Thank you, and good morning.
The Council of Canadians with Disabilities, the representative voice of Canadians with disabilities, is pleased to have the opportunity to present to the finance committee and thanks the committee for this invitation.
Budget 2012 has created some new initiatives that CCD believes will help us build a more inclusive and accessible Canada, as well as some initiatives that raise serious questions and, possibly, new barriers for people with disabilities.
With regard to the positive measures, the creation of an employment panel to report to Ministers Flaherty and Finley, by December, on best practices within the private sector on the employment of persons with disabilities is welcome, and CCD is eager to be of assistance.
Equally important and positive were the revisions to the registered disability savings plan, RDSP, that removed a significant barrier for persons with intellectual disabilities and their families to opening an RDSP account. The RDSP continues to be a program of significant benefit to Canadians with disabilities and their families.
As well, CCD was pleased to see the allocation of 10 million new dollars to the opportunities fund, a program that helps Canadians with disabilities get jobs.
On old age security, OAS, reform, what is of concern to the CCD is the raising of the age of eligibility for old age security and the guaranteed income supplement, GIS, from age 65 to age 67. There are a disproportionate number of Canadians with disabilities living in poverty. Between 45% and 60% of those living on social assistance—welfare—are persons with disabilities, and this number continues to increase. Many Canadians with disabilities have been and will continue to be excluded from the current labour market unless significant new initiatives are created to remove barriers to employment.
The old age security benefit, coupled with the guaranteed income supplement, is better than any social assistance program in Canada, with the exception of Alberta's AISH program, where a significant increase was announced in December. Suddenly, many Canadians with disabilities look forward to turning 65 because they will have a better income benefit and they will be raised out of poverty.
Increasing the age of entitlement for OAS will force persons with disabilities to live in poverty longer. OAS, while the foundation of Canada's retirement policy, does not exist in isolation. In fact, many other benefits are designed to work in tandem with OAS.
Therefore, the CCD recommends that your committee carefully weigh the following questions: Will the raising of the age of entitlement trigger a change in the age exemption in the Income Tax Act?
Will long-term disability plans and workers' compensation policies now extend benefits to age 67? Presently, LTD claims and workers' compensation claims end when people become eligible for OAS. Will this change increase premiums?
Will Canada pension plan benefits also change the age of eligibility? Will this apply to both the early retirement and full benefit?
We believe that the points raised by CCD are worthy of study. The new policy initiatives should enhance the status of Canadians with disabilities, not create greater disadvantages for them.
There is time to ensure that the OAS reforms cause no negative impact or extend the poverty of Canadians with disabilities. CCD urges the Government of Canada to consider and ameliorate the negative impact that the OAS changes will have on Canadians with disabilities.
As for employment insurance reform, EI, sadly, is of benefit to only some of our members, in that many persons with disabilities continue to be excluded from the labour market or work part-time and are unable to establish enough insurable weeks to be eligible for EI. The proposed EI reforms must recognize that persons with disabilities face additional barriers to employment. Some jobs are simply not suitable, depending on particular impairments and related barriers. For example, I am sure that none of you want me driving a car.