In other words, Mr. Speaker, a tax reduction granted by one level of government has been sopped up by another level of government, which is precisely my point.
Yesterday Ontario cut its payroll taxes, something that the finance minister and everybody else has said creates jobs. However, the federal government is killing jobs by holding its payroll taxes high to support an inordinate level of UI contributions and proposing further increases to try to stabilize financing of the CPP.
If there really is a federal-provincial understanding of harmonization for tax relief, why is the federal government creating upward pressure on payroll taxes while the Ontario government is trying to cut payroll taxes at the same time?