NEWS RELEASE  

June 1, 1994  For Immediate Release 

BREITKREUZ COMPARES UI REFORMS TO A THREE-LEGGED HORSE  

Garry Breitkreuz, MP for Yorkton-Melville told the House of Commons that the Government's changes to the Unemployment Insurance Act in Bill C-17 looked good at first glance but were like a horse with three legs, he just couldn't buy it. 

Breitkreuz challenged the government to quit tinkering with the system and make the real changes that all Canadians are asking for. "If we are truly going to reform the system then we have to start with two fundamental questions: (1) Why is the government in the business of unemployment insurance?, and, (2) Why is Unemployment Insurance compulsory?," asked Breitkreuz. 

Breitkreuz did not feel the government was qualified to answer these important questions and further challenged all Members of Parliament to ask their constituents to answer fifteen tough questions about the future of unemployment insurance and income security programs in Canada. 

Breitkreuz proposed asking Canadians, "Do taxpayers think the UI program should be administer by the workers and the employers who pay the premiums? If workers had a choice would they ask the government to administer the UI program for them? Would workers get a better return on their investment if they invested their $8.3 billion in UI premiums privately rather than in the unemployment insurance program? Would unions not be able to provide unemployment insurance for their members if the workers chose to contribute to their own UI program administered by the union and the employer? How many jobs would be created if employers were allowed to invest the $11.7 billion in UI premiums back into their own companies for: training programs, R&D, market and export development, capital improvements and expansion, etc?" 

Breitkreuz had this to say about job creation, "On February 23rd, the Minister of Human Resources Development said in this House that reducing UI premiums will create 40,000 new jobs in Canada. The Canadian Labour Congress, in a brief to the Standing Committee on Human Resources Development stated, [quote] If 7 cents off UI premiums results in 40,000 jobs created, then reducing UI premiums by $2.80 would create 1.6 million jobs and we will have arrived at full employment. [unquote] Now that's what we call a real job creation program. 

"To be fair, the CLC were skeptical that reduced premiums would create jobs, but Reformers are not. Reformers believe a dollar left in the hands of workers and employers to invest is worth five dollars put in the hands of government to redistribute," commented Breitkreuz. 

He summarized saying, "For years now, the polls show us that, in many cases, our government is doing the exact opposite of what the majority of Canadians want. Whether it be on capital punishment, going easy on criminals, failing to cut government spending or on reform of unemployment insurance. Its time to not only listen to the people, but its time to act on what grassroots Canadians are telling us." 

Breitkreuz challenged MPs to ask their constituents what they think and to represent their wishes in the House and put their wishes ahead of party policy. "Reformers trust the people to make the right choices for this country. Reformers believe that democracy is not something we practice once every four or five years in the voting booth. Reformers believe that democracy is something that has to be worked at each and every day we serve our constituents as Members of Parliament," concluded Breitkreuz. 

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