"Worst job crisis in a generation" needs job stimulus

Revived manufacturing sector, green jobs, spending locally seen as solutions.

According to the Canadian Centre for Policy Alternatives (CCPA), the federal government needs to step up to the plate in this week's budget and address what they are calling the "worst job crisis in a generation". They propose a six–point plan in the release of their annual Alternative Federal Budget.

"The global recession wiped out 486,000 full-time Canadian jobs within a year and those jobs aren't coming back on their own," said Armine Yalnizyan, CCPA's senior economist. "To make matters worse, 810,000 Employment Insurance (EI) beneficiaries may run out of benefits within the next few months without a job in sight, which would be a disaster."

CCPA lays out six main points in their job stimulus proposal:

1. Protect the Jobless: Reform EI to ensure over a million and a half jobless Canadians don't tumble into poverty or end up on welfare.

2. Sustain Stimulus Spending: Commit $15 billion a year, focused on paying down a huge accumulated deficit in social and physical infrastructure investments.

3. Revive Canada's Manufacturing Base: Invest $5 billion over three years to rejuvenate the industrial base of this country.

4. Create the Green Jobs of Tomorrow Today: Make Canada an environmental leader with a $5 billion plan over three years to green our economy.

5. Get Youth Working: Double summer employment efforts to ensure Canada's youth don't sit another year out on the sidelines.

6. Strengthen Consumer Confidence: Unleash a poverty reduction plan to help boost fledgling consumer confidence and get Canadians spending locally.

"It took seven years to regain the full-time jobs lost in the 1990–91 recession," says Alternative Federal Budget coordinator David Macdonald. "Our plan would bring unemployment back to pre–recession levels by the end of 2011 and demonstrates there is a better way to reach fiscal balance through smart investments and smart taxation."

Links and sources
  Policy Alternatives Alternate Federal Budget 2010 (pdf download)

Posted: March 02, 2010

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