Bill C-10 (Historical)

Budget Implementation Act, 2009

An Act to implement certain provisions of the budget tabled in Parliament on January 27, 2009 and related fiscal measures

Part 1 implements income tax measures proposed in the January 27, 2009 Budget. In particular, it
(a) increases by 7.5% above their 2008 levels the basic personal amount and the upper limits for the two lowest personal income tax brackets, thereby also increasing the income levels at which income testing begins for the base benefit under the Canada Child Tax Credit and the National Child Benefit supplement;
(b) increases by $1,000 the amount on which the Age Credit is calculated;
(c) increases to $25,000 the maximum amount eligible for withdrawal under the Home Buyers’ Plan;
(d) introduces amendments to the rules related to Registered Retirement Savings Plans and Registered Retirement Income Funds to allow for recognition of losses in accounts between the time of the annuitant’s death and final distribution of property from the account;
(e) repeals the interest deductibility constraints in section 18.2 of the Income Tax Act;
(f) extends the mineral exploration tax credit for one year;
(g) increases to $500,000 the annual amount of active business income eligible for the 11% small business income tax rate and makes related amendments;
(h) clarifies rules relating to timing of acquisition of control of a corporation; and
(i) creates cost savings through electronic filing of tax information.
In addition, Part 1 implements income tax measures that were referenced in the January 27, 2009 Budget and that were originally proposed in the February 26, 2008 Budget but not included in the Budget Implementation Act, 2008. In particular, it
(a) clarifies the application of the excess corporate holdings rules for private foundations;
(b) increases the amount that corporations will be able to pay as “eligible dividends”;
(c) enacts several regulatory amendments that complement and complete measures enacted in the Budget Implementation Act, 2008;
(d) introduces minor adjustments to the Tax-Free Savings Account rules and the scientific research and experimental development investment tax credit rules included in the Budget Implementation Act, 2008;
(e) implements rules in respect of donations of medicines; and
(f) reduces the paper burden on businesses by allowing a larger number of government entities to share Business Number-related information in connection with government programs and services.
Part 1 also implements other income tax measures referred to in the January 27, 2009 Budget that either were themselves previously announced or flow directly from previously announced measures. In particular, it
(a) implements technical changes relating to specified investment flow-through trusts and partnerships and new tax rules to facilitate the conversion of these entities into corporations;
(b) contains amendments to take into account financial institution accounting changes;
(c) extends the general treatment of capital gains and losses on an acquisition of control of a corporation to gains and losses that result from fluctuations in foreign exchange rates in respect of debt denominated in foreign currency;
(d) enhances the carry-forward for investment tax credits;
(e) implements amendments relating to the computation of income, gains and losses of a foreign affiliate;
(f) implements amendments to the functional currency tax reporting rules;
(g) implements minor tax amendments relating to interprovincial allocation of corporate taxable income, the Wage Earner Protection Program and the Canada-United States tax treaty’s rules for cross-border pensions;
(h) provides for an extension of time for income tax assessments that are consequential to provincial reassessments;
(i) ensures the appropriate application of the Income Tax Act’s trust rules to certain arrangements and institutions under Quebec civil law;
(j) enacts regulatory amendments relating to prescribed amounts for automobile expenses and benefits, eligible medical expenses, and the tax treatment of foreign affiliate active business income earned in a jurisdiction with which Canada has concluded a tax information exchange agreement;
(k) introduces rules to reduce the required minimum amount that must be withdrawn from a Registered Retirement Income Fund or from a variable benefit money purchase pension plan by 25% for 2008, and allows related re-contributions;
(l) extends the deadline for Registered Disability Savings Plan contributions; and
(m) modifies the provisions relating to amateur athletic trusts.
Part 2 amends the Excise Act, 2001 and the Excise Tax Act to implement measures to reduce the paper burden on businesses by allowing a larger number of government entities to share Business Number-related information in connection with government programs and services.
Part 3 amends the Customs Tariff to implement measures announced in the January 27, 2009 Budget to
(a) reduce Most-Favoured-Nation rates of duty and, if applicable, rates of duty under other tariff treatments on a number of tariff items relating to machinery and equipment imported on or after January 28, 2009;
(b) divide tariff item 9801.10.00 into two separate tariff items pertaining to conveyances and containers, respectively, and make two technical corrections, effective January 28, 2009; and
(c) modify the tariff treatment of milk protein substances, effective September 8, 2008.
Part 4 amends the Employment Insurance Act until September 11, 2010 to extend regular benefit entitlements by five weeks. It also provides that a pilot project ceases to have effect. In addition, it amends that Act to provide that the cost of benefit enhancement measures under that Act, provided for in the budget tabled in Parliament on January 27, 2009, are not to be charged to the Employment Insurance Account. Finally, it sets the premium rate provided for under that Act for the years 2002, 2003, 2005 and 2010.
Division 1 of Part 5 amends the Financial Administration Act to authorize the Minister of Finance to take, subject to certain conditions, a number of measures intended to promote the stability or maintain the efficiency of the financial system, including financial markets, in Canada.
Division 2 of Part 5 amends the Canada Deposit Insurance Corporation Act to provide the Canada Deposit Insurance Corporation with greater flexibility to enhance its ability to safeguard financial stability in Canada. The Division also adds Tax-Free Saving Accounts as a distinct category for the purposes of deposit insurance. It also makes consequential amendments to other acts.
Division 3 of Part 5 amends the Export Development Act to, among other things, expand the Export Development Corporation’s mandate to include the support and development of domestic trade and business opportunities for a period of two years. The period may be extended by the Governor in Council. Division 3 also increases the Corporation’s authorized capital.
Division 4 of Part 5 amends the Business Development Bank of Canada Act to increase the maximum amount of the paid-in capital of the Business Development Bank of Canada.
Division 5 of Part 5 amends the Canada Small Business Financing Act to increase the maximum outstanding loan amount in relation to a borrower. It also increases individual lenders’ cap on claims. These amendments will apply to new loans made after March 31, 2009.
Division 6 of Part 5 amends a number of Acts governing federal financial institutions to improve access to credit and strengthen the financial system in Canada, including amendments that will
(a) provide new authority for further safeguards to promote the stability of the financial system;
(b) enhance consumer protection by establishing new measures to help consumers of financial products; and
(c) implement other technical measures to strengthen the financial sector framework in Canada.
Division 7 of Part 5 provides for payments to be made to provinces and territories, provides authority to the Minister of Finance to enter into agreements respecting securities regulation with provinces and territories and enacts the Canadian Securities Regulation Regime Transition Office Act.
Part 6 authorizes payments to be made out of the Consolidated Revenue Fund for various purposes, including infrastructure and housing.
Part 7 amends Part I of the Navigable Waters Protection Act to create a tiered approval process for works in order to streamline the approval process and to exclude certain classes of works and works on certain classes of navigable waters from the approval process. This Part further amends Part I of the Act to clarify the scope of the application of that Part to works owned or previously owned by the Crown, to provide for the application of the Act to bridges over the St. Lawrence River and to add certain regulation-making powers.
Part 7 also amends the Act to clarify the provisions related to obstacles and obstructions to navigation. The Act is also amended by adding administration and enforcement powers, consolidating all offence provisions, increasing fines and requiring a review of the Act within five years of the amendments coming into force.
Division 1 of Part 8 amends the Wage Earner Protection Program Act and the Wage Earner Protection Program Regulations to provide that unpaid wages for which an individual may receive payment under the Wage Earner Protection Program include unpaid severance pay and termination pay.
Division 2 of Part 8 amends the Canada Student Financial Assistance Act to, among other things,
(a) require the Chief Actuary of the Office of the Superintendent of Financial Institutions to report on financial assistance provided under that Act; and
(b) authorize the Minister of Human Resources and Skills Development to suspend or deny financial assistance to all those who are qualifying students in respect of a designated educational institution.
Division 2 of Part 8 also amends both the Canada Student Financial Assistance Act and the Canada Student Loans Act to, among other things,
(a) terminate all obligations of a borrower with respect to risk-shared loans and guaranteed loans if the borrower dies;
(b) authorize the Minister of Human Resources and Skills Development to require any person who has received financial assistance or a guaranteed student loan to provide that Minister with documents or information for the purpose of verifying compliance with those Acts; and
(c) authorize that Minister to terminate or deny financial assistance in certain circumstances.
Division 3 of Part 8 amends the Financial Administration Act to provide express authority for agent Crown corporations to lease their property, restrict the appointment of employees of a Crown corporation to its board of directors, require Crown corporations to hold annual public meetings, clarify Treasury Board’s duties to indemnify Crown corporation directors and officers, permit more flexibility in the frequency of special examinations of Crown corporations, and require the reports of special examinations to be submitted to the appropriate Minister and Treasury Board and made public. This Division also makes consequential amendments to other Acts.
Part 9 amends the Federal-Provincial Fiscal Arrangements Act to set out the amount of the fiscal equalization payments to the provinces for the fiscal year beginning on April 1, 2009 and amends the method by which fiscal equalization payments will be calculated for subsequent fiscal years. It also amends the method by which the Canada Health Transfer is calculated for each fiscal year in the period beginning on April 1, 2009 and ending on March 31, 2014.
Part 10 enacts the Expenditure Restraint Act. The purpose of that Act is to put in place a reasonable and an affordable approach to compensation across the federal public sector in support of responsible fiscal management in a difficult economic environment.
It sets out rules governing economic increases to the rates of pay of unionized and non-unionized employees for periods that begin during the period that begins on April 1, 2006 and ends on March 31, 2011. It also continues certain other terms and conditions at their current levels. It preserves the right of collective bargaining with regard to other matters and it does not affect the right to strike.
The Act does not preclude the continued development of workplace improvements by employers and employees’ bargaining agents through the National Joint Council or other bodies that they may agree on. It also permits bargaining agents and employers to agree to the amendment of certain terms and conditions of collective agreements or arbitral awards.
Part 11 enacts the Public Sector Equitable Compensation Act and makes consequential amendments to other Acts. The purpose of the Act is to ensure that proactive measures are taken to provide employees in female predominant job groups with equitable compensation.
It requires public sector employers that have non-unionized employees to determine periodically whether any equitable compensation matters exist in the workplace and, if so, to prepare a plan to resolve them. With respect to public sector employers that have unionized employees, the employers and the bargaining agents are to resolve those matters through the collective bargaining process.
It sets out the procedure for informing employees as to whether an equitable compensation assessment was required to be conducted and, if so, how it was conducted, and how any equitable compensation matters were resolved. It also establishes a recourse process for employees if the Act is not complied with.
Finally, since the Act puts in place a comprehensive equitable compensation scheme for public sector employees, this Part amends the Canadian Human Rights Act so that the provisions of that Act dealing with gender-based wage discrimination no longer apply to public sector employers. It extends the mandate of the Public Service Labour Relations Board to allow it to hear equitable compensation complaints and to provide other services related to equitable compensation in the public sector.
Part 12 amends the Competition Act. The amendments include
(a) introducing a dual-track approach to agreements between competitors, with a limited criminal anti-cartel provision and a civil provision to address other agreements that substantially lessen or prevent competition;
(b) providing that bid-rigging includes agreements or arrangements to withdraw bids or tenders;
(c) repealing the provisions dealing with price discrimination and predatory pricing, replacing the criminal resale price maintenance provision with a new civil provision to address price maintenance practices that have an adverse effect on competition, and repealing all provisions dealing specifically with the airline industry;
(d) introducing an administrative monetary penalty for cases of abuse of dominant position, increasing the maximum amount of administrative monetary penalties for deceptive marketing cases, and increasing the maximum fines or terms of imprisonment, or both, for agreements or arrangements between competitors, bid-rigging, criminal false or misleading representations, deceptive telemarketing, deceptive notice of winning a prize, obstruction of Competition Bureau investigations and failure to comply with prohibition orders or production orders;
(e) clarifying that, in proceedings under section 52, 74.01 or 74.02, it is not necessary to establish that false or misleading representations are made to the public in Canada or are made in a place to which the public has access, and clarifying that the “general impression test” applies to all deceptive marketing practices in sections 74.01 and 74.02;
(f) providing that the court may make an order in respect of cases of false or misleading representations to require the person who engaged in the conduct to compensate persons affected by the conduct, and may issue an interim injunction to freeze assets if the Commissioner of Competition intends to ask for such a compensation order; and
(g) introducing a two-stage merger review process for notifiable transactions, increased merger pre-notification thresholds and a reduced merger review limitation period.
Part 13 amends the Investment Canada Act so that the review of an investment will be applied only to the more significant investments. It also amends the Act to allow more information to be made public. This Part also provides for the review of foreign investments in Canada that could threaten national security and allows the Governor in Council to take any measures that the Governor in Council considers advisable to protect national security, such as prohibiting a non-Canadian from implementing an investment.
Part 14 amends the Canada Transportation Act to provide the Governor in Council with flexibility to increase the foreign ownership limit from the existing levels to a maximum of 49%.
Part 15 amends the Air Canada Public Participation Act in relation to the mandatory provisions in the articles of Air Canada regarding constraints imposed on the issue, transfer and ownership of shares. It provides for the repeal of the provisions requiring that the articles of Air Canada contain provisions imposing limits on non-resident share ownership and the repeal of the provisions requiring that the articles of Air Canada contain provisions respecting the enforcement of these constraints.

Budget Implementation Act, 2009

[Paul Crête, Bloc, Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC]

Mr. Speaker, those who feel abandoned are Quebeckers and it is the Conservative government that has abandoned them. For example, the request concerning the waiting period in employment insurance is a unanimous one in Quebec. The Conservatives ignored it completely.

There has been criticism throughout Quebec of the measures in this budget vis-à-vis the crisis in the forestry and manufacturing sectors. We are realizing that the Conservative government, especially because of the weak representation by the members from Quebec, has failed to put forward measures that will benefit the economy of Quebec.

On the matter of credit—it is all very complicated—the amount involved is $200 billion. The problem with the banks is not the amount the government is releasing, but the imposition of conditions on them to ensure that the money will reach consumers. And, in this regard, more effort is required.

[Shawn Murphy, Liberal, Charlottetown, PE]

Mr. Speaker, in his speech my learned friend talked about the lack of merits of a national securities regulator and said that various provinces, including Quebec, have a great system now. This is 72 hours after the Caisse de dépôt announced that it lost $38 billion last year. One of the reasons for that loss was the investment in asset based commercial paper. The regulators in Quebec, Ontario and every other province did not understand the product, did not understand the rulings from the rating agencies, did not realize that these were toxic products. This caused a lot of losses and damages to ordinary working Quebeckers and Canadians.

Given the facts that have come to light in the last little while, does my learned friend think the system can be improved?

[Paul Crête, Bloc, Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC]

Mr. Speaker, my answer, simply, is that Percy Crawford, who established the rescue plan in connection with the whole issue of banking papers, said that the impact of the system would have been no different had it been a centralized system. The OECD considers the Canadian system second in the world in terms of its reliability.

In the financial crisis, however, this is not where the problem lies. We must establish how those responsible made the investments. The bottom line is that the brokers accepted a product that was unacceptable. This situation was repeated worldwide, where there were centralized systems and where there were decentralized systems.

Still, in this matter, Mr. Crawford, the person who succeeded in coming up with a solution to avoid a totally negative fallout, a leading light in Canada, said that a centralized system would not have improved the situation in any way.

[Shawn Murphy, Liberal, Charlottetown, PE]

Mr. Speaker, since this is my first occasion to speak in the House since you have been appointed to this position, I wish to congratulate you and wish you all the best as you assume your new duties.

I want to thank the other speakers who spoke on this particular issue. When we look back and listen to what everyone is saying, we come to realize what a large and diverse country Canada is. We come from many cultures, with two founding languages, and it certainly adds so much to the richness of this country and the richness of this debate.

I want to spend the limited time allocated to me today to speak briefly on the environment in all its forms: climate change, water, clean air. I certainly read the budget and I am a little disappointed in what I have read. I think there was a half a page or a page and a half on the environment. Some people would say there was little done and some people would say there was nothing done; however, regardless, it was pretty thin.

I know for a fact, and everyone knows, that environmental issues rise and fall with the economy. When the economy is doing well, the environment becomes a major concern with people and of course when the economy starts to slip, the environment becomes less of a concern. This is very unfortunate. It is up to us in Parliament to provide that leadership and provide that vision that is needed in these times.

I am not going to repeat in this House what everyone knows about the whole issue of climate change. It is, according to Sir Nicholas Stern, the greatest market failure the world has ever seen.

This is the fourth year the government has been in power. If it were four months, six months or eight months, we probably would not expect much action; however, this is the fourth year. The first environment minister who came to the House preached that we would have a made in Canada plan. However, we never saw any plan, let alone a made in Canada plan.

We then had a second environment minister, who said that he was going to regulate. We really never saw any regulations; although there was a lot of talk.

Now we have a third minister, after four years, and he has taken the position that we are going to now have a North American solution. The bottom line is that we really have not seen a lot. Looking at this budget, I believe there is a reference to the environment on page 269, although I may be incorrect on the page number. In any event, I am, like most other people, very disappointed in what is in this particular budget.

Mr. Speaker, before I go any further, I neglected to say that I will be splitting my time with the member for Beaches—East York.

I am very disappointed in what I have seen and I am very disappointed in what has been done, and I will give a few examples. One example that came vividly to light last week is the $1.519 billion trust fund. This was announced several years ago amid much applause and many press releases. There were a lot of self-congratulatory statements, a lot of rhetoric. There was going to be a reduction of 16 million tonnes of greenhouse gas emissions. However, what was not explained to the Canadian people at the time was that these funds were going to be put into a complicated trust and the trust, in turn, would go to the provinces and there was absolutely no requirement--

[The Acting Speaker, Conservative, Barry Devolin]

It being 2 o'clock, I must interrupt this member. He will have approximately six minutes when we return to government orders. We will go to statements by members, the hon. member for Oakville.

The House resumed consideration of the motion that Bill C-10, An Act to implement certain provisions of the budget tabled in Parliament on January 27, 2009 and related fiscal measures, be read the second time and referred to a committee, and of the motion that this question be now put.

[The Speaker, Liberal, Peter Milliken]

When the matter was before the House a short time ago, the hon. member for Charlottetown had the floor and there are six minutes allotted in the time remaining for his remarks.

I therefore call upon the hon. member for Charlottetown.

[Shawn Murphy, Liberal, Charlottetown, PE]

Mr. Speaker, when I concluded before question period, I was speaking about the budget. I specifically confined my remarks to the whole issue of the environment and the lack of any action at all in this last budget statement from the government. I talked about what has happened over the last three years and, really, when we look at it, some would say nothing has happened and some would say very little has happened.

One of the announcements I was talking about that was very troubling was this $1.519 billion trust fund that was established a couple of years ago where the money would go to the provinces. However, as has been disclosed last week from the report of the Auditor General, there was a total breakdown in the whole link of accountability. The number one job of members of Parliament on both sides of the House is to hold the government accountable for the money it spends on behalf of the taxpayers.

However, in this case, the moneys were transferred to the provinces and there was absolutely no requirement that they spend the money on the environment, or anything else for that matter, and a lot did not. Those that did, did not spend it on incremental matters; they just substituted that money for other moneys they were planning to spend on the environment. So, we can see how troubling this is.

To put it into perspective, there is not one person in Ottawa at the Department of Finance, at the Treasury Board, or over at the Office of the Auditor General, who can confirm that one cent of this money was spent on environmental matters. Then the government made the statement that at the time it was going to lead to a 16 million tonne reduction in greenhouse gas emissions. Of course, we know that that was just someone's wild guess. No one could confirm now that there was one tonne, 10 tonnes or one million tonnes in reduction; that is just a statement in hot air that is out there and no one can confirm it. There is no accountability mechanism at all. So, it is certainly troubling to hear this.

Again, the second program the government announced with much fanfare, and again at the time I know it was extremely bad public policy, was this tax credit for transit riders. It was announced to cost $665 million. At the time, I believe there were reports from the Department of Finance that it would lead to a 100 tonne reduction of greenhouse gases annually. The government announced, despite this report, that it would be 220,000 tonnes annually, but now it has reported that, no, all that information was incorrect, it was erroneous, and the correct figure is 30 tonnes annually.

As we can see, if we do the arithmetic, it is extremely expensive. At $665 million, it is something like $10,000 per tonne. It is hopelessly expensive. It is bad public policy. As I watched the minister answer questions last week, I think he realizes that he is dealing with a program that obviously does not work and that he has to figure out some way of getting out of it.

That brings us to today. Looking at this budget, there is one page that talks about environmental measures. It is very brief. There is some research done on carbon capture, there is an extension to the ecotrust moneys, and that it is it. There is nothing else. It is all contained in one half page.

As I said before question period, we have gone through three regimes in this House. The first environment minister said we would have a made in Canada approach. The second minister said he was going to legislate, and we have not seen that. And of course the third minister, now, is talking on the public airwaves about a North American solution.

But, again, this is after four years. After three months nothing was done, after six months nothing was done, and now we are looking at four years and we are not seeing anything at all. Again, that is very disappointing and troubling. When we compare it to what was going on in the United States, it mirrored what was going on in the United States because the administration in the United States and the administration in Canada were basically in lockstep with each other.

I do not know what the new administration in the United States is going to do. It is too early to tell. But certainly from the announcements that were made by President Obama, there seems to be very strong statements being made as to that administration's intention on the environment. There are some very power people occupying the secretary's position.

President Obama is going to be here on February 19. There are a number of issues to talk about. I assume and hope that climate change would be one of those issues, but I would like to be a fly in that room to listen to the conversation because I do not know what the Prime Minister would say when President Obama asks what we are doing. I think it would be a very short, terse conversation. We have to get ourselves in lockstep with what is going on in the United States on this whole issue.

The last election was fought on the green shift. It was attacked negatively and I will admit successfully, but as a Canadian I do not think for a minute that the government should interpret that as a licence or mandate to do absolutely nothing on the environment.

Again, I am disappointed. I am concerned. This is a major issue. I believe that people are looking for action and when I look at a vision, it is very unclear and I do not see any vision at all. Let us hope that in the days and months to come we will see more action on this initiative.

[Rodger Cuzner, Liberal, Cape Breton—Canso, NS]

Madam Speaker, the vast majority of Canadians want this Parliament to work and they want parliamentarians to work together in their best interests. There is a great deal of fear out there right now whether or not this is enough stimulus to help the economy along. Certainly, it has been difficult. It is a leap of faith from the people on our side to support the budget. We are trying to determine exactly what is fact in the budget and what is perceived.

The issue that I have not been able to get any reassurance on is the measures regarding EI where it was announced that there would be an extension of five weeks with the EI program. I am wondering if that applies only to those recipients who are receiving full benefits, 45 weeks and extended to 50, or does my colleague know whether or not it is extended to all recipients of EI. If they are qualified for 32 weeks, is that extended to 37? It is a question that is being asked out there and I am wondering if he has any more insight on this.

[Shawn Murphy, Liberal, Charlottetown, PE]

Madam Speaker, I know EI is a big issue in the member's riding of Cape Breton—Canso. It is a big issue my riding, but the two issues on EI are the people who cannot get it because they do not qualify because they do not have the number of hours. That is one of the biggest problems, but the second problem is the waiting period. There is two week waiting period.

However, another issue that is just as, or more important, and that is the whole administrative delay. People get laid off, for example, at the end of November and they have the two week waiting period. Then they can file their claim and then it is either four, five or six weeks. So we are dealing with a person who was laid off from work on December 1 and it is toward the end of January before they receive their first cheque. We can see the problems and difficulties that puts Canadian families in. That is a major issue that ought to be addressed by the government immediately.

[Thomas Mulcair, NDP, Outremont, QC]

Madam Speaker, my question to the hon. member concerns the three Es.

It is employment insurance; equity, as in pay equity; and the environment.

The bill, contrary to the needs that are obvious, does nothing on employment insurance. It especially does not take away the two week penalty for people who lose their job through no fault of their own. That is money that could be given, flowing directly into the community. We could also extend the base of people, applying the same rules across Canada.

On the environment, the bill provides a rule making power that is not even made public. The government intends to take away the requirement for an environmental assessment for any project under $10 million. If people are destroying a precious wetland, it matters little the value of the project that is going to destroy it, it is the value of the ecosystem that we should be looking at.

The third e, of course, is equity, pay equity. Unlike the provinces that the minister referred to today where they did everything to make sure women had pay equity, here the Conservatives want to take it away.

How can a party that calls itself Liberal support measures like that?

[Shawn Murphy, Liberal, Charlottetown, PE]

Madam Speaker, the budget document, as everyone in the House and certainly everyone on this side of the House realizes, is not a perfect document.

There are a lot of things in the budget that I think should have been done differently, that should be more enhanced, but there are some positive initiatives. The infrastructure moneys are welcome right across Canada, and certainly in my riding, assuming we can get the money out the door. That is an unanswered question.

Even the small amendments to EI are a welcome change. It is not a perfect document. That is why the previous speaker said it is up to us as parliamentarians to work together. When 129,000 Canadians lost their job last month, I do not think that Canadians want to be thrown into an election at this point in time. They want solutions. They want policies. They want programs. They want decisions. They want action from this House.

[Maria Minna, Liberal, Beaches—East York, ON]

Madam Speaker, I think we all know that the budget tabled recently by the government would not have been fashioned the way it was had there not been pressure from the opposition. Had November not happened, had the financial update not happened, had the prorogation not happened, had the pressure from all Canadians and from labour, business and House opposition members not happened, that particular budget probably would not have happened. Certainly there would not have been the measures within that budget that address some of the situations in our economy. I think that needs to be said.

There are some encouraging pieces in that budget; however, it is a flawed document, because it does not specifically address a lot of areas that deal with the unemployed and with building an economy for the future. Let me start with some of the things the budget misses out on tremendously.

Early education and child care in this country constitute a huge problem. There are no spaces being created by the government, despite its constant claim that we have universal child care, which of course does not exist under this particular government. In fact, it cut $5 billion off a national child care program put in place by the Liberal government prior to that.

My own province of Ontario is running out of money to provide child care. We do not know yet whether the government will come forward and provide the funding or not. In Toronto alone, 6,000 spaces are set to close, while we have a two- to three-year wait-lists for children. This situation gives parents no choices.

Let us look at the economy. Parents are losing jobs. They need early education and child care to be able to go to the retraining programs that the government claims it is putting in place in order for them to go back to those jobs we are trying to create.

On top of that, it is also about development. Creating child care spaces also creates infrastructure, as well as jobs for the teachers who would be participating, not to mention the benefit to the families. This is a point the government has not understood: early education and child care are not just about babysitting, but also about early childhood development and supporting families in our society. This is a major gap in which social infrastructure is not addressed. Instead of building the lives of children and preparing them for the future, we are leaving them behind at the very outset, because there is no plan and never has been.

Unquestionably there is some money for affordable housing. I will not take away the support for low-income seniors and disabled people. The $1 billion is a one-time investment over two years for renovation and energy retrofits, but no new buildings are being created. There is no new affordable housing being built for families who are waiting right now. I think the wait-list is somewhere around six to seven years to find any affordable housing whatsoever for families with moderate to low income in Toronto, but there is no long-term strategy here for affordable housing of any kind.

There is no question that I appreciate the assistance for seniors and disabled families. Nonetheless, it is only $75 million over two years for construction of housing for persons with disabilities and $400 million over two years targeted for low-income seniors. Those are two good pieces. I am glad to see there is at least some assistance for some of the more vulnerable people in our society. However, the reality is that in this country people are waiting six to seven years or more for affordable housing. In my own riding I have seen families who have lost jobs begging and coming to me because they cannot pay their rent or find affordable housing.

Under this affordable housing plan we have retrofits, and that is great. There is no question that renovation is a good program, but people need to have money to put forward in order to be able to benefit from home renovation. If people do not have a job or the money to pay a mortgage, they cannot do it. These programs help those Canadians who have money, and that is okay, because we need people to spend money. However, we also need to look after those people who are vulnerable in our society, the large number of people who have lost jobs and the others already on the wait-list who have not been able to access affordable housing.

Affordable housing is a major infrastructure program as well as a benefit to society. It is an investment in the long term. That housing will be there for decades to come and will bring stability to the sector. Looking into the future, it would be investing in our society as well as creating jobs in our community, and we need to do that. Social infrastructure is just as important as the infrastructure for roads, bridges and so on.

Another area which is not just missed, but it is actually punitive, and that is not even the right word, is pay equity. Pay equity is a human rights issue for women. It is not a privilege. It is not something that is done because one is trying to be nice. It is a basic human right for women.

Women in this country are now earning 70¢ to the dollar. In the mid-nineties they were earning 72¢ to the dollar. They are actually going backward and not making headway. That is taking into consideration a university education as well. The fact of the matter is that women are earning less. This House has asked the government repeatedly to strengthen pay equity. The reports from the standing committee of the House have constantly requested the same thing. A task force report was tabled as far back as 2004 to bring forward proactive pay equity legislation, but under the current legislation the government is in fact taking away the right for women to even put in a complaint. Now, if a woman is being discriminated against on a pay issue, she cannot even put in a complaint under the current bill. That will be eliminated because it is supposed to be part of the collective bargaining agreement.

I have all the respect for unions and will always support collective bargaining, but women's rights are not to be bartered with at the table. I also learned today that not only women can no longer put in complaints, but also that if a union member helps a woman put forward a complaint to the human rights commission, that member will be charged $50,000 for actually assisting her to put in a complaint under an act under which she has every right to put in a complaint. It is absolutely bizarre that the government has, from day one, from the time it was elected back in 2006 and in budget after budget, constantly brought in measures that are to the detriment of women, that put women down and erase them from the face of any legislation. I do not know what the government's problem is. Seventy-six per cent of women are in the labour force, but this seems to be something that does not sink in.

I want to go to something else, and that is jobs for the future.

There is nothing in this document that is strong on the environment. We have seen the results of previous environmental programs, such as the transit passes, which have actually produced absolutely nothing. They have put money into people's pockets, but they have not created any measurable reduction in environmental pollution, so that does not help in any way.

There is no investment in the jobs of tomorrow. The President of the United States is talking about investing in green technology, in creating the jobs of tomorrow. I guess we will be buying their technology, because we are not doing it ourselves, and this budget does not have it.

Employment insurance has been extended five weeks, yes, but accessibility is still a huge problem, especially for women. Nearly three times as many men qualified for EI during the last reporting period than did women. That shows one of the major concerns with respect to EI.

I have a great deal more to say on that point, although maybe not at this time. These are just some of the issues on which, in my view, the government has missed the boat. I would urge the government to listen to the opposition, as it did on some of the things it has put in the budget; to make changes in the next little while; and to invest in the areas that will strengthen our economy, make us a partner with each other, build for the future and help us come out of this mess with a stronger rather than weaker society.

[Thomas Mulcair, NDP, Outremont, QC]

Madam Speaker, I was listening with great interest to the speech from my Liberal colleague. I heard in particular her litany of complaints against the bill with regard to a woman's right to equal pay for work of equal value. I know she was part of the status of women committee when the report was brought in and the Liberals were in a minority situation.

At the end of her comments she said something that fascinated me. She asked why the government does not listen to the opposition and bring in changes. However, the Liberals have not asked for any changes, not one.

Interestingly enough, when four members from Newfoundland said they could not vote for the budget because of what it would do to Newfoundland, all six of them were actually required to vote against it.

Here is my question to the Liberal member who just spoke: is she going to be making a proposal to amend the bill? If the government does not respond to that proposal, or if she chooses, like the rest of her colleagues, not to make a proposal, is she going to follow the lead of her colleagues from Newfoundland and stand up for the principles she just said she has and be courageous and vote against the bill, or is she going to fold like all the rest of the Liberals and vote with the Conservatives against women's rights, against employment insurance rights, and against the environment?

[Maria Minna, Liberal, Beaches—East York, ON]

Madam Speaker, to my knowledge the NDP did not put forward any amendments to the bill either, so let us get some reality here.

The other thing we have to be cognizant of is that when we had a minority government, the NDP chose to knock that government down, knowing full well what the Prime Minister would have done and what the Conservatives were going to do. They have been very clear about it. Those NDP members knew full well what they were bringing in, but chose nonetheless to kill a Liberal minority government to work with the Conservatives. That is why we now have a bit of a problem and a mess on our hands with this situation.

The issues related to pay equity are serious to me and always have been. I would like to see the government change its position, but I do not have any great hope that it will.

We are going through an economic crisis. We Liberals have a responsibility in this House, unlike the NDP, which wants to have an election every other day. I do not think Canadians want an election right now. Therefore, we will work with the government as much as we can in the short term. In the long term, women in this country will get their rights back, but it will only be with a Liberal government, not with the NDP or the Conservatives.