Finance Committee on June 1st, 2026

[The Chair, Liberal, Karina Gould]

You have about 10 seconds for a response.

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

We have increased the labour mobility deduction for tradespeople from $4,000 to $10,000, indexed to inflation, and importantly, reduced the distance from 150 to 120 kilometres.

[The Chair, Liberal, Karina Gould]

Thank you, Minister.

Thank you, Mr. MacDonald.

Mr. Lemire, you have the floor for two and a half minutes.

[Sébastien Lemire, Bloc, Abitibi—Témiscamingue, QC]

Thank you, Madam Chair.

Minister, in the first hour of this committee meeting, I remained unimpressed with the responses provided by Mr. Countryman, the director general of federal‑provincial relations at the Department of Finance. By way of context, I was asking him questions about one aspect of the economic update, which includes $6 billion for the team Canada strong initiative. This measure involves setting up a workforce training program through a wage subsidy. I'm sure that you're well aware of this program.

Did you consult the Quebec government before developing this measure?

Were you aware that, since 1997, Quebec and Ottawa have had an agreement on workforce training and that this measure could lead to conflicts with Quebec?

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

We worked very closely with the provinces and territories. Our next meeting is in July, in Halifax, and we'll be discussing the approach. The Quebec government is doing a particularly good job.

They have the best outcomes for skilled trades workers across the country. We're looking forward to hearing some of their lessons learned in terms of the work we're doing, in particular, in building trades unions across the country.

[Sébastien Lemire, Bloc, Abitibi—Témiscamingue, QC]

After seeing the economic update, Quebec's labour minister and a well-known federalist, Jean Boulet, said he was impressed by how many federal measures infringed on his jurisdiction.

Your answer leads me to believe you'd be open to the idea of letting Quebec exercise its right to opt out with full compensation, if you truly want to respect the spirit of the 1997 agreement.

Is that the case?

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

We will work with Quebec. I think the economic update contains measures that are very helpful to Quebec. I'll be speaking with Mr. Boulet, Quebec's minister, and the other provincial and territorial ministers in July, in Halifax.

[Sébastien Lemire, Bloc, Abitibi—Témiscamingue, QC]

You introduced temporary measures to address the EI gap.

Why didn't you make them permanent?

[The Chair, Liberal, Karina Gould]

Give a 10-second response, please.

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

These measures are in place until 2028, and we'll continually assess the need for the measures on an ongoing basis.

[Sébastien Lemire, Bloc, Abitibi—Témiscamingue, QC]

Thank you.

[The Chair, Liberal, Karina Gould]

Thank you very much, Mr. Lemire.

We'll continue now with Mr. Hallan for five minutes.

[Jasraj Singh Hallan, Conservative, Calgary East, AB]

Thank you, Chair.

Minister, you said that you will “drive forward an agenda to grow the strongest economy in the G7, and that is exactly what we are doing”. Your government just drove Canada into a recession. In fact, Canada is the only G7 country in a recession now, due to your government. It's a full-blown Liberal recession. Can you tell us why?

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

First of all, I want to be very clear. My role here today is to make sure that the employers who are telling me on a regular and ongoing basis that we have a skilled trade shortage in this country can get the labour they need. This is an actual limiting factor. When I look at the major projects list and the projects approved, for example—

[Jasraj Singh Hallan, Conservative, Calgary East, AB]

Minister, I'll get to the employment part, but can you answer why Canada is in a recession today when you and your government promised we would have the strongest economy in the G7, and you said that you would grow the economy? We found out on Friday that, due to your Liberal policies, Canada is in a recession. Can you tell us why? The Prime Minister refuses to answer any questions.

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

That is a dog's breakfast of a question, I will say.

[Jasraj Singh Hallan, Conservative, Calgary East, AB]

Why are we in a recession, Minister?

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

I think the Prime Minister has regularly answered questions in question period, as well as in the media.

[Jasraj Singh Hallan, Conservative, Calgary East, AB]

That's why I have to ask them again: because you don't answer questions.

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

I will say that conflating the situation that Canadians are facing—

[Jasraj Singh Hallan, Conservative, Calgary East, AB]

It is because of the government.

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

—when I think Canadians are wise enough.... Certainly the Canadians in my riding come up to me all the time and talk about not only the concerns they have but the opportunities that they see in terms of a strong Canada. I think that the important piece to remember is that every step of the way—

[Jasraj Singh Hallan, Conservative, Calgary East, AB]

Minister, you mentioned a strong Canada, but now Canada is in a recession, and you can't answer why. Can you tell us why?

[Patty Hajdu, Liberal, Thunder Bay—Superior North, ON]

—as we support Canadians through this time and build Canada strong.

[The Chair, Liberal, Karina Gould]

Can you just let the minister respond quickly, and then we'll go to the questions? It's for the interpreters.