Thursday, May 29, 2008

Layton: $54B EI surplus is 'biggest theft in Canadian history'

Although federal Conservatives announced that all future EI dollars raised would stay in the EI fund, the government has no intentions of giving past surpluses back to workers. Recently, NDP Leader Jack Layton expressed his displeasure to the Canadian Labour Congress.

A clause in the budget implementation bill, currently before the finance committee, states future governments won't have to repay the money, Layton said.

Liberal and Conservative committee members voted to debate the clause for just five minutes, he added.

EI was created to help unemployed workers, but current and previous governments have treated the fund like free money, Layton said.

"This is $54 billion that belonged, and still does belong to, the working people of Canada," he said before hundreds of union representatives. "It was contributed by them and for them and it is being stolen.

"It is the biggest theft in Canadian history."

The NDP is doing everything it can to delay the bill's passing, Layton said.

In question period earlier this month, the NDP leader raised the issue with Prime Minister Stephen Harper.

Harper rejected Layton's claims the government is stealing money from workers, and he blamed previous Liberal governments for the misuse of EI funds.

The Conservative government has improved the management of employment insurance as well as established a $2-billion surplus for the fund, Harper said at the time.

The $54 billion from the EI fund has already been spent, and the Conservatives want to ensure the practice is not repeated in the future, the prime minister said.


nbt said...

Although federal Conservatives announced that all future EI dollars raised would stay in the EI fund,[...]

Even though the government says the surplus will remain in the EI fund, there is still no legislation that prevents them from using it as a general revenue, is there? I was under the impression that this was the proposed crown corporations handle and manage EI surpluses that accumulate.

Ontario Works said...

"It is the biggest theft in Canadian history."

Here is the biggest theft in Ontario history


The general public has no idea what the system is really like. They think fraud is ramped in Ontario Works and ODSP. Here is something to think about and it is just the tip of the iceberg according to our research.
The provincial government says welfare fraud is around 2%.
Who is really committing the fraud around here?
The federal government says income tax fraud is 13%

Ontario Works staff charged in $1.3million Fraud
By Sarah Elizabeth Brown Tuesday March 4,2008
Chronicle Journal

Fraud Charges laid against a number of Ontario Works, Staff

Budget cuts allow more Ontario Works staff fraud.

Government ODSP worker charged in $585,000 fraud case.
By Staff Wednesday, November 14, 2007

93.7 million dollars in corporate welfare
Linda Leatherdale March 7,2008
Premier Dalton McGuity is handing over a 9.7 million dollar corporate welfare cheque to Kellogg. Kellogg’s profit was $1 billion. Also Ford got a $55 million cheque and is now cutting shifts, while GM got $29million and is also cutting shifts.

$150 million called corporate welfare for a profitable industry.
Rob Ferguson January 10, 2008
Queens Park Bureau
The Ontario Government has earmarked $150 million to encourage pharmaceutical companies to do more drug research and manufacturing in the province.

Ontario government coughs up about $940 million a year on grants like this one.
Health Canada has been advised that Tic Tacs are being voluntarily recalled. Premier McGuinty should demand taxpayers get back the $5.5 million the government gave to this corporate welfare failure.


Hamilton’s, Ontario Works Staff Fraud

An internal audit in Hamilton, Ontario showed that Ontario Works staff were taking the city’s credit card out and enjoying a nice lunch privately.

The same audit showed that the Ontario Works workers had access to the main computer that issues their clients checks
In a different Audit city staff admit missing cheque signatures.

The system allows the data center staff to renumber the cheque printing sequences. The lack of an independent review allows for an opportunity by staff to manipulate the controls and misappropriate any number of cheques.

The operating keys are left in the cheque signing machines and the password to operate the cheque signer is openly displayed in an internal policy document.

The risk arises out of unauthorized manipulation of cheques by staff, clients or others. It assumes significance in the absence of regular bank reconciliations.

Isn’t that a recipe for disaster?

Ron Payne
Welfare Legal
Hamilton, Ontario

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