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 is from 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.

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 Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-9s:

C-9 (2021) Law An Act to amend the Judges Act
C-9 (2020) Law An Act to amend the Income Tax Act (Canada Emergency Rent Subsidy and Canada Emergency Wage Subsidy)
C-9 (2020) An Act to amend the Chemical Weapons Convention Implementation Act
C-9 (2016) Law Appropriation Act No. 1, 2016-17

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

June 8th, 2010 / 12:25 p.m.

Macleod Alberta

Conservative

Ted Menzies ConservativeParliamentary Secretary to the Minister of Finance

Mr. Speaker, I thank my colleague and friend not only for a great speech today but for the tremendous work he does on the finance committee. Most of the members of the finance committee refer to him as the deputy, because he fills in admirably and understands the issues. He puts forward some great ideas.

I listened to his speech today, and there are a couple of things I want to highlight that may not have received enough attention. These two items were studied at finance committee, so he should be able to reflect on them. One item is pensions, or retirement income adequacy, as we are referring to it, for Canadians and future retirees. It is a very topical issue.

The second item is credit cards, which were discussed at committee. The reaction to what was heard at committee is reflected in Bill C-9. We have put in changes in relation to both retirement income adequacy and credit cards.

I wonder if the hon. member could enlighten us about some of the positive changes in Bill C-9.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:25 p.m.

Conservative

Mike Wallace Conservative Burlington, ON

Mr. Speaker, I want to thank the parliamentary secretary for his leadership on that committee and for his work with our colleagues across the aisle on these things.

We are doing some things on the pension side in Bill C-9 that the finance minister announced earlier in the fall. The bill would require an employer to fully fund benefits if the whole pension plan is terminated. The bill would establish a distressed pension plan workout scheme under which employers and employees and retirees could negotiate changes to plan funding. The bill would permit the Superintendent of Financial Institutions to replace an actuary if he or she is of the opinion that it is in the best interests of the members and the retirees. Finally, an administrator would be required to make additional information available to members and retirees following the termination of a pension plan.

We have heard many times, not just during this process but in the process of studying the retirement system and pension plans, that people do not have any information. The changes we are making through Bill C-9 are vital changes that would allow pensioners to have control and a say in their future retirement plans.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:30 p.m.

NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, the member spoke about venture capital markets. I would like to find out from him about the health of the Canadian venture capital market. It is difficult in the United States, as well. Most of the venture capital markets are in Massachusetts and Silicon Valley. The rest of the country has a hard time competing. It is the same for Canada.

Ian MacLellan, the founder of ARISE, a company in Waterloo that manufactures solar panels, was looking for venture capital, but he had to move to Germany and become a partner with the German government. That is one example of Canada losing out. A venture capital market would have been helpful to him at that time.

I would like the member to give us an update on the state of venture capital in this country. Labour investment funds across the country in different provinces have had varying degrees of success. There have been some successes and some failures. It is a tough market, regardless of what government is in power--

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:30 p.m.

The Deputy Speaker Andrew Scheer

Order. The hon. member for Burlington has 30 seconds left.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:30 p.m.

Conservative

Mike Wallace Conservative Burlington, ON

Mr. Speaker, the venture capital market in Canada traditionally has been small and it continues to be small. It trucked up considerably during the recession.

I want to point out that the official magazine of Canada's Venture Capital and Private Equity Association states:

The Canadian government has listened to the financing community, understood the severity of the problem and removed the major tax barriers that have prevented critically needed international investment capital from crossing our borders.

That is a quote from the association. That is in Bill C-9. That is why members should support it.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:30 p.m.

Macleod Alberta

Conservative

Ted Menzies ConservativeParliamentary Secretary to the Minister of Finance

Mr. Speaker, I am pleased to have the opportunity to rise and speak at third and final reading to the jobs and economic growth act, referred to in the House as Bill C-9.

We spent quite a bit of time debating this, and I am almost as happy as most Canadians are to see this debate coming to a close so that we can move it on to the other house and actually implement all of these good measures.

The jobs and economic growth act and budget 2010 are an integral part of Canada's economic action plan. It is a positive and ambitious plan that has been successfully strengthening our economy and helping to create jobs throughout our country.

Recent job gains help illustrate that Canada's economic action plan is indeed working. May represented the eighth month, out of the past 10, of job gains. Since July 2009, Canada has created over 300,000 net new jobs.

What is more, both the OECD and the IMF have predicted that Canada's economic growth will lead the G7 by a wide margin this year. What is more, just recently, the IMF singled out Canada for praise, saying, “Canada entered the global crisis in good shape and thus the exit strategy appears less challenging than elsewhere”.

This reinforces what we have said all along. While not immune from the global recession, Canada's economy entered it from the strongest position, and Canada will exit it in the strongest position. Listen to a Toronto Sun editorial following the great announcement that over 100,000 new jobs were created last April. It said:

Our economy in April produced a record 108,700 jobs...the largest one-month increase ever in raw numbers....[T]he job growth numbers support [the] Prime Minister's contention Canada's economic recovery is among the strongest in the world....What politicians of all stripes on Parliament Hill need to remember is that for average Canadians, the economy is job one.

We agree. We acknowledge that the global recovery remains fragile. That is why our number one priority remains the economy. That is why we have been working, and will continue to, to fully implement Canada's economic action plan, which is a blueprint for creating jobs, lowering taxes, fostering economic growth, and investing in better infrastructure.

Budget 2010 and the jobs and economic growth act is one way our government is doing just that. It is staying focused on job one, the economy.

In the remainder of my time, I want to speak about the constructive and encouraging initiatives in the jobs and economic growth act. However, first I would like to highlight, for the benefit of the chamber and Canadians, how witness after witness at the finance committee, during its consideration of this important act, spoke strongly in favour of these important initiatives They were witnesses like the Canadian Apparel Federation and the 400 Canadian companies and 50,000 workers it represents. The Canadian Apparel Federation spoke glowingly of the jobs and economic growth act and the historic step within it to eliminate all tariffs on manufacturing inputs and machinery and equipment. It understood the importance of this bold move, one that will make Canada the first G20 country to establish itself as a tariff-free zone for manufacturers.

In the words of the Canadian Apparel Federation at the hearing:

[O]ur most important industrial policy issue has been the duties paid on imported raw materials. I am happy today to support the passage of Bill C-9, because it contains the elimination of these duties....In the current economic climate, this is the most effective policy at government's disposal to lower the costs of domestic manufacturing. It eliminates an unnecessary financial burden on domestic manufacturers....

That is a compelling argument.

Witnesses such as the Retail Council of Canada, and the 40,000 Canadian stores and online merchants it represents, strongly urged the committee to pass the jobs and economic growth act, especially the legislative provisions within it to monitor compliance with the code of conduct for the credit and debit card industry and to regulate the industry if necessary.

The Retail Council of Canada stated:

Merchants across Canada are following this issue closely. They commend the minister...for establishing a card payment regulatory framework and for equipping the Financial Consumer Agency of Canada with the tools it needs to monitor and enforce compliance with the code of conduct changes, changes that are both contained in Bill C-9....[W]e...applaud the fact that there are regulations that will allow the minister to in fact regulate the payment system....[T]his may have to happen sooner versus later.

What about witnesses such as the Canadian Cancer Society, which spoke in favour of the initiative in the jobs and economic growth act to help counter illegal contraband through an enhanced stamping regime for tobacco products?

As the Canadian Cancer Society stated at committee:

All members of Parliament are aware of how we have a significant illegal contraband problem in Canada, and we need solutions. We support the enhanced tax stamp regime that will be authorized with this bill....It will assist in preventing counterfeiting.

The finance committee has also heard from witnesses such as Pathways to Education Canada. The jobs and economic growth act provides $20 million for pathways, which is a unique program of early interventions and support for high school students to help them overcome the barriers they may face in pursuing post-secondary education. This community-based, volunteer-supported program provides tutoring, mentoring, counselling, and financial support to disadvantaged youth and their families. It has an established record of reducing high school dropout rates. It has a record of being effective in increasing post-secondary enrollment of students from inner-city high schools.

The $20 million in new support authorized with the passage of the jobs and economic growth act would allow Pathways to grow and would help even more disadvantaged youth.

As David Hughes, president of Pathways to Education Canada, told the committee:

[O]ur program...is lowering dropout rates of at-risk youth and helping them to make the all-important transition to post-secondary education and meaningful employment. This investment will enable Pathways...to expand its program from being a regional program to being a national one, helping us expand to 15 to 20 locations, to seven to eight provinces, and serving over 10,000 students.

The committee also heard from Genome Canada. Genome Canada is a not-for-profit corporation dedicated to developing and implementing a national strategy in genomics and proteomics research for the benefit of all Canadians.

The research performed by Genome Canada, such as genomics research, has outcomes in the areas of human health, the environment, and natural resources. Recognizing the work performed by Genome Canada, the jobs and economic growth act would invest $75 million in this organization to launch new research, an investment that Genome Canada is ready to put to work.

Indeed, when Genome Canada appeared before committee, it noted:

[W]e are proud of our track record....[T]he recent federal budget provided $75 million in additional funding to Genome Canada, for which we are thankful....We want to get these funds directly into the hands of the researchers as quickly as possible....Excellence is the only standard that Genome Canada will accept or fund.

Witnesses also appeared before the finance committee to applaud the provisions in the jobs and economic growth act that would enable credit unions to grow and remain competitive by permitting them to incorporate as federal entities, if they so choose.

We all recognize that Canada is home to a strong and vibrant credit union industry that provides financial services to millions of Canadian consumers and small businesses. It has long been argued that allowing credit unions to grow on a national scale would broaden choices for consumers by helping credit unions attract new members and improve services for existing members across provincial borders.

Indeed, that is what we heard at finance committee.

Credit Union Central of Canada presented a very convincing case. It noted that the jobs and economic growth act provided:

a good first step towards the establishment of a useful, attractive, accessible, and distinctive federal charter option for credit unions.

The president of Coast Capital Savings Credit Union, Tracy Redies, added that the act was:

—a historic milestone that will enhance the strength and stability of the credit union sector and financial services industry as a whole....It will give credit unions the chance to develop greater economies of scale and more competitive cost bases while remaining true to cooperative principles. This, in turn, will allow the development of a wider range of enhanced products and services that credit union members now expect.

Increased competition from federal credit unions will provide Canadian consumers more choice, drive innovation, and lower prices.

Finally, the finance committee heard powerful testimony from witnesses praising the government for allowing competition in the outgoing international mail marketplace. We heard evidence that this move would directly save thousands of Canadian jobs. I note that this competition has already been occurring for decades.

Representatives of the Canadian Printing Industries Association, which represents over 7,200 printing establishments that employ some 65,500 Canadians, came to committee to warn of the dire consequences of failing to pass the jobs and economic growth act in a timely manner. They said:

Canadian printers and remail companies have already seen a significant decrease in business given this industry's uncertainty over the past few years. Without this amendment, these companies stand to lose even more business as their customers will simply take their business to another country....No one is going to win: not Canada Post, not our small businesses, and not the Canadian economy.

What about the other quote that we heard from Barry Sikora? This was at committee also. Mr. Sikora is a small businessman and has been involved in the international mail industry for over 30 years. Mr. Sikora came to committee with a simple plea. He said:

—my company employed 31 people. We're not a huge corporation; we're an average business in the printing industry. Now, because of this situation, we're down to 17 employees. Many of our customers have left...they have taken their business to another country. They have forced our industry to lay off long-time employees, and that's not a pleasant thing to do....We're hoping that it will come back, but...If this doesn't pass, I'm out of business.

He is referring to the jobs and economic growth act.

For those in this chamber who would get lost in ideological and procedural debate, I ask them to remember Mr. Sikora and the hard-working Canadians his business employs. I want them to think about these employees, the jobs that would be lost and the families affected if we did not pass this act in a timely manner. We need to always keep that in perspective.

We also need to keep in mind the other positive measures in the jobs and economic growth act. I would be remiss if I did not speak briefly to a few of these measures. For instance, the act provides important tax relief to those Canadian seniors who collect U.S. social security benefits.

For background, before 1996, Canadian seniors, who received U.S. social security benefits, were required to only include 50% of those benefits when calculating their Canadian income tax. In 1996 the then-Liberal government changed the tax law to tax 85% of those social security payments, an unwelcome change for those Canadian seniors on fixed incomes.

Budget 2010 and the jobs and economic growth act reinstates the pre-1996 tax treatment for those Canadian seniors who have been in receipt of these benefits before 1996, as well as their spouses or common-law partners eligible to receive survivor benefits. This important change, which fulfills a promise that our Prime Minister made during the 2008 election campaign, was warmly welcomed. Indeed, listen to what William Thrasher of the Canadians Asking for Social Security Equality told the Windsor Star recently. He said:

We've been fighting for this for 15 years...The tax increase was a "disaster" for seniors. People were thrown out of nursing homes because they couldn't afford to live there...at least seniors will be getting a bigger portion of their social security. It's a major victory.

However, there is more in our jobs and economic growth act. As we all will recall, in 2006 our Conservative government introduced the universal child care benefit. This benefit provides $100 per month for each child under the age of six and gives working families the support and freedom to choose the best child care option for them. The jobs and economic growth act will ensure that single parents are not disadvantaged by allowing single parents to choose to include universal child care benefit payments in the income of a dependant. In most cases the dependant would not be subject to tax.

This change will ensure that single parents are not disadvantaged by their family status and will provide nearly $200 in tax relief for each child a single parent may have. The Institute of Marriage and Family Canada , like most observers, has welcomed this change. It has said:

—the government has recognized that single parent families have been unfairly penalized through an excessive tax clawback of the Universal Child Care Benefit.

There is so much more to applaud in the jobs and economic growth act, like the half a billion dollars in payments to various provinces to support the key health care and social services that they provide by ensuring no decline in their total transfers in 2010-11, money that our provincial partners are counting on receiving in a timely fashion. Indeed they put it in their budgets. There is also the modification to section 116 of the Income Tax Act to better help Canada attract foreign venture capital and the jobs that it will create. In addition, there is the important extension of the mineral exploration tax credit, a move that will help promote employment and investment growth in rural and remote communities throughout Canada.

Clearly the jobs and economic growth act will implement key measures in Canada's economic action plan to help to secure sustained recovery and create jobs. Given the importance of the jobs and economic growth act, I ask all members to give it the support it deserves and to pass this important legislation in a timely manner.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:50 p.m.

Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, the parliamentary secretary has enumerated almost in a fashion of litany all the advantages of tax and non-tax. Perhaps he would like to recall this for members in the House, and anyone else who is interested. In the course of a year the Conservatives built up a deficit of $55 billion when they came here with a surplus. Perhaps he can tell us why in that same year the economy collapse and caused a loss of 550,000 jobs.

The parliamentary secretary goes on at great length to talk about the job creation. Everyone in Canada wants to know where those jobs are. At last count, if every one of those jobs were to carry a wage of $100,000 for every $1 billion of stimulus, we would have X number of jobs. In fact, for $30 billion of stimulus, we ought to have the creation of 300,000 jobs. That deficit is also part of the stimulus package. Where are those 550,000 jobs represented by the deficit? The fact is they are not there. We are still losing jobs.

In my province of Ontario, which is responsible for about 40% of GDP, if we were to make the calculation bringing over what the province has spent in stimulus, it means we would have been spending in Ontario alone $200,000 per job, but the jobs still are not there. Whose credit is it? Is it Ontario's credit or the Conservatives' credit?

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:50 p.m.

Conservative

Ted Menzies Conservative Macleod, AB

Mr. Speaker, what an interesting question. I am thankful every morning when I get up and I am not that depressed about Canada. I do not know how the hon. member can try to make a bad story out of what the rest of the world is looking at with envy.

Since July of last year we, as all of Canada, have created the environment for Canadian businesses to rehire. We have created the environment through our stimulus and through budget 2009. If we can get this bill through the House, the continuation year two of the jobs and economic growth act, we will create more jobs in our country.

However, that sort of negative comment would make businesses wonder why they were operating in our country. It is because we are the government. We put in place a positive environment for businesses to operate in. We have reduced their taxes so they have more money to expand their business. We have reduced their taxes so they can increase the number of employees. That is why we have 310,000 new jobs since July.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:50 p.m.

Bloc

Daniel Paillé Bloc Hochelaga, QC

Mr. Speaker, I would like to congratulate the parliamentary secretary on being named the hardest working MP of the year. It seems his colleague will applaud just about anything.

Page 176 of the budget shows that employment insurance revenues will be going up.They will rise from $22.6 billion to $25.2 billion, then to $26.6 billion. Compare that to the information on page 180, which shows that the cost of employment insurance benefits is expected to drop.

Employment insurance benefits are the moneys paid out to unemployed workers, and employment insurance contributions are collected not from the government, but from employees and employers. There is a big difference between the two, and over the past four years, that difference added up to a surplus of $19.2 billion. How can they say they have a $19.2 billion surplus when they took that money from workers and employers? Is this theft, or is it a new tax?

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:50 p.m.

Conservative

Ted Menzies Conservative Macleod, AB

The simple answer, Mr. Speaker, is neither. However, the hon. member brought up theft and that is a pretty strong word to use in the House.

When we came to government, that surplus was gone. It was contributed by employees and employers for a time such as what we have just faced, a downturn in the economy and increases in unemployment. Unfortunately, the previous Liberal government chose to spend that money on its own political wishes.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:55 p.m.

Bloc

Daniel Paillé Bloc Hochelaga, QC

You would do the same thing.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:55 p.m.

Conservative

Ted Menzies Conservative Macleod, AB

The hon. member suggests that can be done again. We put in place a separate board that is arm's-length from the government so that can never happen again. We saw the falling of the last government and we chose not to go down that road.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:55 p.m.

NDP

Carol Hughes NDP Algoma—Manitoulin—Kapuskasing, ON

Mr. Speaker, I do not want to take a lot of time. As everyone knows, we do not support this budget. It is not because there are not some good things in it, there are, but it is more because of the hidden agenda the Conservatives put in on items they were unable to put through in other bills.

An example is Canada Post. We hear the Conservatives saying that we will be able to send our mail overseas for services in Canada. Let us get this straight. We are going to send the mail to Jamaica to come back to Canada for distribution.

This bill consists of 880 pages. Canada Post is instrumental within our communities, providing direct service. Could the member guarantee me that none of the post offices, especially those in rural areas, will see any closures because of the proposed changes in the bill?

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:55 p.m.

Conservative

Ted Menzies Conservative Macleod, AB

Mr. Speaker, it is interesting the hon. member should suggest that we will send jobs overseas. She perhaps did not hear me read the quote from Barry Sikora in the finance committee, who is a Canadian resident, Canadian employer and Canadian taxpayer. He pleaded with us to ensure we would allow him to compete.

In committee Moya Greene suggested that it would not impact Canada Post's bottom line one way or the other. What the board of Canada Post chooses to do is beyond my purview. I encourage it to continue its support of rural post offices, and I assume it will because we have basically given it that direction.

Rural post offices are very important to my constituents. I would not be a part of jeopardizing them. This is providing jobs and competition, which is what Canada is all about.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 12:55 p.m.

Conservative

Mike Wallace Conservative Burlington, ON

Mr. Speaker, Bill C-9 has 24 sections in it. We hear often from the opposition that this is a big bill and so on. Hundreds of pages are for the tariff relief that we are providing.

However, we are providing expenditure restraint. We are improving competition when it comes to Canada Post. We are fighting money laundering. We are improving the Financial Consumer Agency of Canada's abilities. There is a variety of things we are doing.

Could the parliamentary secretary tell me why anybody would be voting against this particular bill?