Madam Speaker, I am pleased to rise on this bill, this additional ribbon-cutting opportunity for the government and for the Minister of International Trade.
I would like to state right at the outset, as my colleague from Thunder Bay—Rainy River stated in the House on Monday, the NDP is voting no on this agreement. I will summarize my comments before I go into the context around why this is a bad bill, not in the interest of Canada at all and certainly not in the interest of Canadian workers or ordinary Peruvians.
To get into the context, I will first mention some of the most egregious aspects of the bill. This bill does not provide for any real opportunity and growth in Canadian jobs. I will come back to the sad history of this, both from the Conservative government and the former Liberal government, in a moment.
Second, this bill replicates the chapter 11 provisions that have been so difficult for municipalities and provinces in cases where they are putting any type of legislation or action in place to improve the quality of life of their people. Whether we are talking about cities or provinces, in all cases chapter 11 has had a push-back effect, most recently with Dow Chemical challenging the pesticide ban in Quebec and threatening to the challenge the pesticide ban in Ontario that was announced today. That is an example of why chapter 11 is very bad.
I will come back to that in a moment or two, but this is what the Conservative government has chosen to replicate in the Peruvian agreement. There is no job gain. The chapter 11 provisions will hurt people in both countries who are trying to improve their quality of life. Multinationals and chief executives basically have the opportunity to override or to get compensation in the event that anything impugns upon the profit of those companies.
Just to summarize arguments before I go into more detail, there is a clause in this agreement that is essentially a carbon copy of the “kill a trade unionist, pay a fine” provisions of the Canada-Colombia trade deal. Let us imagine this for a moment. The Conservative government, despite the fact that it has completely muffed the possibility of putting more police officers on the ground in Canada and has treated police officers, quite frankly, with profound disrespect in refusing to implement the public safety officer compensation fund that was passed by Parliament, has systematically refused everything that police officers asked them to do, pretends to want to do something about crime, but what we have is a trade agreement that essentially legitimizes the killing of human rights activists and trade unionists.
That is less of a problem in Peru than it is in Colombia, but the provisions are outrageous just the same. If there are continued killings of trade unionists, essentially the governments either of Colombia or of Peru would pay a fine to themselves. Let us think about this for a moment. Does this correspond in any way with Canadian values?
If the Minister of Public Safety got up in the House and said he was going to do away with criminal sentences and if people killed somebody they would have to pay a fine, he would be laughed out of the House. Canadians would not accept that. Yet the government is proposing to do exactly that to deal with the ongoing abuse of labour rights, especially in Colombia, but to a certain extent as well, because there have been concerns raised about the context of Peruvian trade union law, it also impacts on Peru.
For those three reasons, the NDP quite legitimately is saying no to this bill.
Let us look at the broader context. We have a government that has followed along the lines of the old failed Liberal approach on economic policy. In a very real sense, Liberals and Conservatives are co-dependent. They keep doing something that is bad and inappropriate and they just cannot stop themselves.
So what we have had over the past 20 years is a complete absence of any sort of industrial strategy to create value-added products and a complete absence of an export strategy, which I will come back to in a moment. Instead, there has been a heavy reliance on ribbon-cutting ceremonies and signature of trade agreements, even when they undermine our own domestic industries and jobs.
Most recently with the government we saw it with the softwood sellout, which to date has cost 20,000 jobs. Not only that, not only is there the job loss that it has caused across the country because of the self-imposed penalties that any Canadian softwood exporter faces at the border, but in addition, these Conservative members are asking taxpayers to pick up the tab for their failure to put in place an agreement that was actually to Canada's advantage.
We had an arbitration two weeks ago. Now it is going to cost Canadian taxpayers, and each and every Conservative member is supporting this idea, $58 million, going south, because the anti-circumvention clause of the softwood sellout is so vast that the American lumber lobby can take us to court on anything. So we lost $58 million. The Canadian taxpayer is now having to pick up the tab.
But wait, we have two more arbitrations coming forward. One will be for a similar amount, probably around $60 million that these Conservative members are going to ask Canadian taxpayers to pick up for their own incompetence. And wait for it, the biggest arbitration could potentially be in the order of $400 million. That is for British Columbia and Alberta softwood producers. Either the entire industry shuts down or all the softwood workers have to take second and third jobs flipping burgers to get that paid off, or the Canadian taxpayers pick it up.
There is not a single Conservative MP, whether from northern Ontario or from British Columbia, who has stood up and said that the Conservatives made a huge mistake, that this arbitration provision and the handcuffs that are the anti-circumvention clause are a horribly bad idea because it costs jobs in Canada and it costs the Canadian taxpayers literally tens of millions of dollars, and potentially, in the coming weeks, hundreds of millions of dollars. Not a single Conservative MP has said, “We made a mistake”, not a single one.
So the softwood sellout very clearly has ignited real opposition right across the country, and I think the Conservatives will be paying the price in the next election.
It was not just that. They went from the softwood sellout to the shipbuilding sellout and brought forward an EFTA agreement that, to all intents and purposes, shuts down our shipbuilding industry. That is not me speaking, that is the actual representatives of the shipbuilding industry, from both coasts, from Atlantic Canada and from Pacific Canada, when they came and testified before the committee. They asked, “Why are you doing this? Why are you bringing in a bill that essentially forces the collapse of our shipbuilding industry, without taking any other measures?”
In this House, the NDP read letter after letter from shipyard workers from British Columbia and from Nova Scotia. We had opposition from Quebec and from Newfoundland shipyard workers. In fact, there was not a single representative either of business or of labour in the shipbuilding industry who supported that agreement.
Again, the Conservatives pushed it through with the support of their co-dependents in the Liberal Party. We had a second sellout, essentially a sellout of our shipbuilding jobs.
One might think, okay, we are selling out these industries but maybe we are gaining overall. Unfortunately, and this is the tragedy, we do not have a single Conservative member who is willing to do his or her homework and actually look at what the economic ramifications have been for the kinds of policies the government has put in place.
To be fair to the Conservatives, the Liberals largely put many of these into place and the whole approach on trade, and now we have the Conservatives following up on the same approach. We would think that, at some point, some member, whether from the Liberal Party or the Conservative Party, would actually have done his or her homework and looked at the economic results.
The NDP did. StatsCan tells us that over the last 20 years, with these ill-disguised attempts at ideology rather than an attempt at building a real economic policy that is export driven, most Canadian families are actually earning less. Some Conservatives will laugh at this because they have not actually looked at the figures, but if we ask most Canadians, they will tell us that they are earning less now than they were 5 or 10 years ago, and that they are working harder and harder.
Productivity has skyrocketed for ordinary Canadian working families. We know that Canadians work very hard and are dedicated. They love their country and are willing to contribute to their communities and their country but they have had a government that has simply pushed them aside. During this time, the poorest of Canadians have lost the equivalent of about a month and a half of income for each and every year over the last 20 years. In other words, it is like they are working on 52-week years but only getting paid for 46 weeks. A month and a half of income has simply evaporated, which is why we now have hundreds of thousands of homeless people across this country sleeping in parks and on main streets. We have seen a complete erosion of income for the poorest of Canadians.
That has continued for the middle class as well. Any middle class family could tell us that in the second and third income categories, which are the lower and upper middle classes, they have seen a loss as well of a week to two weeks of income on average. Their real income is much lower now than it was 20 years ago.
We have an overall problem when 80% of Canadian families are earning less now than they were 20 years ago. One would think that some Conservatives would realize that maybe they were making a mistake with all the sellouts. Maybe they think that if a corporate CEO is doing well, somehow that money will trickle down to the small businesses that actually pay the salaries of the Conservative members. One would think that one of them would have done his or her homework but none of them have, which is why communities are finding it harder and harder to make ends meet. During this same time, the top 20% of Canadian income earners, the corporate lawyers and the corporate CEOs, have seen their incomes skyrocket. Now they take over half of all income in Canada.
When there is a complete lack of policies and the Conservatives put in place free trade agreements that essentially hand over more power to a very few at the expense of the many, what is wrong with this picture?
Most Canadian families are earning less, even though they are working harder than ever. Overtime in the same period has gone up by over a third. The average Canadian is working longer and longer weeks and often needs to work two or three part time jobs because the family sustaining jobs have been given away by the Conservatives, as they were by the Liberals before them.
The small businesses also suffer from this. When the Conservatives hand over money to the banking sector, it goes down to the Caribbean, and when they hand over money, as we know, to corporate executives in the energy sector, that money goes down to Houston, Texas, which does not benefit ordinary Canadians.The fundamental problem is that the government lacks any sort of industrial strategy.
We also have the sellouts, whether it is the softwood sellout or the shipbuilding sellout. Canadians are getting poorer and poorer under the Conservative government, as they were under the previous Liberal government. They are codependent with the same failed approach.
What does the government do? It signs these agreements. What happens with these bilateral trade agreements? In virtually every case, our exports actually went down. One would think that somebody in the Conservative or Liberal caucus would look at that and see that as a worrisome trend. When we sign bilateral Canada-Costa Rica and Canada-Chile agreements and our exports actually go down, someone must realize there is a fundamental problem and that maybe our approach is not working.
Not a single Conservative or Liberal MP actually bothered to look at the export figures. After we signed these failed agreements and gave away these things, not one member actually checked to see whether or not exports went up. Exports declined. We already talked about the fall of real income. When we are signing bilateral agreements, we are actually talking about falling exports. It is not rocket science. If our exports fall and real income falls, maybe our approach or our strategy is not working.
The NDP will continue to do its work in the House, which is why we keep growing and are now overflowing to two sides of the House. The reason we keep growing is because of the type of arrogance we see from the Conservative government.
What are other countries doing that works? One very good example is the amount of money that other countries are putting in to promote their product exports. Australia spends $500 million in product promotion support for Australian value added products. We have a situation where the Australian economy is export oriented but valued added export oriented. It is not exporting the raw logs that the Conservatives love to ship across the border with Canadian logs to create American jobs. Australia is actually promoting value added products and it is doing it with real muscle and real support.
I have another example. As we on the international trade committee know, the European Union, on its wine sector exports alone, spends $125 million in product promotion support. We have Australia on the one hand and the European Union on the other hand. We also have the United States putting real muscle behind its export industry.
What is Canada doing? What are the Conservatives doing? We found out just a couple of weeks ago how much they invest for the entire United States market, which is where over 80% of our exports go. It takes the lion's share of the support for exports that the government puts into place. Was it $500 million for Canada, a larger economy than Australia, for 80% of our exports? No, it was not. Was it $400 million, which would be certainly less but certainly in keeping with the idea of a strong approach? No, it was not. Not one Conservative would be able to answer that question even though, hopefully, some of them at the trade committee were actually listening. It was not $300 million, nor was it $200 million or $125 million like the European Union puts into product promotion support just for one industry. It was not even $100 million.
People listening to CPAC and the deliberations in the House of Commons because they have lost their jobs because of the foolishness and irresponsibility of the Conservative government would wonder whether it was $90 million. No, it was not. It was not even $80 million, $75 million, $60 million or $50 million. How low can we go? Was it $40 million, $30 million, $20 million, $10 million, $5 million or even $4 million? No, it was not. Incredibly, the Conservative government, which says that it wants to reinforce our export industries for the entire American market where over 80% of our exports go, spends $3.4 million in product promotion support.
What is wrong with this picture? We have falling incomes, falling exports and the largest trade deficit in well over 30 years, and the Conservative government hands out billions of dollars to the banks without even blinking. it just shovels money off the back of a truck. Any time a banker asks for a handout, the Conservatives just hand out money to the banks. The banks can set interest rates as high as they want on credit cards because it does not matter to the Conservatives.
For the entire American market, we spent $3.4 million. This is the absurdity of it. When we look at Canada-Peru, this is the absurdity of the approach of the government. It is interested in the ribbon-cutting and in signing an agreement that would, under chapter 11 provisions, handcuff local and regional governments from making good environmental decisions. There is no protection for labour and no export plan.
For all those reasons, that is why we in the NDP are saying that this is a completely failed approach. Canadians are becoming more and more aware of just how the government has failed.