Debates of March 25th, 2013

The Budget

[Peggy Nash, NDP, Parkdale—High Park, ON]

Mr. Speaker, let us deal with some facts here. The Minister of Finance admitted that there was a decrease in funding, not an increase in infrastructure funding.

The Conservatives leak the contents of the budget when it suits them. They let out information about hockey equipment tariffs, but hidden away deep in the budget was a $300 million hike on other tariffs. They use deceptive leaks to cover up massive tax hikes.

Why are they not just being honest with Canadians about the real impact of their budget?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, let us be honest with Canadians. I do not think the opposition even understands what was being referred to by general preferential tariffs. I am sure that is what the hon. member was trying to spit out.

This is actually a foreign aid program that was created back in the 1970s to give special treatment to countries that are developing. I would suggest that the 72 countries we took off of that list have actually developed. This gives benefits, and some hope, to the least developed countries that are trying to compete.

Taxation

[Alexandre Boulerice, NDP, Rosemont—La Petite-Patrie, QC]

Mr. Speaker, abolishing the labour-sponsored funds tax credit is such a foolish decision that it is creating division even within the Conservative ranks.

For the second time in one week, the Minister of State for Small Business and Tourism contradicted one of his colleagues. At a press conference on Friday, he explained that the labour-sponsored funds tax credit had been eliminated because it was creating unfair competition. Meanwhile, the Parliamentary Secretary to the Minister of Finance said in the House that the tax credit had been eliminated because it was not working.

Why are there so many divisions within the Conservative caucus? Is it because the elimination of the tax credit is simply impossible to justify?

[Maxime Bernier, Conservative, Minister of State (Small Business and Tourism)]

Mr. Speaker, I am not surprised by what my opposition colleague is saying because, as usual, the NDP believes what it hears from Quebec's big union bosses.

Clearly, this tax credit was not doing what it was supposed to. As we speak, the funds are overcapitalized. What is more, only 11% of the money is really being invested in the development of small businesses in Quebec.

[Alexandre Boulerice, NDP, Rosemont—La Petite-Patrie, QC]

Mr. Speaker, this stupid decision is nothing less than an attack on investment, savings and job creation in Quebec.

The vice-president of the Fonds de solidarité, Denis Leclerc, clearly stated that it does not make any sense for the Conservative government to eliminate this important program that encourages workers to save.

The CEO of Fondaction, Léopold Beaulieu, indicated that the only way that many people with low incomes can save for their retirement is to contribute to a labour-sponsored fund.

Sixty percent of the money from these funds is used to start small businesses in the regions. Why do the Conservatives want to attack Quebec's jobs and small businesses?

[Maxime Bernier, Conservative, Minister of State (Small Business and Tourism)]

Mr. Speaker, my opposition colleague is once again providing false information.

It is not 60% of the money that is invested in small business start-ups in Quebec but 11%. The FTQ fund has enough money to meet that need and increase its percentage of funding for small businesses in Quebec.

I would like to tell my colleague that our budget does what Quebeckers asked us to do: it does not increase taxes.

We are balancing the budget. It is unfortunate that the members of the opposition are always pushing for more taxes.

Intergovernmental Relations

[Guy Caron, NDP, Rimouski-Neigette—Témiscouata—Les Basques, QC]

Mr. Speaker, $10 billion invested over the past 30 years by the Fonds de solidarité FTQ and 500,000 jobs maintained or created: now that is an economic success story.

The Conservatives' decision to centralize workforce training programs does not take into account what the provinces have already achieved.

The latest report from Quebec's labour minister indicated that 140,000 people have found jobs after completing a training program. Last year, Quebec's training initiatives helped save $220 million in EI benefit payments.

Why would the government interfere with something that works?

[Diane Finley, Conservative, Minister of Human Resources and Skills Development]

Mr. Speaker, the Canada job grant will help unemployed people and people who are trying to improve their lives.

I want to share what the Certified General Accountants Association of Canada said:

In creating the Job Grant fund, the federal government has shown leadership in addressing the growing skills gap. We encourage provinces to support it.

Financial Institutions

[Guy Caron, NDP, Rimouski-Neigette—Témiscouata—Les Basques, QC]

Mr. Speaker, that is the Conservative way. They do not negotiate with the provinces, they take away $2 billion and then they say that the provinces must match contributions dollar for dollar for the program to work.

I want to talk about another economic model that works but that the Conservatives want to fix. Credit unions have played an instrumental and crucial role in the development of Quebec's thriving business world and in the regional economic development of Quebec.

Despite this economic success, the Conservatives decided to go after credit unions by increasing their taxes, without even having the decency to give them advance warning.

Why do the Conservatives have it in for credit unions?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, once again, the NDP has shown us its economic expertise. The New Democrats actually do not understand that the credit unions still have access to the lowest small business tax rate out there. That has not changed.

We are simply eliminating an outdated tax subsidy that was set in place back in the 1970s, when tax systems were very different. We have actually reduced taxes in many other ways. No other business, I would remind hon. members, receives the special tax subsidy that the credits unions are receiving.

[Murray Rankin, NDP, Victoria, BC]

Mr. Speaker, when the Quebec government changed its tax arrangements with credit unions, it talked to them first. The Conservative change came out of nowhere. Millions of Canadians are members of credit unions. By increasing the tax on the profits of credit unions, the Conservatives are taking away the shared benefits that credit union members get every year.

Why the backdoor attack on people's pocketbooks and why no consultation?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, we respect the fact that credit unions have actually helped many Canadians and they continue to do that. They are becoming very large operations and they still, I would repeat, have access to the lowest small business tax rate.

As referenced in the question, Quebec actually did eliminate this comparable subsidy back in 2003. We continue to be a strong supporter of credit unions.

Health

[Murray Rankin, NDP, Victoria, BC]

Mr. Speaker, the Conservatives' attack on credit unions will take $205 million out of the pockets of Canadians over the next five years. The Conservatives are also adding GST to hospital parking in the budget. The Canadian Medical Association Journal noted in 2011 that high fees are a barrier to health care. However, instead of giving Canadians a break, the Conservatives are raising taxes on people who visit their loved ones in hospitals.

Why the attack on sick Canadians and their families?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, I certainly reject the premise of that question. I know the NDP does not understand anything about tax fairness, but perhaps it should stop screaming and actually listen to the answer to the question.

We are ensuring that commercially paid parking is treated the same under the tax system everywhere across the country. We have lowered the GST from 7% to 6% to 5% and it is providing all Canadians with important tax relief.

Fisheries and Oceans

[Fin Donnelly, NDP, New Westminster—Coquitlam, BC]

Mr. Speaker, the Department of Fisheries and Oceans once again finds itself on the chopping block. The budget revealed that this department is facing over $100 million in cuts. Conservatives already gutted the Fisheries Act and offloaded responsibilities to NGOs; first the Kitsilano Coast Guard station, now DFO.

Why are they refusing to consult with those affected, ignoring coastal communities and ramming these blind cuts through?

[Keith Ashfield, Conservative, Minister of Fisheries and Oceans and Minister for the Atlantic Gateway]

Mr. Speaker, economic action plan 2013 contains a number of significant investments to support the development of Canadian fisheries. This includes support for first nation fishing enterprises, improving the conservation of fisheries and enhancing regulatory clarity for the aquaculture sector.

Economic action plan 2013 proposes to dedicate all funds collected through the sale of the salmon conservation stamp to the Pacific Salmon Foundation.

Search and Rescue

[Stéphane Dion, Liberal, Saint-Laurent—Cartierville, QC]

Mr. Speaker, can the government waste less money on propaganda and use that money to keep Quebec City's maritime rescue centre open instead of closing it in mid-April? Officials in Halifax and the Canadian Coast Guard have told the minister that they cannot respond to distress calls in French.

I would like to quote their report from February 27 and 28. I should point out that it was written in English.

“There is an increased concern in this area. Foreign language training is required and management of the schedule is an absolute must to avoid the worst-case scenario when it comes to language.”

Is this clear enough for the minister?

[Keith Ashfield, Conservative, Minister of Fisheries and Oceans and Minister for the Atlantic Gateway]

Mr. Speaker, of course, before we make any changes in the Quebec office, we will ensure that the language capabilities and the language requirements are there to provide a bilingual service.

We would never put anyone's life in danger in this kind of situation.

Employment Insurance

[Marc Garneau, Liberal, Westmount—Ville-Marie, QC]

Mr. Speaker, last fall, the government cancelled an employment insurance pilot project that provided up to five extra weeks of benefits to Canadians in regions with high unemployment. It would have cost $77 million to renew the program this year. Instead, the government will be spending $78 million on partisan budget ads.

Why is the government wasting money on pre-election propaganda instead of using it to fund programs that would help unemployed Canadians?

[Diane Finley, Conservative, Minister of Human Resources and Skills Development]

Mr. Speaker, the pilot project the member is talking about did not deliver the desired results. That is why we replaced it with measures that will help people find training and jobs so that they can work, which is better for them and their families.

That is why we are introducing the Canada job grant to help people obtain the skills that industries are looking for.

[Wayne Easter, Liberal, Malpeque, PE]

Mr. Speaker, in 2011, Natalya Rougas, a mother on parental leave battling cancer, won her appeal against the Minister of Human Resources and Skills Development for access to sickness benefits. The judge made it clear that the law already provided for this benefit. Now we find the minister ignored the ruling and continued to deny sick women benefits to which they were legally entitled.

Why did the minister not respect the 2011 ruling? How many sick parents has she cheated out of their benefits since?

[Diane Finley, Conservative, Minister of Human Resources and Skills Development]

Mr. Speaker, I reject the premise of that question, for sure. Our government passed the Helping Families in Need Act to provide parents who fell ill while receiving parental benefits to access employment insurance sickness benefits. This case relates to the previous Liberal government's rules, which we have since greatly improved.

Aboriginal Affairs

[Jonathan Genest-Jourdain, NDP, Manicouagan, QC]

Mr. Speaker, more money will be spent on administrative costs to impose the training program for aboriginal youth on reserve than on the actual training of these young people. Unfortunately, we are no longer surprised to see the paternalistic attitude of the Conservatives in budget 2013. Young aboriginals on reserve already receive an average of 30% less funding for education than what the provinces provide off reserve.

Why are the Conservatives not investing enough in education and why are they not treating aboriginal peoples as equal partners?

[Bernard Valcourt, Conservative, Minister of Aboriginal Affairs and Northern Development]

Mr. Speaker, what the member is suggesting is completely false. Funds invested in first nations education compare favourably, if not equally, to what the provinces spend. Not only has our government committed to consulting first nations across the country on the development of a first nations education act, but in the latest budget, it also committed to dedicating new resources to loans, bursaries, scholarships and training for aboriginal students.

In contrast to what the NDP has done in the past, this year, that party should support—

[The Speaker, Conservative, Andrew Scheer]

The hon. member for Churchill.