Thank you very much, Mr. Chairman.
I should start by introducing my colleagues at the table. Of course Jean-Pierre Blackburn, Minister of Labour, is with me; his deputy minister, Munir Sheikh, is here, as is my deputy minister, Janice Charette. Next to Janice is Hélène Gosselin, associate deputy minister responsible for Service Canada; next to Hélène is Karen Kinsley, who is the president of CMHC; and next to Karen is Sherry Harrison, who is the comptroller for the department.
Mr. Chair, I am pleased to appear before this committee to talk about the 2007-2998 main estimates and the report on plans and priorities of my department.
I am accompanied by my esteemed colleague, the Minister of Labour, the Honourable Jean-Pierre Blackburn, who will talk about the activities and plans of the Labour Program within Human Resources and Social Development Canada.
Of the $84 billion in planned expenditures for my department, nearly 93% will be in direct benefits. They range from child care, student support, and skills development to employment insurance, the Canada Pension Plan, and old age security.
The HRSDC main estimates exclude employment insurance—$16 billion—and the Canada Pension Plan—$28 billion—for benefits and administrative costs funded from those two accounts.
The 2007-2008 main estimates total $40.5 billion, a net increase of $5.1 billion over the 2006-2007 main estimates of $35.4 billion. The increase is primarily due to new funding for the universal child care benefits, the lump-sum payments recognizing the impact of Indian residential schools, and increases for statutory programs, which include old age security, guaranteed income supplements, and allowance payments.
Mr. Chair, I have recently had the opportunity to cross the country and see firsthand how our department touches the lives of Canadians and helps them fulfill their potential. Service Canada is central to my department and to the broader government, touching the lives of millions of Canadians. Service Canada is about improving service to Canadians. I'm proud to say that Service Canada provides access to more than 50 Government of Canada programs and services over the Internet, in person, or by telephone.
I'm also proud of our expansion into rural and remote areas. Over last year, our government added 170 points of service. Residents of Fort Resolution on the shores of Great Slave Lake in the Northwest Territories, for example, recently got help accessing programs and services, thanks to several Service Canada employees who made a 320-kilometre round trip from the local service centre in Hay River, rather than waiting for the residents to come to them.
Residents of the communities of Grise Fiord and Resolute and Nunavut also recently had a chance to find out about our programs through two trade fairs organized by Service Canada employees and the Baffin Chamber of Commerce. Some Canadians are now receiving their first direct contact with the federal government. Citizen service agents are providing scheduled outreach visits to several communities along the James Bay coast in northern Ontario that are only accessible by plane. Plans are also under way to begin offering services in Cree.
Many more Canadians are getting the services and benefits they need. Providing Canadians with excellent services is no longer just a goal, but a concrete reality.
Let me now outline for you some of our government's actions to support Canadians in their family life, at work, and in their communities. Mr. Chair, today is International Day of Families. Every day Canadian families face challenges balancing work and family responsibilities and making decisions on how to raise their children. That's why our government has now presented two budgets aimed at providing choice for Canadians. These measures are making a difference, Mr. Chair.
In fact, this year we will be providing nearly $5.6 billion—three times the previous government—in direct spending, tax measures, and transfers to support early learning and child care. Universal child care benefit provides $2.4 billion a year directly to families, and now with Budget 2007, we have committed $250 million per year to create new child care spaces through the Canada social transfer. This comes on top of the $850 million we already provide to the provinces and territories in support of early learning and child care programs. Budget 2007 announced further support for families with children, including a 25% non-refundable tax credit to support businesses in creating new child care spaces in the workplace.
I recently had the opportunity to attend the opening of an innovative employer-sponsored child care centre at the University of Waterloo in Ontario. The centre sets up contracts with employers to supply full- and part-time care for children up to 13 years old, as well as temporary child care when the need arises. I can see Canadians working together to create effect choices in child care. I'm very encouraged when parents tell me that they have more choices for their families as a result of our programs and policies.
We have continued to follow through on our commitment to families by recently proposing in the budget a child tax credit for up to $310 per child under the age of 18. More than three million Canadian families would see their tax burden reduced. We have also proposed a new measure, similar to the registered education savings plan, that will benefit families who have children with severe disabilities. I'm sure that every one of us knows someone who faces the daunting financial challenge of caring for a child with a disability. The registered disability savings plan is designed to help ease that financial burden.
We have also done a great deal on behalf of seniors.
At the beginning of this year, the Prime Minister appointed the Honourable Marjory LeBreton as Secretary of State for seniors. In March, we announced the creation of a National Seniors Council to advise the government on issues of national importance. Budget 2007 had an increase in the age credit amount and pension income splitting. The recent passage of Bill C-36 will make it easier for seniors to apply for and receive their benefits.
This government also believes that investing in post-secondary education today will help bridge the skills gap, so future generations can access learning and employment opportunities of the future. That's why Budget 2007 proposed to increase the lifetime contributions and the annual contribution limits of registered education savings plans, as well as increase the Canada education savings grant. In addition, Budget 2007 proposed the biggest investment in post-secondary education since the inception of the Canada social transfer, an increase of more than 40% in transfers to provinces and territories in this area.
We are also delivering policies and programs that help bridge the gap in the labour market between employers who need workers and Canadians who need jobs. The budget establishes a new architecture for labour market policy, the centerpiece of which is a $500 million a year contribution in new funding for the provinces to help get training for those who are not eligible to receive EI. Our goal is to create the skilled, adaptable workforce Canada needs. In the final analysis, this translates into opportunities for individual workers to create Canada's knowledge advantage.
We live in a very special time in the history of the Canadian economy and its labour force. The challenge used to be people seeking jobs. Now we have jobs seeking people, especially when it comes to skilled workers.
Last January, for example, our government launched the apprenticeship incentive grant. Up to 100,000 apprentices will be eligible for grants to help cover the cost of tuition, travel, and tools. I was recently in Edmonton, Mr. Chairman, where I had the opportunity to present the first $1,000 cheque under the apprenticeship incentive grant at a steel fabricating plant, Wayward Steel. The smile on that young rig technician's face told me, Mr. Chairman, that we were absolutely on the right track with this new grant.
Our government is also producing programs that encourage employment for under-represented groups such as recent immigrants, persons with disabilities, and aboriginal Canadians.
Immigrants now account for a much larger proportion of Canada's population growth. We need the skills of these newcomers.
In the past year I announced enhancements to the temporary foreign worker program, including regional lists of occupations under pressure, and working groups in Alberta and B.C. that are designed to alleviate worker shortages.
In Calgary, last March, I announced funding for a program that will develop an online tool to help immigrants before coming to Canada upgrade their essential skills to meet the requirements of the Canadian workforce. We've also targeted other groups to help ensure that they can bring their skills to the workplace to help us bridge the gap.
When I was recently in Digby, Nova Scotia, I met a woman whose disability had made her feel that she was unemployable. With the help of the skills link program, she found a position with a retail chain. She was pretty thrilled about making a contribution to her community and the positive impact that the job would have on her life. Mr. Chairman, she told a very touching story at that time, and I couldn't help but feel a personal sense of pride in the skills link program that was helping her.
Mr. Chairman, there are many more stories like this one.
For example, when I visited a youth project in north Regina, I met a young aboriginal man who had experienced some pretty tough times. Participating in a youth program had motivated him to work towards creating his own business of renovating houses and flipping property.
We've also reached out to support aboriginal people. I'm very pleased that our recent budget proposed to double the investment under the aboriginal skills and employment partnership program. We propose to add another $105 million to this program, and I'm sure we'll see more success stories like these in years to come.
Last year the government invested some $175.5 million to support over 1,140 homelessness-related projects. We also committed $269.6 million over the next two years on a new homelessness partnering strategy. This strategy will work to find more effective and sustainable solutions to prevent and reduce homelessness, and improve the quality of life for Canada's most vulnerable citizens.
We also recently announced a two-year extension of CMHC's renovation programs, worth $256 million, to help bring housing for low-income households up to basic health and safety standards.
CMHC is spending $1 billion per year to create affordable housing through bilateral affordable housing agreements with the provinces and territories. It also spends about $1.8 billion to support some 633,000 existing social housing units across Canada.
The 2006 federal budget also provided $1.4 billion for affordable housing, northern housing, and housing for aboriginal people living off reserve. Along with my colleague, Minister Prentice, I recently announced the creation of a $300 million first nations market housing fund. This fund follows through on the 2007 budget commitment to develop a housing market in first nations across this country. It also represents a fundamental shift in how Canada's new government supports housing on reserve. Up to 25,000 new housing units over 10 years could be provided through this fund.
Mr. Chairman, I cannot emphasize enough the importance of the contributions made by the individual employees of my department.
Through their hard work and dedication, we are making an impact on the lives of Canadians.
Mr. Chair, this committee will note that in the report on plans and priorities, we have made a commitment to Canadians, to our own employees, and to taxpayers. We will use their money wisely to achieve results and value for money.
When I travel the country and see a human face on the results that we achieve, I know we are on the right track. We are reaching people; we are helping them fulfill their potential.
I would be pleased to welcome the committee's questions.
Thank you.
