House of Commons Hansard #23 of the 41st Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was economy.
Hoang Mai NDP Brossard—La Prairie, QC
Mr. Speaker, the United States Internal Revenue Service is going after innocent Canadians The IRS is now going after Canadian citizens who have been playing by the rules, living and paying their taxes in Canada, in some cases for decades. It is going after them for thousands of dollars. These are not tax cheats.
Why is the government not doing more to protect these law-abiding citizens?
Jim Flaherty ConservativeMinister of Finance
Mr. Speaker, we have made it clear to the American authorities that Canada of course is not a tax haven, that the request for information from American citizens who are living in Canada affects a large number of citizens who have never earned income in the United States and many of whom were not aware of their obligation under American law, which is their right to file income tax returns.
We have asked the Americans to exercise some discretion in the IRS with respect to these demands.
LaVar Payne Conservative Medicine Hat, AB
Mr. Speaker, advocates of the Canadian Wheat Board's monopoly have been waging a dirty, underhanded campaign against our government's strong mandate to deliver on our election promise of marketing freedom. They have tried every trick in the book, including wasting thousands of dollars on illegitimate surveys and travelling road shows.
Allen Oberg, the chair of the CWB, even used farmers' money to host and pay for a breakfast for the NDP caucus in Quebec City, telling the NDP members to use any means necessary to disrupt the democratic process in this chamber.
Could the minister tell us what steps he has taken to help western Canadian farmers?
Gerry Ritz ConservativeMinister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board
Mr. Speaker, I want to thank the member for Medicine Hat for his tireless work on behalf of farmers and the great work that the panel did.
The old Canadian Wheat Board, as my colleague outlined, is doing everything possible to fight marketing freedom, even refusing our offer to co-chair this industry working group. That is unfortunate.
Our government will use the recommendations of this dynamic working group to make sure farmers have the clarity and certainty they need for their farm businesses' future.
As of October 1, the government's advance payment program will be administered by the Canadian Canola Growers Association.
Our government has a strong mandate and we will deliver on marketing freedom.
Rathika Sitsabaiesan NDP Scarborough—Rouge River, ON
Mr. Speaker, last night, I joined MPs from all parties in hosting a screening of the documentary, Sri Lanka's Killing Fields . It moved me, as it did everyone else there.
Sadly, Canada and the rest of the world has stood idly by for far too long. Human rights organizations around the world are calling upon the United Nations to launch an independent inquiry into the possibility of war crimes and crimes against humanity in Sri Lanka.
A Conservative MP helped sponsor the event last night. Will his government now stand in the House today and finally commit to fighting for justice for Sri Lankans and call for a United Nations inquiry?
John Baird ConservativeMinister of Foreign Affairs
Mr. Speaker, we did not sit idly by at the United Nations on Monday where I brought the plight of human rights violations to the floor of the General Assembly. The Prime Minister did not sit idly by when he expressed grave concern about attending a future summit of the Commonwealth in Colombo. We did not sit idly by when we spoke with the high commissioner to Sri Lanka and raised our concerns. I did not sit idly by last week when I met with the foreign minister of Sri Lanka to express our significant concerns.
We have not sat idly by. We will continue to stand up, do the right thing and fight for human rights around the world, especially in Sri Lanka.
André Bellavance Bloc Richmond—Arthabaska, QC
Mr. Speaker, multinationals and the software industry will be pleased with the copyright bill the government is introducing today, but it will cost artists close to $75 million a year. By attacking the livelihood of creators in this way, the Conservatives are showing that, for them, culture comes down to profit for big business.
Is the government aware that the copyright legislation that it is proposing will harm artists and weaken Quebec culture?
James Moore ConservativeMinister of Canadian Heritage and Official Languages
Mr. Speaker, we introduced a bill that is fair to everyone, both creators and consumers. What artists across the country need right now is copyright legislation that will make piracy illegal in Canada. That is what Bill C-11 will do.
We are also imposing the WIPO Internet treaties. Many aspects of this bill protect the interests of Canada's artists, ensure that our economy continues to recover, and ensure that we are creating employment and investments here in Canada for everyone, including creators.
Thomas Mulcair NDP Outremont, QC
Mr. Speaker, as is often the case, we would like to know what the plans are for the rest of the week. In particular, the official opposition would like to know when the government will finally bring before the House its so-called priorities, that is, the economy and jobs. It seems we have seen everything but the economy and jobs since they arrived.
It is thanks to the NDP official opposition that today the House is debating, for the first time this fall, the economic issues that are so important to worried Canadians. We are debating a motion calling on the government to take action on the economy, to establish a plan to create real jobs for Canadians and their families, to address Canada's infrastructure deficit of over $100 billion, which is mortgaging our future and that of future generations, and to protect people's retirement pensions.
Now the NDP has proposed concrete actions to address these issues, and I am sure the government will support them.
Also, could the Leader of the Government in the House of Commons tell us when we can expect the debate on the amendments the government is proposing to the Copyright Act?
Peter Van Loan ConservativeLeader of the Government in the House of Commons
Mr. Speaker, with the global economy still fragile, Canadians gave our government a strong mandate to continue our focus on the economic recovery. In the next week, our government will continue to implement the economic action plan that will create more jobs and economic growth. This plan is working.
Today, we introduced the copyright modernization act. The bill would promote innovation, keep Canada's digital economy strong and, importantly, help create jobs. I hope the bill will have the support of all hon. members.
Next week, we will be introducing a bill to implement the remaining measures in the next phase of Canada's economic action plan, a low tax plan for jobs and growth, as the finance minister indicated yesterday. The bill will include important economic measures, including a tax credit for the creation of new jobs by small businesses.
As per the order passed by the House yesterday, we will be introducing and voting on the ways and means motion relating to that second budget implementation act on Monday.
I know the opposition has shown great interest in seeing our jobs plan rolled out. Next week, members will have the opportunity to support it and move it swiftly through second reading and get this important bill to committee as soon as possible.
Next Tuesday will be designated as the second allotted day. Tomorrow we will begin debate on Bill C-7, the Senate Reform Act. This bill will allow and encourage provinces to hold elections to fill Senate seats and create a nine-year term limit for senators.
We will also continue debate on Bill C-4, Preventing Human Smugglers from Abusing Canada's Immigration System Act. Both bills will also be debated on Monday.
These important bills all have a very long history before the House, so I do encourage all hon. members to put aside further parliamentary delay tactics and give members a chance to vote on them and allow them to proceed through our system.
Randall Garrison NDP Esquimalt—Juan de Fuca, BC
Mr. Speaker, in a statement delivered today by the member for South Surrey—White Rock—Cloverdale, I was accused, along with the member for Surrey North, of supporting child molesters.
As an adult survivor of child abuse, I rise on this point of order and demand an immediate withdrawal by the member and to ask the Speaker to review the statement.
The Speaker Conservative Andrew Scheer
I will certainly review the statement and come back to the House if necessary.
The House resumed consideration of the motion.
The Speaker Conservative Andrew Scheer
When we were debating this before question period, the hon. member for Dartmouth—Cole Harbour had five minutes left for questions and comments.
Questions and comments. The hon. member for Dauphin—Swan River—Marquette.
Robert Sopuck Conservative Dauphin—Swan River—Marquette, MB
Mr. Speaker, I listened to what the NDP said with great interest and it reminded me of what the sainted Margaret Thatcher once said that, “socialism works until you run out of other people's money to spend”.
That side of the House is really good at spending other people's money. In fact, I think the saying is “spending ourselves rich”. When one looks at what is happening in the eurozone, that is obviously a strategy that simply cannot work. A sound economy is built upon the enforcement of property rights, the rule of law and a climate for business investment.
I would like to offer the House a quote, and members will be very curious as to where it came from. The quote is, “If the federal government reduces corporate taxes, it will make a difference for our businesses and certainly they will take advantage of those cuts and if it means more jobs we would be very happy with that. Do I think it will make a difference for Manitoba if the federal taxes are cut? Yes, it will make a difference for businesses and that is--
The Speaker Conservative Andrew Scheer
Order, please. I must stop the member there to allow the hon. member for Dartmouth—Cole Harbour a chance to respond.
Robert Chisholm NDP Dartmouth—Cole Harbour, NS
Mr. Speaker, I will not go back and talk about Margaret Thatcher at this point, although I know she nearly drove Britain's economy into the toilet.
Where was the member when the opposition forced the finance minister in the fall of 2008 to go back to the drawing board and try to figure out that there was a calamity happening in the economy and that he needed to come out with a policy in order to make the economy in Canada at least sustainable through that recessionary period? Why is it that he is not supporting that kind of action today by supporting our motion?
Kevin Lamoureux Liberal Winnipeg North, MB
Mr. Speaker, I would like to get some clarification on an issue with respect to the New Democratic Party.
First, I would say that it initially was the Liberal Party that began this session by saying that jobs were the number one priority. Therefore, we appreciate the motion that is before us. However, there is a policy discrepancy that I would like clarification on.
There are the buy American provisions that have been implemented in the United States, on which the Conservatives have dropped the ball. The New Democrats have been somewhat quiet. The Ontario NDP is now saying, “buy Ontario”.
What is the federal NDP's position on the whole buy American provisions? How does it compare that to the position of its provincial counterparts, or cousins, in regards to buy Ontario?
Robert Chisholm NDP Dartmouth—Cole Harbour, NS
Mr. Speaker, I must say that whenever I engage in any discussion with the federal Liberals as it relates to the economy, all I can do is remember the kind of damage they did in the province of Nova Scotia back in 1996-97 when they decided to balance the budget in those days on the backs of the universities, the poor, the people looking for social housing and the health care system.
That is the kind of wrong-headedness that we are trying to deal with in this particular motion. We want the government to recognize that it needs to step forward and start making the kinds of investments that are necessary to get people back to work.
Jamie Nicholls NDP Vaudreuil—Soulanges, QC
Mr. Speaker, we have often heard that the Minister of Finance was the best minister of finance in the world. That was in 2009. Here we are in 2011 and it is Wayne Swan, a minister in Australia, who is the best finance minister in the world.
I would like to ask the hon. member how the NDP would move Canada forward in terms of its economy.
Robert Chisholm NDP Dartmouth—Cole Harbour, NS
Mr. Speaker, the first thing we would do is listen to Canadians and Canadians are telling us that it is time to start investing in communities, that it is time to start investing in infrastructure, and that it is time to start committing ourselves to supporting the innovation that is necessary in the communities to get people back to work and to get our young people coming out of universities with training and knowledge back to work.
Those are the kinds of specific steps that the government needs to do. It is what a New Democratic government would do.
Opposition Motion--Canadian EconomyBusiness of SupplyGovernment Orders
Kamloops—Thompson—Cariboo B.C.
Conservative
Cathy McLeod ConservativeParliamentary Secretary to the Minister of National Revenue
Mr. Speaker, from the outset, I will reassure Canadians that our Conservative government's top priority is what matters to them, and that is jobs--
Andrew Scheer Conservative Regina—Qu'Appelle, SK
I wonder if someone could do their colleague a favour and turn their phone off so we can hear the hon. parliamentary secretary.
The hon. parliamentary secretary.
Cathy McLeod Conservative Kamloops—Thompson—Cariboo, BC
Mr. Speaker, I will pick up at jobs in the economy because I think since I was elected in 2008, it is consistently what our government has actually talked about.
Indeed, with the global economic recovery so fragile, as demonstrated by the ongoing events in Europe, keeping Canada's economy on the right track must remain our priority. While Canada's economy has created nearly 600,000 net new jobs since July 2009, the strongest job growth in the G7, too many Canadians are still looking for work.
That is why we are working hard to implement our prudent, low tax plan to support Canada's economic recovery and help create jobs through the next phase of Canada's economic action plan.
Indeed, our Conservative government remains focused on ensuring Canada continues to offer the right environment to attract investment necessary to create more and better paying jobs, thereby improving the living standards of Canadians.
Ironically, one of the most proven ways to that end is an action opposed by the NDP, to give job creators the means to hire more workers by lowering their taxes, which is exactly what our government is doing. It is also exactly what we have done since coming to office and what we told Canadians during the election that we would continue to do if we were returned to government.
Given the results of May 2, it is safe to say that Canadian families prefer our low tax plan over the tax and spend plan of the NDP. Families know that our Conservative government is acting on what matters to them as we steer them through this turbulent global economic period.
Indeed, unlike what the NDP would have Canadians believe, our Conservative government has a strong and proven record on the economy, one that Canadians can look to and trust.
In the words of Bank of Montreal deputy chief economist, Doug Porter, appearing before the finance committee this week:
--compared to policy making in the rest of the world, Canada's economic policy-making has been exemplary. I don't think there's been a significant misstep in recent years.
That is very high praise.
Let us listen to the IMF:
Canada is actually matching up quite well on a relative basis...the recession was not too deep, they haven't had a financial crisis to the extent that the U.S. has had or the Europeans are having it. And so all in all Canada is actually doing quite well.
However, it is vitally important Canada maintains our hard-earned fiscal advantage that underpins the confidence that investors around the globe have in Canada and which encourages job growth.
That is why our stimulus spending was temporary and targeted, without jeopardizing Canada's long-term fiscal advantage.
In budget 2010 and 2011, we started the process of returning to balanced budgets by doing such things as closing tax loopholes and launching a comprehensive review of government spending to improve efficiency and effectiveness.
Our Conservative government has been very clear and consistent that we will not raise taxes or cut transfers to other levels of government in support of health care and social services, like the shameful record of the Liberals in the 1990s.
As the member for Kings—Hants, the current Liberal finance critic, nonetheless publicly declared, the Liberal government balanced its books by slashing transfers. Provinces have been put in serious fiscal peril because of this irresponsible slashing.
Unlike the tax and spend NDP, our Conservative government is focused on creating the right conditions for jobs and long-term economic growth. Budget 2011, the next phase of Canada's economic action plan, will invest in the key drivers of economic growth: innovation, investment, education and training. It will seek to foster an environment in which all Canadians contribute to and benefit from a stronger economy.
Unfortunately the NDP voted against the next phase of Canada's economic action plan and its important investments.
Let us take some examples: investment in innovation, education and training. Let me expand on that because it is important that the NDP understands just exactly what it voted against. The NDP has a motion here today, but it does not know what it actually voted against.
In looking to the future, it is important to help develop and attract talented people to strengthen our capacity for world-leading research and development, and to improve the commercialization of research.
Since forming government in 2006, each successive budget we have tabled has demonstrated our Conservative government's commitment to implementing our science and technology strategy and our ongoing determination to invest significant amounts in research and development, while encouraging the partnerships with the private sector that can turn promising concepts into groundbreaking applications.
In my own riding of Kamloops—Thompson—Cariboo, for example, the Thompson Rivers University received almost $900,000 from our government last month to purchase a low-temperature incubating facility. It is a very long and complicated piece of equipment, but it is really focused on meat research and development. It will help many local small and medium-sized enterprises that are closely linked to the agriculture, bioproduct and natural resource sectors in the B.C. interior and beyond.
Programs such as the Vanier Canada graduate scholarships, the Canada excellence research chairs, and the recently announced Banting post-doctoral fellowships program cover the full spectrum in attracting, retaining and developing world-class talented researchers in Canada. We had the brain drain not so many years ago, and that is reversing.
The research these programs support, and the researchers they develop, will help sustain Canada's economic advantage well into the future.
However, we understand more needs to be done to ensure Canada is the leader in research and innovation to succeed in the global knowledge economy.
That is why the next phase of Canada's economic action plan will build on earlier investments by providing significant new resources to advance a digital economy strategy, strengthen Canada's global research leadership, and support the commercialization of research by fostering business innovation.
Some examples are $80 million to support collaborative projects between colleges and small and medium-sized businesses that accelerate the adoption of information and communications technologies; $53.5 million to expand the Canada excellence research chairs program; and $60 million to promote increased student enrolment in key disciplines related to the digital economy.
The Canadian Federation for the Humanities and Social Sciences praised these investments, declaring they will “substantially boost Canada's capacity for research and innovation”. Amazingly again, the NDP voted against every one of those investments in research and development.
This takes us to another area, support for industries and communities. In planning for the future, we should not overlook the traditional industries working hard to adapt to an increasingly competitive global marketplace.
The next phase of Canada's economic action plan gives significant support to the long-term competitiveness of vital sectors in regions and communities across Canada.
For example, in recent years, the forestry sector has taken important steps to embrace innovative technologies and transition to higher value activities.
Government investments are helping the forestry sector to accelerate its transformation and to enhance its long-term future, a goal that is particularly important for many of my constituents.
The next phase of Canada's economic action plan takes additional action to support the transformation of the forestry sector by providing $60 million to help forestry companies innovate and tap into new opportunities abroad. This funding will support the development of emerging and breakthrough technologies for the forestry sector through the transformation technology program.
It will also help forestry companies to diversify and to expand their markets through the value to wood program, the Canada wood export program, and the North American wood first initiative. Little wonder the Forest Products Association of Canada said of the next phase of Canada's economic action plan:
This Budget continues the process of developing a policy framework aimed at fostering innovation and the type of strategic investments needed for the Canadian forest products industry to lead the world. This will bolster rural communities and protect jobs, strengthen the economy and advance Canada's environmental reputation.
Stunningly, again, the NDP voted against helping the forestry sector.
With regard to agriculture, our government is taking important steps to support a strong and competitive agricultural sector. It is important that it remains on the cutting edge of innovative science and technology.
Effective management of plant and animal diseases serves to reduce the likelihood of future outbreaks, which can have a significant economic impact on production and the livelihood of producers. We just have to look at BSE and what happened there.
The next phase of Canada's economic action plan proposes measures that will support innovation and the long-term profitability of this key sector. Here are some of the things we are going to do.
We will provide $50 million for an agricultural innovation initiative to support knowledge creation and increase commercialization of agricultural innovation;
We will extend the initiative for the control of diseases in the hog industry and provide $24 million to complete initiatives directed at national biosecurity standards;
We will provide $17 million for a management and monitoring strategy to contain and prevent the spread of the plum pox virus, and much more.
It should not come as a great surprise that organizations like the Canadian Cattlemen's Association were supportive of budget 2011. It stated that it:
--appreciate[d] the Government of Canada's focus on research and innovation in the agricultural sector--
It went on to say that these are areas that are:
--crucial to the long-term competitiveness of the Canadian cattle industry.
Again, the NDP, disappointingly, voted against helping Canada's agricultural sector.
I would like to speak now about the Canada-India research centre of excellence. For these and all sectors, the trend toward globalization and foreign investment provides many benefits to Canada and it is important to adopt policies that encourage trade and investment.
Emerging economies such as India, for example, are increasing their capacity to undertake advanced research that can make important economic and social contributions around the world. Canada is going to benefit from stronger links with researchers and institutions in India by partnering to produce new ideas that create economic opportunities, while developing and attracting highly skilled personnel.
The next phase of Canada's economic action plan proposes $12 million to help establish a new Canada-India research centre of excellence. This centre is going to lever the considerable relationships that already exist between post-secondary institutions, researchers and students in Canada and India for the benefit of both countries. As the University of Alberta president, Indira Samarasekera, asserted, this investment supported “the goal of reaching the world, of promoting Canada's international brand”.
Unbelievable as it might seem, although no surprise, the NDP again voted against it.
As I have already demonstrated, our government responded quickly to the global economic downturn with our economic action plan by taking decisive steps to protect incomes, create jobs, ease credit markets, and help workers and communities get back on their feet. Part of this plan was an investment to improve infrastructure in the communities across the country.
Now, with the next phase of the economic action plan, we are proposing targeted investments in infrastructure.
The plan includes working with the provinces, territories, the Federation of Canadian Municipalities and other stakeholders on the development of a long-term plan for public infrastructure, and that is beyond the building Canada plan and legislating a permanent annual investment of $2 billion in the gas tax fund to provide predictable long-term infrastructure. Again, that was in the last budget. My municipalities are absolutely delighted with that secure investment into infrastructure. Providing up to $150 million to support the construction of an all-season road between Inuvik and Tuktoyaktuk that completes the Dempster Highway, connecting Canadians from coast to coast; and providing $228 million to fund repairs and major maintenance on federal bridges in the greater Montreal area to ensure that the bridges continue to serve the needs of the commuters while meeting the highest safety standards.
A more local example was $4 million to build the new transit centre in Kamloops and over $900,000 to the Kamloops airport to improve safety features. Again, that is very important in my riding.
The list just goes on. As the Federation of Canadian Municipalities stated, budget 2011 “makes it clear: strong communities--with quality infrastructure--are essential to a strong economic future”.
Yet again, the NDP voted against it.
Just as planning by our Conservative government before the recession meant a softer landing than many other countries have faced, so too will the low-tax economic policies we are now taking enable us to have a strong economy well into the future.
In every region of Canada, families and businesses are paying less tax and unemployed workers are receiving better support and new training. Major job-creating infrastructure projects are improving the quality of life in communities while creating new jobs. Colleges and universities are benefiting from new investments.
Canadians can rest assured that our Conservative government believes that encouraging investment and economic growth is the best way to create jobs and a brighter future for Canadians. It is what Canadians expect of us and it is what we must deliver.
Wayne Marston NDP Hamilton East—Stoney Creek, ON
Mr. Speaker, that was a well-prepared speech. I sit with the member on the finance committee and I look forward to the information she brings forward.
In Canada right now the unemployment rate is at 7.5%. A lot of Canadians are sidelined and unable to contribute to the economy. In committee we heard that about $5 billion is being kept back by corporations because they fear the banks are tightening up, and we are having difficulties. The committee heard from Glen Hodgson from the Conference Board of Canada, who said that this was not the time for the government to step back from our economy but the time to invest in it, because the private sector is refusing to and Canadians cannot.
I would like to hear her comments on the concept of the government stepping forward and taking a lead in this very nervous time.