The federal government is to push provinces to give all workers access to 10 days paid sick leave but CFIB says this should not become permanent
With many Canadian businesses desperately struggling for survival, there is concern that the prime minister’s latest pledge will exacerbate their cost burden.
Justin Trudeau pledged Monday to urge provinces to ensure that all workers who need it can access ten days of paid sick leave each year.
It followed backing from NDP leader Jagmeet Singh for the Liberal’s plan for the rest of the summer session of parliament in return for pursuing a better sick leave policy for workers.
The issue had originally been raised by BC premier John Horgan who said that workers should not feel compelled to go into work if they have COVID-19 symptoms, especially when seasonal flu season begins in the fall.
But Dan Kelly, president of the Canadian Federation of Independent Business is concerned that the cost of coronavirus measures will be too much for many small businesses. Especially for longer-term commitments.
“While CFIB recognizes and supports the need for many special measures to respond to the unprecedented COVID-19 pandemic, including paid sick time, there are serious concerns that need to be fully considered prior to any introduction of permanent paid sick time provisions,” said Kelly.
He added that there are unanswered questions including who will cover the costs of paid sick leave and how to ensure it is used appropriately.
Increasing costs
CFIB is concerned that small businesses are already facing increased costs from the coronavirus response including rising Employment Insurance premiums as unemployment increases as CERB benefits end.
“This, together with the current plans for several additional years of CPP/QPP premium increases, means payroll taxes will be rising rapidly at a time of high unemployment. Small business owners just cannot be expected to take on any additional costs at this time,” said Kelly.
CFIB is calling on the federal and provincial governments to hold back from making sick leave and other policies permanent until normal times return and allow a debate on both the intended and unintended consequences.
