to the House of Commons Standing Committee on Veterans Affairs, this is the CAV contribution.
On the care and support to seriously injured veterans, veterans report that the earnings loss benefit income replacement program paid during participation in a rehabilitation program or vocational assistance services is inadequate. The problem is that the earnings loss benefit is not a benefit. It represents a 25% loss in net income at a crucial time when the added stress of the loss of income can and does interfere with the transition progress of a person working with injuries and disabilities.
For example, for a military pay of $56,568 military, after-tax net income would be $39,597.60. With an earnings loss benefit of only $42,426, the earnings loss benefit after-tax provides a net income of $29,698.20. Subtracting these figures you can end up with a total loss of $9,899.40 in net income over your military pay.
On the relief sought, we suggest renaming this a “transition allowance” and maintaining the net income at the same level of pay as the previous military net income.
Veterans report that there is no lifetime index disability available under the new Veterans Charter. The new Veterans Charter is intended to aid transition from military service to civilian life. The legislation clearly states two classes of veterans, those with mild injuries, and those with severe, permanent, long-term disabilities. The new Veterans Charter is primarily focused on personnel who are transitioning to civilian life and employment with no or mild injuries. The new Veterans Charter’s rules and regulations are clearly designed to avoid the long-term cost of care for the severely disabled veterans. The new Veterans Charter provides an earnings loss benefit, which is curtailed by age limitation.
On the relief sought, we suggest replacing the earnings loss benefit at the end of the transition and rehabilitation with a viable lifetime indexed veteran’s disability pension. A viable example is a veteran’s disability pension that is based on the average wage of all non-commissioned ranks or ranks below the flag rank in the year the veteran’s disability pension is to commence and then indexed annually thereafter.
Veterans report that a lump sum award for pain and suffering is insufficient compensation, particularly for multiple injuries and the resulting lifetime disabilities. The problem is that awarding a lump sum award for pain and suffering with the aggregate cap is an austere cost control designed solely to save money by setting a limit to the reward available. Those personnel who have suffered multiple wounds and amputations are grievously under-compensated. The lump sum award just for pain and suffering is a deliberate avoidance of full compensation by omitting compensation for the consequences of an injury that will have to be endured by a veteran over a lifetime.
On the relief sought, we suggest the removal of the aggregate cap to provide a lump sum award on the basis of past, present, and future pain, suffering, and the long-term consequences of each injury and each resulting disability.
On support to the family, veterans report that the termination of the earnings loss benefit at age 65 causes veterans and their families stress and fears for the future. On turning age 65 the reality of their fears comes true with the real financial hardships they are facing.
There are a number of problems. Number one, there is currently no spousal allowance, and there is no respite provision for caregivers of the severely disabled. Number two, there are also no provisions for a dependent child allowance. Number three, age 65 is a handy milestone to abbreviate the cost of the severely disabled veterans and their families, accomplished by sidestepping the rule of law and ignoring section 15 of the Charter of Rights and Freedoms. Section 15 prohibits certain forms of discrimination: sex, age, or mental and physical disability.
We suggest the following. Number one, the inclusion of a spousal allowance to the amount of not less than $1,600 per month indexed annually. Number two, the inclusion of a dependent child allowance to be based on the province of residence rate of child support, or on an income based on the average wage of all non-commissioned ranks or commissioned ranks below flag rank adjusted annually.For example, with an overall wage of non-commissioned ranks to $65,000, for children who live in the province of Ontario, the Department of Justice child support allowance calculation is the following: for one child $594; two children $966; and three children $1,264. Number three, the removal of all age-related regulations from the new Veterans Charter.
The third question relates to improvements to the way in which the Department of Veterans Affairs delivers services and benefits set out in the charter. Why does it take 16 weeks or longer to get an answer or acknowledgement from Charlottetown? Delays that occur now are based on the Privacy Act and impede the efficient flow of documents that occur at the interface between these two different departments with two different corporate cultures. It's a further source of delays. Veterans often express frustration that the people they are dealing with have only an elementary knowledge of what is involved in military service.
The recommendation is for a total unification and merger of Veterans Affairs Canada with the Department of National Defence, expanding the head offices in Ottawa, as required. The rationale is that the Department of National Defence administers and operates the Canadian Armed Forces, regular and reserve forces, and the cadet organizations administration and training service, which is a subcomponent of the reserve force. All personnel serving in the Canadian Armed Forces will become veterans. The inclusion of Veterans Affairs Canada in the Department of National Defence would be the most efficient and cost-efficient operation of the Canadian military force, and services to its veterans. Personnel documents and records would flow efficiently through the integrated Department of National Defence. Transitioning through the military family from the cadet corps to the regular force, or the reserves, to the veteran force would be seamless and would retain DND corporate knowledge and a cohesive pool of talent.
The CAV believes that an integrated Department of National Defence would allow veterans to go to a Canadian Forces base to have their needs met by people who are familiar with military service. At the military bases, the personnel assigned to help veterans would have an in-depth knowledge of military service and would also provide further help to veterans by being able to coordinate with the Royal Canadian Legion service officers who are on a number of the bases.
Military base locations would also eliminate the cost of leasing space across Canada which is a substantial savings in itself.