines in earnings – in the range of […]

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The Small Change EI Premium Rebate

Prime Minister Harper today re-announced the 2011 Budget proposal to introduce a one year program to reduce EI employer premiums by up to $1,000 for small businesses which expand employment in 2011 compared to 2010. I would characterise this as more of a token gift to the Canadian Federation of  Independent Business than a serious job creation measure. The credit […]

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Another EI Absurdity

Well under one half of Canada’s 1.5 million unemployed workers are collecting EI benefits today, even though the national unemployment rate is still almost 8%. Special EI measures introduced as part of the 2009 Budget, notably an extra 5 weeks of benefits for all claimants,  expired this fall, long before a real labour market recovery has taken place. The additional […]

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The Travails of Toronto

TD Economics have released an interesting if rather thin report on the Toronto recovery. I say thin because, while there is not a wealth of current data, we do get labour market data for the huge Toronto Census Metropolitan Area. As they show, there has been a huge loss of manufacturing jobs in the region, offset to a degree by […]

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Economy Lab at the Globe and Mail

Here’s my take on Canada’s jobs recovery, written for the Economy Lab. The Economy Lab is a new on-line feature of the on-line business section of the Globe and Mail, part the newspaper’s extensive print and electronic make-over launched on October 1. Editor Rob Gilroy has made it a lively spot. The Daily Mix is full of links to interesting […]

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Iggy’s EI Reversal

In case progressives needed another reason to distrust Michael Ignatieff, he just pulled the rug out from under Employment Insurance improvements: Michael Ignatieff is reversing his support for a wide range of enhancements to Employment Insurance (EI) benefits, saying they are too expensive and are no longer required. The Liberal Leader attempted to provoke a federal election around this time […]

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EI Running Out

The fact that 31,400 fewer Canadians received regular Employment Insurance (EI) benefits in July would be good news if it reflected an improved job market. But the Labour Force Survey indicates that, in July, employment decreased by 9,300 and unemployment increased by 17,900. These figures suggest that thousands of unemployed workers are running out of EI benefits without finding jobs. […]

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Jobs Report Worse Than It Appears

Total employment reportedly increased by 36,000 in August. This increase was entirely driven by 68,400 more jobs in educational services, which simply offset a decline of 65,300 in July. In other words, the educators that Statistics Canada counted as being “unemployed” in midsummer are now “employed.” So, today’s Labour Force Survey confirms that July’s release was less bad than it […]

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EI Premiums Come Full Circle

For reasons that escape me, the Globe ran a headline front page story today on what all fiscal policy and Employment Insurance wonks have known to be true for some time. Under current legislation, and as announced in the 2009 Budget, the EI premium rate set by a supposedly autonomous but tightly constrained new body will rise by 15 cents […]

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Employment Insurance and the Recovery

While the Canadian economy has begun to recover from the “Great Recession” in terms of the level of GDP and overall job growth, unemployment and under-employment still remain well above pre-recession levels. The national unemployment rate in June 2010 was 7.9%, well up from 6.0% two years earlier. The number of unemployed workers was, at 1,475,000, still more than 300,000 […]

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More Unemployment = More EI

For the first time in eight months, the number of Employment Insurance (EI) recipients increased in May. We already knew from the Labour Force Survey that unemployment had increased by just over 8,000 in May. It is good news that EI expanded by the same amount because it implies that those who became unemployed that month received benefits. However, it […]

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EI: Is No News Good News?

Today’s Employment Insurance (EI) figures for April indicate essentially no change in the number of Canadians receiving benefits or in the number filing claims. To put these flat EI numbers in context, April was the strongest month yet of labour-market recovery. Indeed, it saw the largest percentage increase in employment since August 2002. In one sense, today’s numbers confirm what […]

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EI: The Decline Resumes

Statistics Canada reports that, after February’s pause, Employment Insurance (EI) resumed its contraction in March. Specifically, 24,200 fewer Canadians received regular EI benefits. The key question is whether these unemployed workers found jobs or simply ran out of benefits. The Labour Force Survey indicated that employment rose by 17,900 in March. Therefore, it seems unlikely that everyone leaving EI found […]

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Employment Insurance and Toronto

Erin has blogged before on variable EI coverage of the unemployed at the city level  http://www.progressive-economics.ca/2009/09/28/employment-insurance-benefits-by-city/ and I have been aware for some time that  coverage is relatively low in the giant Toronto CMA. Nonetheless, I was taken aback to find out that, in the most recent month for which we have EI and Labour Force Survey data (February, 2010), […]

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Stingy EI Benefits

This morning, Statistics Canada released Employment Insurance (EI) figures for February. These figures show slightly more recipients nationally, but somewhat fewer recipients among provinces. Statistics Canada confirms that this apparent discrepancy reflects the fact that each province is seasonally adjusted separately from the national total. When seasonal adjustment is tipping the balance between an increase and a decrease, one must […]

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Incredible Shrinking EI Benefits

The number of Canadians receiving regular Employment Insurance (EI) benefits dropped by 47,700 in January, the largest monthly decline in years. As usual, the key unanswered question is whether these workers are no longer on EI because they found jobs or simply ran out of benefits. The Labour Force Survey indicates that employment rose by 43,000 in January, so it […]

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EI Runs Out

The number of Canadians receiving Employment Insurance (EI) benefits plummeted in December. The drop of 40,100 was the largest monthly decrease in years. One would anticipate some decline in the number of EI recipients as the job market begins to recover. But the magnitude of December’s decline suggests that, in addition to those former recipients who found work, many more simply […]

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Exhausting EI, Again

The content in the EI report by myself and Sylvain Schetagne which was released by the CCPA yesterday won’t be new to readers of this blog – an updating of trends in unemployment and EI use to show that tens of thousands of workers who lost their jobs early in the Great Recession are and will soon be exhausting benefits […]

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EI: Fewer Recipients, More Claims

The number of Canadians receiving regular Employment Insurance (EI) benefits declined by 7,300 in November. As always, we do not know whether these workers found jobs or simply ran out of benefits. The Labour Force Survey indicated higher employment and slightly lower unemployment that month, which supports a positive interpretation. Following these declines in recipients and in unemployment, the proportion […]

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