UNEMPLOYMENT INSURANCE TASK FORCE

particular needs of specific segments of the population. These benefits have considerably increased the welfare component of the UI program by: ●allowing for antiselection (control) over the benefits (e.g., in the case of payments to people employed in seasonal industries); ●extending benefits to events that are not insurable contingencies such as benefits paid in the case of adoption, maternity, and parental benefits; and ●providing easier and greater benefits to claimants in high unemployment regions, and exempting certain claimants from job search requirements if they fall under job training, work sharing, or training.

As shown in Tables 6 and 7, other changes to the UI Act and to administrative policies have modified the insurance/welfare component of the UI program: TABLE 6 STRENGTHENING OF THE INSURANCE PRINCIPLES 1977Introduction of a 10- to 14-week entrance requirement in replacement of a flat 10-week requirement 1979Increased entrance requirement for repeaters, new entrants and reentrants 1985All earnings on separation (including severance and vacation pay) counted for UI benefit purposes 1986Retirement pensions deducted from UI benefits 1990Increased entrance requirement to 10-20 weeks instead of 10-14 weeks 1990Disqualification period for voluntarily quitting, misconduct, or job refusal raised to 7-12 weeks with a benefit rate of 50% 1993Complete disqualification from benefits for voluntary quitting, misconduct, or job refusal 1994Increased entrance requirements to 12-20 weeks and more emphasis on longer term work attachment to determine total benefit entitlement 1994Reduction in maximum benefit periods, especially in high unemployment regions TABLE 7 STRENGTHENING OF THE WELFARE COMPONENT 1976Spouses of fishermen become eligible for benefits 1977Severance pay disregarded for UI benefit 1977Claimants referred to training courses granted UI benefits 1979Introduction of the 30% benefit-repayment provision 1982Vacation pay disregarded for UI benefit purposes 1987Maternity/paternity/adoption benefit period extended to one year if child is hospitalized 1990Expansion of maternity/parental/adoption benefit period from 15 weeks to 25 weeks 1994Two-tier structure: 60% for claimants with low insured earnings and with dependents, and 55% for all other claimants C)Breakdown of Benefits The breakdown of annual costs of the different programs is shown in Table 8: TABLE 8 SCHEDULE OF BENEFITS