Mr. Speaker, I too am thrilled, as are all other members of the House, to speak in favour of the motion put forward by the member for Ahuntsic. The government has done some terrific things in terms of supporting families and making meaningful changes, and as one member has already mentioned more can be done. We need to continue to look at these things.
The indexing of benefits and tax rates was stopped a number of years ago based on a low inflation rate, and that was an accomplishment. However, over a period of time it had a devastating effect on families and individuals. Thankfully, that was changed in the most recent budget, but these benefits have not been changed. The member for Ahuntsic has done a good job in bringing forth this issue.
This kind of benefit is a meaningful difference for families who need our help. There is a reason for government to support families and people in difficult times. We want to ensure that they have the possibility of getting into meaningful employment.
I am sure the member for Ahuntsic, as most members, finds it difficult dealing with families who are in a period of difficulty, families who are struggling after the loss of a job, and dealing with creditors, hydro and telephone companies, all wanting their payments. My office, and I am sure the offices of other members, spends far too much time trying to help people out because they are in such difficulties. This benefit was brought in to support families and to ensure there is still food on the table. This is something that I fully support.
As the member mentioned, this benefit is something that the government introduced following extensive consultations right across the country after we took office in 1993. However the discussions were somewhat contentious. Many of our offices were inundated by people who did not support the change and thought the old system worked best. We are now seeing, however, that benefits like this are making a difference, and I know the current minister definitely supports this kind of initiative for families.
Only one spouse in the family can receive the family benefit at one time. This has been effective at targeting low income families who are dependent on this provision under EI. Low income families with children whose annual income is less than $26,000 are already struggling in this country. This is an important opportunity for them to get this supplement as well as the Canada child tax benefit which has done an amazing job in lifting a number of children out of poverty. As the member for the New Democratic Party has identified, this is an area where we could do a better job.
The EI monitoring and assessment report for 2002 indicated that the family supplement was effective and was responding as it was designed to do. The benefits in 2001-02 amounted to $176 million with 187,000 low income people receiving them. That is a significant number of Canadians who needed our support. Approximately 10% of all EI recipients are receiving a higher benefit because of this family supplement, and hopefully, with the support of the House for the motion put forward by the member for Ahuntsic, those families will receive a better benefit.
Obviously, we want more people to be working and not depending on EI. However, for those who are in need, that is the role of the government. We must support people in their time of need and help them get to the next job. We must help their families and their children in particular.
This EI monitoring has shown that benefits for families receiving the family supplement are 38% higher than they were under the old system. For all the people who opposed the changes, that is the proof that the benefit is an important benefit and that the system is working. There is no argument that the family supplement works. With the member for Ahuntsic's motion, it will work even better and help those people.
The benefit has been frozen since 1996. Inflation and salary increases have eroded the number of eligible recipients. It is not the tradition of the government to sit by and not take steps to adjust programs when improvements can be made and when those improvements will make a significant difference in families' lives.
We have witnessed such measures as adjusting the EI programs to take into account small weeks of earnings, eliminating the intensity rule, modifying the clawback provisions, and repealing the undeclared earnings rule. These are important steps that have made a difference the life of every Canadian and particularly in the life of every child.
Certainly, the member has demonstrated, as have other members of the House, the merits of this proposal. It particularly benefits low income women and children who, sadly, are two-thirds of low income Canadians in this country. We do not want anyone to have to be in that particular position. However, it is clear that women and children are the majority of poor Canadians. We must do more to get them job ready and support them in their time of need.
The family supplement is an important part of our government's effort to alleviate poverty. It complements the federal contributions to many provincial programs aimed at diminishing poverty. I know that is something that is certainly important in my province as we are in an election period. We must be able to support families in need.
The member for Ahuntsic has done a good job in her motion. I fully support her. All colleagues on this side of the House and most colleagues on the other side of the House have also demonstrated their support in this debate.
We are able to see and Canadians can be proud that parliamentarians are getting together and working on progressive ideas and supporting each other to make a difference for all Canadians.