Madam Speaker, it is with pleasure that I speak this evening to Motion No. 133 as put forward by the New Democrats.
I must compliment the New Democratic Party for submitting this motion which reads:
That, in the opinion of this House, the government should set targets for the elimination of poverty and unemployment—.
From 1993 to 1997 this House lost some of its social consciousness which was provided to a large degree by the New Democratic Party. I think we have a stronger and healthier Parliament since the return of the NDP which can now speak to these issues. I do not think there is a member in the House who thinks child poverty is funny. Individuals in this country are unemployed.
Statistics can describe the unemployment rate and the child poverty rate in Canada, but the big issue for many families in this country, whether they be from Atlantic Canada, British Columbia, the north or elsewhere, may not necessarily be the political philosophy they follow. It may actually come down to the issue of whether they have milk in their fridge or whether they actually have bread in their cupboard. Those are the greater issues for which we are here. It is a higher calling than actual political rhetoric.
There is an adage in business that is used quite often. It is what gets measured gets done. What the New Democratic Party wants to do with this motion is challenge the government to set benchmarks with respect to unemployment, challenge the government with respect to child poverty.
It was brought up by one of the hon. members of the NDP earlier that the poverty rate in Norway, a country I have been too as well, is such that it essentially has no child poverty and it is directly connected to its unemployment rate which is quite low as well.
I would advocate that children are not poor necessarily, it is their parents who are poor. Children are poor because their parents are poor. They do not have a job. They do not necessarily have the economic means to provide for their families, provide for their children to seek post-secondary education. It is those very issues which are our duty and responsibility as legislators to address.
We believe for too long, for over a decade, Canadians have not had any increase in disposable income. In fact, Canadians now earn 6% less after taxes than they did in 1990. Canadians are poorer than they have been in a decade.
I cannot fathom, and I know my colleagues in the NDP as well cannot fathom, why we tax individuals who only make $9,000 a year. What we believe is our economy needs a plan for growth. We need to ensure that we have more individuals participating in the economy to have a better standard of living than they are experiencing now. We need to create more growth in the economy so that more individuals can participate and have a decent standard of living.
That is why earlier today the leader of the Conservative Party and our finance critic, the hon. member for Kings—Hants, tabled a plan for growth. Within that plan for growth there are initiatives that will help those individuals most in need. One of the things we want to do is raise the personal exemption on an individual's income tax form from $6,500 to $10,000. It would take two million Canadians off the tax rolls overnight. Those are two million Canadians who simply should not have been there in the first place. Because we have not indexed the personal exemption on income tax forms, today we have 500,000 Canadians paying tax who did not in 1990.
Another initiative we want to put forward in order to stimulate the economy and to help those in need is tax relief with respect to payroll taxes. It has been proven time and time again by economists that if there is one kind of tax that has a most negative effect on creating jobs it is that of payroll taxes. The reason we are having this debate about a fiscal surplus or a fiscal dividend is this government takes in nearly $6 billion more in the EI fund than that program actually consumes. That is what is responsible for the surplus.
We have balanced the budget on the backs of Canadians and unfortunately on the poorest Canadians in that regard. We want to make sure the EI fund is sustainable. The chief actuary for the government points out that although the EI payment is $2.70 per $100 of insurable earnings, it is sustainable at $2. I know the hon. member for Compton—Stanstead understands that as well.
Two dollars for every one hundred of insurable earnings would put $6 billion back into the economy. The other thing it would do is stop taxing every new job that we create.
Another thing we put forward earlier today in our plan for growth, and I think my hon. colleagues in the NDP will be receptive to this, was with respect to the child tax credit. For too long it has not been indexed to inflation. What happens is we take money away from the poor families that need the money.
We have to challenge ourselves. The intent of this motion is to measure our success. The NDP should be applauded for bringing forth such a motion.
What this government is not willing to accept at the moment is that we have had unemployment above 9% for well over 80 months. That is the longest single stretch of high unemployment since the depression. What the economy needs is a plan for growth through less debt, less tax and more jobs.
In conclusion, we need to ensure that we challenge the government to raise the personal exemption from $6,500 to $10,000 and take those 2 million people off the tax rolls overnight.
There is another social cost here which has a very negative effect on our economy overall. I said during my campaign in Fundy—Royal that for too long Atlantic Canada's best export has been our best and brightest young people.
Unfortunately it is not only an Atlantic Canadian phenomenon. Some of our best and brightest are now seeking opportunities in the United States. Why? There are those who have been successful enough to get a university degree who are now seeking opportunities in areas where they do not necessarily have a chance for employment. They end up going to the United States. They do not have to pay for the last 30 years of overspending, mom and dad's spending binge. They will be taxed less and they will have more opportunity.
What we need to do is ensure that more individuals have a chance to participate in the economy by growing the economy through less debt, less tax, more jobs and more opportunities. Above all we need to help those most in need, those in the margins of society. That is why we want to take 2 million people off the tax rolls overnight.