Various premiers have warned that the private sector has struggled to rehire some workers due to the hard eligibility cut\u002Doffs under the program
A recent survey by the Canadian Federation of Independent Business, which represents 110,000 small and medium-sized businesses, found that 27 per cent of respondents had encountered workers who “refused to return to work when recalled.” Of those who refused to return, 62 per cent cited a preference to stay on the CERB program, according to the July 16 survey.
Observers are widely in agreement that the CERB program was required as a temporary holdover after the economy was locked down earlier this year. But some now say it has surpassed its initial intention and increasingly needs to be phased into a “scaling” structure. In a research note last week, BMO economists said a prolonged CERB was a “key risk” to Canada’s economic recovery. The C.D. Howe Institute, a think-take, had been arguing as early as April that Ottawa would have to begin planning ahead on the program, and consider ways to gradually wind down or otherwise adjust it. Conservative finance critic Pierre Poilievre has claimed CERB is having a “tranquillizer” effect on workers.
“I think it’s common sense and long overdue that we remove these impediments to people going back and taking another shift,” he said in a press conference last week.
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