Not all UBI proposals are created equal. The Canadian government's proposal is just flat-out retarded. When you're giving people $400/week, that's $20,800/year, you can't do this 50% clawback shit. The clawback should be 100% when the benefit is THAT large.
I know the common retort will be that people will not have any incentive to work if their EI gets clawed back at 100%. But the thing is: EI is not permanent. EI is temporary. The EI will run out after 26 weeks. In Ontario the unemployment rate is 12.3% and you have to compete with a bunch of other people for a dwindling number of jobs. If you just sit on your ass collecting EI for 26 weeks without looking for a job, there may not be a job waiting for you after your EI is over. So yes you bet there ass that there is an incentive to work even if you get $400/week EI with 100% clawback. You don't want to end up joining the growing segment of chronically unemployed in Canada.
The 50% shit makes more sense when we're talking about the benefits of basic income vs. means-tested welfare. Means-tested welfare often makes people scared of taking a job because if they get fired or have their hours cut soon after taking a job, they have no safety net to fall back onto. And with smaller amounts. A $400/week UBI with a 50% clawback would be insane. It would mean that you would receive at least some money from the government until you make $800/week. And wouldn't pay a dime of tax until $800/week. You'd have to raise taxes on the rich or money printer go brrrtt to pull this off. Because you can bet your ass the middle class wont pay those taxes. And they shouldn't have to.
If you don't want to do 100% clawback with gig workers, make the EI benefit for gig workers $230.77/week with 50% clawback on market income. Once a gig worker makes $24,000/year market income, they no longer qualify for EI with this system.
Not all UBI proposals are created equal. The Canadian government's proposal is just flat-out retarded. When you're giving people $400/week, that's $20,800/year, you can't do this 50% clawback shit. The clawback should be 100% when the benefit is THAT large.
I know the common retort will be that people will not have any incentive to work if their EI gets clawed back at 100%. But the thing is: EI is not permanent. EI is temporary. The EI will run out after 26 weeks. In Ontario the unemployment rate is 12.3% and you have to compete with a bunch of other people for a dwindling number of jobs. If you just sit on your ass collecting EI for 26 weeks without looking for a job, there may not be a job waiting for you after your EI is over. So yes you bet there ass that there is an incentive to work even if you get $400/week EI with 100% clawback. You don't want to end up joining the growing segment of chronically unemployed in Canada.
The 50% shit makes more sense when we're talking about the benefits of basic income vs. means-tested welfare. Means-tested welfare often makes people scared of taking a job because if they get fired or have their hours cut soon after taking a job, they have no safety net to fall back onto. And with smaller amounts. A $400/week UBI with a 50% clawback would be insane. It would mean that you would receive at least some money from the government until you make $800/week. And wouldn't pay a dime of tax until $800/week. You'd have to raise taxes on the rich or money printer go brrrtt to pull this off. Because you can bet your ass the middle class wont pay those taxes. And they shouldn't have to.
If you don't want to do 100% clawback with gig workers, make the EI benefit for gig workers $230.77/week with 50% clawback on market income. Once a gig worker makes $24,000/year market income, they no longer qualify for EI with this system.
Oh yeah that's right, I am going to login to my CRA account to make sure it wasn't hacked. lmao. Holy shit.