Mr. Speaker, I rise today to comment on the budget delivered by the Minister of Finance, a budget that sprinkles some minor benefits to a few sectors but, on balance, has done relatively little for any sector and nothing whatsoever for many sectors.
The task of government is to address imbalances and unfairness. Economically, the fundamental task of the federal government is to, however incrementally, narrow the gap between those who have enough and those who have too little; between those who have abundant resources and those, for instance, who are homeless; and between those who have abundant opportunities for employment and those who have lost employment through no fault of their own. On balance, the gap between these various groups has not been narrowed by this budget, or at least has not been narrowed to an extent which could have been achieved.
The Minister of Finance himself has conceded that Canada's manufacturing sector, particularly in Ontario, has been dealing with unprecedented forces, aligning itself against manufacturing; forces including the Canadian dollar, essentially at par with the U.S. dollar; the significant growth in manufacturing in other countries, including China, Brazil, India and Mexico; the difficulty in locating skilled workers; and, in addition, the reality that our manufacturers are forced to compete on a playing field that is most definitely not level.
The harsh reality is that manufacturers are in very serious difficulty and certainly the auto industry is in particular difficulty. In my riding of Brant, hundreds of high quality, well paying jobs have been lost as a result of plants closing their doors and relocating or simply closing their doors as they could no longer be profitable in light of the combination of factors which have confronted them.
I am referring to Canadian Blue Bird Coach, Easton Coatings, Genfast, Dura Automotive and others. Some of these plants were in existence for many decades and provided solid, well paying jobs for hundreds of individuals and, by extension, their family members. Certainly the city of Brantford and the surrounding area of Brant county benefited greatly from these jobs, which are obviously accompanied by spinoff benefits for entities such as retailers and restaurants.
Most important, it is obviously jarring and upsetting, to say the least, for an individual who has worked most of his or her adult life at the same plant to be told after 20, 25 or 30 years that the job is no longer there, that head office has decided to expand into South Carolina or has relocated to Mexico or Brazil. There is an obvious economic loss for these individuals who hoped for and counted on finishing their productive working lives at the plant or factory to which they had devoted their time, skill and energy.
Capital is the most portable commodity in the world but capital is not patriotic nor is it sentimental. Capital will be invested where it will receive the most yield and it is important for the government to understand that on occasion particular sectors of Canada's economy need assistance. The manufacturing sector, including the auto sector, needs assistance now and the budget does not provide the necessary assistance.
For companies that are showing large profits, a reduction in the corporate tax rate is of assistance. For companies that have the financial resources to purchase new equipment, the accelerated capital cost allowance is of some assistance. However, for companies that are not showing a profit and do not have the current resources to buy new equipment, those measures, although widely trumpeted by the Minister of Finance, are essentially of no benefit whatsoever.
Although the government seems to have an aversion to providing help to particular sectors, it has clearly forgotten the very beneficial effects that have been felt by communities such as Oakville, Woodstock and Alliston in Ontario.
In Woodstock, for instance, just outside of my riding, the former Liberal government saw fit to invest $60 million in Toyota's investment in Woodstock and the surrounding area. How tremendous has that federal government assistance been for the entire community? Growth is occurring at a rapid rate and well paying jobs are being provided all because the former Liberal government, in partnership with Toyota, saw fit to invest.
The $250 million spread over five years, as mentioned in the Minister of Finance's budget this week, is only $50 million per year. This sum will only very marginally help the auto sector. Would that the Minister of Finance understood that the sector is in real difficulty and needs help.
He continually talks about the number of jobs that have been created, but does not paint the full picture. The full picture would show jobs being created, yes, but a majority of those jobs are in the service industry, paying significantly less than the jobs that are being lost. The jobs being created are often accompanied by no benefits, no pensions and no security.
Quite apart from the auto sector, manufacturing generally is facing difficult times. I conversed recently with Dennis Hewko, the chief executive officer of Eagle Precision in Brantford. Mr. Hewko is an astute business person and is well familiar with the manufacturing sector, certainly familiar with the problems faced by the sector. He advances the thought that a decrease in employment insurance would have been of assistance, but unfortunately the Minister of Finance chose not to realistically assist the manufacturing sector. There ideally would have been programs available for manufacturing. Without federal government leadership, the sector will continue to deteriorate.
The government seems rather obsessed with the so-called free market, ignoring the fact that the market worldwide is not so free after all. It is well recognized, for instance, that governments in the United States, the supposed free market capital of the world, are providing substantial inducements to industry to locate in the United States. Governments at both the federal and state level are providing incentives. At a minimum, Canada's government should provide assistance to the manufacturing sector so our manufacturers can compete on a playing field that, if not perfectly level, is at least more level than would otherwise be the case.
I have some other points.
No mention was made in the federal budget of assistance for tobacco farmers, in spite of the comment from the Minister of Agriculture and Agri-Food in the House only two weeks ago that action would be taken sooner rather than later and that tobacco farmers should, in his words, stay tuned. Tobacco farmers have stayed tuned and there has been no show for them to watch. They have been left completely out of the budget and their disappointment was expressed in a tangible fashion by their demonstration yesterday afternoon at the office of the member for Haldimand—Norfolk.
Other groups have been left completely out of the budget. There is no support for arts and culture and local museums, no measures whatsoever to deal with the reality of physician shortage and no mention of incentives for companies and employers to hire persons who are disabled.
Last, there were $11 million per year to accelerate the waiting times for immigrants. There are 900,000 people waiting to come to Canada. Many of those are in the skilled worker category such as physicians and engineers. The wait time is 64 months to come to Canada.
If one is a 30 year old professional, an engineer for instance in Asia or another country, who wanted to go elsewhere to pursue a career, he or she could go to New Zealand in one year. One can be accepted into Australia in 18 months. In Canada it takes almost five and a half years. It is a problem that the government has not faced. It has done nothing except to provide a measly $11 million per year to accelerate the wait times, $11 million from a government that spends $240 billion a year. It is not enough. It is clearly inadequate.
Other sectors have also been left out.