Mr. Speaker, we are dealing here with nine different motions, most of them in my name and one from the Conservative Party. I only have 10 minutes, so I just briefly want to touch on the motions in my name on behalf of our party.
Motion No. 11 relates to the new investment fund that is being established by the legislation. The amendment is to put other objectives into the fund in terms of where it is to be invested. Right now the only objective is to maximize the return for the contributor. That is a very laudable objective. In addition, we believe there should be some other objectives, such as investing in the Canadian economy, in industries and sectors that would create more jobs for Canada.
The model would be la Caisse de dépôt et placement.
The objectives of the Caisse de dépôt in Quebec were quite adequate for a long time; they supported job creation and economic growth. The Quebec economy grew stronger and stronger thanks to the Caisse de dépôt.
We must have similar principles and goals for the Canada pension plan.
Motion No. 11 would create some of the goals and objectives.
Motion No. 13, is extremely important to members of the NDP. This is the one that would reindex the year's basic exemption. In the Canada pension plan there is a basic exemption of $3,500 which has been indexed over the years. That indexation is now going to be eliminated.
When the Canada pension plan was formed back in 1966 the basic exemption was approximately $400. People making less than $400 would not contribute to the Canada pension plan. The government of the day and the Parliament of the day in their wisdom decided to index that $400. Now it has gone up from $400, to $500 to $1,000, to $2,500 and now up to $3,500. Low income people are not making contributions to the CPP on anything they earn up to $3,500.
Now, the government, despite the advice of a lot of people in the country, has decided to deindex that basic exemption so low income people will be paying more and more into the Canada pension plan. That is why we have put forward these amendments and that is why the changes are regressive.
Across the way there are Liberals who are ashamed of this change. I am sure that if you could speak out, Mr. Speaker, you would be ashamed that low income people in Kingston are paying more and more into the Canada pension plan. Now, that is not the tradition of Lester Pearson and Paul Martin, Sr. and the progressive Liberals of the 1960s that brought in a Canada pension plan that was progressive. That is gone.
That is why these amendments are not supported by the governments of British Columbia and Saskatchewan which have the good fortune to have NDP governments which are very enlightened and very progressive.
Motion No. 15 is of great interest to my colleague from Regina—Lumsden—Lake Centre. He spoke very eloquently on the previous motion which is very similar to this one. This deals with the problem of the self-employed who are going to be hit very hard by the changes to the CPP. The premiums are going up from 5.85% over six years to 9.9%. The self-employed person will have to pay both the employer and the employee contribution of 9.9%. That is going to be very difficult for self-employed people who are on the lower income scale.
For a wealthy accountant from the Toronto or Mississauga area who is making $200,000 or $300,00 a year as a self-employed person, it does not really matter. However, it is very difficult for the small businesswoman who is struggling along at $20,000, $30,000 or $40,000 a year, to pay 10% of her income into the CPP.
My motion will make this contribution progressive as well. The lower income people who are self-employed will pay proportionally less and a wealthy lawyer or accountant from Mississauga will pay proportionally more. Who could oppose that outside of the wealthy who come from Mississauga? And he is a Liberal.
I am sure in the days of the old progressive Liberals like Paul Martin, Sr. or Pickersgill or Pearson, they would never have dreamed of doing this to the self-employed people. I am sure they would not. That is another motion I present to the House today.
My colleague from Winnipeg North Centre is extremely interested in Motion No. 16 which would restore the benefits to where they were since there will now be a reduction in benefits. This reduction will affect women the most, especially low income women. That is very regressive. And—