Jobs and Economic Growth Act

An Act to implement certain provisions of the budget tabled in Parliament on March 4, 2010 and other measures

This bill was last introduced in the 40th Parliament, 3rd Session, which ended in March 2011.

Sponsor

Jim Flaherty  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

Part 1 of this enactment implements income tax measures proposed in the March 4, 2010 Budget. In particular, it
(a) introduces amendments to allow a recipient of Universal Child Care Benefit amounts to designate that the amounts be included in the income of the dependant in respect of whom the recipient has claimed an Eligible Dependant Credit, or if the credit is not claimed by the recipient, a child of the recipient who is a qualified dependant under the Universal Child Care Benefit Act;
(b) clarifies rules relating to the Medical Expense Tax Credit to exclude expenses for purely cosmetic procedures;
(c) clarifies rules relating to payments made to a Registered Education Savings Plan or a Registered Disability Savings Plan through a program funded, directly or indirectly, by a province or administered by a province;
(d) implements amendments to the family income thresholds used to determine eligibility for Canada Education Savings Grants, Canada Disability Savings Grants and Canada Disability Savings Bonds;
(e) reinstates the 50% inclusion rate for Canadian residents who have been in receipt of U.S. social security benefits since before January 1, 1996;
(f) extends the mineral exploration tax credit for one year;
(g) reduces the rate of interest payable by the Minister of National Revenue on tax overpayments made by corporations;
(h) modifies the definition “taxable Canadian property” to exclude certain shares and other interests that do not derive their value principally from real or immovable property situated in Canada, Canadian resource property, or timber resource property;
(i) introduces amendments to allow the issuance of a refund of an overpayment of tax under Part I of the Income Tax Act to certain non-residents in circumstances where an assessment of such amounts has been made outside the usual period during which a refund may be made;
(j) repeals the exclusion for indictable tax offences from the proceeds of crime and money laundering regime; and
(k) increases the pension surplus threshold for employer contributions to registered pension plans to 25%.
Part 2 amends the Excise Act, 2001 and the Customs Act to implement an enhanced stamping regime for tobacco products by introducing new controls over the production, distribution and possession of a new excise stamp for tobacco products.
Part 2 also amends the Excise Tax Act and certain related regulations in respect of the Goods and Services Tax/Harmonized Sales Tax (GST/HST) to:
(a) simplify the operation of the GST/HST for the direct selling industry using a commission-based model;
(b) clarify the application of the GST/HST to purely cosmetic procedures and to devices or other goods used or provided with cosmetic procedures, and to services related to cosmetic procedures;
(c) reaffirm the policy intent and provide certainty respecting the scope of the definition of “financial service” in respect of certain administrative, management and promotional services;
(d) address advantages that currently exist in favour of imported financial services over comparable domestic services;
(e) streamline the application of the input tax credit rules to financial institutions;
(f) provide a new, uniform GST/HST rebate system that will apply fairly and equitably to employer-sponsored pension plans;
(g) introduce a new annual information return for financial institutions to improve GST/HST reporting in the financial services sector; and
(h) extend the due date for filing annual GST/HST returns from three months to six months after year-end for certain financial institutions.
In addition, Part 2 amends regulations made under the Excise Tax Act and the Excise Act, 2001 to reduce the interest rate payable by the Minister of National Revenue in respect of overpaid taxes and duties by corporations.
Part 3 amends the Air Travellers Security Charge Act to increase the air travellers security charge that is applicable to air travel that includes a chargeable emplanement on or after April 1, 2010 and for which any payment is made on or after that date. It also reduces the interest payable by the Minister of National Revenue to corporations under that Act.
Part 4 amends the Softwood Lumber Products Export Charge Act, 2006 to provide for a higher rate of charge on the export of certain softwood lumber products from the regions of Ontario, Quebec, Manitoba or Saskatchewan. It also amends that Act to reduce the rate of interest payable by the Minister of National Revenue on tax overpayments made by corporations.
Part 5 amends the Customs Tariff to implement measures announced in the March 4, 2010 Budget to 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 manufacturing inputs and machinery and equipment imported on or after March 5, 2010.
Part 6 amends the Federal-Provincial Fiscal Arrangements Act to provide additional payments to certain provinces and to correct a cross-reference in that Act.
Part 7 amends the Expenditure Restraint Act to impose a freeze on the allowances and salaries to be paid to members of the Senate and the House of Commons for the 2010–2011, 2011–2012 and 2012–2013 fiscal years.
Part 8 amends a number of Acts to reduce or eliminate Governor in Council appointments, including the North American Free Trade Agreement Implementation Act. This Part also amends that Act to establish the Canadian Section of the NAFTA Secretariat within the Department of Foreign Affairs and International Trade. In addition, this Part repeals The Intercolonial and Prince Edward Island Railways Employees’ Provident Fund Act. Finally, this Part makes consequential and related amendments to other Acts.
Part 9 amends the Pension Benefits Standards Act, 1985. In particular, the Act is amended to
(a) require an employer to fully fund benefits if the whole of a pension plan is terminated;
(b) authorize an employer to use a letter of credit, if certain conditions are met, to satisfy solvency funding obligations in respect of a pension plan that has not been terminated in whole;
(c) permit a pension plan to provide for variable benefits, similar to those paid out of a Life Income Fund, in respect of a defined contribution provision of the pension plan;
(d) establish a distressed pension plan workout scheme, under which the employer and representatives of members and retirees may negotiate changes to the plan’s funding requirements, subject to the approval of the Minister of Finance;
(e) permit the Superintendent of Financial Institutions to replace an actuary if the Superintendent is of the opinion that it is in the best interests of members or retirees;
(f) provide that only the Superintendent may declare a pension plan to be partially terminated;
(g) provide for the immediate vesting of members’ benefits;
(h) require the administrator to make additional information available to members and retirees following the termination of a pension plan; and
(i) repeal spent provisions.
Part 10 provides for the retroactive coming into force in Canada of the Agreement on Social Security between Canada and the Republic of Poland.
Part 11 amends the Export Development Act to grant Export Development Canada the authority to establish offices outside Canada. It also clarifies that Corporation’s authority with respect to asset management and the forgiveness of certain debts and obligations.
Part 12 enacts the Payment Card Networks Act, the purpose of which is to regulate national payment card networks and the commercial practices of payment card network operators. Among other things, that Act confers a number of regulation-making powers. This Part also makes related amendments to the Financial Consumer Agency of Canada Act to expand the mandate of the Agency so that it may supervise payment card network operators to determine whether they are in compliance with the provisions of the Payment Card Networks Act and its regulations and monitor the implementation of voluntary codes of conduct.
Part 13 amends the Financial Consumer Agency of Canada Act to provide the Financial Consumer Agency of Canada with a broader oversight role to allow it to verify compliance with ministerial undertakings and directions. The amendments also increase the Agency’s ability to undertake research, including research on trends and emerging consumer protection issues. Finally, the Part makes consequential amendments to other Acts.
Part 14 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to confer on the Minister of Finance the power to issue directives imposing measures with respect to certain financial transactions. The amendments also confer on the Governor in Council the power to make regulations that limit or prohibit certain financial transactions. This Part also makes a consequential amendment to another Act.
Part 15 amends the Canada Post Corporation Act to modify the exclusive privilege of the Canada Post Corporation so as to permit letter exporters to collect letters in Canada for transmittal and delivery outside Canada.
Part 16 amends the Canada Deposit Insurance Corporation Act to allow the Governor in Council to specify when a bridge institution will assume a federal member institution’s deposit liabilities and allow the Canada Deposit Insurance Corporation to make by-laws with respect to information and capabilities it can require of its member institutions. This Part also amends that Act to establish the rules that apply to the assignment, by the Canada Deposit Insurance Corporation to a bridge institution, of eligible financial contracts to which a federal member institution is a party.
Part 17 amends the Bank Act and other related statutes to provide a framework enabling credit unions to incorporate and continue as banks. The model is based on the framework applicable to other federally regulated financial institutions, adjusted to give effect to cooperative principles and governance.
Part 18 authorizes the taking of a number of measures with respect to the reorganization and divestiture of all or any part of Atomic Energy of Canada Limited’s business.
Part 19 amends the National Energy Board Act in order to give the National Energy Board the power to create a participant funding program to facilitate the participation of the public in hearings that are held under section 24 of that Act. It also amends the Nuclear Safety and Control Act to give the Canadian Nuclear Safety Commission the power to create a participant funding program to facilitate the participation of the public in proceedings under that Act and the power to prescribe fees for that program.
Part 20 amends the Canadian Environmental Assessment Act to streamline certain process requirements for comprehensive studies, to give the Canadian Environmental Assessment Agency authority to conduct most comprehensive studies and to give the Minister of the Environment the power to establish the scope of any project in relation to which an environmental assessment is to be conducted. It also amends that Act to provide, in legislation rather than by regulations, that an environmental assessment is not required for certain federally funded infrastructure projects and repeals sunset clauses in the Regulations Amending the Exclusion List Regulations, 2007.
Part 21 amends the Canada Labour Code with respect to the appointment of appeals officers and the appeal hearing procedures.
Part 22 authorizes payments to be made out of the Consolidated Revenue Fund for various purposes.
Part 23 amends the Telecommunications Act to make a carrier that is not a Canadian-owned and controlled corporation eligible to operate as a telecommunications common carrier if it owns or operates certain transmission facilities.
Part 24 amends the Employment Insurance Act to establish an account in the accounts of Canada to be known as the Employment Insurance Operating Account and to close the Employment Insurance Account and remove it from the accounts of Canada. It also repeals sections 76 and 80 of that Act and makes consequential amendments in relation to the creation of the new Account. This Part also makes technical amendments to clarify provisions of the Budget Implementation Act, 2008 and the Canada Employment Insurance Financing Board Act that deal with the Canada Employment Insurance Financing Board.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Votes

June 8, 2010 Passed That the Bill be now read a third time and do pass.
June 7, 2010 Passed That Bill C-9, An Act to implement certain provisions of the budget tabled in Parliament on March 4, 2010 and other measures, be concurred in at report stage.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2137.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 1885.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2185.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2152.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2149.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 96.
June 3, 2010 Passed That, in relation to Bill C-9, An Act to implement certain provisions of the budget tabled in Parliament on March 4, 2010 and other measures, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
April 19, 2010 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:10 p.m.


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NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, I was particularly interested in the member's comments about tax havens. There is a provision in this 880-page Bill C-9 that deals with ensuring the provisions of the Criminal Code that apply to serious crimes related to money laundering and terrorist financing are invoked in cases of tax evasion prosecuted under Canada's tax statutes.

I would like to be able to ask questions of government members, but we cannot find any government speakers. There have not been any for the last couple of days on this bill. I am not certain whether or not there is an application in the bill that deals with the tax haven issue.

Interestingly enough, at this point the government is offering an amnesty to people involved in tax haven activities. It is basically a risk-free endeavour for the people doing it. We were only seeing this happen recently. There is a lot of activity of people involved in tax havens asking for amnesty. Some computer disks were sold, I believe it was by an employee of one of the Swiss banks, to the German government so that it could chase down German citizens who were involved in tax havens. When Canadians read about this, they started rushing forward to declare their income on the money invested in these tax havens. This is not going to discourage it if we are offering amnesty.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:10 p.m.


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Bloc

Raynald Blais Bloc Gaspésie—Îles-de-la-Madeleine, QC

Mr. Speaker, I thank the NDP member for his comments. I must say that it is very hard to defend the indefensible. Sometimes it is so frustrating that there is no point. I think that is what is happening with the Conservative Party: it is defending the indefensible.

I remember it used to be that when a bank was bringing in $1 billion in profits a year, that was a lot of money. I think that was the case not too long ago. Now, we do not talk about $1 billion in profits a year, but $1 billion in profits in a quarter, in a three-month period.

Furthermore, it is clear that these banks also take advantage of tax havens, which enables them to make even more profits and to provide more assistance to the people who also benefit from tax havens. It is a vicious circle.

The mini-measures announced are a smokescreen, a cover. They are a bunch of nonsense.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:10 p.m.


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Conservative

Paul Calandra Conservative Oak Ridges—Markham, ON

Mr. Speaker, we are learning a lot today about what a Liberal-NDP-Bloc coalition would have looked like had they had the opportunity to form one.

We know that tax cuts to Canadian families and creating jobs are not what they like. Cutting taxes or tariffs for our manufacturers, and investing in the environment and natural green technology are not what they are interested in. We know that our agenda on the economy and jobs is certainly not something they are interested in. We know they are not in favour of corporations that try to make money and employ people.

I wonder if the hon. member might share with me and Canadians some additional policies that a Liberal-Bloc-NDP coalition might be considering in the future.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:10 p.m.


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Bloc

Raynald Blais Bloc Gaspésie—Îles-de-la-Madeleine, QC

Mr. Speaker, speaking of coalitions, let us talk about the coalition between the Conservative Party and the oil companies. That is a coalition. And what about the one between the Conservative Party, big business and the banks? That is also a sort of coalition.

If a political party wants to defend the poor and the people who need help the most, I see no problem supporting it or forming a coalition with it.

The Bloc Québécois has supported a Conservative budget in the past. I humbly remind the House that was the case in 2006 and 2007. At the time, there were useful measures concerning the fiscal imbalance.

I also remember that the current Prime Minister, before he became Prime Minister and while he was in opposition, was fully prepared to form a coalition with us.

What is the problem with a coalition? Why are they trying to turn it into a scandal? It makes perfect sense to form a coalition in order to respond to real needs.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:15 p.m.


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Liberal

Siobhan Coady Liberal St. John's South—Mount Pearl, NL

Mr. Speaker, I rise today to speak to Bill C-9, the so-called jobs and economic growth act, but based on my reading of it, I believe it needs a new title. This rather large tome is short on potential for jobs and growth and long on gimmicks, fee increases and a lot of challenges.

The bill does not address some of the key issues of importance to Canadians, such as child care and pensions. It does not assist small business to encourage job growth. It does not address the requirement for future economic success. It does not address the skills shortage, nor does it encourage lifelong learning. Bill C-9 does not focus on productivity and does not focus too heavily on innovation.

What the budget did do was increase moneys for the Privy Council Office for ministerial advice. It continues the deep investments in government advertising. I guess government ads will be showing up during the Academy Awards and the Super Bowl in the future. This bill funds a record number of ministers, and we all know how that is going.

This bill ensures another huge deficit after 11 straight surpluses. The Conservatives formed government and within a couple of years the country was back in deficit. At the same time the bill does not provide security for Canadians in tough economic times. This bill fails to improve the lives of Canadians. It fails to ensure economic security. It fails to ensure job growth.

According to the Parliamentary Budget Officer, there are some 400,000 more unemployed today than in 2008. Youth unemployment is double the average national unemployment rate. There have been several reductions in manufacturing shift hours, which means less take home income and a lower standard of living. According to the Parliamentary Budget Officer, we are 4.5% behind where we should be in terms of job growth.

What did the Conservative government do? It laid out a plan that would raise employment insurance premiums by 35% over the next four years. This payroll tax would cost a two-earner family $900, and a small business with 10 employees $9,000 more.

This bill would also impose an increased charge for air traveller security. The cost of an airplane ticket will rise. For a domestic one-way trip the fee of $4.90 will rise to $7.48, a $2.58 increase. A domestic round trip fee will rise from $9.80 to $14.96, a $5.16 increase. The fee for trans-border trips will increase from $8.34 to $12.71, a $4.37 increase. The fee for other international trips will rise from $17.00 to $25.91, an $8.91 increase. This will raise about $1.5 billion in revenue over the next five years. That is quite a substantive fee increase.

I live on the island of Newfoundland. There are only two ways to get off the island of Newfoundland, either by plane or by ferry. We know what the government is doing with respect to air travel security. We know there is going to be an increase. To get off the island of Newfoundland, there are going to be increased costs.

On the other side of things, in order to get off the island of Newfoundland and Labrador I could drive and get the ferry at Port aux Basques. Marine Atlantic is a crown corporation. In the budget a small amount of money has been set aside to have additional capacity on this ferry. This small amount is a pebble in the ocean of requirements for Marine Atlantic.

The Auditor General produced a report which indicated that over $1 billion was required to ensure that the province of Newfoundland and Labrador had adequate service and to ensure effective and timely capacity so that the transportation of goods and services is efficient and effective and available. During certain times of the year grocery stores hang a sign saying, “Sorry the boat didn't get in”. In this day and age that is simply not acceptable.

I am concerned about this budget. There are several other things in Bill C-9.

There is some mention of pensions. The government is going to increase the maximum solvency ratio for pension plans from 110% to 125%, allowing for more overfunding. However, during the briefing on Bill C-9 the financial officials suggested there would not be many pension plans in a position to take advantage of this extra room. This is an overfunding of pension plans. I wish there were more businesses in a position to overfund their pension plans so that we could ensure that people who pay into their pensions actually have them at the end of their working lives when they retire.

For the second year in a row the government is using the budget bill to weaken environmental laws. We have this tome, as I said earlier, and buried in it is a change to ensure there will be some weakening of the federal environmental laws. This is not acceptable. If the government is going to change environmental laws, there should be full disclosure so that we can have a discussion and debate.

Also buried in this very large bill are changes to Canada Post. Bill C-9 removes the exclusive privilege of Canada Post to deliver mail outside Canada, allowing remailers to collect and transport mail to a foreign country. This is being done through the back door because it would not have been allowed through the front door.

In previous sessions of Parliaments the Conservatives tabled Bill C-14 and Bill C-44 to try to do just that. Now they have included it in this budget implementation bill. It should not be in this large bill. It should have a full discussion. It should go through the proper process. It should have a full review, complete disclosure. There should be complete democracy actually. People should be able to debate it and bring forward their ideas on how improvements could be made, or simply express their concerns with regard to remailers.

There is a lot in this rather large document that does not necessarily work for Canadians. It does not necessarily give the kind of economic security that Canadians are looking for.

We are coming out of a very difficult economic time. We still have a situation where, as the Parliamentary Budget Officer has said, over 400,000 people are still without work. We have been talking about this in Parliament.

Yes, the bill puts in place a second phase of the economic stimulus package and that is going forward.

My view on this bill is that a lot more should have been done to ensure Canada's position for the future. In my riding I have talked to a number of people. A lot more should have been done to ensure that we have the economic security that we require as Canadians, to have a vision.

KAIROS is an organization that did international development work. Sadly, its funding was cut by the government. For 35 years that organization did some great work worldwide. At the same time we see increases in advertising. I guess there is a disconnect between what Canadians want and what the government is prepared to allow to go forward.

This is a stay the course budget that is on the wrong course. I believe that Canadians deserve better. I believe that Canadians want better. I would be remiss if I did not say there is a lot in this bill that should be taken out, debated, disclosed and discussed in other ways.

Again, I appeal to the government and say there are things we should be addressing in this country. We take our international development work quite seriously. We take the needs of Canadians for health care and pensions quite seriously. It is time for us to buckle down and do just that.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:25 p.m.


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NDP

Olivia Chow NDP Trinity—Spadina, ON

Mr. Speaker, previously bills C-14 and C-44 were before the House, and they contained provisions to destroy the Canada Post legal monopoly on mailings going outside Canada. What it would do to Canada Post would be devastating. As a result, either our postage is going to go up or there will be massive layoffs in this privatization move.

I do not know where the Liberal Party stands. The hon. member said she is opposed to the privatization of Canada Post, but the provision is in this budget implementation bill, Bill C-9, and her party is about to allow this bill to pass.

Which is it? Does she support the privatization of Canada Post or does she not? If she does not support it, then why are they allowing this bill to pass?

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:25 p.m.


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Liberal

Siobhan Coady Liberal St. John's South—Mount Pearl, NL

Mr. Speaker, my colleague raises a very interesting point about what is buried in this rather large document. What is buried in it is a provision that will remove the exclusive privilege of Canada Post to deliver mail outside of Canada, allowing remailers to collect and transport mail to foreign countries. As she indicated, that is very similar to what was being proposed in two previous bills, Bill C-14 and Bill C-44.

My point, and this is what I raised during my speech, is that it should not be encapsulated in this bill. If we are going to discuss Canada Post, bring it forward and look at whether there is a going to be an increase in the price of stamps or, as my hon. colleague called it, a privatization of Canada Post, do we not deserve to know the pros and cons, to have the conversation, the disclosure, the debate and the discussion to ensure we make an informed decision rather than having something buried in another bill?

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April 13th, 2010 / 1:25 p.m.


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NDP

Peter Julian NDP Burnaby—New Westminster, BC

Mr. Speaker, I listened very attentively to the member's speech. There is no doubt that, though Liberal members have stood in the House of Commons to criticize this crude omnibus legislation, 12 bills packed into 1, they seem to be supporting it yet again. This has gone on year after year after year. Whatever the Conservative agenda is, Liberals seem to endorse it.

Within the bill, and this is very important, there are punitive measures taken against the softwood industry. Ontario, Quebec, Manitoba and Saskatchewan were hard hit by the softwood lumber sellout by the Conservatives, supported again by the Liberals, and thousands and thousands of jobs have been lost.

Now, within this omnibus legislation, we have an export tariff that is going to kill even more jobs in Saskatchewan, Manitoba, Ontario and Quebec and yet the Liberals are going to give the green light and vote to endorse yet another Conservative policy. I have to ask why the Liberals are selling out softwood communities across this country.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:25 p.m.


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Liberal

Siobhan Coady Liberal St. John's South—Mount Pearl, NL

Mr. Speaker, I recall that the party my hon. colleague represents voted in favour of the budget implementation bill in the past budget.

There are things buried in this document, and I have brought forward quite substantive things that I think are of concern in it. On at least two occasions, possibly a number of occasions, I have voted against the budget and I will be doing so again with this implementation bill.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:30 p.m.


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NDP

David Christopherson NDP Hamilton Centre, ON

Mr. Speaker, I appreciate the opportunity to join in the debate. It is interesting that some of the final comments to the previous speaker were about the Liberal position vis-à-vis the exclusive privilege at Canada Post. That is a nice segue, a nice place for me to begin, because that is going to be the focus of my remarks.

What was previously known as Bill C-14 and Bill C-44 is now incorporated into the budget implementation bill, basically making it an omnibus bill. They have stuffed everything they can possibly legally manage and think of in there in the hope that one vote gets a whole bunch of things passed.

One of the cute things for the Liberals in this particular bill is that when Bill C-14 first arrived, the Liberal critic at the time was very clear. They were in favour of this bill and they were opposed to maintaining the exclusive privilege, without any question. Then the bill came back with a new number, but very little else changed. I am not really sure what the new critic for the Liberals said. They sort of modified it a bit.

When my colleague asked a very specific question about support, the answer was about process. They were playing games particularly with the union in this regard and in terms of conversations they were having with them, because of course the organization that represents the 55,000 people who provide our important, crucial, efficient mail service cares about this issue.

The Liberals got some heat from the first go-around, so what did they do in the second go-around? They made up some kind of nonsense about how they were going to help the workers when it got to committee. When it got to committee, they would roll up their sleeves and be there for the workers. The difficulty is that the Bloc was already on record as being opposed to both bills and so were we. This means that, had the Liberals taken a position that said they were opposed to the bill, we could have killed the bill and there would not be any committee for anybody to roll up sleeves at and play games.

We are hearing the same thing again. As I understand it, and things change over there a lot, they are going to roll in a minimal number of members to technically vote against it. However, by not bringing in enough members to actually win the vote, the government will get what it wants. Bill C-9, the budget implementation act, moves on to committee. Tagging along like a trailer hitched to the back is a little issue that the government is hoping nobody will pay any attention to, and that is the issue of Canada Post and the exclusive privilege.

We have been around and around on this issue. What is frustrating is that something has happened during the tenure of the government. Let us understand where we are. The law right now says Canada Post has exclusive privilege to all mailing, full stop. Canada Post is not obligated or mandated under the Canada Post Corporation Act to solely be there as a cash cow to make money. It is quite the contrary. The act spells out that it is there to provide a similar service across the country at the same price to every Canadian, and it makes sure they charge reasonable fees for doing that.

Let me just say what an undertaking that is. Canada is the second-largest country by land mass on the planet, and we are promising to deliver mail to the farthest corners of this huge country at the same price as we charge for halfway across downtown Toronto. We do it efficiently and the workers there do a great job. It is not perfect, but nothing is. However, when we look at this and compare it to other countries and the challenges, they do an excellent job.

All of a sudden, these private entities take a look over there. They are eyeballing Canada Post, as they do all the time. They are looking at the money to be made and they are saying that they want a piece of this action. So they just step right in and start getting involved in the international remailing issue. Canada Post reminded them it is against the law. To make a long story short, these private entities took Canada Post to court. They lost. They appealed. This is where it gets interesting.

On May 8, 2007, when the panel ruled on behalf of the Ontario Court of Appeal, this is what the judge said:

The purpose of the statutory privilege can only be to enable CP to fulfill its statutory mandate or realize its objects. It is meant to be self-sustaining financially while at the same time providing similar standards of service throughout our vast country. Profits are realized in densely populated areas which subsidize the services provided in the more sparsely populated areas.

It sounds like a great Canadian idea. That was to support the law. That means the work that these international remailers were doing remains illegal. It remains illegal this second as I stand here. So the government's intent is to change the law. If their buddies cannot win in the courts, the beauty of being the government is to change the law so the courts have no choice but to rule in the way it wants.

In fact, on July 25, 2006, the Conservative minister responsible said:

The activities of international remailers cost Canada Post millions of dollars each year and erodes the Corporation's ability to maintain a healthy national postal service and provide universal services to all Canadians.

What changed? It was illegal to start with. They went to court and lost. They went to the Court of Appeal and lost. The Conservative government in 2006 said it was standing by the exclusive privilege. What changed? I think what changed was that friends of friends got talking here and there. I am not suggesting anything illegal. I do not know enough of the details to make that charge. I would not say it was not, but I would not say it was. Anyway, discussions took place and the government had an epiphany. Conservatives woke up one day and said they had been wrong, the previous government was wrong, the courts were wrong, the strategic review in 1996 was wrong; they needed to sell off part of Canada Post and at the same time have their backbenchers make speeches about no privatization of Canada Post and hope that no one followed the details enough to know that they really were starting to privatize Canada Post. That is what is going on.

The Liberals are going along with it. We are going to have a couple of opportunities, if the Liberals want to suggest that what I have put forward is not accurate. We are going to ask that the bill be severed and we are going to need support for that. We have the votes and we would hope that the Liberals would join with the Bloc and us in severing off this piece of Bill C-9 and at the very, very least, allow Canadians an opportunity to have some input before the government monkeys around with the financial stability of something as important as Canada Post, particularly when 55,000 Canadians and their families rely on those jobs. It is not there solely to create jobs. It is not there to be a cash cow. It is meant to do exactly what it is doing, and that is why this change ought not to happen. It is wrong. It is not in the interests of Canada Post. It is not in the interests of the workers there and it is not in the interests of Canada. So we ask the Liberals to finally get off the fence, join with us, get it severed and let us kill this sucker before it kills Canada Post.

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:40 p.m.


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NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, I want to congratulate the member for a terrific speech on this matter. I have a feeling he wants to say a few more words on this subject.

However, I want to point out to him that the member for Hamilton Mountain, when she made her speech on Bill C-9 the other day, did point out that the bill under a different number was initially introduced by a Liberal MP, perhaps when they were in government. That was news and a surprise to me. Then the current government took up the torch and carried it forward under Bill C-14 and Bill C-44, knowing that it would never pass because of members like the member for Burnaby—New Westminster who would dig his heels in and make sure it did not get passed. The Conservatives put it in this omnibus bill, which is a treacherous way to approach an issue like this.

Would the member like to continue his explanation of why the bill should be severed and not proceeded with?

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:40 p.m.


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NDP

David Christopherson NDP Hamilton Centre, ON

Mr. Speaker, I compliment my colleague for his remarks in this regard and certainly my fellow Hamilton MP and the hard work she does on this and every file.

The fact is this story goes back so far, it is like we have to pick a point in history where we want to work from. I will go from the point when the Conservative government came to office. There is no question that the previous government had been talking about this sort of thing, but then in 2006, fairly early on in the government's term, the Conservative minister, when asked about this, said:

The activities of international remailers cost Canada Post millions of dollars each year and erodes the Corporation's ability to maintain a healthy national postal service and provide universal service to all Canadians.

The question that remains is this. What has changed since the Conservative minister stood up and read what I just said as the government policy? Now it has flip-flopped and it is doing the opposite. The House and Canadians have a right to know what has changed. What is so important that caused the government such a massive flip-flop?

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:40 p.m.


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NDP

Olivia Chow NDP Trinity—Spadina, ON

Mr. Speaker, this is the budget implementation bill, but the budget passed the House by a vote of 142 to 132.

We have a minority government. If all three parties, the Liberals, the Bloc and the NDP, come together, we would have the majority vote to kill the budget implementation bill.

What would my hon. colleague say about members who on one hand said in the House that they were very much against the budget, but then when it came to vote, at least 30 of them disappeared and allowed the budget to pass? This may happen again with this bill.

What does he call that kind of behaviour?

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:40 p.m.


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NDP

David Christopherson NDP Hamilton Centre, ON

Mr. Speaker, my colleague puts me in a horrible position. What would I call that? I am standing on the floor of the House of Commons. I cannot call it what I would like to call it, but I think people will sort of get it by looking at the circumstances.

When people say one thing and do another, there is a word for it, and I will not go there. However, make no mistake. This is the trickery on the part of the Liberals. They want everything to focus on the budget. They have already cut the deal and have said that technically they are opposed, but they will not bring enough members in to actually win the vote and stop the government.

My question to the official opposition is this. The NDP will put a motion to sever this part of the bill, to deal with it separately and vote on it separately. Will the Liberals be there to do that? It will be interesting to see.

The main point I want to make is the fact that there are two political shell games going on. One is the government has snuck this into a budget implementation bill rather than let it stand on its own, as it has done twice before. The second one is the Liberals, who hope that one of their big, hot political potatoes gets dealt with quickly under the cover of—

Jobs and Economic Growth ActGovernment Orders

April 13th, 2010 / 1:45 p.m.


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Conservative

The Deputy Speaker Conservative Andrew Scheer

Resuming debate, the hon. member for Brampton--Springdale.