Debates of Nov. 27th, 2018

Automotive Industry

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, companies invest in Canada because we have the best workforce on the globe. We have the best skilled employees around the world. We have topnotch quality in our automotive sector.

The Oshawa plant received numerous J.D. Power awards for quality and production. We are proud of our workers. That is why, as a government, we are going to defend our workers, invest in our workers, and support our workers. We are going to continue to support our automotive sector and those hard-working middle-class workers who support and work in Oshawa.

[Andrew Scheer, Conservative, Leader of the Opposition]

Mr. Speaker, the government is not supporting them. The government is making Canada a more difficult place to invest in, if we are to keep those jobs here.

Liberal policies have been making it difficult to keep jobs in Canada for some time. Liberal policies in Ontario have driven up the cost of energy to the point where an auto plant in Oshawa pays almost double the energy costs that the same plant would pay in Texas.

Will the minister give Canadian auto workers a fighting chance to save their jobs, and cancel the carbon tax?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, we have been defending auto workers since day one, since we formed government in 2015.

As a result of our programming and policies, we have seen record investment of $5.6 billion in the automotive sector. We introduced the automotive innovation fund and changed its terms, and also provided additional support through the strategic innovation fund.

These programs brought in additional investments, and through the fall economic update as well, and a statement by the Minister of Finance, we have provided additional measures for companies to make more investments in Canada.

More growth, more investments, more jobs. That is our plan.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Mr. Speaker, that may be their plan, but it does not match reality at all.

Canada is still in shock after GM's announcement yesterday that 2,500 workers, 2,500 breadwinners, are going to lose their jobs in the coming year. Suppliers will also be affected. Thousands of Canadians woke up to this sad reality this morning. The government's role is to help the workers.

What is the government's plan to help Canadian workers who are dealing with this crisis?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, our automotive sector remains strong. It is well placed to build the clean, connected cars of today and tomorrow.

We will always stand with our automotive sector and our workers. We will continue to work with the automotive sector, and we will continue to defend and protect our workers.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Mr. Speaker, the results are not exactly stellar.

This week it is 2,500 workers at GM. A few weeks ago, it was 3,000 workers at Bombardier. Over the past three years, 19,000 workers in Alberta's oil and gas industry have been affected the government's bad policies.

The government is supposed to help companies invest, not leave. What is the government's plan to keep Canada's economy strong?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, let us talk about the numbers because they tell a compelling story: 3% GDP growth last year in the Canadian economy; the fastest growth rate among the G7 countries; a record unemployment rate of 40 years; 500,000 full-time jobs have been created since 2015.

Yes, we understand the unique challenges faced in different regions and different sectors, but we have a plan. Our economy is growing and we are focused on Canadians. We are focused on making sure they have the ability to succeed and they have the ability to find meaningful employment. That is our plan. We are going to continue to invest in Canadians.

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

Mr. Speaker, if there is something that the Liberals and the Conservatives have in common, it is the lack of transparency when when they bail out major corporations.

The announced closure of GM's Oshawa plant is a tragedy for the 2,500 workers and their families. It is also a tragedy for the community.

What is frustrating is that GM is not showing any gratitude for the country that pulled it back from the brink of bankruptcy. In fact, the Conservatives lent GM over $7 billion in 2009.

GM still owes Export Development Canada $1 billion on a loan it took out in 2009.

If the Liberals have no plan to save these jobs, will they at least ask that the money be repaid?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, I am very disappointed with GM's decision. My thoughts are with the employees, their families and their communities.

I understand that this decision is part of an overall plan. This is terrible news for the employees affected and their families.

We will continue to defend our workers and our auto sector.

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

Mr. Speaker, he did not say how.

Back in the 1980s, the GM plant in Oshawa employed over 23,000 people. It was once one of the biggest auto plants in the world. That was before NAFTA and the end of the Auto Pact, when Liberal and Conservative governments decided to stop trying to keep jobs here as they had done in the past. They told us not to worry and said the free market would take care of everything.

In times of crisis, governments lend or give public money with few strings attached. We have all seen how well that works.

However, one billion dollars are still owed by GM to Export Development Canada. Will the Liberals ask for a refund if GM cannot maintain the jobs?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, our number one priority is the automotive workers. We have been clear that this news presented by GM is very devastating for the Oshawa community. That is why we met with Unifor today. That is why we met with its leadership to talk about next steps and how we could help workers going forward. We have also connected and are working with the provincial government, with Premier Ford, to see what we can do to help the workers going forward. I also called and met with the mayor of Oshawa.

All hands are on deck. All options are being examined. We are going to continue to make sure we never give up on our workers.

[Peter Julian, NDP, New Westminster—Burnaby, BC]

Mr. Speaker, this plant closure is devastating to thousands of families and to all of southern Ontario. We have to remember that billions of dollars came from Canadians to support General Motors in the past three years. It was given with no obligation to maintain jobs.

It is clear that the Prime Minister is failing the people of Oshawa. He has no auto strategy and has shown no clean energy leadership. Why is the government giving up on Oshawa? Why is the Prime Minister not fighting for these Canadian auto worker jobs?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, I disagree with the member opposite. We never have and never will give up on the workers in Oshawa.

We have been very clear. We have our plan. Our plan is investing in people. Because of our policies and programs, we have seen a record investment of $5.6 billion in the automotive sector since 2015, and $4.1 billion is directly attributed to the programs that we put forward to build partnerships, to see investments in our plants to make sure they could compete going forward and to make sure that they could get product mandates. We will continue to defend and support our auto workers.

[Peter Julian, NDP, New Westminster—Burnaby, BC]

Mr. Speaker, that minister should be fighting for Canadian jobs, not handing out billions of dollars, with no obligation. That is exactly what the government did again last week: another $14 billion in money for corporate luxuries like plush jets and stretch limousines, no obligations to workers or to communities.

Every time there are handouts given to corporate executives, why are there no obligations to Canadian workers or communities? Why does the Prime Minister always give a blank cheque when he should be standing up for Canadian workers?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, this is where we fundamentally disagree with the NDP. We believe in investments because investments lead to growth and growth means more jobs. This is our plan.

We have been investing in Canadians. We have been investing in our companies. We have been investing in our regions. We have been investing in the automotive sector. That is why we have seen record investments of $5.6 billion in the automotive sector. That is why Toyota has invested over one billion dollars, Honda $500 million and Linamar $750 million. These are clear examples that our policies and programs are working.

We are going to continue to make sure we defend the workers in Oshawa.

[Colin Carrie, Conservative, Oshawa, ON]

Mr. Speaker, yesterday, I was in Oshawa when we got the devastating news that our award winning plant would have no new product after 2019. This morning, our leader and Conservative MPs were at the gates of GM Oshawa, offering support to the workers affected by this decision. It is about the workers.

The news that 2,500 people are losing their jobs and the ripple effect that this decision will cause is devastating. Will the Prime Minister join us in the fight to save these jobs in Oshawa?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, I understand how difficult this is for the member, because he represents the community. Members on this side of the House also share his concerns about the devastating impact this is having on the workers and the community. That is why we have engaged with the local municipal leadership there. That is why we have engaged with the province as well. We just met with Unifor as well and the workers to move forward on a path to see what we can do to assist the community and to make sure we protect these good quality middle-class jobs.

[Lisa Raitt, Conservative, Milton, ON]

Mr. Speaker, I grew up in Cape Breton, where we lost our industry, we lost our jobs, we lost our economy and at the end of the day, we lost our people. The fact of the matter is that there are certain things that are worth fighting for and there are certain times to fight. This is one of those times when we need a government to fight.

The minister went to Davos three years ago and bragged about the fact that he was an activist government in deepening the relationship with GM and showing how competitive Canada was, and he failed. I would implore that now is definitely not the time to give up. Will the government fight with this party to ensure we keep these jobs?

[Navdeep Bains, Liberal, Minister of Innovation]

Mr. Speaker, we will never give up on our workers. We will always defend our auto workers and we will always defend the auto sector.

We have actually demonstrated that through meaningful action, putting forward policies and programs, unlike the previous government, which introduced the automotive innovation fund, but it was never used, because the terms and conditions were such that the automotive sector could never benefit from that program.

Once we formed government in 2015, we changed those terms and conditions. That helped bring in more investment, which meant more jobs in the automotive sector. That is the plan, that is what we have done and that is what we will continue to do.

[Erin O'Toole, Conservative, Durham, ON]

Mr. Speaker, after a century of auto manufacturing, GM determined that Ontario was no longer competitive because of tariffs, taxes and trade uncertainty. If there is any chance of saving these jobs in Oshawa, we need a plan. We need more than words and sympathy. We need a plan to address tariffs, taxes and trade. Where is the plan?

[Chrystia Freeland, Liberal, Minister of Foreign Affairs]

Mr. Speaker, I was rather surprised yesterday to hear the member for Durham criticize Canada's retaliatory measures in response to the illegal and unjustified U.S. 232 tariffs. He called our response “dumb”. Our response was perfectly reciprocal, a dollar-for-dollar response. It was essential to defend our industry and our workers.

The Conservatives supported this at the time. Now they are losing their nerve. However, I guess that is no surprise from the party that urged us to capitulate on NAFTA.

[Erin O'Toole, Conservative, Durham, ON]

Mr. Speaker, if Canada's taxes are hurting Canadian manufacturers more than the American targets, they are dumb and they should be removed. I would invite the minister to go and meet small and medium-sized manufacturers across Ontario.

However, the industry minister is the most lobbied minister in Canada. In fact, GM is the most frequent meeting. I want the minister to tell us this. Did GM mention tariffs? Did GM mention payroll taxes or NAFTA? What was GM asking the minister about before it decided to close up shop in Oshawa?

[Chrystia Freeland, Liberal, Minister of Foreign Affairs]

Mr. Speaker, I would like the Conservatives and the leader of the Conservative Party to be very clear. Is it the Conservative position now that Canada should unilaterally drop our retaliatory tariffs, because I want to tell—

[Some hon. members]

Oh, oh!

[The Speaker, Liberal, Geoff Regan]

Order, please. The hon. member for Durham and the Minister of Intergovernmental Affairs will come to order, along with a lot of others I hope. The member for Yellowhead cannot hear. We all need to hear both the questions and the answers. We will have some order.

The hon. Minister of Foreign Affairs has the floor.