Osvaldo Nunez

[Excise Tax Act, February 6th, 1997]

Mr. Speaker, I am pleased to rise today to speak at report stage of Bill C-70, an act to amend the Excise Tax Act, the Federal-Provincial Fiscal Arrangements Act, the Income Tax Act, the Debt Servicing and Reduction Account Act and related Acts.

This bill is a collection of various amendments to the GST, which will become the HST, or the harmonized sales tax. Let me tell you right now that this tax is very unpopular in my riding of Bourassa, in Montreal North, especially among business people. I must add that I support the motions put forward by the member for Saint-Hyacinthe-Bagot, which are included in Group No. 2.

This Liberal government is highly embarrassed by the broken promise of the Prime Minister and the Minister of Canadian Heritage to abolish, scrap, and kill the GST. As we all know, the member for York South-Weston even left the Liberal Party over this broken promise among other things.

The Liberals are bent on reaching an agreement with the maritime provinces for harmonizing this tax, which will cost Quebecers and Canadians nearly one million dollars. Moreover, the government intends to ram this legislation through, which undermines the quality of democratic life in Canada.

By the way, the Liberals allowed only three days of public hearings on this crucial, essential, very important bill. The opposition asked that the consultations be extended, but their request was rejected by the Liberal majority on the Standing Committee on Finance. The government wants to put an end right now to this embarrassing issue of the GST, even though Bill C-70 is a very bad bill.

During the 1993 election campaign, the Prime Minister kept repeating: "We will scrap the GST. Nous allons éliminer la TPS". Later, on May 2, 1994, he said: "We hate this tax and we are going to eliminate it". This broken promise will be very costly for the Liberal Party of Canada in the next election.

In a minority report dating back to November 1989, Liberals, when they were the opposition, stated: "The Liberal members of the finance committee maintain that the goods and services tax proposed by the Tory government is bad and that no "repair job" of any kind will make it fair for taxpayers". What the Liberals are doing now with Bill C-70 is nothing but a repair job, a cosmetic make-over.

GST remains as it is, at the same rate, whereas the provincial tax is the one doing the harmonizing. There can be no sales tax reform without a reform of personal and corporate income taxes nor without the involvement of other levels of government. Canada has to undertake a tax reform encompassing every form of taxation at all levels of government.

Like the Bloc Quebecois, I demand for Quebec a $2 billion compensation for having harmonized the QST with the GST. It is unacceptable that the federal compensation formula should help Atlantic provinces compete fiercely with Quebec in the quest for new investments. When I see in Quebec newspapers ads by maritime provinces seeking to lure away Quebec businesses, to me thats provocation.

The $400 million federal compensation paid to New Brunswick will be used to finance the income tax reductions announced in December by the finance minister of that province. I condemn the raiding campaign launched by Premier McKenna against Quebec.

The federal government is showing a lack of openness and fairness in that matter. It refuses to communicate detailed data on the maritimes. This refusal is unacceptable considering that a $1 billion compensation will be paid to those provinces from the income tax and other taxes paid by all Canadian taxpayers.

If the federal government really wants to help boost Quebec's economy, it will have to give Quebecers the money coming to them in all fairness. On May 21, 1996, the Quebec government asked for a $1.9 billion compensation under the adjustment assistance program. Quebec harmonized its tax with the federal tax and is in charge of its administration. It is easy to see that co-operating with the federal government is not very profitable.

I take this opportunity to mention that yesterday, my party, the Bloc Quebecois, has made public an excellent report demanding an overhaul of our personal income tax. In 1996, it had a similar report on the corporate income tax, a report that drew compliments from the finance minister.

I hope the federal government will implement recommendations and proposals from those two reports in its upcoming budget. It should be bringing some order back, and a higher degree of fairness, in our tax system. For example, we know that Canadian banks do not pay their fair share of taxes when they are hoarding staggering profits of over $6 billion. We have the same problem with the chairmen of these banks. They are paid huge salaries but do not contribute a fair amount to government revenues.

The Bloc Quebecois report contains a number of suggestions to make our tax system more stable and fair. Rich taxpayers should pay more, and the poor should pay a little less. Taxpayers with big salaries could end up paying about $1,500 more each year, and those in the middle class as much as $800 less. Extra federal revenues would amount to $2.5 billion. This is an remarkable proposal by the Bloc Quebecois.

We should also be closing loopholes available to the rich. I congratulate the hon. member for Saint-Hyacinthe-Bagot on the excellent job he has done in this matter, and more particularly concerning his RRSP-Employment proposal. The Bloc Quebecois report suggests something extremely innovative, that is, to create an Employment RRSP program, which would allow the unemployed to start their own businesses with funds from their RRSPs. According to this report, maximum withdrawals of $25,000 would be repaid over 13 years. This tax initiative is very fair and should create many jobs.

I have seen the response of the labour movement, in particular the CLC, which is demanding more fairness in tax system. They say that the current tax system is not fair, that average income earners must bear a disproportionate tax burden. This view is shared by the whole labour movement.

However, the government in its last budget cut part of the tax credits for the workers' fund, in particular the Fonds de solidarité of the FTQ. As a former unionist, I cannot accept the government making cuts in this outstanding job creation tool.

[Multiculturalism, February 6th, 1997]

Mr. Speaker, I listened closely to the speech made by the Secretary of State for Multiculturalism as she tabled her annual report of the operation of the Canadian Multiculturalism Act.

I am pleased that this important position is held by a woman from a visible minority. Her multiculturalism policy, however, is a complete failure.

First of all, her government ignores the fact that there is a Quebec culture, that there are two founding peoples, two founding nations. She referred to tolerance as a basic value. But the fact is that, last May, a senior minister of this government suggested that I leave Canada and find another place to live because my views diverge from those of the government, because I dared criticize its immigration policy and because I am a sovereignist member from an ethnic community.

The secretary of state also spoke of compassion. But in her own riding of Vancouver Centre, there is a Salvadoran refugee by the name of Maria Barahona who has had to seek refuge in a church basement in 1995 and has been living there with her four children for more than a year.

Neither the secretary of state nor the minister of immigration has done a thing to remedy the situation. Racism is on the rise in Canada. But there is no word of any specific action, any action plan to combat the social scourge of terrorism. There are cutbacks everywhere, particularly in the services for which the Secretary of State for Multiculturalism is responsible.

Ethnic groups are complaining about not getting any subsidies any more. This government has stopped advertising in the ethnic media, and several papers were forced to close down for lack of subsidization and government ads. This is especially true in the case of Latin Americans. This newly established community needs the government's support to ensure its harmonious integration into the host society.

The unemployment rate among visible minorities is alarming. It is much higher than the Canadian average. This means there is an employment equity act that has not been enforced by the federal government. One of the target groups for positive action plans should be visible minorities.

There is also a need for providing intercultural education to this government's officials. Some newcomers to Canada complain about abusive or discriminatory behaviour on the part of federal officials, particularly citizenship and immigration officials.

In a nutshell, equality for all is far from having been achieved in Canada in the social, economic, cultural and political areas.

[Black Community, February 4th, 1997]

Mr. Speaker, February is black history month. The black community's significant contribution in Quebec and Canada warrants recognition. I draw particular attention to the major contribution made by the Haitians, who are well represented in my riding of Bourassa in Montreal North.

It was in 1606 that the first blacks arrived in New France, but it is more their endless struggle to throw off the yoke of slavery that we should be remembering this month.

In our more pluralistic society, racism and discrimination remain a fact of life. Only sincere political will can put an end to such injustice. On behalf of the Bloc Quebecois, I offer the black community in Quebec and Canada our respect, our pride, our support and our gratitude.

[Petitions, December 13th, 1996]

Mr. Speaker, I am pleased to table a petition signed by 105 residents of Quebec, who are asking Parliament to intervene to ensure that immigration officials enforce the Immigration Act without discriminating against people connected with the Patriarche. Established in more than 15 countries including Canada, the Patriarche is a not for profit organization assisting addicts, including those from abroad.

Since 1992, immigration officials have denied entry to addicts who cannot prove they have been drug-free for at least two years. This is unjustified, as neither the legislation nor the regulations provide for the enforcement of this two-year criterion.

[National Organ Donor Day Act, December 12th, 1996]

Mr. Speaker, on November 27 1996 I asked the Minister of Citizenship and Immigration a question regarding the abuse by immigration officers of Algerian nationals seeking refugee status, including excessively long detentions, intimidation, harassment and other arbitrary practices.

Just hours before I asked this question of the Minister, I had attended a press conference with representatives of the coalition for the respect of human rights to condemn this unacceptable situation which is unworthy of a democratic country such as Canada.

This coalition is made up of the Refugee Assistance Committee, the Office des droits des détenus, the Ligue antifasciste mondiale, the Canadian Council for Refugees, the Table de concertation de Montréal pour les réfugiés and the Civil Liberties Union.

The minister said she was surprised to learn about this press conference. She said she had never been informed of these "very serious allegations", which is not true since I had told her myself, in this House, on behalf of the Bloc Quebecois. Immediately after I got her answer, I sent her a copy of the comments I made on last May 27 in this regard, here in this House.

Moreover, according to the coalition, the minister had been told about these abuses as early as last April and May, but she never followed through with these complaints.

The Bloc Quebecois has asked the minister on many occasions to stay the deportation of refugees to Algeria where violence is still prevalent. If returned, they face huge dangers. These nationals have every right to fear for their lives and safety.

I am heartened by the fact that as of yesterday the federal government has decided to put off for a week carrying out orders expelling people to Zaire. This country has now become a high risk country. Hopefully it will postpone doing so indefinitely.

At the present time, only Burundi, Rwanda and Afghanistan are considered high risk countries. I hope Algeria is included, for there have been some damning reports on human rights abuses in that country.

I am seriously concerned about the behaviour of the immigration officers accused by the coalition. Among the actions listed are: excessive use of detention, the use of false information, denial of

the right to a lawyer during deportation procedures and rejection out of hand of any claims relating to the risks of returning.

In response to my question, the minister promised to act on this matter. I am asking her, once again, to immediately put an end to these odious, discriminatory and arbitrary practices by her immigration officers, and to order a thorough investigation into this matter. The officials responsible for these acts ought to be dealt with appropriately.

In closing, I would like to wish a Merry Christmas, and all the best for 1997, to all immigrants and refugees in Canada and in Quebec, and to all my colleagues in this House.

[Committees Of The House, December 12th, 1996]

Mr. Speaker, I would like to say that the Bloc Quebecois also laid on this table a minority report concerning refugees without identity papers.

There are two main differences between our report and the majority report. The first one concerns the waiting period. Second, regarding two of the countries identified in the regulations, namely Afghanistan and Somalia, we think it is discriminatory. That is why we have tabled a minority report.

[Radioactive Waste Importation Act, December 11th, 1996]

Mr. Speaker, on December 5, I put a question to the Minister of Citizenship and Immigration about the $975 head tax immigrants must pay when they apply for permanent residence in Canada.

Since it was introduced by the federal government in February 1995, this tax has been vigorously and repeatedly condemned in this House by the Bloc Quebecois. It is a particularly odious, unfair and discriminatory tax, especially when imposed on refugees.

This tax has met with almost unanimous opposition from agencies involved in assisting and defending immigrants and refugees, human rights organizations, labour unions, the Bloc Quebecois and now the Liberal Party of Canada.

At the last convention of the Liberal Party held in Ottawa from October 23 to October 27, a resolution was passed demanding that the tax be either reduced or abolished altogether. The resolution indicated that these expenses were an obstacle to large families intending to immigrate to Canada and a heavy burden on those who were trying to become part of the Canadian economy. This document went on to say that the admission fee should not be payable until after the arrival of the new immigrant. The minister should therefore act on his party's resolution immediately.

On November 3, in Vancouver, I met Maria Barahona and her five children, who had sought refuge in Trinity United-St. Mark's Anglican church to avoid deportation. This family has lived in the basement of this church for a year, since December 6, 1995, exactly.

They are living in difficult conditions, despite generous support from the church ministers, administrators and congregation as well as from labour unions and community organizations, but not, however, from the Liberal member for Vancouver Centre.

Maria Barahona is 34 years old and comes from El Salvador. She applied for refugee status in 1991. Her application was turned down by the IRB. She and one of her children suffer from asthma. Children are unable to attend school.

I was deeply touched by this tragic situation. I ask, in fact I beg the Minister of Citizenship and Immigration to stay the enforcement of the deportation order and to grant this family a ministerial permit, followed by permanent residence in Canada.

I hope that the Christmas spirit will prompt the minister to render a favourable decision in this case. I also wish to raise the problem of Zairian nationals in Canada, who are currently being returned to their country of origin.

As everyone knows, the situation in Zaire is very precarious. It is therefore dangerous to deport these people to Kinshasa. Would it not be more appropriate to stay the removal orders against Zairian nationals in Canada, given the involvement of this government in the African Great Lakes region?

Why is it that, while it is considering taking part in an international humanitarian operation in that region, the federal government continues to deport people to Zaire? There is a glaring inconsistency that will have to be corrected to preserve the credibility of this country on the international scene.

Mr. Speaker, allow me to conclude by wishing a Merry Christmas and a Happy New Year to my family and to my staff, who are sitting in the public gallery.

[Finance, December 11th, 1996]

Mr. Speaker, as I said, I support the minority report tabled by the Bloc Quebecois and every measure contained in it. The hon. member wants to know where the money required to finance federal spending will come from. I am telling you where to cut: in tax shelters. We have condemned such shelters. Family trusts are a disgrace and should be eliminated as soon as possible.

Also, all the unnecessary expenditures identified by the auditor general in his report must be cut. More cuts are required in defence. The cold war has been over for quite some time. A more equitable tax system must be developed and we do not think the government should use the $5 billion UI fund surplus to finance its deficit. That money is not theirs to begin with. It belongs to those who have contributed to the unemployment insurance fund, that is to say employers and employees, and only to them.

For these reasons, once again, I commend our finance critic for presenting such a fine report.

[Finance, December 11th, 1996]

Mr. Speaker, I am pleased to participate in this debate on the prebudget report. Naturally, I support the Bloc's dissenting opinion expressed in the report of the Standing Committee on Finance entitled "The 1997 Budget and Beyond: Finish the Job".

This government has made unprecedented cuts in health, social assistance and higher education, but we still have double digit unemployment. Compared to the 1989 employment situation, we are still 925,000 jobs short. The federal government is forcing the jobless onto welfare and forcing the provinces to make the most difficult choices in its place. We will recall that Liberals ran on a platform of "jobs, jobs, jobs".

Today, three years into the Liberal government's mandate, the unemployment rate, at more than 10 per cent, remains outrageously high, roughly double the American rate. We must recognize that, in the area of employment, this government's record is poor. I watched, last night, the Prime Minister's interview on the CBC. Several questions were about Canada's high unemployment rate. We heard accounts of the hardship individuals and families are going through across Canada today. The CBC itself just announced job cuts affecting more than 1,000 people.

It should be pointed out that the cost of high unemployment has become huge, totalling some $91 billion a year. This figure, taken from a study conducted by the Department of Human Resources Development, includes the costs of lost productivity and crime, health costs and all the social costs associated with an employment crisis.

One of the social costs associated with the situation the jobless are in is malnutrition, which can result in chronic illness. Unemployment can also cause severe stress in some individuals, as well as mental disorders, alcoholism, suicide, accidents and heart disease.

These social and health problems associated with unemployment represent additional costs to the federal government. In the end, the taxpayers have to foot the bill for this increase in costs. We find ourselves in a situation where not only citizens are provided with fewer and fewer services by the government, but they are paying more and more taxes.

I agree with eliminating the deficit and putting the federal government's financial house in order. But I disagree with the way the government is going about it. They are penalizing the unemployed, welfare recipients, seniors, immigrants and the most disadvantaged in our society, while at the same time protecting and favouring the wealthy.

More than five million Canadians are living below the poverty line, including more than 1.5 million children. I should point out that 1996 was designated International Anti-Poverty Year by the United Nations. Yet, poverty is growing in Canada.

The government tells us that fighting poverty, particularly among children, is one of its priorities. Let us not forget, however, that the federal government's Canada social transfer cuts have increased poverty among children and adults alike. This indicates that the government's choices are not consistent with the objectives of employment and fairness that it claims to be pursuing.

I also condemn once again the decision to use accumulated surpluses in the employment insurance fund to reduce the deficit. The government is reducing its deficit by about $5 billion every year by dipping into this fund, to which only workers and employers contribute so they can have a social safety net.

By reducing the accessibility and duration of benefits, the federal government deprives a considerable number of claimants from money they have already paid into the fund. This is a disgrace.

The situation will get worse as of January 1, 1997, with the implementation of new drastic unemployment insurance measures. The unemployed and their families will have a rough winter.

The Liberal majority report mentions that the technical committee on corporate taxation will only submit its report by the end of 1997. This committee is not at all impartial. Indeed, it is made up of experts from the private sector whose role is to provide advice to major corporations on how to pay the smallest amount of tax possible. Some of these members are clearly in a conflict of interest.

The government has shown that it has a soft spot for major corporations. These are almost unaffected by cuts made to improve the state of public finances. By contrast, the federal government cuts into social programs and targets workers' rights. The only protection for wage earners is their right to collective bargaining,

particularly under the Canada Labour Code. However, this right has been violated by the government on a number of occasions.

In the dispute opposing Canadian International and the Canadian Auto Workers union, the CAW, the government once again sided with the employer. The labour minister unduly interfered in the union's internal affairs. It bypassed the action of CAW's democratically elected leaders by exerting unwarranted pressure and threatening to invoke some obscure section of the Canada Labour Code to force them to hold a vote on major wage concessions.

A duly signed collective agreement is in effect between the parties. For political reasons, and to favour Canadian International, a western company whose head office is in Calgary, the government resorted to political interference and forced the union to hold a vote. I hope this government will have the courage to demand from Canadian International officials a restructuring plan that will protect the jobs of its 16,000 employees.

I want to salute the courage of CAW's leaders, who stood up to the company and to the government. I also condemn the unjust attacks in this House by the leader and the reform members against this union, and particularly against its president, Buzz Hargrove, who is defending the legitimate interests of those of his members employed by Canadian International. These employees have already taken several pay cuts to keep this airline afloat.

As for the overhaul of the taxation system for corporations and for individuals, the government does not seem to be in any hurry. It does, however, seem to be in quite a rush to reduce UI benefits and transfer payments to the provinces for health, higher education and social assistance.

The federal government must clean up its own act and reduce its own spending. There are still too many examples of taxpayers' money being wasted or used inefficiently. This is why, year after year, the auditor general criticizes billions in unnecessary spending, and tax loopholes.

For over three years now, the Bloc Quebecois has been condemning family trusts and tax havens. It has been calling for an overhaul of the Canadian corporate taxation system. Federal tax revenue from corporate taxation has dropped considerably in the last 30 years, going from 23 per cent in 1961 to 9 per cent in 1995.

In addition, Canada is one of the G-7 countries where corporations pay the least tax. Its taxes are also well below the average for OECD countries. The same also holds for Quebec. The tax rate on profits is lower than elsewhere. The impact of federal cutbacks on Quebec is substantial. These cuts are reflected in a major shortfall in revenue for this province, estimated at $16.3 billion for the period from 1982-83 to 1995-96.

Quebec will suffer cuts totalling $636 million in 1996-97 and $1.2 billion in 1997-98. If the federal government had not offloaded its deficit since the early 1980s, Quebec would now have a balanced budget.

These federal cuts dramatically reduce the resources available to the Quebec government to pay for the social programs its population needs. I want to take this opportunity to condemn the attitude of a government that has laid off 45,000 employees in the federal public service. And for many years, it has refused to increase the salaries of its remaining employees.

I hope that the upcoming negotiations with the Public Service Alliance of Canada will lead the government to grant reasonable salary increases. In March 1997, the Public Service Alliance of Canada's 135,000 members will start their negotiations with Treasury Board. For six years, salaries have been frozen, there have been cuts in service and a huge reduction in the number of employees. They are asking for wage increases, the introduction of wage equity, reinstatement of the guidelines on workforce adjustment, employee training, and so forth.

I would also like to say a few words about the incredible salaries of business leaders, salaries we can only dream of.

The president of a large company earns more than the President of the United States and the Prime Minister of Canada. They make at least $300,000 or $400,000 a year, in addition to all their other advantages. And these advantages are often considerable: stock options, production bonuses and premiums, social benefits, and so forth.

I would like to give a few examples of well-heeled executives, and that is an understatement. The president of the National Bank, Mr. Bérard, takes home an annual salary of $1.4 million, while his counterpart at the CIBC had a salary of $1.83 million in 1995. Laurent Beaudoin, the president of Bombardier, earned a total of $19.1 million, one of the highest compensation packages in the country. This $19.1 million includes a salary of $900,000, a bonus of $525,000 and $17.5 million in profits on options. The former president of Bombardier, Raymond Boyer, received an annual salary of $7 million, including $5.9 million in profits on options.

Frank Stronach, founding president of Magna International, made $47.2 million in 1995, including option profits worth $32.3 million. Gérald Pencer of Cott Corporation received $13 million, including option profits worth $12.5 million. David Walsh of Bre-X Minerals Ltd. got $10 million, all in stock options.

There are more heads of companies who earned very attractive salaries, often more than $1 million per year. These include William Doyle and Charles Childers of Potash Sales Ltd.; Pudy Crawford at Imasco; George Petty, Repap Enterprises Inc.; James Dougham of Stone Consolidated Corporation; Larry Solari of Domtar, and so forth.

According to a study of 268 corporations whose shares are traded on the Toronto Stock Exchange, the presidents and CEOs received an average salary of $776,000 last year. This is an increase of 32 per cent over 1993 and 12.6 per cent over 1994.

These incredible salaries are huge, compared with the earnings of those who work for the minimum wage, which varies between $5 and $7 per hour, depending on the province. These differences are out of all proportion.

The extremely high salaries of heads of companies are also a strange contrast with the social conditions of the unemployed and welfare recipients. While the first group lives in luxury, the second is working very hard just trying to find ways to survive each day.

This government's first priority should be to shrink the huge abyss separating the richest and the poorest. This concern must always be taken into account when difficult choices are made about reducing the deficit. The government must have the courage to ask the upper strata of society to make a little effort to help reduce the debt. This in turn would mean that fewer Canadians and Quebecers would be living in abject poverty.

On December 1, I held a brunch with the theme of social solidarity in my riding of Bourassa. More than 300 persons attended. They came from very poor backgrounds, community organizations, the Montreal North AQDR, business and unions. The subject was sharing the wealth and protecting workers and social benefits.

We had distinguished speakers. Clément Godbout, the president of the FTQ, spoke of workers' rights, as did Monique Simard, and Jean Campeau, a former Quebec minister of finance. I discussed the issue of social solidarity and the solidarity of the people of Quebec.

I invited the federal government to use this solidarity to revive the economy and especially to create jobs. The speakers also criticized the huge profits of Canadian banks: over $6 billion for the six main banks.

On the other hand, cuts are being made to welfare, unemployment insurance, the system of subsidies, and so on. Things are tough. On the eve of Christmas, many people will be unable to buy gifts and to partake in the festivities.

In closing, I would first like to wish Merry Christmas to all my constituents in Montreal North and to the people, immigrants, seniors, young people and those hardest hit especially.

[United Nations Universal Declaration Of Human Rights, December 10th, 1996]

Madam Speaker, I thank my hon. colleague for his high praise. I acknowledge that he is a great jurist, and he is asking me a question that has no easy answer.

I believe that, like the Civil Liberties Union in Quebec, the International Federation of Human Rights in Paris has always called for the creation of a permanent international criminal tribunal. I believe this is necessary, particularly to judge those who have committed crimes against humanity.

It is true that there is a human rights tribunal in Europe, but it has no jurisdiction over war criminals who have committed crimes against humanity.

I support his suggestion, if that is what he is suggesting, that the UN create its own tribunal, particularly when infractions of the Universal Declaration of Human Rights are involved. The UN is a formidable body, an extraordinary organization, but it does not have the capacity to apply its fine principles.

What we need is a body that is capable of monitoring and controlling application of the charter, and of judging those responsible for offences under that declaration and other international conventions on human rights.