Thank you, Mr. Chairman. I'd like to begin by acknowledging that the land on which we gather is the traditional unceded territory of the Wolastoqiyik and the Mi'kmaq people of New Brunswick.
My name is Randy Hatfield. I'm the executive director of the Saint John Human Development Council, the social planning council. I was to be joined this morning by Greg Bishop, but he is attending a medical appointment with his wife as their third child is imminent. On the heels of the rather dismal population figures that were released yesterday, we fully support his choice of venue this morning.
I've provided members with a power point deck that I'm not going to display but will be referring to. I would like to set the scene in the community of Saint John and describe the community that we work in through a poverty lens.
The first question we would want to ask ourselves is, “What is poverty?” In New Brunswick, we have an answer; we have a definition. In our Economic and Social Inclusion Act that establishes the New Brunswick Economic and Social Inclusion Corporation and oversees the provincial poverty reduction strategy, we find a definition of poverty that says it is “the condition of a person who lacks the resources, means, opportunities and power necessary to acquire and maintain economic self-sufficiency or to integrate into and participate in society”.
Well, how do you measure that? How do you measure a condition? It's a very lofty concept. It's a social inclusion notion that goes to participation and belonging, but when we talk about poverty, we're forced to use a surrogate measure. We're forced to use a proxy measure of income. When we look at poverty through a lens in Saint John, we look at something called the “low-income measure”.
I know that this committee and the government will be looking at measurement and what measure it's going to choose as it moves forward when discussing and implementing a poverty reduction strategy. I would commend the low-income measure as half of the median income, a widely accepted OECD measure that I think is capable of being trended over time and giving us powerful longitudinal tools to look at progress—or not—on the poverty reduction file.
Using the low-income measure and using taxfiler data for 2014, the most recent data available, we have in the province's eight cities levels of income poverty that range from a low of 8.5% in the city of Dieppe to a high of 24.5% in Campbellton, a city to the north. Similarly, when we look at the rates of child poverty, there is a low of 9.6% in the city of Dieppe, but a shamefully high rate in the city of Campbellton of 35.1%. The city of Campbellton has 10% of the population of the city of Saint John, and where we are today, in the city, we have a child poverty rate of 31.5%.
When we take account of poverty in this community and in this province, we also have to look at the working poor. StatsCan defines the working poor, a growing cohort of the population, as those between the ages of 18 and 64 who have earned income of more than $3,000 but still fall below the low-income measure. The city of Saint John has the highest percentage of working poor in the province at 8.1%.
As in any statistical analysis, you have to break things out. You have to go deep, or as deep as you can, when it comes to an analysis of numbers in poverty. When we look at the Saint John census metropolitan area, or the CMA, it's important to distinguish the central city of Saint John and the more affluent suburban neighbours that surround it. The CMA level of income poverty is 14.5%, which is a tie with the provincial rate. However, when we look at the central city of Saint John, we find an income poverty rate of 19.7% and a child poverty rate in the city of Saint John of 31%. The suburban municipalities that surround Saint John do better by almost any SES measure, whether it's income, degrees of home ownership, education attainment levels, or family composition. There are two worlds within the CMA, that in Saint John and that in the surrounding municipalities.
At the human development council, we encourage going even deeper in our analysis and understanding of poverty. We take a look at the city of Saint John and then disaggregate regions and numbers, and we are able to find that with our ward system of four wards, although they are of equal population, we have startlingly different metrics. Where we are located today as we sit in ward 3, we have a child poverty rate of almost 48% within this ward.
There are five priority neighbourhoods that have been identified in the city of Saint John. Three of the five are located in this ward 3, and two are in ward 2. As some of the measures that are in the slide deck would suggest to you, we have alarming rates of child poverty concentrated in our neighbourhoods, and in Saint John's case, concentrated in an electoral ward.
Another feature of this community you're visiting today is the presence of lone-parent families. There is a large cohort of that segment of the population. Lone-parent families account for one in three families in ward 3, one in four families in the city of Saint John, and one in 10 in a suburban town that surrounds Saint John.
We also have to consider the depth of poverty. It's one thing to say that there's a low-income measure. If you're $2 or $3 above or below, does your life not materially change? No. It's the depth of poverty that looks at the difference between the income that's received through work and entitlement and the low-income measure that's been established. We do have a depth of poverty here that requires a huge increase in income if we're going to put people above the low-income measure.
We also, in Saint John, suffer the consequences of income and wealth inequality, and we've seen the growing gap between the rich and poor. The senior economist at the Canadian Centre for Policy Alternatives noted in 2014 that of the 86 wealthiest Canadians, Canada's wealthy 80% represent only 0.002% of the population, but they're so flush that they could buy absolutely everything owned by every person in New Brunswick. They could buy all of New Brunswick's cars, all of the houses, all of the undeveloped lands, all of the stocks, bonds, pension funds, and RRSPs, all of the jewellery, all of the furniture—everything—and still have billions to spare.
But we at this table are filled with hope. We see an opportunity and a window that is open which suggests that circumstances are aligning themselves so that we can make a difference in poverty reduction. I would like to extend our thanks and appreciation to our local MP, Mr. Long, who has used a lot of his time and, one would say, his political oxygen on poverty reduction, and I think those at this table would agree.
We certainly feel the momentum here in this community as the result of some of his efforts. He was the sponsor of electronic petition number 291, which the Saint John Human Development Council was pleased to initiate, which is certified by the clerk of petitions, and which calls for Saint John to be designated as a demonstration site under the national poverty reduction strategy.
This morning, you will hear about the innovative programs and determined people who will make a compelling case for demonstration site investments. You'll learn of innovation, collective impact, and community collaboration, but I would be remiss if I did not remind the committee that we need strong national programs and that federal leadership is required. I know that the mandate letter to the minister for families and children talks about a national housing strategy, which is important.
You'll also hear about the importance of early childhood education and care.
We applaud the work that has been done over the years with regard to the levels of poverty among seniors. With the OAS as a universal measure, the GIS as an income-tested stream of income, and the CPP as related to employment, we now have seniors reasonably well accommodated with some tools.
With the child tax benefits for children, we have a wonderful measure that is now putting more money in the hands of low-income Canadians, not only as poverty reduction but, I would suggest, as poverty prevention. We are going to see the impact of the child benefit for years to come. I applaud the work of the government in that regard.
We still have to plug the hole of those with disabilities, those who are on income assistance, and the working poor. Along with enriching the working income tax benefit, we would urge you to look at basic income, but not at the expense of basic services. New Brunswick has yet to implement, for instance, an affordable prescription drug plan. In 2012, more than 70,000 families were identified as being uninsured. We would welcome this committee's consideration of a national pharmacare program. That would bring to this province a well-needed piece of infrastructure.
That concludes my remarks. I'm sure that was seven minutes.
I want to welcome you again to the city of Saint John. We wish you well in your inquiry on this important subject.