Mr. Speaker, it is an honour to speak in support of this government's first annual federal budget.
Just recently I was knocking on doors in my riding of Brampton East just to be accessible to the people who sent me to Ottawa. Many of my constituents expressed support for this government's investments to help middle-class Canadians succeed, investments that would not just help them today but investments that would lay the groundwork for the success of future generations of hard-working Canadians. These hard-working Canadians include our young Canadians, who are some of the best and brightest and deserve great educational opportunities and work experiences for the future.
Here at home and around the world dramatic shifts are taking place that represent both challenges to and opportunities for Canada's economy. Managing Canada's ongoing demographic shift means that we must do more to invest in young Canadians, specifically in post-secondary education, training, and innovation.
When I meet young people at community events, at the door, or at their school events, I see in them limitless potential to be the leaders of today and tomorrow, whether it be in the fields of science, law, business, the trades, or anything else they put their minds to.
I have had the opportunity to attend some of the best post-secondary institutions in this country. I have also had wonderful job experiences that helped me begin my career and prepared me for the honour of being a member of Parliament. Thus, I am a strong believer in the power of education and in training our young people to be the leaders of today and tomorrow. We must invest in this generation to ensure that we have support for our aging population and create economic growth to last generations.
Unfortunately, for far too many Canadians the rising cost of post-secondary education is making it less affordable. Fewer people are able to save for their education and those who receive financial assistance often find it difficult to repay their loans.
That is why budget 2016 proposes a package of reforms to the Canada student loans program that will make post-secondary education more affordable for students from low and middle-income families and ensure that student debt loads are more manageable. This includes a new flat rate student contribution to determine the eligibility for Canada student loans and grants. This will ensure that students are able to gain valuable work experience while not worrying about a reduction in their funding. This will also benefit adult learners who are working or have financial assets.
Budget 2016 would increase Canada student grants by 50%, from $2,000 to $3,000 per year for students from low-income families and $800 to $1,200 for students from middle-income families. Additionally, part-time students would receive $1,200 to $1,800 more per year as they aim to complete their education. This means that approximately 247,000 students from low-income families will benefit and 16,000 part-time students who work alongside school or care for their families will also benefit from the government's investments. This is a direct investment to meet the rising costs of post-secondary education. I cannot understate the impact that this will have for many ordinary young people who are looking to build brighter futures regardless of their family or personal income.
Also proposed is an increase in the loan repayment threshold to ensure that no students across the country will have to repay their Canada student loans until they are earning at least $25,000 per year. This measure will provide assistance of $131 million over five years starting in 2016-17. Finding a good job is hard for young people. We need to do better to ensure our recent graduates are not burdened by student debt until they are on their feet and earning a decent income.
Budget 2016 would also ensure our young people have the real life skills they need that can often only be gained from experience in the workforce. Our government is investing in employment opportunities for youth through the investment of an additional $165 million in 2016-17 for the youth employment strategy.
As well, we are creating an expert panel on youth employment to guide future investments in labour market programming. We are ensuring co-op placements and work-integrated learning opportunities for young Canadians through an investment of $73 million over four years, starting in 2016-17 for the post-secondary industry partnership and co-operative placement initiative. We would help young Canadians gain valuable work and life experiences through an investment of $105 million over five years to support youth services.
Additionally, there are numerous other provisions in our budget that would benefit young people. For example, by investing $3.4 billion over three years to upgrade and improve public transit systems across Canada, we would make it easier for young Canadians to get to and from work and school, and it is also more environmentally friendly.
By way of another example, with the millions we are investing in small businesses and innovation, such as through the industrial research assistance program, we will create new jobs in the future for our young Canadians to transition into.
In all, budget 2016 is a strong follow-through on the commitments that we made in last year's campaign.
We need to ensure that we invest and create the opportunities for young Canadians to succeed. The future of Canada depends on the quality and work ethic of our young Canadians. By investing in them, we are investing in a stronger and more prosperous Canada for years to come.
I ran to become a member of Parliament to ensure future generations had the same opportunity as me. As the son of a taxi cab driver and a factory worker, I got to attend some of the best schools across this nation. I got to graduate from Osgoode Hall Law School, join as an interior lawyer, be called to the Ontario Bar, and become a member of Parliament.
When I go to schools across my riding, I see the potential in young Canadians. I see that in Canada, if one works hard, one can achieve anything, and that education is the single most powerful tool to change one's circumstances and achieve one's dreams. Therefore, it is very important that in budget 2016 we are investing in young Canadians. We are investing in post-secondary education for all Canadians across this country. If one has the work ethic and the grades, financial assistance will be there to achieve one's educational dreams.