10 days of paid sick leave 'makes sense': CIBC's Tal on Ottawa's policy response
The federal government’s push to secure paid sick leave for workers will raise the cost of doing business, according to one prominent economist, but the move is “something that we need.”
“The prime minister makes sense when he’s talking about 10 days, or whatever the number is here, because this is something that we need,” CIBC World Markets Inc. Deputy Chief Economist Benjamin Tal told BNN Bloomberg on Monday.
“But it will raise the cost of doing business. No question about it.”
Prime Minister Justin Trudeau said Monday that he will push provincial leaders to guarantee 10 days of paid sick leave per year to workers to help ensure the health and safety of Canadian workplaces amid the COVID-19 pandemic.
Tal added that the move will have both positive and negative ripple effects, possibly leading to “productivity enhancement” but also potentially to a higher unemployment rate with rising hiring costs.
He said the move to keep sick employees from the workplace is in the best interest of most employees.
“This crisis revealed the vulnerability of Canadian labour, and this is going to change – not only in Canada, but everywhere else – and this is part of this trend,” Tal said.
“Clearly, it will be much more expensive, but, at the same time, everybody agrees (that) if you are sick, nobody wants you to go to work.”