Madam Speaker, I want to address this issue with a great deal of compassion today.
I will start with a bit of history. After I was first elected in 2019, I was deeply affected by one of the first cases I dealt with in my office. It was the case of a young woman who came to my office in tears, carrying her infant in a car seat. I handed her a tissue box and invited her in. This mother, who had just started her maternity leave and had a baby to support, was not getting her benefits as a federal employee because of the new Phoenix pay system. This woman was going through a profound personal crisis, when she should have been spending this time cherishing her little one. That really stuck with me.
Then, during the pandemic, ArriveCAN came along. Once again, there were problems. In the case of Phoenix, money was not being paid to the people who needed it. In the case of ArriveCAN, there were cost overruns that were brought to our attention during the pandemic. Now we have the Cúram fiasco.
I would like to point out that the first person to alert me to the situation was Nathalie Sinclair‑Desgagné, whose work in the Standing Committee on Public Accounts I would like to commend. Since she knew that I was concerned about the situation of seniors, she warned me at the start of 2025 that some seniors would have a hard time receiving their benefits. She also brought my attention to cost overruns associated with the new pension management program, Cúram.
It was then that my colleague from Abitibi—Témiscamingue, whom I commend, and his assistant Jean-François picked up the ball. They worked very hard on research and investigative work. They, too, knowing that I was concerned about the situation of seniors, told me that some seniors would experience hardship because they would not receive their benefits or would receive them late.
Of course, we are aware of the scale and scope of the system. It is a fact that between 7.1 million and 7.5 million seniors collect OAS. It is also a fact that $9.4 billion is paid out annually. Projections show that 9.4 million seniors will be receiving this pension by 2030, for a total of $105 billion in benefits.
Obviously, one might ask what the situation is with delays and backlogs. In January, there was a backlog of 85,537 cases. We were told that, in February, that number was down to 69,180. According to other internal sources, 69,000 seniors have been impacted. The minister said the number of cases has dropped to 63,000. Here is an important definition: A case is considered delayed when it has not been processed by the date of eligibility or within 60 days. With Cúram, these timelines have been significantly exceeded.
Let us turn to the system's performance before and after Cúram. Before Cúram, 87.5% of benefits were paid within the first month, and the government target was 90%. It is not clear whether the current performance is better, and there is nothing to show a clear improvement. We are starting to have questions that may come up in an independent public inquiry, such as the one we are calling for today in the House.
There is also the issue of ballooning costs that we would like to examine closely. The original estimate in 2017 was $1.75 billion. This was revised to $2.5 billion, an increase of more than 43%. According to one estimate, the costs could reach $3.4 billion. The actual expenditures incurred by 2025 are expected to be $4.4 billion. Currently, the figure being quoted is $6.6 billion, and we could very well reach that amount.
We now know that the cost of the project was underestimated from the beginning. Even worse, the Auditor General raised the alarm about the cost overruns back in 2023. Things always have to come out in the media before this Liberal government takes action. The government will not intervene until it has no choice. I will come back to that. The main problem I wanted to highlight first is the fact that the project cost was underestimated from the beginning.
The estimated operating costs are about $60 million per year, but officials are unable to provide the cost per transaction or the actual operating costs. It would be useful to look at these aspects as part of an independent public inquiry. A system was built without anyone knowing how much it would actually cost to operate.
That is what we asked about, and we hope to get answers. This morning, in committee, we said we wanted some potential solutions and some answers. If we do not get them there, we will need to get them through an independent public inquiry.
In terms of the migration and deployment, 7.5 million beneficiaries are being transferred to Cúram. According to internal tests, the accuracy rate is allegedly 99.9%, but again, there is a contradiction between the successful tests and the on-the-ground reality of widespread delays. The 85,000 cases we knew about at the start were too many, and there are still 63,000 outstanding. Those cases involve people who need their pension to pay for rent and groceries. It is far from a luxury for everyone. We know that there are tragedies unfolding. What is the reality on the ground? What is the reality behind the widespread delays? That is another area we would need to explore.
As far as human resources are concerned, although 5,300 employees have been trained, 93% of public servants have given the system a failing grade. In fact, I commend the public servants who said last June that problems were on the horizon and that seniors were not getting their benefits. Again, it was whistle-blowers within the public service who spoke out about the situation. It was the public service union that spoke out against it. We know from their testimony that training for public servants is insufficient, that there are daily computer glitches and that this is affecting mental health.
As my colleague from Abitibi—Témiscamingue also mentioned, we also know that there are problems with the French language and translation, making the public servants' jobs harder. The system is not designed to take into account Quebec's unique linguistic reality, the French language, or our distinctiveness when it comes to social programs, given all the programs we have. The system does not take our separate pension systems into account.
There are real human consequences. Some seniors are waiting up to nine months for their first payment. We also know that some payments are late or incomplete. The amounts are sometimes wrong, with some seniors receiving overpayments. What will the tax implications be? We do not really know yet, but we know that there will be some. Still, given the systemic issues that have been identified, we know that there is inconsistent data. That is what we are being told. We are hearing about direct deposits, tax data and the fact that information is missing from some files. Those are the answers we are hearing. We are told that there are problems accessing certain proofs of residency, for example, and that officials are dependent on systems built 50 or 60 years ago. All of this could have been prevented with better planning, and that is what we are criticizing the government for.
There are major demographic issues. There were 7.5 million seniors in Canada in 2023, and that number is expected to rise to nearly 20 million by 2066. Seniors will make up 30% of the population. The other issue that should be investigated through an inquiry is the fact that the system is already in trouble, and demand is set to skyrocket. Will the system be able to handle it?
We also know that this will have knock-on effects on other federal systems, such as EI, which is governed by much more complex legislation. The application forms are very complex, but when someone ends up collecting EI, that is a critical time in their life. If people entitled to EI do not get their EI payments, what happens then?
Essentially, the minister is saying that seniors themselves are to blame. The reason for the delays is that they are not filling out their forms correctly, so they should stop using paper forms. We all know that digital literacy is an issue. For people in general in our society who have to use these systems, switching from paper to online is not that easy. It is more complex than that, and the government must recognize that this is an issue for people.
There is also the wait time to get help over the phone. It is supposed to take 20 to 25 minutes, but in reality, people are waiting an hour or more. I have Conservative colleagues who have cases in their ridings where people report having waited longer than the expected 20 to 25 minutes. Finally, we also know that seniors in rural areas are underserved.
I have one last thing to say. There have been failures elsewhere, such as in Ontario. That, too, has been mentioned. The government was unable to take this into account to avoid repeating those mistakes. We know there was even a National Assembly motion in support of an independent public inquiry because Quebec's MNAs also want to get to the bottom of this. It is a matter of respect for seniors and for taxpayers.