Unemployment Insurance Changes
June 10th, 2009
Over the past few weeks, Opposition MPs have been demanding changes to unemployment insurance. In short, they want a single national standard which permits unemployment benefits after only 360 hours of work (which works out to 45, eight-hour days.)
Now some people, who should know better, have endorsed the idea of a single national standard, saying that the proposed changes would be good for Saskatchewan. The proposed changes in EI would be bad for Saskatchewan and here’s why.
Saskatchewan historically has a low unemployment rate (about 5%). Saskatchewan workers who do receive unemployment insurance generally are not short-term seasonal workers who have problems getting enough hours to qualify for benefits.
If the federal government changes EI by decreasing the hours needed to qualify, expenditures in the program will rise. Saskatchewan however, (because of the above noted characteristics) will receive almost no benefits. Saskatchewan will be affected in one other way.
If benefits for EI rise, rates charged for EI will also rise. This will mean that Saskatchewan, with its high employment rates, will pay a disproportionate share of the rate hike. We (particularly low income workers) will get stuck paying the bill for benefits that we won’t receive.
There are other negatives in changing the EI system: higher taxes on business and an increased difficulty in recruiting workers to Saskatchewan. There are other reasons why the government is not changing the EI system, as demanded by the Opposition. So, the next time you hear someone saying that Saskatchewan would be better off if standards for EI were lowered, ask them if they’ve thought their position through. There is a good chance they haven’t.
I’m Brad Trost your Member of Parliament in Saskatoon-Humboldt. You can call my office in Saskatoon at 975-6133 or drop by our two offices to visit: Saskatoon Monday-Friday or Humboldt Tuesday and Wednesday. I always appreciate your feedback.

