House of Commons Hansard #154 of the 42nd Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was tax.

Topics

Government Response to PetitionsRoutine Proceedings

10:05 a.m.

Winnipeg North Manitoba

Liberal

Kevin Lamoureux LiberalParliamentary Secretary to the Leader of the Government in the House of Commons

Mr. Speaker, pursuant to Standing Order 36(8) I have the honour to table, in both official languages, the government's response to five petitions.

Canadian HeritageCommittees of the HouseRoutine Proceedings

10:05 a.m.

Liberal

Hedy Fry Liberal Vancouver Centre, BC

Mr. Speaker, I have the honour to present, in both official languages, the fourth report of the Standing Committee on Canadian Heritage in relation to Bill C-311, An Act to amend the Holidays Act (Remembrance Day).

The committee has studied the bill and has decided to report the bill back to the House with amendments.

Procedure and House AffairsCommittees of the HouseRoutine Proceedings

10:05 a.m.

Liberal

Larry Bagnell Liberal Yukon, YT

Mr. Speaker, I have the honour to present, in both official languages, the 28th report of the Standing Committee on Procedure and House Affairs.

The committee advises that, pursuant to Standing Order 91.1(2), the Subcommittee on Private Members’ Business met to consider the order for the second reading of a private member’s bill originating in the Senate, and recommends that the item listed herein, which it has determined should not be designated non-votable, be considered by the House.

Also, the committee advises that, pursuant to Standing Order 91.1(2), the Subcommittee on Private Members’ Business met to consider the item added to the Order of Precedence on Friday, February 24, 2017, and recommended that the item listed herein, which it has determined should not be designated non-votable, be considered by the House.

Animal WelfarePetitionsRoutine Proceedings

10:05 a.m.

Green

Elizabeth May Green Saanich—Gulf Islands, BC

Mr. Speaker, I rise today to present three petitions. The first two are from outside my riding. Petitioners from Calgary are urging the government to change the treatment of animals under the Criminal Code and to remove animal cruelty crimes from the property section to strengthen language around federal provisions of the Criminal Code relating to cruelty to animals.

Falun GongPetitionsRoutine Proceedings

10:05 a.m.

Green

Elizabeth May Green Saanich—Gulf Islands, BC

Mr. Speaker, the second petition is from petitioners in the Toronto area urging the government to press upon the People's Republic of China that it must stop the persecution of practitioners of Falun Dafa and Falun Gong. They particularly draw attention to the horrific issue of organ harvesting.

AgriculturePetitionsRoutine Proceedings

10:05 a.m.

Green

Elizabeth May Green Saanich—Gulf Islands, BC

Mr. Speaker, my third petition, from constituents within Saanich—Gulf Islands, points to the threat to the diversity of seeds and the ability of farmers, particularly in the global south, to save and preserve their own seed varieties. The petitioners call on the government and the House to adopt international aid policies to aid in seed saving, particularly for the farmers of the developing south, mostly women.

Palliative CarePetitionsRoutine Proceedings

10:05 a.m.

NDP

Carol Hughes NDP Algoma—Manitoulin—Kapuskasing, ON

Mr. Speaker, I have a petition signed by residents of Elliot Lake who want the government to identify hospice palliative care as a defined medical service to be covered under the Canada Health Act.

The petitioners state that palliative care and hospice palliative care help improve quality of life for patients and their families as they cope with terminal illness.

These services provide relief from pain and other distressing symptoms, while affirming life and regarding dying as a natural and normal process. The petitioners tell the government that hospice palliative care does not seek to hasten or postpone death but does so much to help with pain, as well as other physical and psychological problems patients and their loved ones must deal with. For these reasons, they ask the government to do the compassionate thing and have hospice palliative care covered by the Canada Health Act so it is available to all Canadians when and where they need it.

ImmigrationPetitionsRoutine Proceedings

10:05 a.m.

Liberal

Julie Dzerowicz Liberal Davenport, ON

Mr. Speaker, it is a privilege for me to rise in the House today to present a petition spearheaded by the Ecuadorians in my downtown riding of Davenport. To date, it has received over 1,500 signatures.

The petitioners are calling for the Parliament of Canada to pass a motion allowing the opening of a special immigration program and to fast-track the processing of sponsorship applications for those residing in the Ecuadorian provinces of Manabi and Esmeraldas who were victims of the earthquake of April 2016.

More specifically, the petitioners are asking the Government of Canada to fast-track sponsorship applications for family and extended family members, including siblings, cousins, aunts, and uncles; to allow for private sponsors under group-of-five and community-sponsored programs; and to increase the quota of working holiday visas for young persons.

This petition was presented by Ecutorianos Unidos-Canada and supported by the Latin American Collective, the Latin American Tenants Association of GTA , and the generous support of community volunteers.

Questions on the Order PaperRoutine Proceedings

10:05 a.m.

Winnipeg North Manitoba

Liberal

Kevin Lamoureux LiberalParliamentary Secretary to the Leader of the Government in the House of Commons

Mr. Speaker, I would ask that all questions be allowed to stand at this time.

Questions on the Order PaperRoutine Proceedings

10:05 a.m.

The Speaker?

Is that agreed?

Questions on the Order PaperRoutine Proceedings

10:05 a.m.

Some hon. members

Agreed.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:10 a.m.

Sturgeon River—Parkland Alberta

Conservative

Rona Ambrose ConservativeLeader of the Opposition

moved:

That, given the failure of the government to achieve the economic and employment objectives presented in Budget 2016, and given the growing protectionist and competitive threat from the United States, the House call on the government to ensure that Budget 2017 includes: (a) no further tax hikes on Canadian families, businesses, seniors or students; (b) immediate measures to encourage companies to hire young Canadians and address the youth unemployment crisis; (c) a credible plan to return to a balanced budget by 2019 as promised to Canadians; and (d) no plan to sell Canadian airports that involves (i) using the revenues to finance the Canada Infrastructure Bank, (ii) selling them to investors or enterprises that are under the political influence of foreign governments, (iii) higher user fees for Canadian taxpayers and travellers.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:10 a.m.

Liberal

The Speaker Liberal Geoff Regan

Since today is the final allotted day for the supply period ended March 26, 2017, the House will go through the usual procedures to consider and dispose of the supply bills. In view of recent practices, do hon. members agree that the bills be distributed now?

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:10 a.m.

Some hon. members

Agreed.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:10 a.m.

Conservative

Rona Ambrose Conservative Sturgeon River—Parkland, AB

Mr. Speaker, as the official opposition, it is the Conservative Party's responsibility to tell the Prime Minister what hard-working Canadian families expect to see in his budget tomorrow.

Canada’s Conservatives are the voice of the taxpayer. We focus on results for Canadians.

Budget day used to be an exciting time for Canadians. Looking at some of our past Conservative budgets, I was thinking about the day before the budget in the 10 years we were in government. It was an exciting day, because we all knew that the next day, we would be giving Canadians a break. For all those people back home who are working hard, who are struggling, who are working in their small businesses, who are worried about their kids, we knew we would be giving them a break. We did that in every consecutive budget, so it was an exciting time.

Our plan created 1.1 million net new jobs. It cut taxes to their lowest level in 50 years and increased health transfers to the provinces by 70%. We had a very aggressive free trade agenda. We introduced tax free savings accounts so families could save for their retirement and for their future. We introduced income splitting so couples could afford to have a family. Business confidence was high. However, today, the day before this budget, people feel anxiety. There is anxiety all across the country, and people are wondering when the other shoe is going to drop. Question after question keeps coming up. I have never seen anything like this before a budget day in the House of Commons.

Small-business owners are wondering, families are wondering, “Are the Liberals going to raise capital gains taxes?” They say they are, we just do not know when. “Are they going to come after our homes? Are they going to come after my business?” These are the questions people are asking. “What tax credit are they going to take away from my family that I use day in, day out to make life more affordable? What is next? What taxes are the Liberals going to raise?” These are the kinds of questions Canadians are asking.

Business investment is at an all-time low. Business confidence is low. This is the kind of business climate and economic climate the Prime Minister has created.

This will be the Prime Minister's second budget, and we are now encouraging the government to seize this opportunity to change course, but all indications are that it will not. There is so much anxiety, in fact, that the Liberals are not even going out to their ridings after the budget.

I think back to the 10 years we were in government. Not only was the day before a budget exciting, because we knew we were going to give hard-working Canadians yet another break, but we were excited to get out to our ridings to tell everyone about it. We would meet with our chambers of commerce. We would meet with all of the families and business owners in our communities, excited to tell them about how we made their lives more affordable.

Do members know what the Liberals are doing? They are staying here for the weekend for an emergency caucus meeting. I guess they are a little embarrassed about what might be in this budget and what might not be in this budget.

After a year and a half, the evidence is clear. There are a lot of broken promises and there is a lot of spending, but no results for hard-working Canadians. Let us go back to the Prime Minister's original election promise, that he was going to borrow his way to prosperity. He was going to borrow only $10 billion in order to grow the economy and create jobs. On that first part, on the borrowing, Canadians got a lot more than they bargained for. On the second part, the job creating, they got far less than they deserved.

The promise to borrow no more than $10 billion has been forgotten, broken even before last year's budget was presented. The deficit is now much higher—we will know how much higher tomorrow—because of an irresponsible policy of increased spending that has been described as unprecedented in modern times.

In a report that was quietly released right before Christmas, the Department of Finance admitted that the government will not be able to balance the budget for at least 30 years. Under the Liberal plan, the next generation will be forced to pay down our generation's debt. Canadians who are 18 years old today will not see a balanced budget until at least the age of 50.

Imagine, a Canadian who turns 18 years old today will not see a balanced budget until he or she is 50 years old. I do not remember this being in the Liberals' election platform.

The Prime Minister broke one of his key election promises when he said that he promised to balance the budget by 2019. He still believes, apparently, that the budget will balance itself, and those words are just as foolish today as when he said them during the campaign.

What have Canadians actually got for all of this spending and red ink? Growth is no higher than before the borrowing began. The Prime Minister is not growing our economy; he is just growing the size of government.

Let me repeat that. The Prime Minister borrowed all of this money. He put the next generation in debt and this generation in debt and he has not actually created any growth. He is not creating the jobs that he promised, so what was it all for? It was to grow the size of government.

Imagine: the Prime Minister actually promised to add 0.5% to GDP in 2016. He was very specific. However, Statistics Canada data shows that the economy grew no faster than initially projected. The only thing he is growing is the size of government.

He promised he would spend this money on infrastructure, but guess what—the infrastructure funds are not flowing into critical projects like roads, highways, or bridges. I know that people in my home province of Alberta hoped the government would get the shovels in the ground so those jobs would be created, but in fact the construction industry shrank by 3.3% last year. The shovels are not in the ground and jobs are not being created through infrastructure projects.

Now the Prime Minister is looking for more money anywhere he can find it to fund his pet project, the so-called infrastructure bank, because apparently there are not enough banks in Canada. All of us are concerned that the money that the Liberal Party and the Prime Minister desperately needs will come from a sale of important assets, such as Canada's airports. Private investment might be beneficial for Canadian airports, but the complete lack of transparency about a proposed sale leaves Canadians asking a lot of questions, such as whether this is in our national interest, whether this is just a fire sale to fund the Prime Minister's reckless spending, or whether it will increase costs for travellers, businesses, or airport authorities.

This is not about a vision or strategy. It is just because the Prime Minister has run out of money and needs to find more. A botched airport sell-off does not protect Canadian travellers and could also lead to dramatically higher costs, but we have none of those questions answered.

Of course, this morning, as usual, the Prime Minister creates all kinds of anxiety and then says the government may not do that. That creates a lot of conflict. Once again, he says he is backing away from this idea of selling off strategic assets like airports, but yesterday the Prime Minister refused to actually commit one way or another. It is not good enough to keep Canadians guessing about such a critical issue. He does this on taxes. He does this on everything. This constant indecision and lack of any clear plan or vision for our economy is creating anxiety all across the country. The Liberals move from one thing to another, from one idea that they float out there to another. They actually have no real plan.

Whether it is airports or other assets, the Prime Minister should not be selling off the furniture because he ran up the credit card. That is not a vision for this country.

Canadians pay among the highest air transportation costs in the world. Canadian families who want to go on vacation and entrepreneurs who need to travel to build and grow their businesses should not have to pay for this government's mistakes.

The rumours that airports are to be sold off at a garage sale are problematic and not just because of the costs involved. Canadians have every right to question whether selling those airports is in Canada's best interest or is simply a way for the Liberals to finance their out-of-control spending.

We also know that lurking behind of all these ideas of selling off strategic assets to an infrastructure bank, there is this idea that the Prime Minister is very welcoming to Chinese government-owned companies and their interest in buying up Canadian assets. In fact, Conservatives feel he is ready to sell just about anything to them. The sale of Canadian airports or any other strategic Canadian assets to companies with links to foreign governments must first meet a test of national interest, always, because they are strategic assets, but we have no transparency on this as well.

Let us remember that this is the same Prime Minister who held closed-door cash-for-access fundraisers where he met with people from the Chinese government and then weeks later reopened national security reviews on the sale of Canadian companies to companies that were controlled by the Chinese government.

When they hear this, Canadians rightly wonder, “Is our national security for sale to the highest bidder?” Canadians have good reasons to be concerned about the Liberals selling off assets, and we demand more transparency. Canadians do not want to see a fire sale in tomorrow's budget or the next budget. In fact, since the Prime Minister took office, Canadians are actually working less. Their paycheques are not rising, and they feel it.

The young people of our country feel it the worst. The youngest workers have now lost over 40,000 full-time jobs just in the past year. We have a youth unemployment crisis. What did the Prime Minister do? He promised an EI break for workers who hire youth. Then what did he do? He broke that promise, and instead he raised EI premiums on businesses, making them less likely to hire.

We want the budget to include immediate measures to put young Canadians back to work and address the youth unemployment crisis.

However, as we have seen, creating a realistic plan to stimulate the economy and help Canadians find good jobs is simply not a priority for this Liberal government.

However, that is not what we are going to see tomorrow. This will be a budget written by Liberal government consultants, and it will grow the size of government. For some reason, Liberals are enthralled with these latest glossy, jargon-laden consultant schemes, all about moon shots and innovation strategies, but it is really simple when we are thinking about innovating the economy. As economist Jack Mintz says, if we want to create innovation, we have to create an attractive business climate, cut red tape, lower taxes, and boost entrepreneurs' confidence in the economy.

I have a lot of confidence in Canadians and I know they are going to see right through this. They know that these buzzwords and these brochures do not actually put people to work. These flashy programs also come with a $1-billion price tag, and this bill gets paid by the millions of regular Canadians who are not so lucky to work somewhere that the Prime Minister wants to go visit for a photo op, such as New York.

Canadians see this Prime Minister's priorities. If people are fashionable and well connected and work in a certain sector that he thinks is sexy, then he is very generous. However, for the taxpayer—well, they have to pay up. They have to pay up to $2,500 per household for a new national carbon tax, and add another $2,200 per household for higher CPP premiums. Then they have to give back their family tax cut on income splitting, watch their tax-free savings account get slashed, and say goodbye to their kids' arts and fitness tax credits and the textbooks and education tax credit if they are students.

The Liberals have an innovation program for every government consultant, but to pay for it, they have a tax hike for every Canadian. Frankly, families cannot take any more of this. With the cost of living rising, the last thing they need is more government. The last thing they need is their government looking for new ways to nickel-and-dime them.

This government is taking far more from Canadians than it is giving them, and that must stop.

The situation calls for a change in direction, and that is what everybody was hoping to see tomorrow, especially when we know the United States is about to slash taxes and cut red tape to pull investment and job growth south of the border. We are already seeing it. There is a reason that business investment is already leaving Canada to go to the U.S.

We cannot meet these challenges with decades of deficits, an ever-increasing tax burden, and a government that cares more about pleasing major foreign investors than helping Canadian families get by.

Tomorrow Canadians, regular Canadians, want to see a plan that makes their jobs and their families a top priority. They want a break from the government. They want a plan that gets spending under control, focuses on real-life job creation, and stops these nickel-and-diming tax hikes.

As the voice of the taxpayer, we will be judging tomorrow's budget on whether it meets those priorities. Canadians can always rely on the Conservative Party and the opposition to put them and their families first. That is why we are calling on this House to adopt our motion today.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:25 a.m.

Liberal

Mark Gerretsen Liberal Kingston and the Islands, ON

Mr. Speaker, I think I will go with a comment as opposed to a question.

The atmosphere in the room is providing as much rhetoric as it normally does. However, I will say to the member's comments specifically with respect to the previous budgets and how they were embraced with such fanfare that as a municipal leader, I attended three of the four budgets proposed by the previous government. I sat up there in that gallery and I listened to them, and we usually did not come with a sense of excitement over what was to come. Instead what we witnessed was smokescreens, such as “We will eliminate the penny”, while at the same a whole bunch of other legislation was delivered through omnibus bills that lacked support for municipalities throughout the country.

There is no doubt in my mind that the budget we will see tomorrow will be one that will support the middle class, support people struggling in our country, and help to provide the infrastructure that this country so badly needs that was neglected by the previous government for 10 years.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:25 a.m.

Conservative

Rona Ambrose Conservative Sturgeon River—Parkland, AB

Mr. Speaker, that would all be well and good, except the infrastructure funding is not even flowing. There is no money being transferred to municipalities and projects are not getting out the door. Mayors are saying that across the country, so I am not sure what the member is talking about.

I would like to remind the member of the record of the previous government. We lowered taxes over 100 times for individual Canadians and business owners. It was the lowest tax level in 50 years at the federal level. We balanced the budget. That was not an easy thing to do after taking on a deficit, but we slowly and prudently paid it off. At the same time, we increased federal transfers to the provinces by 70% for health care so that people did not go without the essential services that they needed for their families.

However, the current government is going completely in the opposite direction. All of the money it has spent has done nothing to create growth or create jobs. All it has done is grow the size of government, and who is paying for it? It is the hard-working people of Canada. They are paying for it. Every time we turn around, there is another tax increase, another fee increase, all to pay for the Prime Minister's pet projects. Who has to do this? This is all on the backs of hard-working people.

Every day the Liberals find another way to nickel and dime Canadian families and take away from them the things that we gave them to make life more affordable, even the tax-free savings account. This is after-tax income. People have worked hard for it. They are saving for their retirement, and the Liberals are taking half of that away.

There was a tax credit for textbooks. People use these things so that they can make life more affordable if they have students in their house. There was a tax credit for tuition. These are the kinds of things that they just keep taking away from families. They are nickel-and-diming Canadians to pay for their own priority, which is growing the size of government.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:25 a.m.

NDP

Alexandre Boulerice NDP Rosemont—La Petite-Patrie, QC

Mr. Speaker, I want to congratulate and thank my colleague from the Conservative Party for her speech and her motion.

This is a motion we can really sink our teeth into. It covers quite a bit, but I am going to focus on one aspect on which we can all agree. Canada's airports are a public asset. They belong to us all. There are troubling rumours swirling around that the Liberal government wants to have a fire sale and pay the rent by selling the furniture, the airports, to private interests. Let us consider who will pay the price. Passengers, people who travel, are the ones who will pay the price. Our airports are currently being managed by not-for-profit organizations that have to self-finance. They already charge fees to passengers, but they are not required to make a profit or a get a return on investment. If the government sells these public assets that belong to us all and puts them in the hands of private companies, these companies will obviously want to make a profit. That is the point of buying the assets. What will those companies do? There are two ways to make a profit. They will either cut back on the quality of service and perhaps our level of our security, the health, safety, and working conditions of workers, or they will charge additional fees. One way or another, either airport workers, clients, or passengers will pay the price.

I would like the leader of the Conservative Party to share her thoughts. Did the Liberals get a mandate from voters to privatize our airports?

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:30 a.m.

Conservative

Rona Ambrose Conservative Sturgeon River—Parkland, AB

No, Mr. Speaker, they do not. I agree with the hon. member about this issue; there is absolutely no transparency around this.

Ports and airports, in particular, are strategic assets. When there is a thought of selling them, we need complete transparency. The member is right about the issue of profit, because we know who the Prime Minister has been meeting with behind closed doors. He has been meeting with a lot of very wealthy investment companies that are looking to buy up assets. They only want assets that they will make a profit off, of course, because this is what they do for a living. If they are going to buy an airport, they are only going to buy one if they can make a profit off it. The member is exactly right. Therefore, where is the transparency about who is going to pay for this? Of course we know who is going to pay for this. The travelling customer, the taxpayer, will pay for it. This is all to make a profit for a private investment firm.

The Prime Minister does have to come clean on this because he is making a transaction that will hurt the public for a profit for an investment firm. Right now we have no transparency around this. We also hear that the Prime Minister might actually put up public money to fund this kind of an interaction or this kind of arrangement with a private sector company.

Let me get this straight. Taxpayers have already paid for this asset, and now we are going to pay for a private investment company to buy it so that we can now pay again. How does that in any way—

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:30 a.m.

An hon. member

That is Liberal financing.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:30 a.m.

Conservative

Rona Ambrose Conservative Sturgeon River—Parkland, AB

That is Liberal financing.

How does that in any way benefit the taxpayer?

At the end of the day, we have the Prime Minister nickel and diming families and businesses over and over again with tax hikes, and his solution is to give a benefit to a private investment firm at the expense of taxpayers. No, this plan has not been thought through whatsoever. Once again, I think it is just a way for the Liberals to find some fast money to pay for their pet projects.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:30 a.m.

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, the leader of my party gave a great speech, contrasting former budgets with what we are seeing today.

One thing we all know here in this House is that tomorrow's budget will be written in red ink. It will all be red ink. There will be no talk about balanced budgets; there will be no plan. The Prime Minister made the commitment and promised that; and right away, in the first budget, backed away from it. We know that will not be mentioned. We know that the other contrast with former Conservative budgets was that we lowered taxes to increase economic growth opportunities for people and for business. We know that will not happen. The government has committed to new taxation, whether it is payroll taxes or small business taxes. Those are some of the things we know about.

We know that in former budgets Conservatives supported families, especially seniors. We created things like tax-free savings accounts and changes to the RRIF and universal child care benefits. We know the government is bent on taking those tax breaks away and creating new taxes.

The leader of my party mentioned in her speech a number of job-creating opportunities that the budget could have. I am wondering if she would elaborate a bit on that. The government has backed away from tax cuts to small and medium-sized business. If we talk about middle class, we cannot really speak about middle class without talking about small and medium-sized business.

I would ask the leader of my party to elaborate a little on missed opportunities and things the government should be bringing forward to help businesses that are the job creators.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:35 a.m.

Conservative

Rona Ambrose Conservative Sturgeon River—Parkland, AB

Mr. Speaker, the hon. member is exactly right. We all know, although I do not think the Liberals know that—breaking news—governments do not create jobs. Businesses create jobs; individual Canadians create jobs. It is our job in this place to create the climate for that and allow them to reach their potential to do the things they want to do, like start a new business.

How do we do that? We lower taxes. We put in place the right measures so that when they take that risk and invest their own hard-earned money to start that new business, buy that equipment, and hire that new first employee, there will be some kind of return for that investment. That is not what we are seeing now. We are seeing, across the country, income taxes over 50%. The Prime Minister talked about helping youth, and that has just been thrown right out the window. Youth is where we really need to focus our efforts. What did he do? He is punishing small businesses with all kinds of taxes, to the point where there are not jobs available for youth today.

There are a lot of things this government could have done differently. Conservatives are going to keep pushing the government to do the right thing.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:35 a.m.

Moncton—Riverview—Dieppe New Brunswick

Liberal

Ginette Petitpas Taylor LiberalParliamentary Secretary to the Minister of Finance

Mr. Speaker, I am pleased to rise before the House today to talk about our ongoing support for Canadian youth and seniors. I am glad the member opposite has raised this important issue, which is so vital to the economic well-being of our nation.

Youth and seniors are high on our government's agenda. There is no doubt about that. Since we took office in 2015, we have brought in real, tangible changes that are making a real difference for Canadians both young and old.

Youth represent our present and our future in Canada. They lead, shape, and transform this country. When we invest in our youth, we are investing in a brighter future for all of us. With that said, let me start by outlining the support we provide to young Canadians.

In budget 2016, we increased our investment to the youth employment strategy, better known as the YES program, by $278.4 million. The fund is being used to create new jobs for youth and increase the number of youth who access the skills program. It also increases job opportunities for young Canadians in the heritage sector, and it increases the number of jobs offered through the Canada summer jobs program. In fact, the Canada summer jobs program created more than 65,800 jobs last summer, essentially doubling the number of jobs created, compared to the previous year. Our investment has yielded real results for young Canadians.

Apart from making investments in our youth programs, we know that we need to identify barriers to youth employment. This is why we launched the expert panel on youth employment initiatives in October 2016 as a way to improve the opportunities for all youth in Canada. The panel's findings will play a key role in identifying future investments in youth programs, including ways to enhance our youth employment strategy.

For young Canadians to get good jobs, they first need to get a good education. With this in mind, we will continue to work with our provincial and territorial governments regarding the implementation of the Canada student loans and grant measures. In fact, as of August 1, 2016, we kept our promise and increased Canada's student grants by 50% for students from low- and middle-income households. This will help an estimated 247,000 students from low-income families and 100,000 students from middle-income families, as well as about 60,000 low-income part-time students each year.

We are doing more. Starting August 1, 2017, students from low-income families will only have to contribute $1,500 per school year, with contributions rising to a maximum of $3,000 for students with a higher family income. This change will allow students to work and gain valuable market experience without having to worry about the reduction in their level of financial assistance. It will also simplify the application process for student financial assistance, making the Canada student loans program more transparent and more predictable for our youth. Furthermore, students with identified employment barriers will not be expected to make a contribution, including students who self-identify as indigenous, students with permanent disabilities, and students with dependents.

In November 2016, we also increased the repayment assistance plan threshold to ensure that no students will have to repay their student loan until they have reached earnings of at least $25,000 per year. We estimate that about 23,000 additional borrowers will have lower, more affordable payments if they apply for their repayment assistance plan.

Helping families plan for education expenses is also key and very important. The Canada learning bond is money the Government of Canada deposits into registered education savings plans for children to help save for their post-secondary education. The government is committed to working in collaboration with the provinces and territories to promote the benefits of early savings for post-secondary education in RESPs for all Canadians to ease access to the CLB for low-income Canadians. These measures are making post-secondary education more affordable for Canadians.

Post-secondary education is an invaluable asset in today's job market, but employers are looking for more than a person with a degree. They also need the experience and the skills to succeed in today's workforce. That is not something we can teach in a classroom.

That is why our government has invested more than $73 million over four years to support the student work-integrated learning program. One might ask what exactly this initiative is. The goal is very simple: the program will help ensure that students develop the foundational, entrepreneurial, and business skills required to secure meaningful employment in high-demand occupations in the fields of science, technology, engineering, mathematics, and business.

We need to work with colleges and universities to prepare the next generation of Canadians for the highly skilled jobs that are out there, and we need to ensure that Canadian employers can bring about and benefit from co-op and work-integrated learning opportunities. Under our government, more students and workers will have access to co-op placements, work-integrated learning opportunities, and summer jobs so they can get the skills they need and their employers need.

Let us take a moment now to talk about seniors. I have covered the extensive support we have provided to youth, and now I would like to turn my attention to seniors.

Seniors are among the most valuable members of our society. They actively contribute to their families, to our communities, and to our economy, but they can also be among the most vulnerable of our society, especially low-income seniors.

We are proud to report that Canada has one of the lowest rates in the world of seniors living in low income. Our latest numbers indicate that, in 2013, 3.7% of our seniors were considered low income. However, Statistics Canada tells us that about 192,000 seniors still live below the low-income cut-off. These valued Canadians are struggling to make ends meet at a time in their lives when most are not able to work. Our government believes that all Canadians deserve to live out their senior years with respect and dignity. They should also be able to have peace of mind knowing that their needs will be taken care of. We also have to keep in mind that the demographic composition of this country is changing very fast. I, for one, know that in the province of New Brunswick, where I am from, we are actually at the point that the death rate is outnumbering the birth rate. It is very concerning.

Predictions are that seniors will make up nearly one-quarter of the population by 2030. Millions more Canadiens will be eligible for the OAS and the CPP over the coming years. We are talking about hard-working Canadians who contributed to this country their entire lives and paid into the tax system. When they enter retirement, it is time for us to give them the support they need in recognition of the contributions they have made to Canada during their entire working years. That is where the old age security program comes in.

The old age security program, also known as OAS, has a clear purpose: to provide a minimum level of income to seniors and contribute to their income replacement in retirement. The OAS program is composed of a number of benefits. The first is the OAS pension, which is paid to everyone who is 65 years old and older and who meet the residence and legal status requirements. The second is the guaranteed income supplement for low-income seniors. The third is the allowances for low-income Canadians from ages 60 to 64 who are the spouses or common-law partners of GIS recipients or who are widowers or widows.

The previous government increased the eligibility age of OAS from 65 to 67 years old. These changes were set to take place starting in 2023. However, changing the age of eligibility is unfair to Canadians who have worked hard their entire lives and cannot, for a variety of reasons, continue to work at the ages of 65 and 66. This government will not leave low-income seniors high and dry at a time when they need our support the most. That is why our government set specific goals to support Canadian seniors and ensure economic security for them.

First and foremost, we have repealed the previous government's measures to move the eligibility age for old age security and the guaranteed income supplement from 65 to 67. This will put thousands of dollars in the pockets of the lowest-income Canadians each year as they become seniors.

We are not just maintaining the status quo. We are taking clear steps to help lift thousands of seniors out of poverty. In this spirit, we are increasing the guaranteed income supplement for low-income seniors by 10%. This will give one million of our most vulnerable seniors up to almost $1,000 per year. This is much needed support for our most vulnerable in our society. We will also consider a new seniors price index to make sure that the old age security and income supplement benefit keep up with seniors' actual rising costs.

Let us take a moment now to talk about the CPP, Canada pension plan, measures. Retirement income security starts with a good, stable, public pension program. This is more important than ever at a time when many Canadians are not saving enough for their retirement. In particular, middle-class families without workplace pension plans are at a greater risk of under-saving for retirement. A third of these families are at risk. While those in workplaces where pension plans are faring a little better, 17% of them are still under-saving, and they are not the only ones feeling the pinch. Economic conditions since the global recession of 2008 pose a particular risk for younger Canadians.

With this as a backdrop, we have enhanced the Canada pension plan. Last summer, Canada's finance ministers reached a historic agreement to make meaningful changes to the CPP that will allow Canadians to retire with more money in their pockets. The CPP enhancement will increase the benefits that people receive when they retire. This also means that contributions will increase accordingly, typically 1% for most people, and cash benefits will accumulate gradually as individuals pay into their enhanced CPP.

Young Canadians just entering the workforce will see the largest increase in benefits. What does that mean for future generations? That is a good question. As my fellow members know, the CPP is currently designed to replace a quarter of our income in retirement. The changes we are proposing will increase that percentage to fully one-third, so if someone earns $50,000 a year over their working life, they will receive about $16,000 per year in retirement, instead of today's $12,000 per year.

To fund these enhanced benefits, annual CPP contributions will increase modestly over seven years, starting in 2019. For example, individuals who make $54,900 per year will contribute about an additional $75 per year, or $6 a month, starting in 2019. By the end of the seven-year phase-in program in 2025, their contributions will amount to an additional $515 per year, or $43 per month.

Employee contributions to the enhanced portion of the CPP will also be tax deductible. Providing a tax deduction for new employee CPP contribution will avoid increasing the after-tax cost of saving for Canadians.

I used the amount of $54,900 per year in my example because this is currently what we call the year's maximum pensionable earnings when we talk about CPP. This means that everyone contributes 4.95% of their income up to that amount. Once these enhancements are fully implemented in 2025, the maximum will increase by about 14% to $82,700. An individual who makes $80,000 a year over his or her working life will get a third of that per year in retirement from his or her CPP.

Helping people plan for their retirement is among the key elements of long-term economic and social stability, and in fact Canada has a long history of doing so. Our retirement income system is widely recognized around the world as one of the best. A stronger CPP is the core promise we made to middle-class Canadians, and we are very proud that with the collaboration with the provinces, we have been able to deliver these important enhancements. Our government is fully committed to supporting seniors and giving them a dignified retirement.

We are also giving equal attention to our youth. By focusing on education and job training, we are giving young people the support they need to steer Canada to economic success both today and in the future.

In closing, tomorrow, our government will cement this commitment as we table budget 2017.

Opposition Motion—Budget 2017Business of SupplyGovernment Orders

10:50 a.m.

Conservative

Cathy McLeod Conservative Kamloops—Thompson—Cariboo, BC

Mr. Speaker, I am growing more and more concerned. The Liberal government said it was going to have a $10-billion deficit. We now hear comments that this budget is going to be focused on people's feelings. People's feelings; that is absolutely ludicrous. We have a government that thinks the budget will balance itself and that an economy grows from the heart out.

When the member opposite was campaigning, did she stand in any forum or at any door and commit to a budget that would get back to balance by 2019, a $10-billion deficit? What is she going to do to make sure that she sees those commitments through for the constituents she made those promises to?