Two-year EI review needed to buy time for needed tech upgrades, Qualtrough says

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Canada's employment minister says a budgetary pledge for funding to study changes to the employment insurance system reflects realities that improvements to the safety net can't happen overnight.

The federal budget proposed $648 million over seven years to fund a long-term technological upgrade to the EI system, the oldest portions of which rely on programming language from the 1960s.The timeline was disappointing to some who wanted a more immediate change to the decades-old system, but reflected the reality of how officials realized more time was required.

"We can't do everything at once," she said in an interview, adding it's not as simple as snapping her fingers to create a "utopian EI system."The government has spent years trying to figure out how to adapt the EI program to modern realities with a rapid growth in the gig economy. There were about 1.7 million gig workers in 2016, a 70 per cent jump from a decade earlier, according to Statistics Canada.

The drop of three million jobs last March and April threatened to overwhelm the EI system so much so that the government put it on hiatus and put unemployed Canadians onto a pandemic-aid program, the Canada Emergency Response Benefit. She added consultations will focus on areas of disagreement between employers and worker groups, such as how to calculate premiums and benefits for gig workers, in addition to policy concerns about determining when someone needs aid, given that the nature of gig employment includes ups and downs.

She is set to meet with her provincial and territorial counterparts to talk about the rise in platform work among other issues facing the labour force.

 

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