Human Resources Committee on April 4th, 2022

[Jasmin Guénette]

Thank you.

The CFIB recommends expanding the Temporary Foreign Worker Program to all sectors of the economy, in all regions of Canada, regardless of the unemployment rate in the various regions.

In a way, the announcement made today reflects some of the concerns we have advanced, in particular for the food service sector. In that sector, applications are assessed based not on the unemployment rate, but on the companies' needs. I think that is a step in the right direction. The same applies to increasing the number of temporary foreign workers within a company. For some sectors, it could be as high as 30 per cent. Again, that is a step in the right direction.

However, the Temporary Foreign Worker Program needs to be expanded to all sectors and all regions. Small businesses that are having a lot of trouble hiring workers have to be given access to this program.

It is also important to make improvements to the Temporary Foreign Worker Program in terms of immigration in general, because the process can be very slow. With that said, improvements also have to be made to financial and fiscal incentives. This would provide small businesses with more tools so they would have more resources for hiring the workers they need.

[The Chair, Liberal, Bobby Morrissey]

Thank you, Mr. Guénette and Ms. Kusie.

[Stephanie Kusie, Conservative, Calgary Midnapore, AB]

Thank you.

[The Chair, Liberal, Bobby Morrissey]

Ms. Martinez Ferrada, you have the floor for six minutes.

[Soraya Martinez Ferrada, Liberal, Hochelaga, QC]

Thank you, Mr. Chair.

I'd like to thank the witnesses for being at the meeting today.

My questions are for Ms. Martel and Mr. Dionne, whom I thank for being here today. The organizations they represent are located in my riding, so I know how hard they work. They are pedalling hard, as we say in Quebec.

As you mentioned, Ms. Martel, the aerospace industry is not just integral to the economic prosperity of our area, eastern Montreal, but also integral to the economic prosperity of Quebec.

I'd like you to comment on two things. First, it is quite obvious that there is a labour shortage in the aerospace field. Second, as Mr. Dionne said, there is also a problem when it comes to the positioning of the industry. The industry wants to have access to students who will want to be trained someday.

Immigration can't be the only solution to the labour shortage in the aerospace field. Mr. Dionne said that 150 foreign students attended his school, but it could admit over 1,000. The issue therefore doesn't relate solely to foreign students.

I'd like you to take the solutions you are proposing a little further. I understand that immigration has to be speeded up, new talent attracted, and cases prioritized for expedited processing.

What other solutions might we propose?

[Andréane Martel]

Thank you, Ms. Martinez Ferrada.

Yes, we have to improve the sector's image with the next generation. I briefly mentioned that in recent years, this sector has been bloodied and bruised, because of the pandemic and the large number of layoffs. So it is important to highlight the career opportunities in this sector, which are interesting, and the fact that the wages offered are good.

We have to change people's perception of this sector, among both the young people in the next generation and their parents, since parents have a big impact on young people's career choices.

[Soraya Martinez Ferrada, Liberal, Hochelaga, QC]

Ms. Martel, although it is the responsibility of the aerospace industry, what can the federal government do to help you?

[Andréane Martel]

It could help us by supporting companies. The more prosperous companies are, the more they will be able to continue to inject funds for promoting the sectors.

[Soraya Martinez Ferrada, Liberal, Hochelaga, QC]

I would also like to know your opinion on this point, Mr. Dionne.

[Éric Dionne]

Regarding what the government can do, as director of a school who is working in the public service, it's difficult for me to know where one's mandate ends and the other's begins.

Concerning foreign students, what helps us is the creation of slightly small groups. We can start out with 15 students, and make up the rest of the group with foreign students. Since funding is essential for all of this, we have to see how we can help the provincial government create smaller groups. That is a question I'm putting out there. Certainly we need to think about it.

As well, the provincial government now offers student grants in four sectors: health, information technologies, engineering, and construction. When a young person leaves a job to go and study and work in another sector for which student grants are offered, that does huge harm to our sector. So it's still a question of budget, but here, the question answers itself.

Concerning the school itself, certainly we don't have money to do advertising for a sector. The companies need support for that. With that said, obviously, if we don't do anything, the sector will be at risk. We absolutely have to do something.

[Soraya Martinez Ferrada, Liberal, Hochelaga, QC]

Thank you, Mr. Dionne.

I would like to ask one last question to all of the witnesses.

How do you see federal government aid? WE often say federal aid was essential during the pandemic to keep our companies alive.

How do you see this economic recovery now, and how could the government provide more support to companies, in this situation?

I would also like to hear Mr. Guénette, if I have enough time left. I suggest that you give short answers so everyone has a chance to answer.

[Jasmin Guénette]

Allow me to start.

First, the government should not increase the operating costs that small businesses have to pay. In addition to the pandemic and the financial problems that a very large number of these small businesses have suffered in the last two years, Canada Pension Plan or Quebec Pension Plan contributions have risen. There is a string of costs that have gone up, like excise tax on alcohol, the carbon tax, and other costs. So it is crucial that we make sure that costs remain stable for companies, as the inflation seen in the last few months illustrates.

It is important to put measures in place that will provide stability in operating costs, and to make sure there is no excessive bureaucracy when it comes time to use various programs or, for example, to use temporary foreign workers.

And last, we have to help companies, for example, by offering tax credits to facilitate hiring new workers and giving workplace training, in particular...

[Soraya Martinez Ferrada, Liberal, Hochelaga, QC]

Mr. Guénette, I just want...

[The Chair, Liberal, Bobby Morrissey]

Your speaking time is up. Thank you, Mr. Guénette.

Ms. Chabot, you have the floor for six minutes.

[Louise Chabot, Bloc, Thérèse-De Blainville, QC]

Thank you, Mr. Chair.

I'd like to thank the witnesses for their very instructive comments.

My first question is for Mr. Guénette.

This year, and for some years now, the contribution of temporary foreign workers is one of the solutions you are proposing. So the Temporary Foreign Worker Program needs to be improved. We agree on that. In the Bloc Québécois, we have said that the program should be reformed to provide a more flexible response to what is currently happening in a number of economic sectors.

I know that in Quebec, there are particular challenges because of the demographics, and we should not take regional unemployment rates into account, but in the medium and long terms, should we not also do everything we can to develop a more local workforce in this sector?

If not, will immigration solve everything, in your opinion?

[Jasmin Guénette]

I think no single solution is going to solve everything. Rather, a set of solutions is what will enable us to alleviate the labour shortage we are seeing, both in Quebec and elsewhere in Canada.

As for our recommendation that the Temporary Foreign Worker Program be opened to all sectors and all types of employment, regardless of the prevailing unemployment rate in the various regions, that is a temporary recommendation intended to help out the most affected sectors now.

The demographics question is a very particular issue. For example, a lot of companies would like to hire retirees who can work a few days a week to perform certain jobs. Tax arrangements could then be made, in particular so that payroll deductions or payroll taxes were reduced for these workers, to encourage more retirees to come back to the labour market, if only part-time.

[Louise Chabot, Bloc, Thérèse-De Blainville, QC]

Thank you.

Automation is a measure you have adopted that has produced results. Because you talked about digitizing, I'd like to know whether it would be wise, in your opinion, to offer subsidies for small businesses that want to obtain digital support services from suppliers.

Is that a measure that could be implemented?

[Jasmin Guénette]

Yes, that is certainly the case. The Canadian Digital Adoption Program that was recently announced is designed to help small businesses adopt digital tools. To do that, they can get help from a program of grants and mentoring.

From that standpoint, we have to make sure, here again, that tax incentives are offered to businesses that want either to automate internal processes or to buy new devices or equipment. That is a solution with a high success rate.

We have to encourage automation, through a variety of programs and tax credits.

[Louise Chabot, Bloc, Thérèse-De Blainville, QC]

Thank you.

I want our valued witnesses to know that they don't have to share my heartfelt plea, but the lack of support during the worst crisis the aerospace sector has experienced is certainly one of the problems that have eroded this sector. A lot of representations have been made to support that sector, which has been particularly hard hit. Even the most important observers have not understood why funds were not injected directly to support it.

We were afraid that this significant failure by the federal government to value and support the sector would result in a loss of expertise on the part of the workers. When I talk about support, I am including both manufacturing contracts and operations on the ground in our airports and airlines.

Since you are very important actors in the area of training, I would like to know your views on immigration.

Quebec is at a disadvantage compared to the other provinces, and this relates to French. A double standard is applied. We have observed and denounced a significant discrepancy between the number of francophone foreign students and the number of anglophone foreign students.

Is that part of your analysis?

[The Chair, Liberal, Bobby Morrissey]

Thank you, Ms. Chabot.

The time has gone by. Any witness who wants to respond to that question in writing can do so.

Madam Zarrillo, you have the floor for six minutes.

[Bonita Zarrillo, NDP, Port Moody—Coquitlam, BC]

Thank you, Mr. Chair.

Thank you to the witnesses today.

I'm going to ask this first question to everyone. Maybe we could start with Ms. Martel and then move to Mr. Dionne and Monsieur Guénette.

We heard earlier in testimony, when we first started this study, that the biggest pool of workers are youth. I'm just thinking about how we rethink this, how we offer work and how we support people and workers in this new world, with all our challenges around housing, community integration and even the family support they might need.

My questions are kind of focused around people's needs related to youth, and whether it includes foreign students. How do we support them? I'm just wondering what needs to be done; what modifications. How do we need to think differently to respond to the needs of this new workforce?

[Andréane Martel]

That's an excellent question.

As I said, we really have to get young people to see that aerospace is a promising sector for them. I'm thinking particularly of youth in Quebec, who have seen Quebec companies be mistreated in recent years.

Concerning foreign workers, whom I mentioned quickly, we certainly have to facilitate their entry to Quebec, simplify all the administrative red tape, and speed up the process so they are able to get their citizenship here, in Quebec.

[Bonita Zarrillo, NDP, Port Moody—Coquitlam, BC]

Mr. Dionne.

[Éric Dionne]

Yes, no problem.

Is the interpretation working?

It's working for me.

[The Chair, Liberal, Bobby Morrissey]

You're good to go, Monsieur Dionne.