Skip to content

The Monitor Progressive news, views and ideas

EI Lags Unemployment

July 19, 2012

0-minute read

Today, Statistics Canada reported that 3,400 more Canadians received Employment Insurance (EI) benefits in May. It previously reported that unemployment rose by 8,000 that month. In other words, even more workers are now unemployed without EI benefits.

In total, just 37% of unemployed Canadians received benefits in May (i.e. 512,600 out of 1,378,600). This proportion was as low as 26% in Ontario (i.e. 148,200 out of 570,200) and 23% in Alberta (i.e. 24,000 out of 102,200).

The federal government threatens to further reduce EI coverage by making it more difficult for unemployed Canadians to receive benefits. These new restrictions were announced as part of the omnibus budget bill in May, but not yet implemented.

Erin Weir is an economist with the United Steelworkers union and a CCPA research associate.

Topics addressed in this article

Related Articles

Canada’s fight against inflation: Bank of Canada could induce a recession

History tells us that the Bank of Canada has a 0% success rate in fighting inflation by quickly raising interest rates. If a pilot told me that they’d only ever attempted a particular landing three times in the past 60 years with a 0% success rate, that’s not a plane I’d want to be on. Unfortunately, that looks likes the plane all Canadians are on now.

Non-viable businesses need an"off-ramp"

Throughout the pandemic, many small- and medium-sized businesses have weathered the storm, thanks to federal government help. In his deputation to Canada's federal Industry Committee, David Macdonald says it's time to give those businesses an "off-ramp".

Truth bomb: Corporate sector winning the economic recovery lottery; workers falling behind

This isn’t a workers’ wage-led recovery; in fact, inflation is eating into workers’ wages, diminishing their ability to recover from the pandemic recession. Corporate profits are capturing more economic growth than in any previous recession recovery period over the past 50 years.