Mr. Speaker, I am pleased to join in the debate on budget 2000, a budget which will translate into a better quality of life for all Canadians.
I want to talk about two issues. I want to talk about health care and I want to talk about the specific budget provision on extending maternity and parental leave to a full year which was announced in the budget. It is something I support very much.
Not too long ago the National Forum on Health did a two year comprehensive study. Experts in the health care system of Canada did a study and concluded that there was enough money in the health care system. They also observed that about $11 billion in the health care system was not being spent wisely. They recommended that we need to spend more prudently and more wisely in terms of our valuable health care dollars.
Ontario Premier Mike Harris has recently gone on a tirade of blaming the federal government. There were cuts which all Canadians took right across the board, including the federal government, and yes there were some cuts in health care. What was the response of Mike Harris? He closed hospitals. He also downsized beds in other hospitals. He spent millions of dollars firing nurses. He created a crisis, just like John Snobelen who said, “We have to create a crisis in education. Then we can try to fix it and then we are going to be heroes”.
Here it is again. Mike Harris on the front page of the newspapers is blaming the federal government and saying that “If we do not get this fixed, and the federal government does not fix it, what are we going to do? We are going to have user fees just like Ralph Klein”.
How is it that in the last budget $11.5 billion was increased in the CHST to the provinces of which $3.5 billion was available to the province of Ontario? How much of the $3.5 billion has Mike Harris taken already that is available to him immediately? Eight hundred million dollars. He still has $2.7 billion that he has not even drawn down in addition to his share of the $2.5 billion which has just been advanced in budget 2000.
What else did he say? He said, “We have a crisis in health care. Everything is a problem and it is all the federal government's fault, but what are we going to do? We are going to spend $4.3 billion on tax cuts and still have a deficit”. Deficits are financing tax cuts and everyone knows that health care is a priority.
Given the analysis of Mike Harris maybe we should suggest that he seek some of that health care, mental health care. But I am not going to suggest that. The reason is that he closed down 10 mental health institutions in Ontario since he was elected as premier. He cannot go to a mental health institution.
In fact 35% of the homeless in Toronto and across the country are people who suffer from mental health problems. He is blaming homelessness on the federal government yet he is the one who closed those institutions. He is the one who decided that health care was not a priority in Ontario. He said it was tax cuts. He created a crisis in health care, but the money is there. Today he is saying he needs money. Well, the money is there. Mike Harris, shame.
I will now move on to something a little more constructive, rather than talk about a premier who is doing a disservice to Canada.
The budget provides that the parental and maternity leave benefits under EI be extended, doubled to a full year. This is a subject I have a lot of interest in because I had a private member's bill some time ago on the same issue. I am very pleased. The best outcome for a private member's bill is to have it adopted by the government and implemented quickly along with the other budget provisions. I do not want to talk about the dollars and the cents. I want to talk about why I wanted to see that in the budget.
I had the opportunity to chair a committee on investing in children and valuing our caregivers. I want to share some of the observations and some of the principles which we would like to follow.
Our caregiver policies should be child centred and promote the best interests of children to the greatest extent possible. We thought we should presume that parents are the primary caregivers. They are in the best position to determine the best possible care arrangements for their children.
We also thought policies should be flexible with the right options and choices and make it feasible for either parent to provide care. We also thought they should be inclusive and responsive to the social realities and circumstances of parents and their children. They should be fair and equitable and neither penalize nor compel specific caregiving choices.
The 1996 National Longitudinal Survey of Children and Youth found that 25% of Canada's children are entering adult life with significant emotional, behavioural, academic or social problems. In the words of Dr. Paul Steinhauer of Voices for Children, with one in four children entering adult life significantly handicapped, we can look forward to a society that will be less able to generate the economic base required to supply the social supports and services needed by one in four adults unable to carry their own weight.
I wanted to look at this more, so I found a research study which came out of a White House conference in 1997. One of the principal findings was that the neurological foundations for rational thinking, problem solving and general reasoning appear to be established by age one. It also found that at birth the human brain is far from fully formed and it is estimated that about 80% of the lifetime development of the human brain is complete by age three.
This got me thinking that the early years of childhood development are extremely important. Dr. Fraser Mustard, who appeared before the HRD committee described the first year of human life as being dynamite in terms of neural development.
Breast feeding is also an important implication. I came across a study done in April 1998. Dr. Christopher Ruhm of the University of North Carolina published a research paper entitled “Parental Leave and Child Health”. He studied 25 years of population data in nine European countries. He found a 29% reduction in infant mortality where parental leave of at least 50 weeks was taken. This is unbelievable. He is basically saying that when a child gets secure, consistent attachment with an engaged, committed adult during its first year, healthier outcomes do occur.
This was one of the reasons that the committee which I chaired recommended doubling the maternity and parental leave benefits. Parents could then have the option to provide direct parental care during that vital first year.
To follow that up, when we had the debate in the House on taxation of the family, the finance minister asked the finance committee to review taxation of the family to determine whether or not there were some areas to cover. I will not go into the details of the report but one of our three principal recommendations was to extend maternity and parental leave to a full year.
Specifically the budget proposes that the time be doubled to one year. Currently there is a two week waiting period, 15 weeks of maternity leave and an optional 10 weeks for parental leave. When this is taken altogether and an additional 35 weeks of optional parental leave is added, it means parents will have the opportunity to have one of them with their child during the vital first year.
The government also took the advice of the finance subcommittee to reduce the number of hours from 700 to 600 of insurable hours to qualify and it said that if the second parent decided to take some of that time off, the two week waiting period would be waived. This is even more of a benefit.
I was looking at some numbers. People have said to me that they cannot afford to live if they withdraw from their jobs. They cannot afford to receive just the benefits with a maximum of about $413.
It dawned on me when I looked at when both parents are working and they have an infant child, they have to pay for child care expenses. Although there is a child care expense deduction, that deduction is only available to the lowest income earner of the two spouses. It usually means they are only getting a refund or a benefit of about 25 cents on the dollar federally and provincially combined. They also have reduced Canada child tax benefits because that benefit which is payable to them is determined on the basis of family income. There is a gradation as a result of combined family income.
I also thought of this very interesting and important point. When both parents work and the woman chooses not to use a breast pump to get mother's milk, they have to pay for baby formula. Premixed baby formula can cost up to $4,000 a year, which is after tax money. It is the equivalent of getting paid about an additional $7,000 for that family.
I looked at the other side. What if somebody withdraws from the paid labour force to provide direct parental care because they felt their child needed it? All of a sudden there is a higher Canada child tax benefit. The spousal amount comes into play as well. Even if they got the full EI benefits which are taxable, they still have their own personal amount to offset it. They will not not use it all and there will an amount transferable to the spouse who is in the paid labour force which means there will be a further reduction of income taxes. The breast feeding savings alone are a very significant amount and they get the EI benefit for a full year.
The issue for me is not the money. The issue is children and how we invest in our children so that they are physically and mentally healthy. The fact remains that all of the research I have seen indicates that when children get the kind of care they need during that vital first year, they have better physical, mental and social health outcomes. And when that happens, and the national longitudinal survey says that 25% of our children are entering adult life with problems, the percentage of children with problems goes down. That means we have lower health care costs, lower educational costs, lower social program costs and lower justice costs.
One of the things we know is that many children who have problems, including things like fetal alcohol syndrome, run afoul of the laws of Canada and end up in court. I just wrote a monograph on that subject. The Minister of Justice confirmed to me that 50% of youth in the jails in Manitoba and Saskatchewan have fetal alcohol syndrome.
It is time we invested in our children. We can invest in our children by valuing our caregivers and by making sure parents have the very best opportunity to provide the kind of care their child needs.
We have to understand that all parents do not live in urban centres. Child care may not be accessible. It may not be affordable. There may not be another family member, close friend, or neighbour who is able to provide that care for their child.
The provision of extending parental leave is a progressive move. It says to Canadian families across the country that there is another opportunity, option or choice for them to arrange their affairs to ensure that their children get the best possible care particularly in that first year of life.