Bill C-4 (Historical)

Economic Action Plan 2013 Act No. 2

A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures

Part 1 implements certain income tax measures proposed in the March 21, 2013 budget. Most notably, it
(a) increases the lifetime capital gains exemption to $800,000 and indexes the new limit to inflation;
(b) streamlines the process for pension plan administrators to refund a contribution made to a Registered Pension Plan as a result of a reasonable error;
(c) extends the reassessment period for reportable tax avoidance transactions and tax shelters when information returns are not filed properly and on time;
(d) phases out the federal Labour-Sponsored Venture Capital Corporations tax credit;
(e) ensures that derivative transactions cannot be used to convert fully taxable ordinary income into capital gains taxed at a lower rate;
(f) ensures that the tax consequences of disposing of a property cannot be avoided by entering into transactions that are economically equivalent to a disposition of the property;
(g) ensures that the tax attributes of trusts cannot be inappropriately transferred among arm’s length persons;
(h) responds to the Sommerer decision to restore the intended tax treatment with respect to non-resident trusts;
(i) expands eligibility for the accelerated capital cost allowance for clean energy generation equipment to include a broader range of biogas production equipment and equipment used to treat gases from waste;
(j) imposes a penalty in instances where information on tax preparers and billing arrangements is missing, incomplete or inaccurate on Scientific Research and Experimental Development tax incentive program claim forms;
(k) phases out the accelerated capital cost allowance for capital assets used in new mines and certain mine expansions, and reduces the deduction rate for pre-production mine development expenses;
(l) adjusts the five-year phase-out of the additional deduction for credit unions;
(m) eliminates unintended tax benefits in respect of two types of leveraged life insurance arrangements;
(n) clarifies the restricted farm loss rules and increases the restricted farm loss deduction limit;
(o) enhances corporate anti-loss trading rules to address planning that avoids those rules;
(p) extends, in certain circumstances, the reassessment period for taxpayers who have failed to correctly report income from a specified foreign property on their annual income tax return;
(q) extends the application of Canada’s thin capitalization rules to Canadian resident trusts and non-resident entities; and
(r) introduces new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion.
Part 1 also implements other selected income tax measures. Most notably, it
(a) implements measures announced on July 25, 2012, including measures that
(i) relate to the taxation of specified investment flow-through entities, real estate investment trusts and publicly-traded corporations, and
(ii) respond to the Lewin decision;
(b) implements measures announced on December 21, 2012, including measures that relate to
(i) the computation of adjusted taxable income for the purposes of the alternative minimum tax,
(ii) the prohibited investment and advantage rules for registered plans, and
(iii) the corporate reorganization rules; and
(c) clarifies that information may be provided to the Department of Employment and Social Development for a program for temporary foreign workers.
Part 2 implements certain goods and services tax and harmonized sales tax (GST/HST) measures proposed in the March 21, 2013 budget by
(a) introducing new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion; and
(b) clarifying that the GST/HST provision, exempting supplies by a public sector body (PSB) of a property or a service if all or substantially all of the supplies of the property or service by the PSB are made for free, does not apply to supplies of paid parking.
Part 3 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 3 amends the Employment Insurance Act to extend and expand a temporary measure to refund a portion of employer premiums for small businesses. It also amends that Act to modify the Employment Insurance premium rate-setting mechanism, including setting the 2015 and 2016 rates and requiring that the rate be set on a seven-year break-even basis by the Canada Employment Insurance Commission beginning with the 2017 rate. The Division repeals the Canada Employment Insurance Financing Board Act and related provisions of other Acts. Lastly, it makes technical amendments to the Employment Insurance (Fishing) Regulations.
Division 2 of Part 3 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act to remove the prohibition against federal and provincial Crown agents and federal and provincial government employees being directors of a federally regulated financial institution. It also amends the Office of the Superintendent of Financial Institutions Act and the Financial Consumer Agency of Canada Act to remove the obligation of certain persons to give the Minister of Finance notice of their intent to borrow money from a federally regulated financial institution or from a corporation that has deposit insurance under the Canada Deposit Insurance Corporation Act.
Division 3 of Part 3 amends the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Cooperative Credit Associations Act to clarify the rules for certain indirect acquisitions of foreign financial institutions.
Division 4 of Part 3 amends the Criminal Code to update the definition “passport” in subsection 57(5) and also amends the Department of Foreign Affairs, Trade and Development Act to update the reference to the Minister in paragraph 11(1)(a).
Division 5 of Part 3 amends the Canada Labour Code to amend the definition of “danger” in subsection 122(1), to modify the refusal to work process, to remove all references to health and safety officers and to confer on the Minister of Labour their powers, duties and functions. It also makes consequential amendments to the National Energy Board Act, the Hazardous Materials Information Review Act and the Non-smokers’ Health Act.
Division 6 of Part 3 amends the Department of Human Resources and Skills Development Act to change the name of the Department to the Department of Employment and Social Development and to reflect that name change in the title of that Act and of its responsible Minister. In addition, the Division amends Part 6 of that Act to extend that Minister’s powers with respect to certain Acts, programs and activities and to allow the Minister of Labour to administer or enforce electronically the Canada Labour Code. The Division also adds the title of a Minister to the Salaries Act. Finally, it makes consequential amendments to several other Acts to reflect the name change.
Division 7 of Part 3 authorizes Her Majesty in right of Canada to hold, dispose of or otherwise deal with the Dominion Coal Blocks in any manner.
Division 8 of Part 3 authorizes the amalgamation of four Crown corporations that own or operate international bridges and gives the resulting amalgamated corporation certain powers. It also makes consequential amendments and repeals certain Acts.
Division 9 of Part 3 amends the Financial Administration Act to provide that agent corporations designated by the Minister of Finance may, subject to any terms and conditions of the designation, pledge any securities or cash that they hold, or give deposits, as security for the payment or performance of obligations arising out of derivatives that they enter into or guarantee for the management of financial risks.
Division 10 of Part 3 amends the National Research Council Act to reduce the number of members of the National Research Council of Canada and to create the position of Chairperson of the Council.
Division 11 of Part 3 amends the Veterans Review and Appeal Board Act to reduce the permanent number of members of the Veterans Review and Appeal Board.
Division 12 of Part 3 amends the Canada Pension Plan Investment Board Act to allow for the appointment of up to three directors who are not residents of Canada.
Division 13 of Part 3 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to extend to the whole Act the protection for communications that are subject to solicitor-client privilege and to provide that information disclosed by the Financial Transactions and Reports Analysis Centre of Canada under subsection 65(1) of that Act may be used by a law enforcement agency referred to in that subsection only as evidence of a contravention of Part 1 of that Act.
Division 14 of Part 3 enacts the Mackenzie Gas Project Impacts Fund Act, which establishes the Mackenzie Gas Project Impacts Fund. The Division also repeals the Mackenzie Gas Project Impacts Act.
Division 15 of Part 3 amends the Conflict of Interest Act to allow the Governor in Council to designate a person or class of persons as public office holders and to designate a person who is a public office holder or a class of persons who are public office holders as reporting public office holders, for the purposes of that Act.
Division 16 of Part 3 amends the Immigration and Refugee Protection Act to establish a new regime that provides that a foreign national who wishes to apply for permanent residence as a member of a certain economic class may do so only if they have submitted an expression of interest to the Minister and have subsequently been issued an invitation to apply.
Division 17 of Part 3 modernizes the collective bargaining and recourse systems provided by the Public Service Labour Relations Act regime. It amends the dispute resolution process for collective bargaining by removing the choice of dispute resolution method and substituting conciliation, which involves the possibility of the use of a strike as the method by which the parties may resolve impasses. In those cases where 80% or more of the positions in a bargaining unit are considered necessary for providing an essential service, the dispute resolution mechanism is to be arbitration. The collective bargaining process is further streamlined through amendments to the provision dealing with essential services. The employer has the exclusive right to determine that a service is essential and the numbers of positions that will be required to provide that service. Bargaining agents are to be consulted as part of the essential services process. The collective bargaining process is also amended by extending the timeframe within which a notice to bargain collectively may be given before the expiry of a collective agreement or arbitral award.
In addition, the Division amends the factors that arbitration boards and public interest commissions must take into account when making awards or reports, respectively. It also amends the processes for the making of those awards and reports and removes the compensation analysis and research function from the mandate of the Public Service Labour Relations Board.
The Division streamlines the recourse process set out for grievances and complaints in Part 2 of the Public Service Labour Relations Act and for staffing complaints under the Public Service Employment Act.
The Division also establishes a single forum for employees to challenge decisions relating to discrimination in the public service. Grievances and complaints are to be heard by the Public Service Labour Relations Board under the grievance process set out in the Public Service Labour Relations Act. The process for the review of those grievances or complaints is to be the same as the one that currently exists under the Canadian Human Rights Act. However, grievances and complaints related specifically to staffing complaints are to be heard by the Public Service Staffing Tribunal. Grievances relating to discrimination are required to be submitted within one year or any longer period that the Public Service Labour Relations Board considers appropriate, to reflect what currently exists under the Canadian Human Rights Act.
Furthermore, the Division amends the grievance recourse process in several ways. With the sole exception of grievances relating to issues of discrimination, employees included in a bargaining unit may only present or refer an individual grievance to adjudication if they have the approval of and are represented by their bargaining agent. Also, the process as it relates to policy grievances is streamlined, including by defining more clearly an adjudicator’s remedial power when dealing with a policy grievance.
In addition, the Division provides for a clearer apportionment of the expenses of adjudication relating to the interpretation of a collective agreement. They are to be borne in equal parts by the employer and the bargaining agent. If a grievance relates to a deputy head’s direct authority, such as with respect to discipline, termination of employment or demotion, the expenses are to be borne in equal parts by the deputy head and the bargaining agent. The expenses of adjudication for employees who are not represented by a bargaining agent are to be borne by the Public Service Labour Relations Board.
Finally, the Division amends the recourse process for staffing complaints under the Public Service Employment Act by ensuring that the right to complain is triggered only in situations when more than one employee participates in an exercise to select employees that are to be laid off. And, candidates who are found not to meet the qualifications set by a deputy head may only complain with respect to their own assessment.
Division 18 of Part 3 establishes the Public Service Labour Relations and Employment Board to replace the Public Service Labour Relations Board and the Public Service Staffing Tribunal. The new Board will deal with matters that were previously dealt with by those former Boards under the Public Service Labour Relations Act and the Public Service Employment Act, respectively, which will permit proceedings under those Acts to be consolidated.
Division 19 of Part 3 adds declaratory provisions to the Supreme Court Act, respecting the criteria for appointing judges to the Supreme Court of Canada.

Economic Action Plan 2013 Act No. 2

[Jean Rousseau, NDP, Compton—Stanstead, QC]

Mr. Speaker, I would like to thank my colleague for his excellent question.

Scientific research on the environment, biodiversity and how pollution affects biodiversity, including the research in the Experimental Lakes Region, is critical to our future. It is just as important as healthy agriculture. Healthy agriculture needs water, as it happens.

Enabling research means having scientists who are at the cutting edge of all innovations. Consider all of the information needed to create projects to protect water, a rich natural resource. Canada has one of the largest reserves of fresh water on the planet.

The government missed an incredible opportunity to continue that research and to ensure that we have scientists on the leading edge of knowledge about both the environment and biodiversity.

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Mr. Speaker, I thank my hon. colleague from Compton—Stanstead.

The most important thing on the subject of biodiversity in the omnibus bill is the issue of the selling off of federal properties in British Columbia. Bill C-4 calls it the Dominion Coal Blocks. This area of over 60,000 hectares is very important to the region's biodiversity. It is very important because there are also plans for a national park in that region.

I would like to ask my colleague if he agrees that it would be better to examine this very important proposal in a separate bill.

[Jean Rousseau, NDP, Compton—Stanstead, QC]

Mr. Speaker, these are indeed examples of environmental legislation that should not be lumped together in a Sears catalogue or phone book, especially since those things are nearly obsolete. Legislation on biodiversity, which is so important for the environment, cannot be properly addressed in this way.

We were talking about belugas in the St. Lawrence. Studies and research have been done, but once again, the scientists who conduct this research are being muzzled and all of their hypotheses and evidence are being refuted.

Whether in western Canada, on the Pacific coast or on the Atlantic coast, this research is vital to Canada's future and to the environment. The study of climate change begins with studies of seabeds in our national parks. Changes have been observed in the migration routes of ducks, geese and Canada geese in the fall, specifically because the biodiversity and flora have changed in the lakes where they once stopped over before heading further south. There are many in my riding and some on the land right beside where I live. It seems as though these birds no longer know where to go.

The impact of climate change is measurable, which is why we need research. This kind of legislation should definitely not be included in such an omnibus bill.

[Wladyslaw Lizon, Conservative, Mississauga East—Cooksville, ON]

Mr. Speaker, I am very pleased and honoured to rise today in the House to speak to Bill C-4, the budget implementation act.

Over the past number of months and through the summer, I spent a lot of time going door to door, meeting with constituents at events and hearing their thoughts, suggestions, advice, and support. I have also taken the time to talk about our many budgetary accomplishments in 2013.

As has been stated by representatives and leaders around the world, Canada has shown exceptional leadership at a time when many countries are facing fiscal challenges, and Canadians are benefiting from the work of this government.

Our government has focused on using its budgetary means to reduce taxes and support Canadian families. Since we have been in government, we have introduced the tax-free savings account; made reductions to personal income tax; reduced the GST; created new target measures, such as the first-time homebuyers tax credit; and created the universal child care benefit and tax credits for children participating in fitness and arts programs, measures that are aimed at reducing the financial pressure faced by Canadian families.

Tax credits and benefits are not the only manner in which our government is helping Canadians manage with the prices of products. Even though the Canadian dollar has been strengthened in the past few years and has been strong, Canadians are still paying more than people in the U.S. for the exact same goods; in response, the economic action plan 2013 would help to eliminate tariffs to reduce the cost of many goods, and this is expected to represent about $76 million in annual tariff relief for Canadian families.

As a parent of two children and grandfather of three, I understand how important these programs are in helping middle-class families provide for their children and live comfortably.

Frequently while door-knocking these past few months, I was greeted by seniors. They often asked why I was there. I was pleased to tell them that I wanted them to hear from me, but also that I was pleased to share with them what we are doing as a government to help our seniors and our veterans.

It is an honour to thank seniors for their many contributions in building the Canada we have today. At the very least, we as government should provide our seniors with programs and tax relief that allow them to plan and live comfortably in their older stages of life.

Our family caregiver tax credit, pension splitting, and expanded tax relief for home care services are a few examples of measures we have introduced to help seniors.

Since 2006, over $2.7 billion in annual tax relief has been provided to seniors and pensioners because of our programs.

In less than two weeks, Canadians will be gathering in their communities to remember the bravery and sacrifice of our veterans and our current Canadian military. I look forward to joining the Royal Canadian Legion Branch 582 in my riding to participate in its annual Remembrance Day ceremony and parade. It is truly an honour for me.

In addition, the government is proud to honour the dedication and sacrifice of those Canadians who serve this country. A total investment of $1.9 billion over the next seven years will be made to ensure that disabled, ill, and aging veterans and their families are receiving the support they need to retire and live in dignity.

There have been over 30,000 projects accomplished to build and enhance infrastructure across the country. These projects created jobs for Canadians and will facilitate growth and prosperity for many years to come.

Since 2006, our government has made several important and impactful investments in my community in Mississauga. I will give a few examples.

In the GTA, the lack of transit investment continues to be a problem for residents. The residents of Mississauga will benefit from the completion of the $14 million in improvements to the Clarkson GO Station. The upgrades have made commuting easier for the more than 5,500 people who use the station every day.

We have invested $15.6 million in the new Sheridan College campus, right in downtown Mississauga across from City Hall. It is a wonderful facility.

Another example is the $35 million investment in the University of Toronto Mississauga Campus.

As well, over the last year thousands of residents have gathered at the new city Celebration Square, where our government invested $13.3 million. Since I have been there to mark the completion of the project, I have visited the square several times for community celebrations. This project has really contributed to the spirit of the community in downtown Mississauga.

Furthermore, many residents have been impressed by investments in the redevelopment of Burnhamthorpe branch library, where our government invested $5.5 million.

As Mississauga continues to grow, it is important to recognize existing infrastructure that needs maintenance in order to keep up with the growing interest of individuals and families in settling here. Across the city, over $12.3 million was invested in replacing old water mains. These repairs were necessary to accommodate the great future we have envisioned for the city.

We did not stop there. Our government's mandate has always been focused on our economy and job growth.

To meet the labour shortages in specific industries and to assist the thousands of Canadians who have had a difficult time finding employment, we have made it a priority to invest in skills and training for Canadians by introducing the Canada job grant.

The grant is a combination of federal, provincial, and employer funding to help Canadians get the skills they need for in-demand jobs. Once fully implemented, this grant would help nearly 130,000 Canadians to obtain training in institutions such as community colleges and trade union training centres each year.

To assist small businesses, which contribute to the economic vitality of municipalities, our government has reduced the small business tax rate, lowered the federal corporate income tax rate, and extended the hiring credit for small businesses. An estimated 560,000 employers would benefit from this measure, which is expected to save small businesses about $225 million this year. These steps will help encourage small business growth in Canada.

Let us not forget our young people. Our federal government has acted to help them gain work experience by supporting more internships, valued at about $70 million. To encourage new ideas, about $18 million was allocated to the Canadian Youth Business Foundation to support young entrepreneurs between the ages of 18 and 34. Even though life is not easy for a post-graduate, I can reassure them that our government recognizes this, is acting to provide assistance, and will continue to do so.

By implementing Canada's economic action plan, Canada has experienced one of the best economic performances among the G7 countries, both during the global recession and throughout the recovery. As I stated earlier, we are recognized by leaders around the world for having the courage to take the much-needed measures to deal with these economic challenges. In the past two years, we have already cut the deficit by more than half.

Canada's budget is exemplary. We recognize the needs that are faced by Canadians and have found a way to be fiscally responsible to protect our families, seniors, and youth.

I would like to encourage all opposition members to vote in favour of Bill C-4, move it forward, and continue to focus on what matters to Canadians: creating jobs, growing the economy, and securing Canada's long-term prosperity.

[Carol Hughes, NDP, Algoma—Manitoulin—Kapuskasing, ON]

Mr. Speaker, I find it strange that the member chose to stand here and talk about jobs when in fact his government has cut job after job in the federal public service and now the Conservatives are trying to remove the right to a safe and healthy workplace.

First, how does removing the right to a safe and healthy workplace fit into a budget bill?

Second, why are the Conservatives making a mockery of the democratic process?

Third, could he tell me how many people have lost their jobs in the federal public service since his government has been in power?

[Wladyslaw Lizon, Conservative, Mississauga East—Cooksville, ON]

Mr. Speaker, to comment on the third question, it is really fearmongering. If she is referring to jobs lost in the federal public sector or any other sector, if the general idea is that more people working is better and efficiency does not matter, I do not think we can share that approach. We have to look at both. We have to look at the quality of work and we have to look for efficiencies in every sector. The numbers do not always translate into efficiency and economically it makes sense to actually cut jobs where it is necessary to achieve efficiency.

[Rosane Doré Lefebvre, NDP, Alfred-Pellan, QC]

Mr. Speaker, I thank my colleague for his speech, and I especially thank my other colleague for asking such fundamental questions about Bill C-4. I was hoping for an answer, but we have not gotten any, as she just mentioned.

My colleague had a three-part question. I would like to focus on one aspect that has to do with Canadian workers and that is extremely important. I wonder why this is in a budget bill in the first place. Perhaps my colleague opposite can answer that.

Bill C-4 will make it harder for employees to refuse to work in unsafe working conditions.

Why is my colleague opposite trying to undermine the process that enables Canadians to refuse to work in unsafe working conditions? Does he have an answer this time?

[Wladyslaw Lizon, Conservative, Mississauga East—Cooksville, ON]

Mr. Speaker, I do not know where the idea comes from. Safety in the workplace is a priority for everybody, including for our government, and it should be for employers. There is no question about a safe working environment.

I come from industry. I had my own business. I used to manage a business. A safe workplace and the safety of working people are the priorities not only for government but also for employers. Nobody wants to put a worker in harm's way. Every employer should look at getting safe working conditions. That is a priority, should be a priority and will always be a priority.

[Sylvain Chicoine, NDP, Châteauguay—Saint-Constant, QC]

Mr. Speaker, today we are debating a fourth mammoth hodgepodge bill that seeks once more to amend legislation that has absolutely nothing to do with the budget. It is a scandal. We also have to debate it under the pall of a time allocation motion. Once again, debate is being limited. We are only in our second week of work. It is an absolute scandal.

Should we be surprised? We have just started work again after a prorogation, and the more things change, the more they stay the same, as the saying goes. It is a new session of Parliament but we have the same old tactics from this government.

This is the fourth mammoth bill with which the Conservatives are trying once more to push through legislative changes so that Canadians will not notice. Here we have a 300-page document that amends a number of pieces of legislation that have nothing to do with the budget.

The NDP is familiar with the Conservatives' bad-faith manoeuvres, and we will do everything in our power to put a stop to these underhanded tactics.

This bill is a travesty. It is supposed to implement the budget, but it includes measures that have nothing to do with the budget. I am thinking particularly of the government's shady attacks on the rights of public service workers. That is why we have been demanding, since the start of this debate, that Bill C-4, the budget implementation bill, be divided into several parts so that the appropriate committees can properly analyze and study the proposed changes.

We were only on the first day of the debate when the Conservatives moved a time allocation motion in order to cut off debate and once again prevent Canadians from seeing the entire content of this bill. To us, this way of doing things is completely anti-democratic. We cannot even debate a bill without debate being cut off. This has become the norm in this institution. It is a complete scandal.

Not so long ago, the Conservatives were talking about democracy. Unbelievable. They were saying that they listen to Canadians and co-operate with other governments. However, when they are here, they do everything they can to obstruct the work of the House. They would simply like us to support their bills with no debate, no discussion. This government would like Canadians to write them a blank cheque. Speaking of cheques, we know what they do with those. It does not always make much sense, so this is a cheque they are not going to get.

Canadians are not fools. As the NDP leader told the Prime Minister, Canadians are going to judge this government's actions harshly. Canadians do not want to see their government act this way and show so little respect for democratic institutions. The NDP is offering Canadians a true alternative to this government's anti-democratic ways. In 2015, the NDP will show Canadians that we can govern this country and that we will not engage in these underhanded tactics.

Coming back to Bill C-4, I would now like to discuss a division of the bill that deals with the Veterans Review and Appeal Board. Section 4 of the Veterans Review and Appeal Board Act will be replaced with the following:

There is established an independent board, to be known as the Veterans Review and Appeal Board, consisting of not more than 25 permanent members to be appointed by the Governor in Council and any number of temporary members that are appointed under section 6.

Thinking about this change to the number of board members, I can only wonder whether the Conservatives learned anything from the VRAB study in committee. Several accusations were made during that study, and many witnesses mentioned that the board was rife with patronage appointments, interference, procedural unfairness, a lack of expertise, and so on.

I will summarize what Mr. Leduc said; he was one of the witnesses who appeared before the Standing Committee on Veterans Affairs. He said that, unfortunately, our veterans do not have the benefit of a fair and equitable hearing. I think that that statement is a good summary of the problems veterans encounter with that board.

Have the Conservatives made any changes to ensure that this board will be made fair and impartial? Absolutely not. They preferred to reduce the number of members who will sit on it from 28 to 25; the effect of this will be to slow down the work and increase waiting periods.

The Conservatives will also continue to appoint their friends to that board despite the fact that many of them have no expertise and no knowledge that would qualify them to sit on it. Once again, veterans are the ones being penalized by this type of measure.

As my colleague from Sackville—Eastern Shore stated quite rightly, the government now wants to balance the budget on the backs of our veterans, on the backs of our heroes. Is that a good approach? Of course not. The Conservatives are only bringing in half measures that do more harm than good to our veterans.

If we take a look at budgets in this period of fiscal austerity that prevails throughout the world, we see that our allies have absolutely not cut their veterans' budgets; in fact, several have increased them. The Conservative government is clearly bucking that trend and is making deep cuts to the Veterans Affairs budget. That is a clear sign of the lack of respect the government has for veterans.

In addition to these new cuts and those to the number of members who sit on the VRAB, the Veterans Review and Appeal Board, the government is going to close nine district offices throughout the country. These Veterans Affairs Canada offices provided services to veterans. The Conservatives are also going to transfer Ste. Anne's Hospital, the last hospital to provide care for veterans, to the provincial government. The Conservatives continue to transfer veterans' services to government agencies that have no expertise, such as Service Canada, or they offload the task of caring for our veterans to the provinces.

According to the Conservatives, veterans are no different from other citizens. The government considers that it owes injured veterans absolutely nothing. The government feels that it has absolutely no moral obligation to veterans, which is scandalous. These days, veterans are angry with the government because of everything it has done over the past few years.

My colleague from Sackville—Eastern Shore, the veterans affairs critic, recently introduced Bill C-447, which would completely dismantle the VRAB and implement a system with a peer-reviewed process for making medical decisions, which would be much more beneficial for veterans. A more effective and impartial board would better serve our veterans.

True to form, the Conservatives decided to introduce only half measures, such as reducing the number of VRAB members from 28 to 25, which could potentially increase wait times for hearings before this board. That is the extent of the government's respect for veterans.

Not just veterans will suffer the consequences of this budget implementation bill. The rights obtained and gains made in recent years by workers and public servants are also under attack. The most significant and most unacceptable changes in the latest budget implementation bill target Canadian workplaces.

In fact, the bill fundamentally changes Canadians' right to a safe and healthy workplace. How does it do that? It will take away the powers conferred on health and safety officers by the Canada Labour Code and give them to the minister.

The bill will also reduce a worker's right to refuse to work in dangerous conditions. We are convinced that no worker should be made to work in conditions that would put their health and safety at risk. This provision is ridiculous and we strongly oppose it. The government has always served as the watchdog for private business to ensure that workers have a safe environment. We wonder if the government knows what it is doing in this file. We really do wonder.

In addition, Bill C-4 will put practically all of the power related to health and safety into the minister's hands, without taking into account how that will affect protections for workers.

Bill C-4 also makes changes to the Public Service Labour Relations Act, eliminating binding arbitration as a method of dispute resolution in the public service. The only explanation for this change is that the government wants to provoke disputes with public servants.

I could go on and list more situations, but I will leave it at that.

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, I want to thank my colleague for that excellent speech on Bill C-4.

The Conservatives came into this session with drums rolling. They were going to talk about a consumer-first agenda. Yet, we see in this Bill C-4, which is an omnibus bill that deals with 70 different laws of this country, that they have failed to address any of the consumer issues that Canadians want. They have failed to address the airline passenger's bill of rights. It is not here. They have failed to address the fact that cell phone bills are so high. They have also failed to address gas prices that average Canadians are paying, being gouged by big oil companies.

I know my colleague has done excellent work on the veterans affairs committee. I have had a number of veterans from my community come to my office asking for help, trying navigate through the Veterans Review and Appeal Board.

Could the member highlight some of the issues he has discovered through his travels and through the committee, in regard to veterans not being treated fairly?

[Sylvain Chicoine, NDP, Châteauguay—Saint-Constant, QC]

Mr. Speaker, I would like to thank my colleague for his question and comments.

In the Speech from the Throne, the government took up several NDP causes, including protecting consumers' rights.

We look forward to seeing how this will play out. However, there really is nothing in this bill that will help consumers. Not that long ago, they rejected outright many of our proposals to help consumers. I look forward to seeing what they think of them now and what they will do to help consumers.

The committee looked at the issue of the Veterans Review and Appeal Board. There are several problems with the board, notably a lack of procedural fairness. Many of the people who sit on the board—there are currently 24 or 25 people—have no knowledge of health and safety and no military knowledge. They are qualified because they are friends of the regime in power and the Conservatives. They were placed there. However, they have no military or medical knowledge, yet they must make decisions about problems that veterans are having in getting Veterans Affairs Canada to reverse its decisions. It is completely absurd. That is why we want to replace this board.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, one of the questions I asked the Minister of Labour was in regard to how we in the Liberal Party believe that she should have brought in her own piece of legislation, given the number of changes that are being put into place through the budget implementation bill.

We are talking about the ways in which we define danger, for example, issues related to health and safety regulations and issues related to our unions. There is a lot of substance there that ultimately would have seen a great deal more debate and discussion by many different stakeholders across this country, given the importance of the labour file.

I wonder if the member might want to provide comment on what I believe is one of the greatest deficiencies of this legislation, the fact that it is incorporating so much other legislation through the back door of the budget bill that it is preventing legitimate debate on a wide variety of other important issues facing Canadians today.

[Sylvain Chicoine, NDP, Châteauguay—Saint-Constant, QC]

Mr. Speaker, I would like to thank my colleague for his excellent question.

He pointed out one of the biggest shortcomings of this bill: the fact that the government is amending approximately 80 laws in a 300-page document and we have only a few hours of debate in the House of Commons to examine it because the government moved a time allocation motion. This bill will not be examined properly. It is simply disgraceful. This bill addresses many issues, and we will not have the opportunity to conduct a thorough and proper examination of it. It could potentially contain mistakes, like the error concerning the tax rate for credit unions in the last omnibus bill. There may be mistakes in this bill that we will not see because we did not have the opportunity to examine it properly. It is completely disgraceful. Clearly, we are against this. What is even more disgraceful is that, because of the Senate scandal, the media are not focusing on Bill C-4 and so Canadians will not be properly informed of the changes that are being made.

[Patrick Brown, Conservative, Barrie, ON]

Mr. Speaker, it is my pleasure to rise today to speak to some of the key initiatives in Bill C-4, the economic action plan 2013 act no. 2.

As a government, we have much to be proud of. I am glad to see that we remain focused on the issues that matter most to Canadians, which are job creation, keeping taxes low and returning to a balanced budget.

Through Canada's economic action plan, Canada has experienced one of the best economic performances among the G7 countries, both during the global recession and throughout the recovery. We have created over one million net new jobs, of which 90% are full time and over 85% are in the private sector, which is an astounding figure.

Statistics Canada announced that 59,200 net new jobs were created in August and nearly another 12,000 in September. The national unemployment rate has fallen to 6.9%, the lowest level since December 2008.

I have seen the same recovery happen in my hometown of Barrie, Ontario. In September, the unemployment rate in Barrie fell to 7.2%, an improvement of nearly 2% from the September before, which is remarkably better than the 11.7% unemployment rate we saw a few years ago. Therefore, I am certainly seeing in Barrie the recovery that has occurred nationally. As Councillor Brassard said when I addressed the Barrie City Council in September, the federal government's initiatives have been the linchpin to this recovery.

Our strategies to create jobs are working. I am particularly proud of our government's support for job growth through the Canada job grant. As organizations grow, their success is often contingent upon knowledgeable staff. However, with a family to feed and a full-time job, it can be tough for staff to go back to school on a full-time basis. That is why our government created a program that would enable employees to train for better jobs without having to worry about the excessive costs to retrain. Canadians who have an offer of a new or better job might qualify for up to $15,000 or more to learn new skills to accept that job. This will serve as a tremendous help to both employees and employers looking to grow their business.

However, the job does not end there. There is still more to be done. While more Canadians are finding work, I sympathize with the many Canadians who are still searching for gainful employment. We are not immune to the economic volatility beyond our borders. This is especially true for Canada's key trading partners, the United States and Europe. With our big export consumers still on shakey ground, that will have an impact on Canada's economy. That is why our government is staying focused on the economy and creating jobs. One way we are doing that is through supporting small business.

As we all know, small business growth has been one of the key components of Canada's recovery. Since taking office in 2006, our government has supported small business by keeping tax rates low. Small business is the economic engine that drives our economy. Statistics show that 75% of workers in Canada are employed by companies with four or fewer employees. Our commerce relies on keeping taxes low to maintain our competitive edge over many of our trading partners. I have heard this in Barrie.

On September 23, I had the pleasure of having the President of the Treasury Board in Barrie for two round tables, one with Meridian Commercial Banking, hosted by Councillor Alex Nuttall, and one with the Chamber of Commerce, hosted by its executive director Sybil Goruk. It was that focus on training and small business that we heard at both those local round tables and that they appreciate our efforts on both those fronts.

We have already extended the hiring credit for small business up to $1,000 for new hires, and over one million employers have benefited from that program. There has been some strong feedback from the small business community on this initiative. BIA 2 seeks to expand that recovery by freezing the employment insurance rates that employers and employees pay for the next three years. In Barrie, this means that businesses and their employees will be keeping more money in their pockets, which is great news for our local economy, especially our small businesses.

In my riding, I have seen first-hand how many local businesses have benefited from federal incentives and programs. Federal investments have also supported local businesses to create jobs. For instance, through a repayable contribution, Southmedic was able to take its plant from China to Barrie. It is providing medical masks. TNR Industrial Doors had a major expansion with another repayable loan. Those are good, high-paying jobs.

With a repayable loan, Wolf Steel, which does high-efficiency furnaces, was able to almost double the size of its company with an impressive expansion. Even more significantly, thanks to the southern Ontario economic development agency, we were able to convince IBM to put a plant in Barrie. A $20-million contribution has led to some of the highest-skilled jobs around just on Bayview Drive. Phase one is now open and phase two will be under way shortly.

I would also like to mention the federal contributions that led to the new wellness centre in Barrie. That was 400 construction jobs; 400 new full-time and part-time jobs for staff and faculty. The economic impact of this construction alone was approximately $98 million for my community, a pretty significant benefit.

Last week, the Minister of Finance released the annual financial report of the Government of Canada for 2012-13. This report shows the continued downward track of Canada's annual deficit. In 2012-13, the deficit fell to $18.9 billion. This was down by more than one-quarter, $7.4 billion, from the deficit of $26.3 billion in 2011-12, and down by nearly two-thirds from the $55.6 billion deficit recorded in 2009-10. I certainly hear from around Barrie that this disciplined approach to deficit reduction is applauded and appreciated across Canada.

This is an excellent example of our government's responsible spending of taxpayer dollars. Further direct program expenses have fallen by 1.2% from the year prior and by 3.8% from 2010-11. We have found these savings without raising taxes or cutting transfers to the provinces and territories. The 1990 approach by the Liberals was simply to slash transfers to the provinces and that meant huge cuts to health care and education. That certainly was not the approach we were prepared to make. This has been a much more fiscally prudent manner to approach the deficit.

Our support does not end there. Our government has also recognized the need for improved infrastructure. Not only have we recognized this need but we have taken action by investing over $4.5 billion into greater Toronto area infrastructure since we took office in February 2006. Since 2006, the City of Barrie alone, to give another example, has seen its share of the federal gas transfers not only become permanent, but they have risen from over $2 million a year to $8 million. There is a lot that can be done with that and the city certainly has. We have put $7.2 million into various road renewal activities, and $16.5 million into improvements of stormwater management, like Kidds Creek, Bunkers Creek, Sophia Creek, the Kempenfelt Bay shoreline, culverts and storm sewers. In fact, the City of Barrie got an FCM award this year for its excellent management of gas tax funding. We have also put $2.1 million into the landfill improvement projects up on Ferndale Drive.

Continued investments in my region's infrastructure have improved amenities for families across the board. Building a better community is something that we all have a stake in and a commitment to new infrastructure helps make Barrie an attractive area to live, work, play and invest. I am sure that is the case in every community across this country. Certainly, Bill C-4 provides those significant tools to build our communities.

Not only does Bill C-4 address this issue now, but it includes initiatives that will help Canadians into the future as well. Canada has free trade agreements in force with more than 10 countries and half of those agreements have been brought into force in just over the last four years. These agreements are strategic economic advantages for our country in a wide range of sectors. I think we see that in every community in Canada.

Bill C-4 also addresses the Government of Canada's intent to set public service pay and benefit levels that are reasonable, responsible and in the public interest. Through the much needed amendments to the Public Service Labour Relations Act, we will ensure that the public service is affordable, modern and high performing, as taxpayers expect.

There is one other item I want to mention that I was particularly proud of in Bill C-4. That was the investments that were made in Lake Simcoe. This government has put $59 million into the cleanup of Lake Simcoe. We have never seen a nickel put into Lake Simcoe before this government. Bill C-4 also puts in funds for protection against invasive species. Lake Simcoe is a tremendous jewel in our region. It contributes an estimated $200 million to our region and more than 400,000 people depend on the lake for drinking water. We have seen the phosphorous levels go dramatically down, and I am proud that our government has shown such significant leadership on Lake Simcoe.

I commend the Minister of Finance for his incredible hard work on Bill C-4 and the astute leadership he has shown, respecting Canadian taxpayer dollars and investing in a manner that supports the economic growth of our country.

[Mike Sullivan, NDP, York South—Weston, ON]

Mr. Speaker, I listened with interest to the comments by the member for Barrie.

There are two things I would mention. One is that this supposed budget bill actually creates dangerous workplaces by forcing employees to continue to work even though a danger exists, unless somehow they can prove that danger is imminent or will cause serious harm. We are now getting into the whole range of things about what is imminent and what is serious. Is asbestos imminent? No. Is it serious? Maybe. Are changes to a person's reproductive system imminent? No. Is it serious? It depends on whether they want to have children. Those are two examples of the kinds of things the bill does to weaken this legislation.

The other issue is that there is nothing in the budget bill that helps small businesses in the hon. member's community deal with the cost of banking. The banks have recently raised the fees that businesses must pay to Visa and other credit card companies. The voluntary system just is not working and there is nothing here for it. Maybe he would like to comment on that.