Canada's Welfare State

Decent Essays

Analyzing Canada’s Welfare State One of the most important things in our lives today is Canada’s welfare state, as it transformed Canada’s economy after the economy’s downturn from the Great Depression. The democratic system was formed to maintain prosperity, solidity and security in our everyday lives. One of the key pillars of the nation’s welfare state is employment insurance (EI). Through this analysis of Canada’s employment insurance, I will elucidate why I believe that this program should continue, but with refinements, as it has benefited a large portion of unemployed Canadians over the years and should continue doing so to fulfill the countries goals of the welfare state. The Government of Canada runs employment insurance, which …show more content…

1, from 2010 to 2014, the number of people who receive employment insurance beneficiaries has been in decline, falling from around 700 thousand people to as low as almost 500 thousand, which corresponds to the decline in unemployment rate in fig. 2. However, the rate of EI beneficiaries is decreasing more intensely than the unemployment rates, which suggests that there are more unemployed workers who don’t receive EI as each year passes. Moreover, the EI beneficiaries have been slowly increasing for the past year, which can possibly be due to the higher unemployment rates from recent oil prices dropping in Alberta and other outside …show more content…

3. "Unemployed? Good Luck Getting EI as Eligibility Hits All-time Low | Press Progress." Press Progress. N.p., n.d. Web. 21 Feb. 2016. . In 2012, the government paid out almost $160 million in fake EI claims, which increased 25% from the previous year. In addition to the misuse of EI, the government offers more benefits each year. (See fig. 4) Fig. 3 "Current Publications: Employment and Labour." : The Employment Insurance Program in Canada: How It Works. N.p., n.d. Web. 21 Feb. 2016. From the table, it is clear that the insurable earnings each year has increased over the past years, which may seem like an advantage. Although the earnings are increasing, the workers who receive the benefits are not always the ones that need it. This is because Canada’s EI eligibility for each location is not treated equally. For example, the workers in seasonal industries, mainly in Atlantic Canada, Quebec, and other rural areas generally qualify for EI. On the other hand, most workers in Ontario will not qualify for EI, regardless of losing their jobs (See fig. 4). Fig. 4 "Alberta Men Have Higher Unemployment than Canadian Average for the First Time since

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