House of Commons Hansard #126 of the 45th Parliament, 1st session. (The original version is on Parliament's site.) The word of the day was recession.

Topics

line drawing of robot

This summary is computer-generated. Usually it’s accurate, but every now and then it’ll contain inaccuracies or total fabrications.

Offender Rehabilitation Act Second reading of Bill C-240. The bill, Bill C-240, seeks to allow courts to mandate rehabilitative measures for offenders during incarceration, tying progress—including treatment and training—to parole eligibility. Proponents, including Conservative members, emphasize that the legislation aims to tackle addiction and address fentanyl trafficking while promoting recovery. The motion for second reading was adopted unanimously by the House and referred to committee. 7500 words, 1 hour.

Bill C-31—Time Allocation Motion Members debate a time allocation motion for Bill C-31. Conservative and Bloc MPs criticize the government for limiting debate on a massive omnibus bill, raising concerns about lack of transparency and broad defence procurement authority. Minister Miller defends the measure, arguing the budget is vital for economic investment and cultural funding, while accusing the opposition of obstructing necessary governance. 4700 words, 35 minutes.

Budget 2025 Implementation Act, No. 2—Speaker's Ruling The Speaker rules that Bill C-31 will be separated into three distinct votes at second reading, acknowledging that provisions regarding air travel complaints were not sufficiently detailed in the 2025 budget documents. 1000 words.

Budget 2025 Implementation Act, No. 2 Second reading of Bill C-31. The bill implements provisions from the November 2025 budget. While Liberals defend it as necessary for [defence procurement] (/debates/2026/6/1/chris-bittle-3/), opposition parties heavily criticize the government for [shutting down debate] (/debates/2026/6/1/tamara-kronis-6/) on the massive legislative package. Conservatives highlight the severe impacts of [housing costs] (/debates/2026/6/1/garnett-genuis-1/), while the Bloc Québécois protests the [lack of consultation] (/debates/2026/6/1/marilene-gill-4/) on key industrial concerns. Additionally, the Green Party raises alarms regarding the bill's [weaker environmental standards] (/debates/2026/6/1/elizabeth-may-2/). 30400 words, 4 hours in 2 segments: 1 2.

Statements by Members

Question Period

The Conservatives argue Canada is the only country in recession, highlighting the loss of 112,000 jobs and rising food insecurity. They condemn lavish government spending and high mortgage delinquencies. Additionally, they criticize weak-on-crime laws for failing to stop violent extortion, demanding that repeat offenders be jailed.
The Liberals address unjustified US tariffs and the tariff war, highlighting Canada’s status as a top destination for infrastructure investment and commercial deals. They emphasize affordability measures like the groceries and essentials benefit and expanded dental care. Additionally, they cite job growth in defence and natural resources while promoting marine conservation and strengthened bail provisions.
The Bloc criticizes the government’s environmental backtracking regarding pipeline and LNG projects. They question whether climate targets are achievable and condemn eliminating funding for consumer protection, arguing it benefits large corporations over citizens.
The NDP demands transparency regarding a secret police agreement with China, citing foreign interference and repression concerns.

Petitions

The Economy Conservative Leader Pierre Poilievre requests an emergency debate following a recent Statistics Canada report, arguing that Canada’s economic contraction and high cost of living constitute a national emergency requiring immediate government attention and action. 1000 words.

Remarks by the Parliamentary Secretary to the Minister of Industry Gérard Deltell raises a question of privilege, accusing the Parliamentary Secretary to the Minister of Industry of deliberately misleading the House by denying that Canada is in a recession despite recent GDP contraction data. 1000 words.

Adjournment Debates

Addressing cost of living crisis Andrew Lawton criticizes the government for the economic recession and high cost of living, urging them to eliminate all federal fuel taxes for the year. Brendan Hanley defends the Liberal government's record, citing the current temporary fuel tax relief, grocery benefits, and housing support as effective methods to help Canadians.
Economic decline and government policy Tamara Jansen blames Liberal central planning, taxes, and red tape for Canada's recession, job losses, and struggling families, arguing for less government interference. Brendan Hanley defends the government's record, emphasizing funding for worker training, industry-specific support for tariff-impacted sectors, and investment in skilled trades through labour agreements.
Was this summary helpful and accurate?

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

6:55 p.m.

Bloc

Martin Champoux Bloc Drummond, QC

Madam Speaker, my question will be very brief.

I am going to ask my Liberal colleague to list all the major victories the government has scored against Donald Trump, his tariffs and his tariff threats.

If he could just quickly list all the victories, all the gains the government has made against Donald Trump over the past year, that would be great.

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

6:55 p.m.

Liberal

Braedon Clark Liberal Sackville—Bedford—Preston, NS

Madam Speaker, my colleague's question was very brief; I thank him for that.

As I said in my speech, the defence industry is so important in Nova Scotia that the budget allocates $63 billion to it.

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

6:55 p.m.

The Assistant Deputy Speaker (Alexandra Mendès) Alexandra Mendes

It being 6:57 p.m., pursuant to an order made earlier today, it is my duty to interrupt the proceedings at this time and put forthwith the question on the motion now before the House.

The question is on the amendment.

If a member participating in person wishes that the motion be carried or carried on division, or if a member of a recognized party participating in person wishes to request a recorded division, I would invite them to rise and indicate it to the Chair.

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

6:55 p.m.

Conservative

Grant Jackson Conservative Brandon—Souris, MB

Madam Speaker, we request a recorded vote, please.

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

6:55 p.m.

The Assistant Deputy Speaker (Alexandra Mendès) Alexandra Mendes

The division stands deferred until Tuesday, June 2, 2026, at the expiry of the time provided for Oral Questions.

I see the hon. parliamentary secretary.

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

6:55 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Madam Speaker, in accordance with Standing Order 45(8), I request that the recorded division be further deferred to Wednesday, June 3, following the time provided for Oral Questions.

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

6:55 p.m.

Conservative

Grant Jackson Conservative Brandon—Souris, MB

Madam Speaker, on a point of order, is it the will of the House to see the clock at 7:12 p.m.?

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

7 p.m.

Bill C-31 Budget 2025 Implementation Act, No. 2Government Orders

7 p.m.

Some hon. members

Agreed.

A motion to adjourn the House under Standing Order 38 deemed to have been moved.

TaxationAdjournment Proceedings

7 p.m.

Conservative

Andrew Lawton Conservative Elgin—St. Thomas—London South, ON

Madam Speaker, it is always my great pleasure and honour to rise on behalf of the people of Elgin—St. Thomas—London South, who, like all Canadians right now, are grappling with an affordability crisis.

The cost of food has gone up. The cost of fuel has gone up. The cost of rent has gone up. The cost of housing has gone up, and yes, the cost of the Liberal government continues to go up. This is not just an abstract national issue; this is something we see particularly in the London economic region, which includes St. Thomas and Elgin. London unemployment is the highest in the country, at over 9%. This is a massive problem for people. We see youth unemployment pushing up against 15%.

When I asked in the House, in question period, whether the government would commit to a very real and tangible measure to make one aspect of life more affordable, to cut all federal taxes on fuel until the end of the year, all I got from the Minister of Energy and Natural Resources was bluster. I believe “hot air” was the comment I may have made in my original attempt at getting a response.

In the opposition, we are about solutions. We continue to hold the government to account and offer ideas for things that will make life more affordable. As our leader has said time and time again, and as I have said, we welcome when the government steals our ideas. We wish it would go further and steal the whole idea, because Canadians need relief.

When we asked the government to take all federal taxes off fuel for the entirety of the year, as a starting point, because it would save Canadians 28¢ a litre at the pumps, what did the Liberals do? They said, “Okay, we will tell you what we can do: We will take a third of the taxes off for a third of the year.” Something is better than nothing, but it is not nearly enough.

I look at the challenges that have been aggravated now that we have learned Canada is in a recession, two quarters of negative growth. We hear, of course, from the defenders of the Liberal government and the media that it is just a little technicality; a technical recession, they call it. I believe a technical recession is what the media calls it when a Liberal government is responsible for it. That is what $2 billion of taxpayer money will buy in terms of coverage.

However, it is not theoretical or merely technical when we talk to Canadians who cannot afford to fill up their gas tank, when we talk to Canadians who are skipping meals, as I have heard of several constituents doing, when we talk to Canadians who are using a food bank now for the first time in their life, or when we talk to people at the food banks who say they are struggling to keep enough food on the shelves.

Canada lost 112,300 jobs just in the last three months. We are seeing a couple of conflicting narratives from the government on this. They say it is just a technicality in numbers, and on the other hand they say the recession we are in right now is the fault of the U.S. That does not explain why we are the only G7 country to be facing this. All countries around the world are dealing with the same global instability, the same tariffs and the same trade threats, but only Canada is in a recession.

Why is the Liberal government not taking seriously measures that it has within its authority to do, at a minimum dropping all federal taxes on fuel for the duration of the year, but far beyond that, stopping the inflationary spending that is driving life more and more unaffordable for Canadians?

TaxationAdjournment Proceedings

7 p.m.

Yukon Yukon

Liberal

Brendan Hanley LiberalParliamentary Secretary to the Minister of Northern and Arctic Affairs

Madam Speaker, I thank the member for Elgin—St. Thomas—London South for speaking not only on behalf of his constituents but for all Canadians who are facing an affordability crisis. We are all seized with meeting Canadians where they are through this affordability crisis, while working on building the country up.

Canadians are facing heightened affordability pressures from sources beyond our control, so it is more important that we find opportunities for improvement within our control. We know that Canadians are feeling the pressures of everyday expenses right now, especially when it comes to the cost of fuel. As a northerner, I know how much everything depends on the price of fuel.

Canadians and consumers around the world are facing higher prices at the pump, creating uncertainty and pressure on household finances. That is why, on April 14, the Prime Minister announced a temporary suspension of the federal fuel excise tax on gasoline, diesel and aviation fuels across Canada. This suspension started April 20 and will remain in effect right up until Labour Day. This is expected to reduce Canadians' bills at the pump by up to 10¢ per litre on gasoline. Combined with our elimination of the consumer carbon tax, that amounts to 28¢ per litre. That is real and tangible, and it is in addition to the other measures we put in place to support Canadians.

We introduced the Canada groceries and essentials benefit to make everyday essentials such groceries more affordable. This measure builds on the GST credit and will provide additional support for more than 12 million Canadians. It will start with a one-time top-up this Friday, in just four days. Combined with a 25% increase in the benefit for five years as of next month, a family of four will receive up to $1,890 this year, and a single person will receive up to $950 in 2026.

We also know that a big part of taking things into our own hands is making life more affordable for Canadians. That is why Bill C-30 is proposing to extend the grace period, during which homeowners are not required to start repaying their homebuyers plan withdrawals from their RRSP, from two years to five years for participants making a first withdrawal between January 1, 2026 and December 31, 2028.

The homebuyers plan helps eligible homebuyers save for a down payment by allowing them to withdraw up to $60,000 from an RRSP to purchase or build their first home or a home for a specified disabled person without having to pay tax on the withdrawal. This extended grace period already applies to withdrawals made between 2022 and 2025, and it provides relief of up to $4,000 per individual per year for the three years over which they are not required to repay the amount into their RRSP.

Everyone deserves a roof over their head. That is why our government is taking action to put housing and home ownership within reach of Canadians. That is in addition to all the other measures. Just the other week, in the Yukon, I was able to put some of this commitment into action with an announcement with the Minister of Housing and Infrastructure of $100 million toward housing, $82 million into infrastructure and $75 million into health infrastructure. This is about building north and building Canada strong.

TaxationAdjournment Proceedings

7:05 p.m.

Conservative

Andrew Lawton Conservative Elgin—St. Thomas—London South, ON

Madam Speaker, I certainly appreciate my colleague from the north's acknowledgement of the problem. I did find it a little odd that he touted the government's removal of the consumer carbon price, when in 2024 he actually devoted a member statement, a rare opportunity to rise in the House on any subject of our choosing, to defending the carbon tax. It is funny that he is now getting up to claim credit for dismantling it.

If the Liberal government truly does acknowledge these concerns, truly realizes the affordability crisis facing Canadians, why will it not get rid of all federal taxes on fuel and give Canadians full relief for the entirety of the year?

TaxationAdjournment Proceedings

June 1st, 2026 / 7:05 p.m.

Liberal

Brendan Hanley Liberal Yukon, YT

Madam Speaker, I certainly appreciate the point of view the member brings up and the recognition that in these highly unusual times and in the midst of an affordability crisis, we have to adjust to meet Canadians where they are.

The measures in the recent spring economic update are part of those next steps in our plan to build a stronger, more independent and resilient Canada for all. It advances our progress of building more affordable homes and the major infrastructure that needs to go with this. It helps businesses seize new opportunities and gives families the confidence to plan for their future. It builds a Canada that is not just strong but good, and not just prosperous but fair.

EmploymentAdjournment Proceedings

7:05 p.m.

Conservative

Tamara Jansen Conservative Cloverdale—Langley City, BC

Madam Speaker, one of the great questions facing any nation is whether it trusts its people more than it trusts the government. That question lies at the heart of the economic challenges facing Canada today.

For most of our history, Canada was a country where ordinary people could arrive with little more than a dollar in their pocket, work hard, take risks, build a business, buy a home, raise a family, and leave their children better off than themselves. It was not because government created prosperity. It was because government created the conditions in which prosperity could grow. New Canadians were allowed to freely create their own opportunities without too much government interference.

Today, however, we see the consequence of a very different philosophy. We are told that every problem requires another government program, another regulation and another bureaucracy to oversee it all. Yet, after years of this Liberal central planning approach, Canadians are not becoming more prosperous. They are barely managing to get by. More than 112,000 jobs have disappeared in the first few months of this year. Youth unemployment has climbed above 14%. Business investment continues to flee the country, and household savings have been used up. Families are working harder while falling further behind. This is the disastrous result of a government that cannot keep its hands out of our pockets or their red tape out of our enterprises.

The government seems determined to argue about whether Canada is in a technical recession. I wonder whether the Prime Minister would use that same ridiculous argument while standing beside a mother waiting in a food bank line, a young person sending out résumés with no response or a family losing their home. Canadians do not experience recession through Liberal talking points. They experience it through lost jobs, missed mortgage payments, shrinking savings accounts and the growing fear that despite working hard and playing by the rules, they are falling further behind.

This recession is the logical consequence of Liberal ideology. The Liberals have a governing philosophy that believes prosperity can be designed by Ottawa in a boardroom, rather than created by millions of Canadians making decisions for themselves. When a government makes it harder to build, invest, hire or expand, it should not be a surprise when investments leave and jobs disappear. What is especially troubling is that Canada is not suffering from a lack of talent, resources, innovation or ambition. We possess all of those things in abundance. What we lack is a government that is willing to remove the barriers that prevent Canadians from putting those strengths to work.

Every year it becomes more difficult to build, invest, hire or expand, because government has inserted itself into more and more areas of economic life. The result is a system that satisfies almost no one. Those paying for it feel overburdened, while those depending on it often find that it delivers less than promised. Government grows larger, yet the problems it claims to solve seem only to multiply.

Adam Smith understood that prosperity is created when free people are allowed to pursue opportunity and create value for others. We know that liberty is weakened when power becomes concentrated in government institutions. One truth never changes: A nation becomes stronger when its citizens are empowered, not when they are centrally managed.

After years of rising bureaucracy, rising spending, rising deficits, rising unemployment and now a recession, when will the government acknowledge that prosperity does not come from Ottawa treating citizens like incapable children, but from smart, hard-working Canadians—

EmploymentAdjournment Proceedings

7:10 p.m.

The Assistant Deputy Speaker (Alexandra Mendès) Alexandra Mendes

The hon. parliamentary secretary.

EmploymentAdjournment Proceedings

7:10 p.m.

Yukon Yukon

Liberal

Brendan Hanley LiberalParliamentary Secretary to the Minister of Northern and Arctic Affairs

Madam Speaker, I want to, first of all, thank the member for Cloverdale—Langley City for her dedication to workers in her riding. I can assure her that the Government of Canada is dedicated to building a robust and inclusive workforce that supports all Canadians. These are serious and challenging times, and they must be met with a disciplined focus to help our country meet today's challenges.

It is here that I would like to highlight the Government of Canada's labour market development agreements and workforce development agreements. Together, these agreements provide $2.9 billion annually in training and employment assistance services delivered through provincial and territorial employment assistance offices. These will help hundreds of thousands of Canadians upgrade their skills and find employment. In addition, new EI applicants are referred to local employment offices for customized training and employment services. This is informed by career development officers who have real-time labour market information and knowledge of local employment opportunities.

However, more is needed to help Canadian workers who are affected by U.S. tariffs and global market shifts. That is why we are providing a further $570 million to the labour market development agreements to assist steel and softwood lumber workers and workers from other tariff-impacted industries. This support will be delivered through provincial and territorial networks until 2027‑28. For example, we have recently introduced $70.4 million in federal funding in the member opposite's home province under the new Canada-British Columbia workforce tariff response. It is a three-year commitment that is expected to help more than 8,000 people across the province. This is in addition to the nearly $400 million we spend each year supporting employment programs in British Columbia.

Tariffs have created stress and uncertainty for workers, employers and communities across Canada, and that is why we are working closely with governments at all levels to strengthen local economies and protect workers' jobs. I can assure everyone that our elbows are up. Times are tough, but we have a plan, and we are working together to keep our elbows up to continue supporting our economy and building Canada strong. We know that our workers are at the heart of Canada's economic strength. We are investing heavily in our people to develop greater economic resilience in all sectors. It is no secret that tariffs have hit the steel, automotive and softwood lumber sectors the hardest. That is why we are focusing on building an economy that is not reliant on one single partner. We are building a resilient economy that will help create new job opportunities for Canadian workers, an economy that remains focused on improving the outlook for Canadian workers to help them find and keep good jobs here at home.

Helping Canadian workers is our top priority. That is why our spring economic update recently announced $6 billion focused on helping workers and young people gain the skills, experience and support they need to thrive. Canada is building big and bold. We have a plan to build no fewer than 500,000 homes each year, and it is called team Canada strong. It is a cornerstone of our spring economic update. It is a plan to recruit, train and hire up to 100,000 new Red Seal trades workers in the next five years, a plan that will make it easier for apprentices to learn, train and access meaningful careers.

We know there is more work to do to support Canadians, but I can assure everyone that we will always be there to support Canadian employers, workers and families.

EmploymentAdjournment Proceedings

7:15 p.m.

Conservative

Tamara Jansen Conservative Cloverdale—Langley City, BC

Madam Speaker, what we are witnessing is not simply a recession. It is the predictable result of a government that believes prosperity can be engineered by Ottawa rather than created by Canadians themselves. For a year, the Prime Minister has promised growth. Instead, the economy has shrunk in three of the last four quarters. More than 112,000 jobs have disappeared. Business investment has fallen. Billions of dollars have left this country. None of this should surprise us. When the government makes it more expensive to build, invest, hire and produce, businesses invest less, entrepreneurs take fewer risks and jobs disappear. Ordinary Canadians are paying the price. Food bank use is at record levels. Household debt is the highest in the G7. Families are working harder and getting less.

When will the Liberals stop driving Canadians' decline and remove the taxes, red tape and barriers forcing jobs and opportunities out of Canada?

EmploymentAdjournment Proceedings

7:15 p.m.

Liberal

Brendan Hanley Liberal Yukon, YT

Madam Speaker, Canada's labour market is experiencing unprecedented pressure from tariffs, skill shortages, supply chain disruptions and broader economic shifts, so it has never been more important for government and industry to come together to strengthen our economy. That is why the Government of Canada has created workforce alliances to help Canadian workers weather this tariff storm. They focus on six priority areas: housing and construction, transportation and supply chains, advanced manufacturing, the care economy, mining and minerals, and energy and electricity. Each one is key to ensuring Canada's economic growth. Together, they will keep Canada's workforce strategy grounded in the real needs of the country.

Our workforce alliances are unified by one core mission, and that is to create lasting job opportunities for Canada's workers where they are needed most.

EmploymentAdjournment Proceedings

7:15 p.m.

The Assistant Deputy Speaker (Alexandra Mendès) Alexandra Mendes

The motion that the House do now adjourn is deemed to have been adopted. Accordingly, the House stands adjourned until tomorrow at 10 a.m. pursuant to Standing Order 24(1).

(The House adjourned at 7:19 p.m.)