EI rate cut: Ottawa skipped internal study in favour of interest group report

One sometimes wonder how Minister’s can say such things with a straight face, or whether they have any appreciation for more comprehensive analysis of policy options.

It is one thing to make a policy choice where political and other priorities play a role, but relying on the analysis of one interest group without a more independent assessment (that’s the public service role) is irresponsible.

No policy change should be done without such analysis. Abdication of Ministerial role.

And of course, the Government would not implement a policy suggestion from those on the left without conducting serious analysis:

Joe Oliver told the parliamentary finance committee that Ottawas decision to introduce the measure was based on the research of the Canadian Federation of Independent Business.

“The department does not analyze every measure that we introduce,” Oliver told the hearing as he responded to a question.

“If we don’t do it, we look to those who have expertise and we did in this case to the Canadian Federation of Independent Business.”

The Canadian Federation of Independent Business estimated the credit would generate 25,000 person-years of employment over the next several years.

A job that employs a worker for one year amounts to one “person-year.”

But Canada’s parliamentary budget office has argued the credit will create only 800 net new jobs in 2015-16, while a freeze in employment insurance premiums could cost the economy 10,000 jobs over the same period.

The budget watchdogs study said that overall, the credit would create about 1,000 “person-years” of employment with a price tag of $555,000 for each person-year.

EI rate cut: Ottawa skipped internal study in favour of interest group report – Politics – CBC News.