House of Commons Hansard #163 of the 41st Parliament, 2nd Session. (The original version is on Parliament's site.) The word of the day was economy.

Topics

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:40 p.m.

Conservative

The Acting Speaker Conservative Barry Devolin

I would just like to point out for the member and others that in fact I have not put any numbers forward. This member has been in the chamber for many years, and I am sure she will recall that she is to address her comments through the Chair. When she uses the word “you”, presumably that is to the Chair.

Resuming debate, the hon. member for Hull—Aylmer.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:40 p.m.

NDP

Nycole Turmel NDP Hull—Aylmer, QC

Mr. Speaker, I would like to mention that I will be sharing my time with my colleague from Parkdale—High Park. It is important to me to speak today in support of this motion, which just makes sense.

The NDP is simply proposing that the government be straight with Canadians about the state of the country's finances. We are also asking the Minister of Finance to do his homework, by taking into account how tough things are for the middle class and by making economic diversity a priority in his next budget. It is not complicated.

Canadians are concerned about the current financial instability. When they fill their tanks with gas, they are happy to pay less at the pumps, but they wonder how this will influence our national budget and the employment situation. These are questions I have been asked frequently over the past few days, because people are not getting a clear answer from the government.

Obviously, we already know that the fluctuation in the price per barrel of oil will have an impact on the economy. We could expect nothing less because the Conservatives put all their eggs in the oil industry basket. The NDP has been warning the government about this practice for a long time. The lack of focus on innovation and diversification has made our economy vulnerable to this type of shock in the price of natural resources.

Several experts have already spoken about the potential impacts of the situation. For example, Stephen Poloz, Governor of the Bank of Canada, said:

The drop in oil prices is unambiguously negative for the Canadian economy. Canada's income from oil exports will be reduced, and investment and employment in the energy sector are already being cut.

Here is another example: According to an OECD study, federal revenue from corporate taxes and gas taxes will drop by $4.3 billion. Furthermore, according to a TD Bank report, the government will not even have a sufficient budgetary margin to enhance TFSAs or create a tax credit for adult physical activity, let alone introduce the infamous income splitting.

The Bank of Canada has weighed in. The OECD has weighed in. TD Bank has weighed in. Today, the Office of the Parliamentary Budget Officer weighed in on the financial impact of the drop in oil prices. Is it too much to ask that our Minister of Finance do the same?

It seems to me that Canadians are entitled to get accurate information from their government, particularly when we think that this recent financial protection was based on an oil price of $80 U.S. a barrel. We are also asking the government today for a clear commitment that the next budget will take the economic situation of the middle class into consideration, by making sure to propose measures that will lead to the creation of good, full-time jobs. This is something that should not need to be pointed out. After a succession of Liberal and Conservative governments, however, families have understood that they could not take it for granted that their government was going to work for them.

In fact, the incomes of the wealthiest 1% of the population are continuing to rise, while the average Canadian family has seen its income fall over the last 35 years. I do not need to remind you that this situation is largely a Liberal legacy: 94% of the growth in income inequality over the last 35 years took place under the federal Liberals. Let us be clear, however: what was a Liberal trademark is well on its way to becoming a Conservative tradition as well.

By proposing measures like income splitting, for example, the Conservatives have chosen to hand out billions of dollars to a few wealthy households, but absolutely nothing to more than 85% of Canadian families—when it is the middle class that needs a break. I hear this constantly in my constituency.

Families keep working harder, but keep finding it harder to make ends meet.

In four years, there have never been so many people knocking on my constituency office door to get help. I am not talking about help to file their tax returns or to get a faster reply from a federal department, since that is taking up more and more time because of the cuts made by the government, and not because of the hard work done by public service employees. No, I am talking about getting help to make sure their children are going to eat three meals a day. I am talking about getting help so they do not find themselves out in the street.

I hear the same story from the community organizations that are doing outstanding work in our region, especially with the resources they have at present because of the cuts they have suffered. In 2014, for example, Moisson Outaouais saw a 25% increase in requests for food assistance. At Centraide Outaouais, they tell me that families that used to be able to contribute to fundraising campaigns have become recipients of assistance.

The cuts this government has made to the public service have had a direct negative impact on the economy of the Outaouais, but the Conservatives continue to sit on their hands and refuse to help the families and job creators in our region get through this difficult situation.

I have just finished a round of visits to small businesses in my riding and I was truly impressed with the exceptional work these entrepreneurs are doing. There is tremendous innovation, knowledge and passion in the Outaouais. It is high time that the federal government realize this and genuinely support the efforts of these small businesses to stimulate our regional economy.

On November 29, I also participated in the Forum socio-économique de l'Outaouais organized by the Chambre de commerce de Gatineau. I want to take this opportunity to congratulate them on this excellent forum. I met dozens of stakeholders from all backgrounds, who came together to talk about their common vision for the development of our region.

It was depressing to see the extent to which these people no longer count on this government to help them out. On the ground, the federal government is no longer seen as a partner in the development of our communities. This is truly unacceptable.

In the NDP, we believe government can be, and has a duty to be, a partner with entrepreneurs, organizations and families. In the NDP, we have a plan; creating a program for accessible and affordable child care centres, a federal minimum wage of $15 an hour and a lower tax rate for small businesses are just a few examples. However, Canadians should not have to wait until the next election to be treated with respect.

That is why I invite my colleagues on both sides of the House to vote in favour of this motion, which will enable our fellow Canadians to be informed about the state of our economy and will give them a guarantee that all Canadians will be considered when the next budget is prepared.

In closing, I would also like to talk about instability within government programs. When a budget is introduced after the scheduled date, uncertainty is created. Not enough help is being given to the departments for sorting out or submitting a program for the following year. It is very unfortunate that disorder is taking hold both in the services and the public service.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:50 p.m.

Kamloops—Thompson—Cariboo B.C.

Conservative

Cathy McLeod ConservativeParliamentary Secretary to the Minister of Labour and for Western Economic Diversification

Mr. Speaker, I want to pick up on one particular area of the member's speech. I would like to first correct the record and then ask a question.

There was a conversation about how the middle class is having some challenges. It is important to recognize that, for the first time, middle-income Canadians are better off than Americans. The average Canadian family now pays $3,400 less in taxes. Since we took office, the median net worth of Canadian families has increased by 45%. A new report from the Commission on Inclusive Prosperity says “...Canada...experienced continuing middle-income growth, while for many it has halted”.

I hear the NDP talking about massive bureaucracies for social programs, whether it be the 45-day work year, the universal child care plan, which would benefit very few and would not benefit many rural or shift workers, or a massive carbon tax. Given the promising statistics under our policies, I would like the member to indicate who is going to pay, because someone is going to have to. I think it is going to be the middle class paying for those very expensive programs that the NDP proposes.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:50 p.m.

NDP

Nycole Turmel NDP Hull—Aylmer, QC

Mr. Speaker, it is really interesting to hear the member talk about the resources that are going to be given to the middle class. When I see what people are going through at this time, the minimum wage is really a dead loss. It rose only one cent between 1975 and 2013. That is today’s reality. Household indebtedness in general has reached 163% of what it was. That is unbelievable. When they talk about income splitting, which will affect only a tiny segment of the population, how can they say, given what they are presenting and what we have experienced in recent years, that they are helping the middle class and the most needy?

As I was saying, community groups in my riding are seeing their programs cut more and more because of a shortfall at the federal level. True, there are the provinces as well, but the fact remains that the federal government has a big part to play. However, it is not assuming its role as a leader in the community.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

January 27th, 2015 / 4:50 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, if we looked at it, we would see that the words of the day would be “middle class”. It is the phrase that is likely being used most often. If we compared this time to a couple of years ago when we had budget debates, I suggest we would find it was rarely being used. It was not until the member for Papineau became leader of the Liberal Party that we started to talk and focus more attention on the middle class, recognizing that the middle class has in fact been neglected to the degree that today we are focusing a great deal of time on it. We in the Liberal Party are very happy to see the Conservatives and the New Democrats finally coming on side, recognizing that we need to focus more attention on the middle class.

The member made reference to the issue of the government making the decision to hand out a $2 billion income split when less than 15% of the population would benefit. It was the leader of the Liberal Party who came out right away indicating that we do not support it and we would reverse it. Perhaps the member could expand on what her party's position is on it and why it took them so long to adopt the Liberal Party's position on the income split policy.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:55 p.m.

NDP

Nycole Turmel NDP Hull—Aylmer, QC

Mr. Speaker, the member from the Prairies seems to forget that the healthcare program was created by the NDP. With regard to help for the middle class, I think we were the pioneers and we were always there to defend it.

In terms of the income splitting, which affects only a portion of the population, if I am not mistaken, the member or the Liberal Party spoke in favour of it at first. It was later that they changed course. Perhaps the member should listen to the statements, discussions and declarations made by his leader.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:55 p.m.

NDP

Peggy Nash NDP Parkdale—High Park, ON

Mr. Speaker, I am very happy to be joining this debate today, speaking about what many Canadians, and indeed people around the world, have on their minds, which is the state of the economy. The motion that has been presented by the official opposition finance critic is a very important one, and it calls on the government to present an economic and fiscal update to Parliament so that we all, on behalf of Canadians, can find out the state of our economic affairs.

The motion says that “...in light of the unstable economic situation, including job losses, falling oil prices, and declining government revenues...” we need to know exactly what is going on with the nation's finances. Further, the motion calls on the government to “...prepare a budget that addresses the economic challenges facing the middle class by creating more good-quality full-time jobs, and by encouraging economic diversification”.

There has been indeed a lot of discussion about the middle class. What does that mean? Who is middle class? What does a middle-class lifestyle mean?

A lot of working people across this country know what a middle-class lifestyle is. They know that it means having a good job that can pay their bills, that can give them enough money to pay for a decent place to live, that can allow them to support their family, that provides benefits for them, and that can help them one day look forward to a secure retirement. People know that the middle-class lifestyle also depends on access to quality health care.

As the member for Hull—Aylmer who just spoke said, of course our medicare system was pioneered by New Democrats, by Tommy Douglas in Saskatchewan and by New Democrats here in the House of Commons, and it is one of the public programs that best guarantees a middle-class, secure life, which of course has been undermined by governments, including the current government and previous governments.

However, one of the things we most need to talk about right now is the state of the country's finances, given the rapid decline of resource prices, especially oil and gas prices, and what that means to the state of our budget.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:55 p.m.

Some hon. members

Oh, oh!

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:55 p.m.

NDP

Peggy Nash NDP Parkdale—High Park, ON

Mr. Speaker, I am having a very difficult time hearing myself speak, let alone other—

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:55 p.m.

Conservative

The Acting Speaker Conservative Barry Devolin

I appreciate that. I cannot do anything about the construction, but I could ask all hon. members to keep their voices down so that we can hear what our hon. colleagues have to say.

The hon. member for Parkdale—High Park.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

4:55 p.m.

NDP

Peggy Nash NDP Parkdale—High Park, ON

Mr. Speaker, thank you for that intervention.

Clearly what we have seen with the government is that throughout its time in office, whether in opposition or in minority or majority government, its focus has been on the oil and gas sector. Conservatives have put all of their energy, as it were, into the energy sector and have ignored other sectors of the economy. Now the chickens have come home to roost because of the dramatic drop in oil and gas prices throughout the country. It has affected the nation's finances significantly and left our country vulnerable to the kind of price shocks that we are experiencing today. If there were ever a rationale to diversify our economy, it is what we are experiencing today with energy prices.

Clearly the government has been left scrambling. It counted its chickens before they were hatched, and now the people of Canada deserve a fair accounting of the exact state of our nation's finances. We need to hear the government's plan for dealing with this rapidly changing economy. What the Conservatives have promised is an income-splitting scheme that would do absolutely nothing for 85% of the population, but would spend billions of dollars that the government in fact may now not have.

We are seeing many Canadians being affected by job losses. We heard today that as a result of a recent takeover, Tim Hortons will be laying off many jobs in its office sector. Whether it is Target in the retail sector, or Electro-Motive, Heinz, or John Deere, many industrial jobs have been lost throughout this country, and we need to know what the government's plan is to secure a middle-class lifestyle for working Canadians so that we know and they know that they can count on a secure income and can make their financial plans. We are expecting Canadians to do their budgets and to plan their economic situation, but the Government of Canada is not telling Canadians what its plans are for the economy.

We have seen manufacturing drop dramatically in the province of Ontario from about 20% of jobs to less than 15%. The jobs that are being lost are well-paying jobs with benefits that allow people to live a decent lifestyle. The NDP wants to support the manufacturing sector and help with the creation of good manufacturing jobs, and our leader laid out a plan for that today. We also want to see the lowest-paid workers lifted out of poverty with a $15 minimum wage. That is a commitment that will help some of the lowest-paid Canadians raise their income level.

We also want to boost the security that all Canadians have by offering a national child care program that would cost Canadians no more than $15 a day. In my own community, we see families paying up to $2,000 per child per month for child care. It is like having a second mortgage in a housing market that is already very steep for families. What the NDP is offering is more security for families across Canada through a national child care program.

As the official opposition, we are proposing what we would like to see, but our main job is holding the government to account, and boy, does it ever need holding to account these days. Conservatives are failing Canadians. They are refusing to even tell Canadians what the state of the economy is and what their plans are for the future. Clearly they are confused. They are caught off guard, and if they need help, the opposition is here. We are willing to work together.

Let me quote a couple of outside, impartial analysts on this question. Those socialists at the TD Bank state in their report:

The conclusion is unambiguous. In the absence of new measures to raise revenue or cut spending, TD is projecting budget deficits in fiscal 2015-16 and 2016-17 as opposed to the surpluses expected at the time of the [fiscal] update.

The OECD's deputy chief economist stated:

The stunning decline in world oil prices, from an average of $94 last year to $56 in 2015, has virtually wiped out the federal government’s anticipated surplus in its next budget....

Therefore, what is the state of the economy? What are the finances of the country like? We need to know and deserve to know. Canadians deserve to know, and they deserve to have a budget sooner rather than later so that they know how the government is going to pay for its very expensive, very elitist promises, such as income splitting for the wealthiest 15% of Canadians.

New Democrats want to know the state of our finances because we are committed to providing child care and support for small business. Also, unlike the Liberals, who according to their leader think that Ontario should move away from the manufacturing sector, we believe in a strong and advanced manufacturing sector. We believe in an economy based on energy efficiency, sustainability, and the best science and technology that this country can offer, because we know that when we work together, we can be globally competitive and we can do better than the best. However, we cannot do it with the government hiding in the past and refusing to reveal the state of the country's finances.

We look forward to the government stepping up to the plate and coming clean with Canadians. Let us work together on behalf of Canada for the good of Canadians.

Bill C-44—Notice of time allocation motionProtection of Canada from Terrorists ActGovernment Orders

5:05 p.m.

York—Simcoe Ontario

Conservative

Peter Van Loan ConservativeLeader of the Government in the House of Commons

Mr. Speaker, I am happy to step up to the plate and advise that an agreement has not been reached under the provisions of Standing Orders 78(1) or 78(2) concerning the proceedings at report stage and third reading of Bill C-44, an act to amend the Canadian Security Intelligence Service Act and other acts.

Under the provisions of Standing Order 78(3), I give notice that a minister of the crown will propose at the next sitting a motion to allot a specific number of days or hours for the consideration and disposal of proceedings at those stages.

The House resumed consideration of the motion.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:05 p.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

I am sure the House appreciates the notice by the hon. government House leader.

Questions and comments, the hon. member for Trinity—Spadina.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:05 p.m.

Liberal

Adam Vaughan Liberal Trinity—Spadina, ON

Mr. Speaker, I have been following today's debate and I have heard from two parties who said that no matter what changes, their proposed course of action, which existed a month ago, is going to be pursued with even more vim and vigour now, despite the fact that fundamentally the economics have changed. In fact, the motion in front of us today states that the world has changed and new numbers are needed, yet the ideology that seems to support certain courses of action has not produced a different course of action, and that worries me.

However, the question I have is this. I have also heard today about this so-called abandonment of the manufacturing sector by the leader of the Liberal Party. What I do not understand is that when asked whether we should depend on one single source of manufacturing in Ontario, the leader said no, we need to diversify and not put all our eggs in one basket. In the same way, we should not put all our eggs in one basket in the resource sector. We need to diversify. There was never ever, ever a statement regarding walking away from manufacturing or from the auto industry.

What was the member quoting when the statement was made suggesting that the leader of the Liberal Party wants to walk away from manufacturing in southern Ontario? I have never heard him say that.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:05 p.m.

NDP

Peggy Nash NDP Parkdale—High Park, ON

Mr. Speaker, I frankly agree with him that it was quite shocking to hear the leader of the Liberal Party say that Ontario should transition away from manufacturing. Clearly, the behaviour of the government in ignoring the manufacturing sector has meant that the number of manufacturing jobs has dropped. The percentage of manufacturing jobs in Ontario has dropped from 20% to below 15%. Therefore, the Liberals' neglect and their promise of neglect is really quite shocking.

Never mind: Ontario workers can count on New Democrats—

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:05 p.m.

Some hon. members

Oh, oh!

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:05 p.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

Order, please. It is awfully noisy in here this afternoon. The hon. member for Parkdale—High Park is in the process of responding to the question from the hon. member for Trinity—Spadina. I am sure that hon. members would like to hear what she has to say.

The hon. member for Parkdale—High Park.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:05 p.m.

NDP

Peggy Nash NDP Parkdale—High Park, ON

Thank you, Mr. Speaker. I was just going to say that workers in the manufacturing sector, whether it is in Ontario, in Quebec, or wherever in Canada, can certainly count on New Democrats to support their sector and not say or imply that somehow it is a sector of the past.

However, let me say more than that. When we are in difficult times, when finances appear to be different from what they were expected to be some months back, we need to look for ways of saving money. There are some pretty obvious ways. One, of course, would be for all parties to support the New Democrats' call to abolish the Senate. That would certainly save a significant amount of money.

However, I would also call the government's attention to the more than $100 million it has spent on government advertizing, which borders on partisanship, to support its approach to the economy, which, quite frankly, I think is offensive to so many Canadians.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:10 p.m.

NDP

Anne-Marie Day NDP Charlesbourg—Haute-Saint-Charles, QC

Mr. Speaker, there are currently 1.3 million unemployed workers in Canada. The manufacturing sector represents 11% of our GDP, and we know that this is one of the sectors that has been hit hard in the past decade.

This NDP motion is a legitimate one, and I would like to hear what the member thinks about it. We want the middle classes to live better in this country. We want the lies to stop and we want the public to hear the truth.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:10 p.m.

NDP

Peggy Nash NDP Parkdale—High Park, ON

Mr. Speaker, I thank my colleague for her question.

Times are very tough for hundreds of thousands of unemployed workers from not only the manufacturing sector, but also many other sectors.

This government does not really have a plan to help these workers. It has made cuts to EI and it cut assistance to manufacturers. It said that the market will decide and will sort itself out, but during tough economic times like these ones we need the government to show some leadership, support the economy and employers, and create jobs.

Unemployed workers have no hope right now. Many families are suffering because of the lack of jobs and because of the layoffs we are seeing across the country.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:10 p.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

Before we resume debate, I will let the hon. member for Burlington know that he only has two minutes remaining in the time allowed for debate on the motion before the House, but I am sure the hon. member will wish to use all of his two minutes.

The hon. member for Burlington.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:10 p.m.

Conservative

Mike Wallace Conservative Burlington, ON

Thank you, Mr. Speaker, and happy New Year.

First, it is my honour, as always, as it is an honour for every member of Parliament, to speak in the House of Commons. I am looking forward to our discussions over the next number of months here in the House as we lead into an election. What I am very excited about is that the motion today, particularly part (b), states:

prepare a budget that addresses the economic challenges facing the middle class by creating more good-quality full-time jobs, and by encouraging economic diversification.

That is exactly what our finance minister will be doing. That tells me, based on its opposition motion, that the opposition will be supporting our budget when we present it. That will be the first time in the nine years I have been here that the opposition has supported our budget.

Of course, we need to take our time to ensure that things are accurate. We heard the Liberal Party's last speaker on this particular topic say to just give them numbers, whether they are accurate or not, and then be patient.

My response to the opposition, the third party, is that it also needs to be patient. Our finance minister is putting together a budget that will be accurate, reflecting the issues and the events that are happening today, and those numbers will be ones Canadians can trust and have faith in and that this Parliament and this House can have faith in. It will happen in a few short weeks. In fact, what would be interesting for my colleagues from across the way to learn is that legislation actually does not require a budget to be presented at any time. In fact, a former finance minister, Minister Flaherty, presented the earliest budget in Canadian history a number of years ago in this House.

There is plenty of time for us to bring the budget forward. We will have accurate numbers. We will be moving this economy forward. We will continue to create jobs and create opportunities for Canadians. That is why they should have patience on the other side.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:10 p.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

It being 5:15 p.m., it is my duty to interrupt the proceedings and put forthwith every question necessary to dispose of the business of supply.

Is it the pleasure of the House to adopt the motion?

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

5:10 p.m.

Some hon. members

Agreed.

No.