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

SportsOral Questions

3:05 p.m.

Independent

Massimo Pacetti Independent Saint-Léonard—Saint-Michel, QC

Mr. Speaker, over the past five years, this government has spent over half a billion dollars on the children's fitness tax credit. Its attempt to get young Canadians to be more active has failed. According to Active Healthy Kids Canada's 2014 report card, only 5% of young Canadians meet the Canadian guidelines for physical activity.

What we need are better-funded, more accessible sports programs with modern infrastructure. When will this government take action to improve young Canadians' physical fitness?

SportsOral Questions

3:05 p.m.

Bramalea—Gore—Malton Ontario

Conservative

Bal Gosal ConservativeMinister of State (Sport)

Mr. Speaker, we all agree that an active, healthy lifestyle is good for people of all ages. That is why we have great organizations like Participaction, KidSport, Special Olympics, Sport for Life and Canadian Tire's Jumpstart that we fund.

This is why I am proud the Prime Minister doubled up the fitness tax credit to $1,000. Also the universal child care benefit has been increased.

My hope is that parents put those words “sports for the kids” so kids can get involved in sports and physical activity, and excel in education as well.

Foreign AffairsOral Questions

3:05 p.m.

Independent

Sana Hassainia Independent Verchères—Les Patriotes, QC

Mr. Speaker, blogger Raif Badawi was convicted in Saudi Arabia for making statements deemed too liberal. His story has made headlines around the world and aroused indignation.

Mr. Badawi is not Canadian, but his family is here. Canada must condemn this appalling situation and take clear diplomatic action in the name of freedom of expression and respect for human rights. I know that this government has already stated several times that it has asked the Saudi government for clemency and to set aside this blogger's sentence, but it is clear that the gesture was not enough.

Can the government tell us what concrete action it will take to reunite Mr. Badawi with his family in Canada?

Foreign AffairsOral Questions

January 27th, 2015 / 3:05 p.m.

Blackstrap Saskatchewan

Conservative

Lynne Yelich ConservativeMinister of State (Foreign Affairs and Consular)

Mr. Speaker, Canada does consider the punishment of Mr. Badawi to be a violation of human dignity, and we continue to call for clemency in this case.

Mr. Badawi is not a Canadian citizen, but we continue to make our position known, both publicly and through diplomatic channels, including the Minister of Foreign Affairs recently raising this issue with Prince Turki Al-Faisal. He also made representations to Saudi Arabia's ambassador in Ottawa, and the ambassador in Riyadh has met with Saudi officials.

Presence in GalleryOral Questions

3:05 p.m.

Conservative

The Speaker Conservative Andrew Scheer

I would like to draw the attention of hon. members to the presence in the gallery of the Hon. Bob McLeod, Premier of Northwest Territories.

Presence in GalleryOral Questions

3:05 p.m.

Some hon. members

Hear, hear!

Presence in GalleryOral Questions

3:05 p.m.

Conservative

The Speaker Conservative Andrew Scheer

In recognition of Black History Month, I would also like to draw to the attention of hon. members the presence in the gallery of the author of The Book of Negroes, Lawrence Hill, as well as some of the cast and producers of the TV mini-series: Clement Virgo, Damon D’Oliveira, Aunjanue Ellis, Lyriq Bent, Margaret O’Brien and Armand Leo.

Presence in GalleryOral Questions

3:05 p.m.

Some hon. members

Hear, hear!

The House resumed consideration of the motion.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:05 p.m.

NDP

Raymond Côté NDP Beauport—Limoilou, QC

Mr. Speaker, I thank my colleague from Compton—Stanstead for his very fine speech, which was geared toward his constituents.

The Bank of Canada's Monetary Policy Report indicates that long-term unemployment is still close to its post-crisis peak. Nearly five years after the crisis, long-term unemployment—the most damaging kind—is still peaking. It is absolutely unbelievable.

I have no idea how the government can avoid taking responsibility for such destructive unemployment. My colleague will agree that this is the type of unemployment that keeps people out of the job market for the long term.

I would like to hear what he has to say about that.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:10 p.m.

NDP

Jean Rousseau NDP Compton—Stanstead, QC

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

One of the most perverse long-term effects is the exodus of these people, who leave when they can no longer find work in their home region. That is an extremely unfortunate situation.

The government has forgotten that people need training. Moreover, we are not talking about a program that will affect only 15% to 20% of this population. These people need ongoing training services on the job and, especially, training for re-entering the work force.

We can only make progress in these areas and, most importantly, ensure that some regions do not become completely stagnant, when the various levels of government work with local entrepreneurs and economic agents and players.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:10 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, I would like to re-emphasize a point I made earlier today, that a fundamental responsibility of the federal government is to instill a sense of confidence in the economy. One of the ways it does that is by providing a national budget in a timely fashion.

For the government, the Prime Minister, and the Minister of Finance to say that they do not know what is happening in the oil sector and as a result they are going to have to delay the budget is irresponsible and disrespectful in terms of the important role the government has in presenting a budget, for a great many reasons.

I wonder if the member would like to provide additional comments on the disappointment of Canadians in the government's inability to present a budget to Canadians through the House of Commons.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:10 p.m.

NDP

Jean Rousseau NDP Compton—Stanstead, QC

Mr. Speaker, I thank my colleague for this question. That is exactly what I was saying.

When a government is not capable of adapting to economic conditions, it effectively erodes the confidence of all actors: workers, unemployed people, decision-makers, entrepreneurs and the various levels of government. When the environment does not meet the needs of their situation so they can prosper, people become disillusioned and growth is much more difficult.

It is extremely disappointing to see that this government is not capable of adapting to conditions that are the same everywhere on the planet. In our case, it is because the government relied on a particular sector of the economy. Now that it is a bit unstable, the entire Canadian economy is suffering. This is extremely unfortunate.

If measures had been taken to diversify the economy during this period, to make provisions for the present conditions, we would not be in this position, and our manufacturing companies would be able to export and be efficient and productive, while creating jobs in prosperous communities.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:10 p.m.

Conservative

Mark Adler Conservative York Centre, ON

Mr. Speaker, before I begin my remarks, I would like to indicate that I will be splitting my time with my colleague, the member for Winnipeg South Centre.

I appreciate this opportunity to address the motion of my colleague, with whom I sit on the finance committee, on the state of the nation's finances. The Prime Minister and the Minister of Finance have continually said that the global economy remains fragile. Events beyond our borders, including the falling price of oil, can affect our economy. That is why it is more important than ever for our government to stay the course with a steady plan to balance the budget, create jobs, and secure Canada's long-term prosperity.

Let me be clear. Our government remains committed to balancing the budget in 2015. Despite the changing international situation, Canada's economy remains strong. Since coming to office in 2006, our government has had the best job creation record in the G7 and we are leading in economic growth.

Since the depth of the recession, more than 1.2 million net new jobs have been created, with 82% being full time, 84% of them in the private sector, and 66% in the high-wage industries. This record is the result of the resiliency of the Canadian people and the efforts of our government through Canada's economic action plan.

Our government has put tax relief at the core of all of our budgets, and we have a proven record of continuously lowering taxes and tariffs to the benefit of all Canadians, particularly hard-working Canadian families.

Our government remains focused on what matters most to Canadians. In fact, actions taken by our government since 2006, including the measures we announced in October for families with children, will provide tax relief and benefits of up to $6,600 for a typical two-earner family of four. We have lowered 150 different taxes since taking office in 2006, and the overall tax burden is now at its lowest level in more than 50 years. This is an achievement of which we can be proud.

Families will soon see the benefit of our proposals to increase and expand the universal child care benefit, which will provide an additional $720 per child to families with children under the age of 18. This is in addition to our family tax cut, which will establish fairness in the tax system for parents who earn different incomes. Taken together, our new measures will provide benefits to every single family with children under the age of 18 in the country.

In providing this support for hard-working Canadian families, our government has not deviated from our commitment to balance the budget. We will balance the budget in 2015, while delivering close to $27 billion in tax relief and increased benefits for hard-working families over this year and the next five years.

The opposition, on the other hand, would jeopardize this tax relief, taking away benefits from hard-working Canadians at a time when they need it most. Some of my esteemed colleagues across the floor would argue that there is no harm in running a deficit in 2015 to pay for new, costly, and unnecessary programs. We on this side, however, do not. Balancing the budget is a means to increase Canada's economic potential to improve employment opportunities for Canadians by creating more good-quality full-time jobs and to raise our citizens' standard of living.

The benefits of balancing the budget and reducing the debt are many. Some of these include ensuring that tax dollars are used to support important social services like elderly benefits and health care rather than paying interest costs, instilling confidence in consumers and investors whose dollars spur economic growth and job creation, and strengthening Canada's ability to respond to longer term challenges such as population aging, unexpected global economic shocks, and global security threats.

We need to stay firm to our commitment to the Canadian people to balance the budget, a commitment that we have reaffirmed to Canadians time and time again. While the global economy may be struggling, the fundamentals of our economy remain strong. We must address our challenges not by engaging in reckless fearmongering or spending, as the opposition would suggest, but by following through on our commitments and continuing to move forward with our low-tax plan to create jobs, promote growth, and secure our long-term prosperity.

Recently our government took actions to stay the course and build on our record. As previously mentioned, we invested in tax relief for Canadian families that will pay dividends for generations to come. We also created the small business job credit, a tax credit that will provide an estimated savings of approximately $550 million for job-creating small businesses. We invested $5.8 billion in additional infrastructure investments that are crucial to supporting our economic growth. I am confident that as a result of these actions Canada's economy will continue to grow and create jobs. Budget 2015 will build on this record.

In the lead-up to the budget, our government will survey private sector economists to ensure that we have the most up-to-date views, including their views, on the economic impact of lower oil prices. This is a practice that has been done for nearly two decades.

We will not change our plans to indulge in the opposition's hysteria. We will remain committed to our plan. Our economic action plan has seen Canada perform strongly through these uncertain times. With the help of our economic action plan, Canada was able to weather the storm when the global economic crisis arrived in 2008. We have emerged stronger, with more jobs and stronger growth.

By balancing the budget, our government is not only fulfilling our commitment but also protecting ourselves from future volatility.

In conclusion, our government will balance our budget in 2015 without raising taxes or reducing funding for health care and important social programs. We will stay the course and provide the steady fiscal management that Canadians have come to expect and demand. We will not engage in irresponsible spending, as the opposition suggests, and will remain committed to our core principles of job creation and low taxes.

Low taxes help Canadians succeed in the global economy through the creation of high-quality jobs and opportunities for success. Our success is not based on chance, but rather choice. Budget 2015 will be the next chapter in our government's long-term plan to strengthen the Canadian economy in an uncertain world. This next chapter of our plan will build on our strong record to date.

Taken together, the measures our government has introduced since 2006 and those to come in budget 2015 will continue to keep taxes low and help Canadians succeed in the global economy to create jobs, growth, and long-term prosperity for all Canadians.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:20 p.m.

NDP

Raymond Côté NDP Beauport—Limoilou, QC

Mr. Speaker, I think my colleague for his speech. I would have liked to congratulate him on winning the prize for the most boring speech from the Conservatives today. Unfortunately, he was not able to match the performance of the parliamentary secretary to the Minister of Finance

That said, apart from the repetitions that every Conservative speech delivers, with very rare exceptions, like an incantation—there is something almost religious about it, it sounds very much like an incantation—I am surprised to see the Conservatives turning a blind eye to the facts presented by, among others, the governor of the Bank of Canada, about the current situation. They are not even taking into account the context of falling fuel costs.

The Bank of Canada said it clearly. The labour force participation rate for workers between 25 and 54, that is, those who are in their prime, dropped sharply in 2014. This is absolutely unbelievable, because they are the backbone of our economy. These people, who start families, buy houses and have settled into their lives are under serious threat. In fact, because of the decisions made by this government, their participation rate has dropped sharply, and the result of this is debt, job losses and bankruptcies.

How can the member not be aware of this fact, when it has been stated by the governor of the bank?

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:20 p.m.

Conservative

Mark Adler Conservative York Centre, ON

Mr. Speaker, it is absolutely appalling that the member opposite would consider low taxes, job creation, and leading the economic recovery in the G7 as dull. It just indicates where the NDP is coming from.

Let me just paint a picture of what an NDP government would look like. Unfortunately, we have had experience with it in Ontario.

In 1990, there was a small deficit forecasted, but in the first year the New Democrats decided that a small deficit was not good enough, so they decided to go for a $2.5 billion deficit. In their first budget and spending, they increased it up to a $9.16 billion deficit. In five years, the Ontario debt rose from $20 billion to $60 billion, the Ontario credit rating was downgraded twice, and taxes rose to the highest marginal rates in North America.

In 1991, there were 5.3 million people working in Ontario. By 1995, when the NDP left office, there were 122,000 fewer working in the province.

The New Democrats re-opened collective bargaining agreements. They made civil servants work unpaid days. Now they want to bring that plan to Canada.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:20 p.m.

Forces et Démocratie

Jean-François Fortin Forces et Démocratie Haute-Gaspésie—La Mitis—Matane—Matapédia, QC

Mr. Speaker, the government has decided to postpone the budget to April at the earliest. In our opinion, that decision is completely irresponsible.

Of course, the price of oil has fallen, but that is somewhat the fault of the government, which put all of its eggs in one basket: oil development. Nevertheless, the government has to be responsible because there are consequences to postponing the budget, in particular for organizations and groups that are waiting for federal funding. Their fiscal year ends in March and postponing the budget will have a major impact on them.

There are also the provinces, which, as usual, are waiting for the federal budget to be tabled at the end of February or the beginning of March so that they can put together their own budgets with federal transfers.

The government has to be responsible, acknowledge the new economic reality and table the budget. I can understand the government’s unease, but it has to follow a game plan. It made so many promises in the fall that it is short of money. It has to be responsible and get the money from the most wealthy, the big banks, to balance its budget.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:25 p.m.

Conservative

Mark Adler Conservative York Centre, ON

Mr. Speaker, I listened to that question with great interest. It is important that those who have experience with governing, which I know the member on that side does not, wait for all of the information to be in before making decisions.

Our Conservative government made a commitment to the Canadian people to balance the budget in 2015. We have had a plan since 2006. The first thing we did when we came into government in 2006 was to pay off billions of dollars in federal debt. That ended up being the smartest thing any government could have done, because it gave us the latitude and the fiscal flexibility to be able to respond in 2008 when hard times hit.

With the plan that we have in place, we have created 1.2 million net new jobs. We lead the G7 in terms of economic performance, and 2015 will be another chapter in the next plan.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:25 p.m.

Conservative

Joyce Bateman Conservative Winnipeg South Centre, MB

Mr. Speaker, today, it is my honour to speak here as a representative from the riding of Winnipeg South Centre.

According to Economic Development Winnipeg, Winnipeg has been one of Canada's most diversified economies and has the lowest overall business costs not only in western Canada, but also in comparison with the midwestern and Pacific United States. In addition, in its last CIBCWM Metropolitan Economic Activity Index, CIBC rated Winnipeg's economy as the fourth best in a national survey. We are only behind Toronto, Calgary, and Regina.

However, despite such a positive outlook in Winnipeg, we are most certainly not immune to the global economic challenges facing the world today. Internationally, the economic context is, without a doubt, one of strife and struggle.

After the most severe global recession since the Great Depression, our Conservative government, under the leadership of our Prime Minister, has been able to steer past the recession. As a result, Canada has weathered the economic storms and come out of them ahead of all other member nations of the G7. For Canada, the recession is long gone, but its impact is still weighing heavily on the world economy.

The volatility of commodity prices reminds us that we are not immune to factors beyond our control and beyond our own borders. Geopolitical crises such as those in Ukraine, Iraq, and Syria underscore these concerns. The barbaric terrorist attacks in France, as well as attacks in Australia, and indeed in Ottawa itself, are justifiably alarming people around the world and truly cut to the core of the fundamental liberties that are the basis for human progress. These things remind us that the global economy remains fragile and volatile. It is why we must stay the course with our low-tax plan.

By keeping taxes low, our government is helping Canadian businesses maintain the best economic environment possible and allowing small businesses to maintain their competitive edge. Our country's small and medium-size businesses continue to be job creators for hard-working Canadians, and our government is committed to helping them grow and create new opportunities here at home.

Our government is making life more affordable for families as well. It is our government's actions on job creation and economic growth that have underpinned Canada's recovery from recession, and therefore a debate such as today's on the future of our economy is indeed very timely. The stakes in this debate are high. Canadians cannot afford higher taxes and more debt. Quite simply, what is at stake is a better, safer, and more prosperous future for our families.

The challenges that stand between Canada and this brighter future are considerable. It is not time for risky ideas and reckless spending. This is why, under the strong leadership of our Prime Minister, our government is on track to balance Canada's budget, and we are now in a position to help Canadian families balance theirs.

When speaking to my constituents, they continue to tell me the same thing, that the cost of living from groceries to hydro to housing is going up. While the federal government does not have a say over hydro prices, we do have a say on federal taxes. We know that for a more affordable life, Canadians need a more affordable tax burden. That is why we are cutting taxes for Canadian families and providing benefits to all families with children, with the majority of these benefits going to low and middle-income families.

Continuing with the enhancement of the universal child care benefit, mothers and fathers in Winnipeg South Centre will receive $1,920 each year for every child under age six, and $720 per year for every child between the ages of six and seventeen. We know that Canadian families deserve to make their own decisions and we are proud to be the only party standing up for them.

Unfortunately, the NDP and Liberals want to take this money away and spend it on big government bureaucracy instead of giving decision-making power where it should be: with the parents. The NDP and Liberals think they know best. That is not right.

While our government is making life more affordable for families, the opposition would rather hike taxes and run us back into a deficit. That is its plan; it is not our plan.

Let me remind everyone how the small Trudeau deficits of the early 1970s became massive deficits that went on for a quarter of a century and ended up with the Liberals dramatically hiking taxes on everyone, just as we see Liberal and NDP leaders threatening to do today. The opposition is looking for any excuse not to balance the budget, but to spend more taxpayer dollars. It thinks it can tax its way to prosperity, but Canadians know that no government can spend more than it earns indefinitely. It is just like home.

Higher debt means higher taxes, service costs, and cuts for our children and grandchildren. The Liberal leader believes the budgets balance themselves even if we spend billions of dollars that we just do not have. Canadians know better. Canadians know how budgets work. Only by making tough decisions, as we all have done with our own families, and using sound judgment can a budget be balanced, and that is exactly what we are doing as government.

Through our government's prudent fiscal management, we will balance the budget while investing in the priorities of Canadians. We will also not raise taxes like the Liberal leader has pledged to do. Under the leadership of this Prime Minister, Canada's economy will continue to be the envy of the world. We are leaving more money in the pockets of Canadians to stimulate our economy. We have cut taxes in every way government collects them, including personal, consumption, business, and excise taxes, et cetera, and the result is a total annual saving for a typical family of around $3,400.

We have also removed over one million low-income Canadians completely from the tax rolls, and the overall federal tax burden has not been this low in more than half a century. Given the ongoing uncertainty in the global economic environment, it is more important than ever to stay the course. Canada has a highly diverse economy, and that is why our government supports jobs and growth by connecting Canadians with available jobs, fostering job creation, innovation and trade, and investing in manufacturing, infrastructure, and transportation.

Canada's manufacturing sales have bounced back and are up 25%, the highest level since the start of the recession. That is great news for the residents of Winnipeg South Centre, since manufacturing makes up a large portion of its economy. In fact, just last week on January 21, the president of Canadian Manufacturers & Exporters was quoted in the Ottawa Citizen as saying, “Many of the programs the Conservative government has put in place do support manufacturing, and do it very well”.

However, the Liberal leader would rather encourage manufacturers to close shop. This is not our view. Our government recognizes that Canadians working in the manufacturing sector are some of most innovative people in the world, and we want to help them be that. This is very different than the Liberal high-tax, high-debt plan that would devastate the industry just as it recovers from a global recession. Canadians definitely expect better.

Let me give a first-hand example of how our economic plan is working in Winnipeg South Centre. In 2013, our government announced $1 million in support for West Canitest R and D Inc.—WestCaRD it is called—to assist companies in Manitoba's aerospace sector. This builds on our government's previous aerospace investments and will help support the development of an aerospace facility capable of engine testing and post-testing redesign. Winnipeg is now one of the most cost-effective cities for aerospace manufacturing in North America, and with a highly skilled and growing workforce of over 5,500, it is the third largest cluster in Canada in the aerospace industry.

More than 40 aerospace-related businesses make up a diverse supply chain, with annual revenues surpassing $1.3 billion. This new facility will expand the research and development capabilities of Manitoba's aerospace industry, and this is a positive for our local economy. I am thrilled to see that the Manitoba aerospace industry is creating jobs, economic growth, and long-term prosperity, which is exactly what the Canadian government is trying to accomplish throughout the country.

These are remarkable achievements that have helped the residents of Winnipeg South Centre. It is too risky to reverse and it is far too risky not to support this government's economic plan.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:35 p.m.

Forces et Démocratie

Jean-François Larose Forces et Démocratie Repentigny, QC

Mr. Speaker, I heard the government say that Forces et Démocratie has never governed.

I cannot understand how the government can say it is so competent and exhibit such certainty about the budget and the direction it is going to go in with oil, and at the same time say that the reason the budget is being postponed is that the market is volatile. To my knowledge, the market was volatile last year as well.

Since the government, which is so very competent, was not able to foresee this market volatility, does it intend to make any changes or bring anything new to the table? Does it acknowledge that there is a problem? Is it reasonable to have to dip into the $3 billion emergency fund? Does it understand the repercussions that postponing the budget to such a late date is going to have on the provinces and the public?

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:35 p.m.

Conservative

Joyce Bateman Conservative Winnipeg South Centre, MB

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

As he knows, we are focusing on job creation, economic growth and long-term prosperity.

This government is absolutely focused on creating jobs and growth and making the economy better. We do not have a crystal ball, but we do have a sound economic approach. We are reducing the tax burden on the individual Canadian. As my colleague previously cited, one of the smartest things that the Prime Minister did, which he was widely criticized for doing in 2006, was to pay down the deficit by $39 billion. It is that kind of foresight that we want to continue.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:35 p.m.

NDP

Pierre-Luc Dusseault NDP Sherbrooke, QC

Mr. Speaker, while listening to my colleague's speech, it seemed that she was wearing rose-coloured glasses and living in a wonderful and, to my mind, make-believe world. The current situation is problematic on a number of fronts. Several sectors of the economy are in trouble at this time. She seems to have left that out completely from her speech.

I would like her to address Canadians' concerns about the economy and the many manufacturing jobs that have been lost in the past nine years under the Conservatives. The manufacturing sector has shed 400,000 jobs.

I would like her to respond to those people who lost their jobs, who had worked in factories for dozens of years, who found themselves without a job last year and, at this point, who are 45 or 50 years old and have to find a new job. It is not easy for them. I would like her to tell them how the government is going to help them.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:40 p.m.

Conservative

Joyce Bateman Conservative Winnipeg South Centre, MB

Mr. Speaker, I will address both parts of the member's question.

First, I do not have rose-coloured glasses on. I look at the economy through the eyes of a chartered accountant, because that is my profession. I am a fiscally prudent and responsible member of the community. I also look at the economy through the lens of a parent and a partner in a wonderful marriage in which we never spend more money than we have. This is a radical concept to many people, but it is one that really has to catch on. That is a very important component in our analysis.

As far as manufacturing jobs are concerned, as we have indicated in all of our remarks throughout the day, we are providing the manufacturing sector with the kind of support it has not received for many years. Perhaps my hon. colleague is confusing our comments with the comments of the Liberal leader, who wants to shut manufacturing facilities down.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:40 p.m.

NDP

Ryan Cleary NDP St. John's South—Mount Pearl, NL

Mr. Speaker, I will be splitting my time with the hon. member for Dartmouth—Cole Harbour.

I read an interesting quote this morning in a blog by Newfoundlander Drew Brown. Mr. Brown describes himself as a Newfoundlander in exile. He is a young man who is working on his Ph.D. in political science at the University of Alberta. The quote was by a well-known Newfoundland lawyer who gave a talk to the Canadian Bar Association back in the early 1930s. The group had just finished singing O Canada, and the Newfoundland lawyer stated:

That's the real difference between Newfoundlanders and Canadians. In Canada, you guys can sing “we stand on guard for thee.” Back home, we have to sing “God guard thee, Newfoundland” because no one else is up to the job.

There is truth in that. Newfoundland and Labrador is always in need of guarding, in need of fighting Newfoundlanders and Labradorians, because God guards those who guard themselves.

I cannot give a speech on a motion focusing on the state of the country's finances without mentioning right off the top the current Conservative government's latest financial double-cross to Newfoundland and Labrador, a double-cross of biblical proportions, which was how it was described back home. I am talking about the $280 million that the Conservative government promised my province as a “transition fund” for “development and renewal”. Those are Conservative words, not my words.

The $280 million fund was promised after Newfoundland and Labrador surrendered minimum processing requirements as part of the free trade deal with the European Union. Minimum processing requirements protect fish plant jobs on land. We gave that up after the province struck a deal with the Conservative government to make the free trade deal with the EU happen, but the Conservative government has reneged on the deal.

Just recently the Minister of Justice came to St. John's and insulted Newfoundlanders and Labradorians to our faces. He said that Newfoundlanders and Labradorians are demanding a CETA slush fund, which is not true. That is the same minister who used a military search and rescue helicopter to taxi him from a fishing trip on the Gander River. That minister has no credibility back home, but then neither does the Conservative government, not when they double-cross my province.

The government made a commitment to my province. We expect and demand that it honour that commitment. That $280 million fund is about diversifying the economy. It is about preparing our fishing industry for tariff-free access to the 500-million-person EU market. It is about a promise made and a promise kept. It is about integrity. It is about honour.

The first part of the first opposition day motion of the year before the House today calls upon the government to update this House on the state of Canada's finances in the wake of collapsing oil prices, in the wake of huge job losses, and in the wake of the decision by the Minister of Finance to delay the tabling of the annual budget until April. There is no good reason to put off updating this House or to put off the federal budget.

The decline in world oil prices has been stunning and shocking, going from an average of $94 a barrel last year to $56 a barrel this year. That $38-dollar drop has virtually wiped out the government's anticipated surplus in its next budget. The Conservative government's mismanagement and its sole focus on resource extraction has left our country vulnerable to these sorts of resource price shocks. We need to diversify our economy, and the Conservatives have failed to do that. Oil revenues have plummeted, and the Conservative government's reaction is to push an income-splitting scheme that gives billions of dollars to the country's wealthiest people. Oil revenues have plummeted, and the Conservative government is pushing a job-creator tax cut that creates only 800 jobs at a cost of half a billion dollars. Who can make sense of that math?

Newfoundland and Labrador knows all about the incredible downside of economic tunnel vision in terms of the oil industry, because we are getting it from both ends. Oil revenues are down from our own offshore oil play to the point that the province is facing a deficit this year of $916 million. That is a deficit of almost a billion dollars for a small province with a population of just over half a million people. On the western end, thousands of layoffs in Alberta's oil sands will also have a devastating impact on our migratory workforce. Alberta oil money has been propping up our fishing outports for years. That is the reality. Newfoundland and Labrador has been solely focused on the oil industry, to our peril; the fishing industry is an afterthought. It is an afterthought to the provincial government and an afterthought to the federal Conservative government. Diversification is not in the Conservative vocabulary.

The second part of today's motion calls on the Conservatives to prepare a budget that addresses the economic challenges faced by the middle class by creating more quality, full-time jobs and encouraging economic diversification. There is that word again. The Conservatives and the Liberals have failed at diversification. Over the last decade, under Liberal and Conservative governments, we have lost more than 500,000 manufacturing jobs, most of which were in Ontario. We are addicted to oil. We are fixated on pipelines, fracking, and deepwater drilling. It is oil at all costs, the environment be damned.

Let us make no mistake: we have done well by oil. My province in particular, Newfoundland and Labrador, is a have province because of oil revenues. However, with oil revenues down, the province is bracing for cuts to tackle that $916 million deficit. With oil revenues down, the federal Conservative government is apparently proceeding with income splitting for the wealthiest Canadians. What about the middle class? Where does that leave them?

I spoke on the telephone last night with a 68-year-old woman in my riding. She was a career woman who worked at a good job and now, in retirement, she makes around $25,000 a year. I asked her, and she said she considers herself middle class, but she cannot afford $900 a month for rent, which is the average cost of an apartment in St. John's. Instead, she is forced to live in her daughter's basement apartment. Where is the help for the middle class? Where is the help for that woman?

A forum on child care was held this past weekend in St. John's. One of the stories told was that of a single father of three who had to quit his job because he could not afford child care. The man said that because of the amount of money he made at his job the year prior to becoming a full-time father, he did not qualify for assisted child care, so he had to go on social assistance to raise his children. How will income splitting help that man raise his children? It will not.

My party, the New Democratic Party of Canada, proposes a national child care plan that would cost parents no more than $15 a day for child care. That plan would boost the economy by allowing more parents, more men and more women, to access the workforce.

To conclude, we are calling on the Conservative government to release its economic update, to diversify the economy, and to introduce a budget that includes measures to create quality jobs, a budget that addresses the challenges facing the middle class—and while they are at it, a budget that stands on guard for Newfoundland and Labrador.

Opposition Motion—Economic SituationBusiness of SupplyGovernment Orders

3:50 p.m.

Liberal

Adam Vaughan Liberal Trinity—Spadina, ON

Mr. Speaker, of all the strange, contradictory, and perhaps even bizarre things I have heard in the House this week, one of strangest and most concerning things I heard was a minister saying yesterday that the other provinces in Canada would resent supporting Newfoundland as it pursued what was agreed to by the Conservative government as part of this deal.

I was curious as to whether the member was aware of any premier, any province, any member of Confederation, or any individual who has said that Newfoundland does not deserve to be honoured and respected in the way he had spoken to, whether the minister is mistaken or is trying to create a fight among the provinces simply to cover the tracks of what quite clearly you describe as a double-cross against your province.