Economic Action Plan 2013 Act No. 2

A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures

This bill was last introduced in the 41st Parliament, 2nd Session, which ended in August 2015.

Sponsor

Jim Flaherty  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

Part 1 implements certain income tax measures proposed in the March 21, 2013 budget. Most notably, it
(a) increases the lifetime capital gains exemption to $800,000 and indexes the new limit to inflation;
(b) streamlines the process for pension plan administrators to refund a contribution made to a Registered Pension Plan as a result of a reasonable error;
(c) extends the reassessment period for reportable tax avoidance transactions and tax shelters when information returns are not filed properly and on time;
(d) phases out the federal Labour-Sponsored Venture Capital Corporations tax credit;
(e) ensures that derivative transactions cannot be used to convert fully taxable ordinary income into capital gains taxed at a lower rate;
(f) ensures that the tax consequences of disposing of a property cannot be avoided by entering into transactions that are economically equivalent to a disposition of the property;
(g) ensures that the tax attributes of trusts cannot be inappropriately transferred among arm’s length persons;
(h) responds to the Sommerer decision to restore the intended tax treatment with respect to non-resident trusts;
(i) expands eligibility for the accelerated capital cost allowance for clean energy generation equipment to include a broader range of biogas production equipment and equipment used to treat gases from waste;
(j) imposes a penalty in instances where information on tax preparers and billing arrangements is missing, incomplete or inaccurate on Scientific Research and Experimental Development tax incentive program claim forms;
(k) phases out the accelerated capital cost allowance for capital assets used in new mines and certain mine expansions, and reduces the deduction rate for pre-production mine development expenses;
(l) adjusts the five-year phase-out of the additional deduction for credit unions;
(m) eliminates unintended tax benefits in respect of two types of leveraged life insurance arrangements;
(n) clarifies the restricted farm loss rules and increases the restricted farm loss deduction limit;
(o) enhances corporate anti-loss trading rules to address planning that avoids those rules;
(p) extends, in certain circumstances, the reassessment period for taxpayers who have failed to correctly report income from a specified foreign property on their annual income tax return;
(q) extends the application of Canada’s thin capitalization rules to Canadian resident trusts and non-resident entities; and
(r) introduces new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion.
Part 1 also implements other selected income tax measures. Most notably, it
(a) implements measures announced on July 25, 2012, including measures that
(i) relate to the taxation of specified investment flow-through entities, real estate investment trusts and publicly-traded corporations, and
(ii) respond to the Lewin decision;
(b) implements measures announced on December 21, 2012, including measures that relate to
(i) the computation of adjusted taxable income for the purposes of the alternative minimum tax,
(ii) the prohibited investment and advantage rules for registered plans, and
(iii) the corporate reorganization rules; and
(c) clarifies that information may be provided to the Department of Employment and Social Development for a program for temporary foreign workers.
Part 2 implements certain goods and services tax and harmonized sales tax (GST/HST) measures proposed in the March 21, 2013 budget by
(a) introducing new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion; and
(b) clarifying that the GST/HST provision, exempting supplies by a public sector body (PSB) of a property or a service if all or substantially all of the supplies of the property or service by the PSB are made for free, does not apply to supplies of paid parking.
Part 3 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 3 amends the Employment Insurance Act to extend and expand a temporary measure to refund a portion of employer premiums for small businesses. It also amends that Act to modify the Employment Insurance premium rate-setting mechanism, including setting the 2015 and 2016 rates and requiring that the rate be set on a seven-year break-even basis by the Canada Employment Insurance Commission beginning with the 2017 rate. The Division repeals the Canada Employment Insurance Financing Board Act and related provisions of other Acts. Lastly, it makes technical amendments to the Employment Insurance (Fishing) Regulations.
Division 2 of Part 3 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act to remove the prohibition against federal and provincial Crown agents and federal and provincial government employees being directors of a federally regulated financial institution. It also amends the Office of the Superintendent of Financial Institutions Act and the Financial Consumer Agency of Canada Act to remove the obligation of certain persons to give the Minister of Finance notice of their intent to borrow money from a federally regulated financial institution or from a corporation that has deposit insurance under the Canada Deposit Insurance Corporation Act.
Division 3 of Part 3 amends the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Cooperative Credit Associations Act to clarify the rules for certain indirect acquisitions of foreign financial institutions.
Division 4 of Part 3 amends the Criminal Code to update the definition “passport” in subsection 57(5) and also amends the Department of Foreign Affairs, Trade and Development Act to update the reference to the Minister in paragraph 11(1)(a).
Division 5 of Part 3 amends the Canada Labour Code to amend the definition of “danger” in subsection 122(1), to modify the refusal to work process, to remove all references to health and safety officers and to confer on the Minister of Labour their powers, duties and functions. It also makes consequential amendments to the National Energy Board Act, the Hazardous Materials Information Review Act and the Non-smokers’ Health Act.
Division 6 of Part 3 amends the Department of Human Resources and Skills Development Act to change the name of the Department to the Department of Employment and Social Development and to reflect that name change in the title of that Act and of its responsible Minister. In addition, the Division amends Part 6 of that Act to extend that Minister’s powers with respect to certain Acts, programs and activities and to allow the Minister of Labour to administer or enforce electronically the Canada Labour Code. The Division also adds the title of a Minister to the Salaries Act. Finally, it makes consequential amendments to several other Acts to reflect the name change.
Division 7 of Part 3 authorizes Her Majesty in right of Canada to hold, dispose of or otherwise deal with the Dominion Coal Blocks in any manner.
Division 8 of Part 3 authorizes the amalgamation of four Crown corporations that own or operate international bridges and gives the resulting amalgamated corporation certain powers. It also makes consequential amendments and repeals certain Acts.
Division 9 of Part 3 amends the Financial Administration Act to provide that agent corporations designated by the Minister of Finance may, subject to any terms and conditions of the designation, pledge any securities or cash that they hold, or give deposits, as security for the payment or performance of obligations arising out of derivatives that they enter into or guarantee for the management of financial risks.
Division 10 of Part 3 amends the National Research Council Act to reduce the number of members of the National Research Council of Canada and to create the position of Chairperson of the Council.
Division 11 of Part 3 amends the Veterans Review and Appeal Board Act to reduce the permanent number of members of the Veterans Review and Appeal Board.
Division 12 of Part 3 amends the Canada Pension Plan Investment Board Act to allow for the appointment of up to three directors who are not residents of Canada.
Division 13 of Part 3 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to extend to the whole Act the protection for communications that are subject to solicitor-client privilege and to provide that information disclosed by the Financial Transactions and Reports Analysis Centre of Canada under subsection 65(1) of that Act may be used by a law enforcement agency referred to in that subsection only as evidence of a contravention of Part 1 of that Act.
Division 14 of Part 3 enacts the Mackenzie Gas Project Impacts Fund Act, which establishes the Mackenzie Gas Project Impacts Fund. The Division also repeals the Mackenzie Gas Project Impacts Act.
Division 15 of Part 3 amends the Conflict of Interest Act to allow the Governor in Council to designate a person or class of persons as public office holders and to designate a person who is a public office holder or a class of persons who are public office holders as reporting public office holders, for the purposes of that Act.
Division 16 of Part 3 amends the Immigration and Refugee Protection Act to establish a new regime that provides that a foreign national who wishes to apply for permanent residence as a member of a certain economic class may do so only if they have submitted an expression of interest to the Minister and have subsequently been issued an invitation to apply.
Division 17 of Part 3 modernizes the collective bargaining and recourse systems provided by the Public Service Labour Relations Act regime. It amends the dispute resolution process for collective bargaining by removing the choice of dispute resolution method and substituting conciliation, which involves the possibility of the use of a strike as the method by which the parties may resolve impasses. In those cases where 80% or more of the positions in a bargaining unit are considered necessary for providing an essential service, the dispute resolution mechanism is to be arbitration. The collective bargaining process is further streamlined through amendments to the provision dealing with essential services. The employer has the exclusive right to determine that a service is essential and the numbers of positions that will be required to provide that service. Bargaining agents are to be consulted as part of the essential services process. The collective bargaining process is also amended by extending the timeframe within which a notice to bargain collectively may be given before the expiry of a collective agreement or arbitral award.
In addition, the Division amends the factors that arbitration boards and public interest commissions must take into account when making awards or reports, respectively. It also amends the processes for the making of those awards and reports and removes the compensation analysis and research function from the mandate of the Public Service Labour Relations Board.
The Division streamlines the recourse process set out for grievances and complaints in Part 2 of the Public Service Labour Relations Act and for staffing complaints under the Public Service Employment Act.
The Division also establishes a single forum for employees to challenge decisions relating to discrimination in the public service. Grievances and complaints are to be heard by the Public Service Labour Relations Board under the grievance process set out in the Public Service Labour Relations Act. The process for the review of those grievances or complaints is to be the same as the one that currently exists under the Canadian Human Rights Act. However, grievances and complaints related specifically to staffing complaints are to be heard by the Public Service Staffing Tribunal. Grievances relating to discrimination are required to be submitted within one year or any longer period that the Public Service Labour Relations Board considers appropriate, to reflect what currently exists under the Canadian Human Rights Act.
Furthermore, the Division amends the grievance recourse process in several ways. With the sole exception of grievances relating to issues of discrimination, employees included in a bargaining unit may only present or refer an individual grievance to adjudication if they have the approval of and are represented by their bargaining agent. Also, the process as it relates to policy grievances is streamlined, including by defining more clearly an adjudicator’s remedial power when dealing with a policy grievance.
In addition, the Division provides for a clearer apportionment of the expenses of adjudication relating to the interpretation of a collective agreement. They are to be borne in equal parts by the employer and the bargaining agent. If a grievance relates to a deputy head’s direct authority, such as with respect to discipline, termination of employment or demotion, the expenses are to be borne in equal parts by the deputy head and the bargaining agent. The expenses of adjudication for employees who are not represented by a bargaining agent are to be borne by the Public Service Labour Relations Board.
Finally, the Division amends the recourse process for staffing complaints under the Public Service Employment Act by ensuring that the right to complain is triggered only in situations when more than one employee participates in an exercise to select employees that are to be laid off. And, candidates who are found not to meet the qualifications set by a deputy head may only complain with respect to their own assessment.
Division 18 of Part 3 establishes the Public Service Labour Relations and Employment Board to replace the Public Service Labour Relations Board and the Public Service Staffing Tribunal. The new Board will deal with matters that were previously dealt with by those former Boards under the Public Service Labour Relations Act and the Public Service Employment Act, respectively, which will permit proceedings under those Acts to be consolidated.
Division 19 of Part 3 adds declaratory provisions to the Supreme Court Act, respecting the criteria for appointing judges to the Supreme Court of Canada.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Votes

Dec. 9, 2013 Passed That the Bill be now read a third time and do pass.
Dec. 3, 2013 Passed That Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, {as amended}, be concurred in at report stage [with a further amendment/with further amendments] .
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 471.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 365.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 294.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 288.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 282.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 276.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 272.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 256.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 239.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 204.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 176.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 159.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 131.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 126.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 1.
Dec. 3, 2013 Passed That, in relation to Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
Oct. 29, 2013 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.
Oct. 29, 2013 Failed That the motion be amended by deleting all the words after the word “That” and substituting the following: “this House decline to give second reading to Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, because it: ( a) decreases transparency and erodes democratic process by amending 70 different pieces of legislation, many of which are not related to budgetary measures; ( b) dismantles health and safety protections for Canadian workers, affecting their right to refuse unsafe work; ( c) increases the likelihood of strikes by eliminating binding arbitration as an option for public sector workers; and ( d) eliminates the independent Canada Employment Insurance Financing Board, allowing the government to continue playing politics with employment insurance rate setting.”.
Oct. 24, 2013 Passed That, in relation to Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, not more than four further sitting days shall be allotted to the consideration at second reading stage of the Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the fourth day allotted to the consideration at second reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and, in turn, every question necessary for the disposal of the said stage of the Bill shall be put forthwith and successively, without further debate or amendment.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 12:55 p.m.
See context

NDP

Françoise Boivin NDP Gatineau, QC

Mr. Speaker, I thank my hon. colleague for his speech.

It would be nice to be able to support and pass this kind of bill, and we would really like to do so. However, the hon. member for Chambly—Borduas raised a number of fundamental problems.

I have a simple question I would like to ask. What are clauses 471 and 472 doing in Bill C-4? What are two clauses about appointing judges to the Supreme Court doing in a budget implementation bill?

The devil is always in the details when it comes to the Conservatives, and that is unfortunate. Then they turn around and criticize us for voting against something that is being referred for an opinion, that is challenged just about everywhere and that has nothing to do with any budget items.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 12:40 p.m.
See context

Etobicoke—Lakeshore Ontario

Conservative

Bernard Trottier ConservativeParliamentary Secretary to the Minister of Public Works and Government Services

Mr. Speaker, I am delighted to rise in the House today to talk about Bill C-4, the budget implementation act.

As members know, the bill is on the budget that was introduced in the spring of this year, and it is a very important budget.

The economic action plans that we have had have really helped the Canadian economy weather the storm of the financial turmoil that we have had around the world. We are also taking some important measures for my own city of Toronto and my constituency of Etobicoke—Lakeshore, and I would like to talk about that. However, before doing that, I would like to talk about the broader strokes of why the economic action plan is so important.

First of all, there is the identified need when it comes to skilled people in our economy, the disconnect between the available jobs out there and the people looking for work. We have put in place a plan, through the budget implementation act, to actually make that happen. We will get the provinces to get on board. They have been doing things for a long time now and we have had a lot of feedback from businesses.

The missing stakeholder in all of this job creation when it comes to labour training has been businesses and they have said very loudly, and we have responded to their request, to put in programs that really respond to their needs. That is why we have proposed the Canada job grant, subject to participation by the provinces. We hope that they will see the need and enough businesses will tell the provinces to get on board with that program.

The other big element in the economic action plan, of course, is the long-term infrastructure plan, which is critical. This is the first time that a government has put such a big infrastructure investment plan together. We are looking to invest in the much-neglected infrastructure in our cities, provinces and communities. It is critical that we have a long-term investment in infrastructure, and not just to move people around but to move goods and create jobs. That is why it is an important pillar of the economic action plan, and I will talk about some specific projects in my city of Toronto and why they are so critical.

There is also a recognition that we are now in the 21st century and our economy will be transitioning all the time, more so now than ever. That means there is a needed investment in research and innovation with a focus on the commercialization of all the great R and D that we do in this country, recognizing that once we have a commercialized set of programs, projects and services, it becomes a virtuous cycle of investment. That is the kind of far-sighted thinking that we have in this budget and why I support it so much.

Another important pillar is supporting families and communities. There are a lot of things we need to do to make sure that the costs associated with raising a family are recognized and that the measures we take in our communities to support the raising of families are also recognized.

As well, we have to look at the great successes we have had in our country with our great companies and the businesses that are world players. We have companies based in Toronto and cities across the country that can compete with anyone. They need the tools to succeed on the global stage, and they have been doing that, but they need that extra help from the federal government. In many cases, it is a “get out of the way” for the federal government. There are some measures in place in this budget implementation act that would do exactly that.

Underpinning all of this is an overall plan to return to balanced budgets, which is really critical. We are leading the G7 and most within the OECD when it comes to having a manageable debt to GDP ratio, and we are going to continue with that. We have a plan in place that would reduce our deficit and balance the budget. It is a combination of growing the economy and at the same time not raising taxes, unlike the opposition parties that keep talking about new taxes.

Members within the opposition parties say things like “amen” to new taxes. We are not saying that. We want to listen to Canadians who are saying “keep our taxes low”. They recognize that when they give $100 to the government, far less of that is actually spent on them. There is a big cut that the government takes for its bureaucracy.

Canadians want to keep their taxes low and in many cases they want to deliver the services themselves for things such as child care, for example, where they can find efficient means within their own home communities. That is why we introduced the universal child care benefit several years ago. They know they can efficiently get the child services they need.

I am going to talk about some of the context before talking about some of the specifics.

We have created over a million net new jobs since the depth of the recession in 2008. By far, it is the best job creation record in the G7. It is not just this government saying that, it is many other bodies, such as the IMF and OECD. They project that Canada is going to have the strongest growth in the G7 in the years ahead. That is because of strong, stable and consistent government when it comes to supporting business and investment, and making sure that we have the foundation for a strong economy.

The World Economic Forum ranked our banking system the soundest in the world. It is the fifth year in a row it has done that, and of course, we have our AAA credit rating in this country, which lowers our borrowing costs, again keeping our deficits low. It is really important that we keep doing some of those things and stay on the track we have been on.

Before the global recession, the Conservative government, between 2006 and 2008, actually paid down $37 billion in debt. We were looking ahead, recognizing that we needed to pay down debt. I should also mention that we did that while reducing income taxes, consumption taxes and business taxes. We grew the economy and reduced taxes and paid down a lot of debt. There was an increase in the debt during the recession. Ours was actually less than most countries around the world. Now we are looking to get back to a balanced budget.

Let me talk about taxes. A significant source of revenue for the government is tariffs and in the economic action plan we are going to eliminate tariffs on some important items, such as baby clothes, sporting goods and exercise equipment. That is about $76 million in tariff relief. This is over and above the half a billion dollars a year in tariff reduction that we have already put in place. This is very important to people who need to be able to buy things affordably and support their families, things such as baby clothes and sporting goods, even clothing. There are all kinds of things on which we have reduced tariffs significantly and we hope to keep doing that.

Another important form of taxes, of course, is EI premiums. We are looking to extend the hiring credit for small business up to $1,000 for new hires. I should mention there were over half a million employers that benefited from that. They saved about $225 million in EI premiums. That is really important. It provides that added incentive to hire some new people. There has been some strong feedback from the small business community, in particular. It really supports that program.

I am going to mention briefly some things that we are doing in BIA 2 now. There are some specific actions that we have put into BIA 2 that talk about how we need to improve the fairness and integrity of the tax system. It is really important that everyone pay their fair share. In many ways people are getting more sophisticated when it comes to avoiding taxes and we have put some measures in place that will show that we mean it when we say we are going to crack down on tax cheats. We are going to close some tax loopholes, clarify the tax rules and reduce international tax evasion. There are some tax shelters that have been utilized by Canadian companies and they will not be able to use them anymore. We are really going to reduce that aggressive tax avoidance.

One thing that really impressed me was the level of detail that we went into in BIA 2, describing even how we are going to introduce new criminal offences to deter the use, possession and sale of electronic suppression of sales software. There are businesses that have actually built tools into their point of sale software so they can avoid taxes. That is clearly illegal and it is finally time that our legislation caught up with some of these tricks that certain people are using. We are going to make that a criminal offence and that is why it is part of BIA 2.

I want to mention another important measure that I talked about earlier, which is infrastructure. This is the largest and longest federal commitment to provincial, territorial and municipal infrastructure in Canadian history. No government in Canadian history has planned to spend as much for as long a time as this government when it comes to municipal infrastructure. We are seeing some of the benefits of that in Toronto.

I should mention that since 2006 the federal government has spent over $4.5 billion on infrastructure and investment in the GTA. The GTA is an important part of our country. It is an economic engine, as are many other parts of the country. It has also had a lot of growth. Some of my colleagues from the GTA can testify to that. It has basically doubled in size as a city within our lifetimes, yet the infrastructure has not caught up. There is a real important need to make those investments. That includes things such as the Bloor-Danforth subway extension in Scarborough. We are investing in the Spadina subway extension. We are making investments with our partners in the Ontario government to improve GO Transit, for example. Of course, there is the Union Station revitalization, which is a really important building architecturally but also as a transportation and transit hub for the entire GTA.

I should mention some of the specific measures that are outlined in BIA 2, the budget implementation act. We are helping businesses succeed by providing tax relief for manufacturers. Manufacturing is important in southern Ontario, and through these measures tax relief will temporarily accelerate the capital cost allowance so the industry can make new investments in critical equipment that improves its productivity.

Regarding some specific items that are outlined in the budget, I appreciate very much the investments in things like Massey Hall, which is an important institution for the city of Toronto.

I hope the opposition will support the BIA 2. It is an important bill to keep the country moving forward.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 12:25 p.m.
See context

NDP

Mike Sullivan NDP York South—Weston, ON

Mr. Speaker, I am pleased to rise today to speak to Bill C-4, which was to be a budget implementation bill but it is much more. It is that much more that has a bunch of us on this side of the House worried about what the government really intends to do. For example, this budget implementation bill includes a redefinition of what constitutes a danger in the workplace.

The definition has been in the Canada Labour Code for many years and is well understood now by the health and safety officers, workplace safety committees, employers and employees and to change it in a manner that will not allow us to have full and fulsome debate is a dangerous practice in itself.

We will not know what the new definition means. The old definition talked about any existing or potential hazard or condition, or any current or future activity that could reasonably be expected to cause injury or illness to a person exposed to it.

The new definition requires that this danger be imminent or serious. What the heck does imminent or serious mean? To find out, we have to ask the minister. The minister is the only person who is now able, under this legislation, to determine whether something is an imminent or serious threat to an individual, because the government has taken out health and safety officers across the country and replaced them with one individual.

Each and every declaration of a danger to a person in a workplace in Canada now has to be determined by the minister himself or herself. I do not know if the minister has enough time to get to all the workplaces in Canada. The minister is pretty busy legislating companies back to work, so I do not know if he or she has enough time to do that.

It is a very serious measure that is being taken in a budget implementation bill with very limited time for discussion.

The other thing that is happening in the bill is that for the public service the definition of what can be arbitrated, in terms of what we call interest arbitration processes, has changed dramatically. The definition of what constitutes an essential service is now in the head of the minister. It is not in a jointly agreed to by both parties system.

The minister can decide what is an essential service in the civil service. For example, the minister could decide that his or her driver is an essential service and therefore that person would be prohibited from taking any action.

The danger with this kind of tinkering with the existing well-known and well-understood legislation is where it may lead in the rest of Canada. We have police forces, fire departments, ambulance services and paramedic services across the country that rely on an arbitration system to feel as though they are getting paid appropriately for their work and that their terms and conditions of work are dealt with. They are not allowed to go on strike. They are not allowed to exercise what the rest of Canadians have, which is the ability to withdraw their services.

All of those other folks across the country have to be wondering where the heck the government is going and where it will lead the provincial governments that deal with these things as well.

The government has not only redefined what is an essential service and just basically said that the minister can pick and choose what he or she wants it to be, but it has redefined what constitutes the terms under which an arbitrator can decide a collective agreement.

As members will recall from a year and a half ago, or maybe two years, the former minister of labour actually set the conditions under which an arbitrator was free or not free to decide a collective agreement. When it came to Air Canada, Canada Post and CP Rail, those agreements were decided by an arbitrator, except the arbitrator's hands were tied.

If I were in the police force or if I were a firefighter, I would be worried about where this federal government was leading us, down the road of re-defining what could and could not be done by an arbitrator.

I want to talk about this issue, because I am the deputy critic for persons with disabilities. The member for Winnipeg South Centre talked in glowing terms about the fact that the government had made the enabling accessibility fund a permanent feature of future budgets, which is a good thing. The problem is that fund is a Conservative slush fund, unfortunately. I do not mean that any of the groups that receive the money are somehow complicit in this, but 85% of the money goes to Conservative ridings.

Conservatives do not represent 85% of the population of Canada. I think something like 24% voted for them last time. How is it that 85% of the enabling accessibility fund goes to Conservative-held ridings, or if a group or organization is turned down for money under the enabling accessibility fund, all it has to do is have a friend like the Minister of Foreign Affairs and that minister will grease palms or whatever it is he has to do to change the decision by whoever made the decision so a group or association can get money out of the enabling accessibility fund?

We do not have any objections to there being an enabling accessibility fund. In fact, it should be bigger than it is, but we would like to see it distributed fairly across the country. I have groups in my riding that have been turned down for enabling accessibility money and cannot fathom the reasons why, because they are not given. There is no sudden decision that a group did not get it because of X, Y or Z. The decision is made that they just did not get it. When we hear that groups in Conservative-held ridings have no trouble getting money, we wonder where the money is coming from.

The other thing I want to say about the budget implementation act is that the government has determined it can add new stuff that was not in the budget. Not only were the issues dealing with the redefinition of what constitutes a danger, the removal of health and safety officers and replacing them with the minister, the changing of the arbitration for the civil service, but a redefinition of what constitutes a Supreme Court justice has been added, someone coming from Quebec. How is that in a budget bill? How is that something that we can think costs money? The Conservatives response, and I understand where they are coming from, but I do not like it, is that it is something that came up just recently, that they have to fix it really quick and that they can rush this thing through and get it done in a hurry.

There are a whole bunch of other things that came up just recently that have not been included in the bill but have to do with money, that have to do with budgets, that have to do with taxpayers and their pocketbooks. The Conservatives talked about them in the throne speech, but they are not here.

The throne speech talked about “pay to pay”. For those who do not know what that means, a cable TV or a cellphone subscriber with any of the big carriers in Canada has to by $2 to get a paper bill. If they do not have Internet to get their bill, they have to pay $2 and the government collects tax on that $2. No wonder it is delaying it because it wants to keep collecting that tax.

Most of the people affected by that are seniors who do not have access to the Internet, who do not have ready accessibility to electronic forms of payment. Not only that, even those people who have opted to get it electronically are now being told that if they want the detailed billing, they have to pay $3 to get it electronically, and the government will tax that. Therefore, there will 15¢ federally and in Ontario another 8¢ provincially going into the coffers of the government every time people pay their bill or accepts the bill in paper. The Conservatives promised to do something about that in the throne speech. Where is it? If they can do things really quick like this, why can they not put this in the budget implementation act?

There is no help for airline passengers. The Conservatives voted almost unanimously, if not unanimously, against Bill C-459, which would have provided a system to help airline passengers from the vagaries of the airlines bumping them off a flight. There was talk about that before the throne speech, but there is nothing in the throne speech or in the budget bill.

There is nothing in the budget bill that is a relief for the 200% increase in cable TV fares that have cable and satellite fees that have taken place since it was deregulated completely by the CRTC. In the throne speech the Conservatives did not even talk about that. They said that consumers would be able to pick and play whatever they want, but at a cost. If I pick a channel, it would cost me an arm and a leg. There is nothing in here for the pocketbook of the ordinary Canadian. If the Conservatives want to talk about pick and play, let us apply it to this legislation. We would like to pick and play those things that are good for Canadians and not have to vote against them, while we can vote against those things that are not good for Canadians. That is the kind of pick and play I would like to see.

We have no relief for bank fees. People from the Syme Seniors' Centre in my riding told me that just recently the banks told them that in order to get a printed statement of their bank account they would have to pay. It is a not-for-profit seniors centre that is trying to struggle through with whatever little money it can get from grants and the rest. It now has to pay to get that statement. It did not used to because it was a seniors centre. Now that it has to pay to get the statement, there is no relief. There is nothing in the budget bill that actually reduces those exorbitant bank fees.

We need to rethink how we do these budgets and not put things in a budget that have nothing to do with budgets.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 12:20 p.m.
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Etobicoke—Lakeshore Ontario

Conservative

Bernard Trottier ConservativeParliamentary Secretary to the Minister of Public Works and Government Services

Mr. Speaker, I wonder if the member for Prince George—Peace River could expand on measures in Bill C-4 that build on the budget and address investments in communities and infrastructure. We know it is very important.

I know the member has some communities that are very challenged with respect to building up infrastructure. There is a lot of growth and there are some big needs when it comes to moving people and goods around. If the member could expand on that aspect, I would like to hear his comments.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 12:10 p.m.
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Conservative

Bob Zimmer Conservative Prince George—Peace River, BC

Mr. Speaker, it gives me great pleasure to rise today to speak to economic action plan 2013 act no. 2.

This act would implement key measures from economic action plan 2013. It would also implement certain previously announced tax measures that will help create jobs, stimulate economic growth, and secure Canada's long-term prosperity.

Canadians have come to rely on our Conservative government to remain focused on the priorities that matter most to them: creating jobs for hard-working families and economic growth for local economies in all of Canada.

Since the depth of the global economic recession, Canada's overall job growth record remains the strongest among all G7 countries. Our government's plan for jobs and growth has helped contribute to the creation of more than one million new jobs, and we are on track to keep creating jobs and balance Canada's budget by 2015.

However, we also recognize that the global economy also can be volatile. We sympathize with those who are still struggling to find a job and we realize we are not immune to what happens outside our borders. That is why our government is working hard to implement positive job-creating measures from economic action plan 2013. These includes tax breaks to help small businesses create jobs, the Canada job grant to help get more Canadians trained and into skilled jobs, the largest-ever federal investment in job-creating infrastructure, new tax relief to help our manufacturing sector, and much more.

Nowhere is it more apparent that we need more skilled Canadian workers than in my riding of Prince George—Peace River. In fact, several local employers have come to me to express their increasing frustration with their inability to fill jobs because they cannot find workers with the right skills. Meanwhile, there are also far too many Canadians out there looking for work. That is why so many employers within my riding are looking forward to the full implementation of the new Canada job grant.

The Canada job grant would provide $15,000 or more per person in combined federal, provincial, territorial, and employer funding to help Canadians get the skills they need for in-demand jobs. Once fully implemented, the grant will help nearly 130,000 Canadians each year to access training at eligible institutions such as community colleges and trade union centres. This new program will ensure that Canadians have the skills employers are seeking and that employers are able to fill those key jobs.

In addition to the new Canada job grant, economic action plan 2013 is investing in skills and training for Canadians by reducing barriers to apprenticeship accreditation, supporting the use of apprentices in federal projects, and strengthening training support for persons with disabilities.

Building on these important new job-creating measures, we continue to remain focused on Canada's long-term prosperity by introducing economic action plan 2013 act no. 2. As we all know, small business entrepreneurs are big job creators, responsible for nearly half of all private sector jobs in Canada, and are a key driving force in making Canada a leader on the world stage.

We also know that to help create jobs, we must also help businesses. That is why Bill C-4 introduces more positive job-creating measures for small business entrepreneurs. One important measure is extending and expanding the hiring credit for small business for one year to help employers with the cost of new hires.

In addition, we will promote stability and predictability for employers and their employees by freezing employment insurance premium rates for the next three years. This will leave $660 million in the pockets of job creators and workers in 2014 alone.

We have also included measures that will increase the lifetime capital gains exemption to $800,000 from $750,000 and index it going forward. This positive measure will increase the rewards of investing in small business by making it easier for owners to transfer their family businesses to the next generation of Canadians.

Manufacturers and processors are also major contributors to our economy, employing approximately 1.8 million Canadians in a wide range of industries across Canada. A strong manufacturing sector also helps create jobs among suppliers and contributes to innovation throughout the economy. That is why in economic action plan 2013 act no. 2 our government is strengthening the competitiveness of this sector by expanding the accelerated capital cost allowance to further encourage investments in clean energy generation. This measure will allow businesses in Canada to face current economic challenges and improve their long-term prospects by adopting new and innovative technologies to increase productivity, thus helping businesses to compete globally while creating jobs in all regions of Canada.

These initiatives demonstrate our government's clear commitment to support small-business entrepreneurs to create jobs, growth, and long-term prosperity for all Canadians in all communities, like those in my riding of Prince George—Peace River.

At the same time, we understand that we must also respect Canadian taxpayers' dollars. Whether on job creators, hard-working families, or any other Canadians, low taxes are a crucial part of our economic success. Our Conservative government has cut taxes over 150 times, including income taxes, the GST, and business taxes, and we are justifiably proud of that record. Because of our actions, the average family is now saving over $3,200 a year. Economic action plan 2013 would take further action to support Canadian families by eliminating tariffs on babies' clothing, sporting goods, and athletic equipment.

Canadian seniors are also benefiting from a low-tax plan. In fact, the average senior pays $2,260 less in taxes each year as a result of our tax reductions. The average single senior can earn almost $20,000 a year and the average senior couple almost $40,000 a year without paying a single nickel of federal income tax, one thing that definitely affects my parents.

Small businesses as well are benefiting from our government's tax reductions. A small Canadian private business with a taxable income of more than $500,000 now pays 34% less federal tax than in 2006, equivalent to a tax savings of $28,000 that can be reinvested to fuel growth and job creation.

Bill C-4 would take further action to ensure Canadian taxpayers' dollars are respected by introducing measures to improve the efficiency of the temporary foreign worker program by expanding electronic service delivery.

Economic action plan 2013 also includes measures that would modernize the Canada student loans program by moving to electronic service delivery, as well as plans to phase out the labour-sponsored venture capital corporations tax credit.

Meanwhile, we remain on track to balance Canada's budget by 2015. Earlier this week, the annual financial report of the Government of Canada for 2012-13 was released. It shows the continued downward track of Canada's annual deficit. In 2012-13, the deficit fell to $18.9 billion. This was down by more than one-quarter from the deficit of $26.3 billion in 2011-12 and down by nearly two-thirds from the $55.6 billion deficit recorded in 2009-10.

Our government's responsible spending of taxpayer dollars has played an important role in these results, with direct program expenses falling by 1.2% from the year prior and by 3.8% from 2010-11. This is just further proof that we are finding savings within government and are refusing to spend recklessly. We will find these savings without raising taxes or cutting transfers to Canadians or the provinces and territories.

These initiatives demonstrate our government's clear commitment to support small business entrepreneurs to create jobs, growth, and long-term prosperity for all Canadians while respecting Canadian taxpayers' dollars. That is why I am pleased to support this bill, Bill C-4.

The House resumed consideration of the motion that Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, be read the second time and referred to a committee, and of the amendment.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 10:40 a.m.
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Green

Elizabeth May Green Saanich—Gulf Islands, BC

Mr. Speaker, I want to change the focus slightly from what the hon. member covered in his speech and just ask him about the measures we are seeing brought forward in Bill C-4 about which he is excited. I have to admit, I have less excitement in the sense of happiness about them. I am concerned that it is becoming too predictable a trend that the bulk of the government's legislation that we see in any session of Parliament is coming to us bundled together with many unrelated pieces of legislation. In fact, over 30% of the government legislation in the previous session of Parliament came in the form of omnibus bills.

These measures, about which my hon. friend is so happy, are ones that I am very concerned about, such as the changes to the Canada Labour Code, changes to the public service act, changes to the Supreme Court Act. These have nothing to do with one another or with the budget. Would they not have been better handled as separate bills?

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 10:30 a.m.
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NDP

Sadia Groguhé NDP Saint-Lambert, QC

Mr. Speaker, I thank the hon. member for her question.

First, I would like to go back to Bill C-4, another omnibus bill that deals with technical changes.

Clearly, this is another smokescreen, but we have not been taken in. It does not hide the fact that Bill C-4 really is trying to slip in major changes with no real prior consultation.

Once more, we are seeing a complete lack of democracy and of debate. Debates in this House have become impossible, and all workers, all Canadians, are having a hard time with that.

We are talking about major changes to the public service. A huge number of our workers will be affected by this tired old government's latest moves to take control of all our institutions at all costs. It really is unacceptable.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 10:25 a.m.
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NDP

Anne Minh-Thu Quach NDP Beauharnois—Salaberry, QC

Mr. Speaker, I congratulate the hon. member for Saint-Lambert for her excellent speech. She is always ready to stand up for her constituents and for workers in general.

On a number of occasions, she emphasized how completely absurd, irresponsible and anti-democratic it is to table such a lengthy bill and to allow parliamentarians so little time to study the repercussions of all the amendments to the 70 acts, not to mention the two new acts, contained in Bill C-4.

The Conservatives say loud and clear that they are standing up for workers. However, as we read the bill, we see clearly that they are continuing their attack on employment insurance.

Could the hon. member provide more details of the attack on the public service? She discussed it briefly, but we must understand the dangers and the concerns that lie in store for workers in terms of their right to present cases and in terms of the unions.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 10:25 a.m.
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NDP

Sadia Groguhé NDP Saint-Lambert, QC

Mr. Speaker, I thank the hon. member for his question.

Clearly, what we are also seeing is a major move on the part of the Conservatives to control workers and unions.

In Bill C-4, we see that the Minister of Finance is given the power to manipulate the setting of rates. The Conservatives, in fact, have now completely broken their promise to have an independent and accountable body oversee employment insurance funding.

The government talks about and champions transparency, and forges ahead saying that it is the government that stands for greater accountability and much more transparency. Unfortunately, that is not at all what we are seeing here and these are not at all the principles that this government claims to have guaranteed.

Clearly, this amendment in Bill C-4 will simply prevent workers from having meaningful access to their unions and, at some point, will clearly and specifically prevent them from having any access to their premiums.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 10:15 a.m.
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NDP

Sadia Groguhé NDP Saint-Lambert, QC

Mr. Speaker, for the fourth time in this Parliament, the Conservative government is introducing a massive bill to implement certain provisions of its last budget.

Bill C-4 is an example of why we have been criticizing this government since it came to power; it is an example of the government's lack of respect for parliamentary processes, as it imposes unrelated measures in a single piece of legislation and limits the work of members of Parliament. It is the epitome of a tired old government that has no vision for Canadians, a government whose pathological partisanship is affecting our parliamentary institutions and the interests of Canadians.

This bill amends close to 70 laws and includes a number of provisions that have nothing to do with the budget, strictly speaking. Bill C-4 contains dozens of measures that could have been introduced in separate bills. In one bill, the government is amending taxation, employment insurance rules, economic immigration parameters, arbitration in the public sector, the Veterans Review and Appeal Board, and so on.

Instead of making room for real parliamentary debate, the government has crammed dozens of measures into one single piece of legislation. Instead of allowing members of Parliament to do their jobs, the government has chosen to impose an anti-democratic approach and a dogmatic vision of politics.

Not only does Bill C-4 violate the whole parliamentary process, but the Conservatives also waited until the very last minute to present the content of the bill. The bill was finally introduced 48 hours ago. We have had 48 hours to review almost 300 pages and to assess the impact of dozens of measures. This is preventing us from doing the job we were elected to do.

The Prime Minister shut down Parliament for five weeks, which is simply outrageous and unacceptable for a democratic country like Canada. Clearly, the negative consequences of this approach cannot be denied. This single vote on a huge number of measures is certainly going to limit debate, and it will increase the potential for errors. As a result, the content will be less representative.

Furthermore, a clear example of the potential danger is the mistake that caused credit unions to face a tax hike of 28% rather than 15%. An in-depth study of the measure in committee and the testimony of many witnesses would have made it possible to avoid that blunder. If parliamentary committees have one meeting only to consider such wide-ranging measures, of course, members of Parliament do not have all the tools they need for a proper review.

In the Standing Committee on Citizenship and Immigration, we had only 40 minutes to study measures in Bill C-60 that had major consequences. We had 40 minutes to study a piece of legislation that easily would have required more committee meetings. That is the anti-democratic approach the Conservatives are taking with Bill C-4.

As if the general structure of Bill C-4 was not enough of a violation of democracy, the government moved a time allocation motion yesterday to further limit debate. If that is not mocking democracy, I do not know what it is. The situation is all the more worrisome and deplorable considering that some parts of Bill C-4 have serious and troubling implications.

First of all, the budget implementation bill eliminates the Canada Employment Insurance Financing Board, thereby allowing the Minister of Finance to manipulate the rates for the employment insurance fund. Clearly, the Conservative promises to make the management of employment insurance parameters more independent and transparent are now no more than a distant memory. Once again, the government is going back on its commitments and, in some cases, its own actions.

The Conservatives criticized the Liberals—and so did we for that matter—for helping themselves to and squandering the surplus in the employment insurance fund. In total, $57 billion was taken by those governments. In the past, the Conservatives rose up against that, but now, with Bill C-4, they are changing their tune once again.

With Bill C-4, the Conservatives are once more setting up the same mechanisms that allowed finance ministers, both Conservative and Liberal, to dip into the premiums paid by workers.

With access to benefits constantly decreasing, Canadians find this decision unacceptable. After all, the money involved belongs to the workers and the Conservatives are acting as if it were theirs.

We in the NDP maintain that the employment insurance fund must be managed independently and transparently. The Minister of Finance has decided otherwise by granting himself discretionary powers that will tarnish the very management of the fund.

In addition, Bill C-4 will amend the Public Service Labour Relations Act by redefining the process by which disputes are resolved in the government.

Not only is the government reserving the right to define essential services, but it is also imposing a process of binding arbitration in disputes where less than 80% of the members of a bargaining unit are performing essential services.

As a result, the Conservatives are reserving the right to define the rules on resolving disputes in the public service of Canada and to impose working conditions on its employees through arbitration.

Clearly, the government wants to give itself some elbow room so that it can attack the unions that stand up for the rights of workers.

Amendments of this kind require discussions in depth, with other voices to be heard on the matter, not just Conservative voices. To roll out measures of this kind without real debate is to lay oneself open to regrettable errors.

That applies to the amendments to employment insurance and the dispute resolution processes in the public service. It also applies to the omnibus bill in its entirety.

In closing, never has a government shown so much contempt for our parliamentary institutions and for Canadians. Here we are with a single bill with 300 pages of measures amending about 70 acts. It is impossible for members of Parliament to do their jobs properly. Then we get a time allocation motion that restricts debate even more.

Clearly, our democracy is suffering. All the work by members of the House of Commons is also being placed in jeopardy.

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 10:10 a.m.
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NDP

Chris Charlton NDP Hamilton Mountain, ON

Mr. Speaker, I note that the member who just spoke on Bill C-4 is wearing the poppy, like I am, and as all of us should be in these weeks before Remembrance Day.

I know the member, and I know he is sincere in wanting to honour the men and women who served our country with such courage and made such tremendous sacrifices on behalf of the Government of Canada and, more importantly, on behalf of all the people of Canada.

However, in Bill C-4, we have changes that adversely impact those very veterans we are honouring by wearing the poppy. Bill C-4 reduces the number of permanent members of the Veterans Review and Appeal Board, from 28 to 25. If we are going to be serious, we need to address the fundamental issues with respect to the board.

On this side of the House, my NDP colleagues and I, and in particular the member for Sackville—Eastern Shore, have been advocating for a very long time that we replace the politically appointed board with a medical, evidence-based, peer-reviewed process for making decisions on veterans' disability applications.

I want to ask the member a question. He, like us, is wearing the poppy in this House today. Will he not do the right thing, honour veterans and vote against this bill that takes away services from Canada's men and women in the armed forces?

Economic Action Plan 2013 Act No. 2Government Orders

October 25th, 2013 / 10:05 a.m.
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Conservative

John Carmichael Conservative Don Valley West, ON

Mr. Speaker, it is with great pleasure that I rise today to speak on our economy and the second budget implementation act of our government's economic action plan 2013. The implementation of these remaining provisions would have a tremendously positive impact on the lives of all Canadians. While many of the changes in Bill C-4 are technical in nature, many provide clear benefits for all Canadians.

Our Conservative government is focused on what matters to Canadians: growing the economy, helping to create jobs, balancing the budget and reducing the cost of government. We are achieving this with the longest-serving Minister of Finance in the G7 at the helm, who is providing Canada with strong fiscal leadership, management and responsibility.

Our actions have not gone unnoticed. Both the IMF and the OECD expect Canada to be among the strongest-growing economies in the G7 over this year and next. The World Economic Forum has rated Canada's banking system as the world's most sound for the fifth year in a row. Three credit rating agencies, Moody's, Fitch and Standard and Poor's, have all reaffirmed their top rating for Canada and expect it will maintain its AAA status in the year ahead. Canada's fiscal fundamentals are solid, and they are sustainable.

Canada is on a strong economic footing. Since the depth of the recession, over one million net new jobs have been created, mostly in high-wage industries. There are now 605,000 more jobs than at the pre-recession peak. This is the strongest job growth in the G7 over the course of the recovery. Almost 90% of all jobs created since July 2009 have been full-time positions, with close to 85% of those in the private sector. Also, the growth levels are above pre-recession levels, as I stated.

Jayson Myers, president and CEO of Canadian Manufacturers and Exporters, had this to say:

We have a strong Canadian dollar because investors around the world want to put their money into Canada. They see a better fiscal environment, a strong financial sector, and the strength of the resource sector.

A recent study by KPMG concluded that Canada's total business tax cost, which includes corporate income tax, capital taxes, sales tax, property taxes and wage-based taxes, is more than 40% lower than in the United States. In short, our government has created an environment that encourages new investment, growth and job creation, and ensures that Canada has the strongest fiscal position and lowest business tax costs in the G7.

Earlier this week, the media were reporting that last year's federal deficit came in at nearly $7 billion lower than projected. This is an undeniable sign that our government is on track to balance the budget in 2015-16, a promise we made to Canadians back in 2011.

As many Canadians are now aware, our government recently reached an agreement in principle on a free trade agreement with the European Union. This historic agreement will create thousands of jobs for Canadians and give Canadian business access to half a billion new customers. This is the biggest deal so far in Canadian history, and may be remembered as the biggest trade agreement that Canada has ever signed. The Canada–European Union Comprehensive Economic and Trade Agreement will open new markets to Canadian exporters throughout Europe and generate significant opportunities for all Canadians.The benefits of this agreement are equivalent to creating 80,000 net new jobs, or increasing the average Canadian household's annual income by $1,000.

On the first day that the agreement comes into force, 98% of all European Union tariffs will be eliminated, directly translating into increased profit and opportunity for Canadian businesses of all size and in every part of our country. Whether a fisherman in Atlantic Canada, a forestry worker in Quebec, an auto worker in Ontario, or an engineer in the west, each will benefit from this agreement. Jayson Myers went on to say that, “This is the Wayne Gretzky of trade deals”.

Canada's automobile industry, to name but one, stands to benefit tremendously from this deal. Currently, Canada exports approximately 13,000 vehicles a year to the European Union. This agreement will increase that number up to 100,000 units annually. It goes without saying that this increase in annual exports will have a direct correlation to the number of jobs in the Canadian automobile industry, undoubtedly adding hundreds, if not thousands, of employees to Canada's vehicle, equipment and parts manufacturing companies.

Kevin Williams, president of General Motors of Canada, had this to say:

We applaud Canada and the European Union for completing a modern, high-standard comprehensive economic and trade agreement that will provide enhanced opportunities for growth in both regions. We appreciate the hard work to find creative solutions that improve market access for Canadian-produced automobiles, while ensuring Canada continues to benefit from the integrated manufacturing sector that has developed in North America over the past 50 years.

Supporting small business is something our government takes very seriously. Small businesses make up to 98% of businesses in Canada, all of which are in the midst of celebrating Small Business Week. It makes me tremendously proud to speak about how this bill would provide support for Canada's job creators. This bill includes in it a number of key measures to support business, including extending and expanding the temporary hiring credit for small business for one year. Approximately 560,000 small businesses will benefit as a direct result of this measure. We are also increasing the lifetime capital gains exemption from $750,000 to $800,000 and indexing it going forward. The lifetime capital gains exemption will increase the reward for investing in small business.

In response to the global recession, the government froze the EI premium rate in 2010 at the lowest level since 1982. We are again freezing EI premium rates, this time at 2013 levels, for the next three years. With this freeze in 2014 alone, we are leaving $660 million in the pockets of job creators and Canadian workers. This tax relief will help provide employers, especially small businesses, with the certainty and flexibility that they need to keep growing.

Since forming government in 2006, our low-tax plan for Canada has allowed for small business to see their tax bills drop by 34%. Corporate income taxes have been lowered as well. In fact, Canada currently has the lowest corporate income tax rate in the OECD, as I referred to with regard to the KPMG report. That is a carrot that is more powerful and effective than any marketing campaign in attracting foreign investment to Canada.

In recognition of the ongoing uncertainty in the global economy, the bill also announces extending the temporary accelerated capital cost allowance for new investment in machinery and equipment in the manufacturing and processing sectors for an additional two years. This will provide the sector with support of $1.4 billion over four years for retooling, and will enhance competitiveness and economic growth and enable manufacturing and processing companies to plan and invest over the coming years.

We are delivering a new $53 billion building Canada plan to invest in Canada's public infrastructure over the next 10 years. This will create jobs, promote economic growth and provide a higher quality of life for families in every city and community across this great country. One of the new building Canada plan's three key funds, the community improvement fund, has had a direct investment in my riding of Don Valley West, by providing just under $1 million to the Canadian National Institute for the Blind. The funds are being used to renovate, and eventually reopen, the CNIB's pedestrian bridge, which has been closed since 2011. This bridge is essential for patients, visitors and employees to safely cross one of Toronto's busiest streets.

I will wrap up by saying that this bill puts forth a number of measures that are meant to respect taxpayers' dollars. While the opposition is busy focusing on issues that do not matter to Canadians, our government remains focused on the task at hand. We continue to look for ways to increase the efficiency of the inner workings of government and making sure that job creation and economic prosperity are at the forefront of any new legislation. With that in mind, this bill would make significant improvements that would benefit all Canadians.

The House resumed from October 24 consideration of the motion that Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, be read the second time and referred to a committee, and of the amendment.

Economic Action Plan 2013 Act No. 2Government Orders

October 24th, 2013 / 5:50 p.m.
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NDP

Andrew Cash NDP Davenport, ON

Mr. Speaker, it is an honour to rise in this place on behalf of the good people of Davenport in the great city of Toronto to speak to Bill C-4, the budget implementation act.

This is another example of a missed opportunity for the current Conservative government in terms of job creation and in terms of accountability and transparency. It really underlines the mean-spiritedness in which the government participates in the process of bills and law-making in this House.

I have been listening very carefully to some of the debates and comments from my hon. colleagues on the government side, and it is almost as though they live in this fantasy world where they give the greatest gifts to the wealthiest corporations and keep saying over and over what neo-conservatives have been saying for 30 years, that these wealthy corporations will just trickle that money down like manna from heaven and we will all just be fine.

I listened with particular interest to my colleague from Mississauga who talked about her father's small business. I also listened to the member across the way, who grew up in the town named after him, talk about his family and small business.

Where I come from in Toronto, small businesses are one- and two-person operations. Small businesses are operated out of people's kitchens and basements. Small businesses are a mother and father working 12 or 13 hours a day running a store on Bloor Street. They are looking for some relief and what they are hearing is that the government has been doling out these wonderfully handsome tax breaks to the wealthiest corporations in Canada, who are not investing back into the economy but are sitting on the money. There is nothing in this bill that deals with one of the most significant issues of our time, and that is how we deal with the explosion of precarious work in our society.

In Toronto, in the GTA right now, in the member's riding of Mississauga South no doubt, almost 50% of workers cannot access a full-time, stable job. That is an outrageous statistic, which should engage this entire House, not just because it is my city but because it is an outrageous statistic. We are letting down and failing workers, and in particular we are failing young workers.

This budget implementation act, which would again throw in more than 70 law changes with everything but the kitchen sink in here, has not a single thing to address precarious work in our society. We listen to the rhetoric of job creation on one hand and we see the stats on the other hand where 15%, 16% or 17% of young people are unemployed, and that is the official rate that does not include those who have given up and those who are working very marginal, part-time jobs. This is the reality for so many urban workers: precarious work. People cannot find a full-time job. We are talking about folks who are now working as independent contractors.

The Conservatives are so consumed, almost obsessed, with their attack on organized labour that they cannot understand that people who run a small business want customers to come in. Those customers actually have to make a living wage in order to spend some of their money in the store. This is what the Conservatives do not understand. They do not understand the realities of urban workers today. They do not understand the reality of small business today.

We proposed many measures that would make it easier for small business owners to deal with their business.

We have a consumer program this government has borrowed some ideas from. They should actually take the whole thing. We would be willing to give it to them, because there are some excellent ideas, and they would actually deal with some of the main problems small businesses face with things like transfer fees for credit cards at point of sale, and that sort of thing. These are the issues many small businesses bring to us, which is why we have brought our proposals to the Canadian public on some of the very important issues for small business.

This is a government that, along with the Liberals, pillaged the employment insurance fund to the tune of about $57 billion and that is making it harder for Canadian workers to access the program to which they contributed. This is not the government's money. It is workers' money. We have legions of workers who cannot access basic employment insurance, basic income security, in times of need. Those times of need for many people are right now.

The Conservatives talk about job creation. They never talk about the kinds of jobs they are creating. In the GTA, we have a preponderance of $10.50 an hour jobs. I do not know, and I would be interested to find out from the member from Mississauga, if people in her riding could live on $10 an hour. Could they pay their rent? Could they raise a family? Can people raise a family on minimum wage in Toronto or in this country? The answer is absolutely not. It is very difficult. That is why people are working multiple jobs. It is why the fabric of our society is in such turmoil. It is because people in our large cities are working day in and day out just to survive. It is impacting on people's health.

We now know that precarious work adds incredible stress to the body. We have not calculated the health care costs of ripping the support from under workers today. I do not see that calculation in this.

We have not seen the government actually focus any attention on youth employment. The other day, the minister said, in answer to a question on precarious work, that if young workers have a problem in their workplaces, they should complain to the various tribunals out there. They are putting the onus on young people who, right now in Ontario, for example, are graduating, on average, with about $37,000 of debt. Then they are being welcomed into a workforce where they are either offered jobs that do not pay any money, as interns, or piecemeal jobs. They cannot get into the fields they studied for. The other day the minister said that they could blow the whistle on their companies if they feel that they are being treated poorly.

We are failing young workers. The government has utterly failed to address some of the key issues that affect urban workers. The fact is that too many people cannot access a workplace pension. Too many of us cannot access any kind of workplace benefit, and there is absolutely no job security for urban workers. All the bill does is make it worse.

The member from Mississauga talked about key tax cuts that would reap benefits for all Canadians, but what we are seeing in reality is that the tools the government uses to deal with the economic issues have just made things worse.

Bill C-4 is the fourth attempt in two years by the Conservatives to evade scrutiny by parliamentarians and the public. Canadians are watching. They want to see the government and this place function the way it is supposed to, which is with proper scrutiny. This side of the House, the official opposition, is doing its job. We would like to see the Conservatives start to do theirs.