Evidence of meeting #4 for Human Resources, Skills and Social Development and the Status of Persons with Disabilities in the 40th Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was budget.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Paul Thompson  Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development
Karen Kinsley  President, Canada Mortgage and Housing Corporation
Scott Streiner  Assistant Deputy Minister, Labour Program, Human Resources and Skills Development Canada
Liliane Binette  Assistant Deputy Minister, Quebec Region, Service Canada
Karen Jackson  Acting Senior Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Social Development Canada
David MacDonald  Assistant Deputy Minister, Learning Branch, Human Resources and Skills Development Canada
Frank Fedyk  Associate Assistant Deputy Minister, Strategic Policy and Research, Department of Human Resources and Social Development

12:10 p.m.

Conservative

The Chair Conservative Dean Allison

Great.

We're going to move to Madame Beaudin, for five minutes, please.

February 12th, 2009 / 12:10 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

Thank you, Mr. Chair. Thank you very much to our guests for having accepted our invitation.

I would like to begin by asking for clarification on employment insurance. When you say that 82% of those paying into EI are eligible, are you talking about contributing members who apply or do you mean that 82% of contributors may apply?

12:10 p.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

What I mean is that 82% of laid-off workers who have contributed to employment insurance are eligible for benefits.

12:10 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

Did this 82% of contributing participants clearly apply for employment insurance?

12:10 p.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

Yes, here are the facts: among those people who have paid into the employment insurance fund and whose termination of employment makes them eligible, 82% receive benefits.

12:10 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

Contributing, that is one thing. You can contribute and be eligible for the employment insurance program, but not apply because you have not accumulated enough weeks of work.

When you talk about 82% of contributors, did they all apply and are they receiving employment insurance benefits?

12:10 p.m.

Associate Assistant Deputy Minister, Skills and Employment Branch, Department of Human Resources and Skills Development

Paul Thompson

It is the opposite: 18% of those who have contributed were not eligible, that is because they did not accumulate enough hours of work or perhaps for other reasons.

This 82% is essentially the rate of contributors who have received their benefits.

12:10 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

Perfect, thank you.

Social housing is another area which is of great concern to me. When you said that there is new investment over two years, I just want to check that it is really new money. Is it?

12:15 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

Yes, it is.

12:15 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

What, in your assessment, is needed in terms of new social housing units in Canada and Quebec? Have you researched that?

12:15 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

Yes, we have. There is a national measure that is part of the census question on pressing housing needs, what we call in English core housing needs. It is a nation-wide and provincial measure indicating the number of people who are having trouble getting access to housing. And this measure has been in place for years.

12:15 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

According to your assessment, what is the demand for new social housing units? Based on your assessment, how many new social housing units need to be built in Canada and Quebec?

12:15 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

Indeed, there are measures on those in need which enable us to make an estimate on demand.

12:15 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

I see, but how many new social housing units were built in the last year?

12:15 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

Under the Affordable Housing Initiative, 41,000 housing units were built before late December 2008. The program expires in March 2009.

12:15 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

I see.

In Quebec alone, it is estimated that 450 households have core housing needs. In Montérégie, where my riding is, in January alone, 37 houses were abandoned due to the economic crisis.

You say that 41,000 new social housing units were built and that the additional investment has been spread over two years. How you are going to meet the need for new social housing units and at the same time meet the deadlines that you set with the municipalities? If construction is not completed or if you have not met the demand within the prescribed deadline, what are you going to do with the leftover money?

12:15 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

I am just trying to clarify the question. In addition to the monies announced in the economic plan that you mentioned in September, the government has announced another envelope of $1.9 billion for social housing. In total, there is new money to the tune of $4 billion for social housing.

12:15 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

How are you going to be able to meet the two-year deadline? Social housing units aren't built in three weeks. Given the needs and the tight deadlines, how are you going to meet demand?

12:15 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

As I said, we are using programs which already exist. In the case of Quebec, there is a program which was developed and is run by the province. Our response time is quick because of the existing network. In almost every province, there's a process to determine which projects can go forward. We think we will be able to move very quickly as soon as this new money is approved.

12:15 p.m.

Bloc

Josée Beaudin Bloc Saint-Lambert, QC

You're saying that there are 41,000...

12:15 p.m.

Conservative

The Chair Conservative Dean Allison

Thank you. That's all the time we have.

We're actually over time, but thank you for the response.

We're going to go over to Mr. Lobb for five minutes.

12:15 p.m.

Conservative

Ben Lobb Conservative Huron—Bruce, ON

Thank you, Chair.

Again, I would really like to extend my appreciation to you, your team, and your colleagues for attending for the second time in one week. I know that's a testament to your dedication and your time, because I know those hours you spend here are added on at the end of the day or before the work day begins. In regard to the rest of your staff, I do appreciate the long hours you're working. It definitely takes time away from your family, and likely on the weekends, too.

Again, on Service Canada, which my staff deals with directly, I appreciate their help and their good demeanour on the phone. It really is a testament to their training and so forth. I can only speak on behalf of our office, but I would like to say that nine times out of ten there's an issue with the paperwork that's submitted with the EI claims, and we're able to help them along and make sure they get the dollars rolling.

I would like to make a comment, though, on what I've heard in the last couple of committee meetings regarding freezing of EI premiums. There are some questions, I think, from some colleagues of mine on the actual stimulus factor or the benefit therein, for either employers or employees. I have a quote here from my former CFO that I'd like to share with my colleagues. It's just on some of the economic stimulus here, maybe, and it goes like this:

In times when our monthly insurance premiums, dental and health, are continually increasing, it's great to hear that our federal government has taken this initiative to hold these costs firm. It helps us free up some budget which could result in part-time or full-time work.

So when we talk about a collaborative and consultative approach to putting together the economic action plan, the freezing of EI premiums most definitely helps corporations as well as the employees, and we know these come directly off employees' paycheques. For that, we are truly thankful.

One of the questions I have for you is about page 2 of the CMHC report, and it's to do with the retrofitting and energy upgrades. It does mention here that provinces and territories will be required to cost-share on a fifty-fifty basis. My question is about the fact that some affordable housing is owned by counties and municipalities. I'm wondering, to circumvent the process, will they be available to cost-share on a 50-50 basis with the federal government? That's my question for you guys.

12:20 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

Thank you for the question.

In fact, the requirements under the existing agreements today require that the provinces cost-share. The provinces are able, if there are municipalities that are willing, to allow municipalities to take up a portion of their 50%. However, we do cap that. There are many circumstances today where even when the provinces put in their 50%, as we say, we'll take all comers; so if community groups or municipalities wish to add on to that contribution, we're more than happy, obviously, to accept that in the projects as well.

12:20 p.m.

Conservative

Ben Lobb Conservative Huron—Bruce, ON

That's great to hear.

As a follow-up on that one, on page 3 of that, paragraph 2, we talk about shovel-ready projects in regard to sewers, waterlines, etc. Are these targeted at, again, affordable housing projects--that those dollars will be allocated to bring the water and the sewer to those affordable housing developments?

12:20 p.m.

President, Canada Mortgage and Housing Corporation

Karen Kinsley

They certainly could, but they're not limited to that. These are the loans that would be made available to municipalities for housing-related infrastructure. So as I indicated previously, if there is a social housing project ready to go and they need to avail themselves of the funds for infrastructure and the municipality wanted to borrow the funds for that, certainly that's what this initiative would be available to do. But it would also be available for other housing projects in a market context, where they similarly would need that kind of infrastructure--provided, of course, the municipality was supportive.