Mr. Speaker, the bill before us is the budget implementation bill.
Since we were opposed to this budget, because it did not address any of Quebec's demands or concerns, we will of course also oppose the budget implementation bill. But as Bloc MPs and representatives of Quebec, we all plan to be here in the House, unlike the members of other opposition parties, to vote against this bill and try to stop this legislation that does not address any of Quebec's needs or concerns.
Before the budget was tabled, during the time the Prime Minister gave us when he prorogued Parliament and locked us out, our finance critic, the member for Hochelaga, toured Quebec. He visited Lanaudière, Gaspé, the North Shore, Saguenay, the Outaouais, the Montreal area, the Quebec City area—the national capital—Abitibi, Montérégie and the Eastern Townships. He came to Joliette to meet with socio-economic stakeholders. People expressed a number of concerns and needs during this tour. One thing that clearly emerged was that Quebec, like Canada, needs a phase 2 of the recovery plan.
Whole industries have been forgotten by the Conservative government. I am thinking of forestry, aerospace and the manufacturing sector in general. Once again, we do not disagree with the efforts made to help the auto industry, which is heavily concentrated in southern Ontario. But we are seeing a lack of fairness, since the forestry and aerospace industries are being left out. And yet we know that in these sectors of the economy, the recovery that seems to be just around the corner is having no effect. On the contrary, even more big layoffs are planned, both at the sawmills and at the pulp and paper plants, or even in aerospace, particularly among small subcontractors.
What we needed was phase 2 of the recovery plan, and that was made clear from the consultations held by my colleague from Hochelaga. The government has simply kept going down the unfair path it laid out in last year’s budget. No change is being made to respond to the concerns of the people and the various regions of Quebec.
When it comes to employment insurance, there again, there is no response to what workers, unions and municipal leaders have been calling for. We are well aware of the fact that, with adequate income security, not only would workers affected by layoffs have a minimum social safety net, but the regions could also maintain a degree of economic dynamism. Very clearly, if someone loses their job at Louisiana Pacific in Saint-Michel-des-Saints, the employment insurance benefits they receive will be used to pay the grocer in Saint-Michel-des-Saints and to buy clothing in Saint-Michel-des-Saints or Joliette. That will then help to maintain a minimum level of economic activity. The Conservatives’ approach has been to cut both corporate and personal income tax for the benefit of the wealthiest, the most well-off. What do those people do with the money? More often than not, they put it in tax shelters or send it to tax havens, as we unfortunately see all too often. Again yesterday there was a report about this happening.
In the case of corporations, the ones that get these tax cuts get them because they are making profits, while the ones that are not making a profit have received no form of assistance from the Conservative government.
On the question of employment insurance, we were hoping that the government would make an effort to make it an adequate social safety net. I would point out that in this respect the Liberals are just as guilty as the Conservatives. Let us not forget the famous Axworthy reform. The only “reform” about it was the name, because in fact it simply made a hash of employment insurance.
At the time, seven or eight people in ten contributed and could collect employment insurance if they lost their jobs. After the Axworthy reforms, this fell to four people in ten who contributed but were not necessarily entitled to benefits because of the excessively restrictive rules implemented by the Liberal government and maintained by the Conservatives. That explains why we have these huge surpluses.
Turning to what Quebec might expect regarding equalization, the Prime Minister promised for example during the 2005-06 election campaign to change the formula. He also promised not to change it unilaterally. Last year, the Minister of Finance changed it unilaterally by capping it, resulting in a $1 billion loss for Quebec. This is a recurrent loss.
The government has been unfair to Quebec in other ways as well. For example, there is the way in which Hydro-Québec revenues are treated in comparison with those of Ontario Hydro, resulting in a loss to Quebec of $250 million a year since 2008. It is absolutely incomprehensible. The capping of equalization, as I said, cost us $1 billion last year. There is talk now of $357 million a year, and this will continue. For example, between 2002 and 2004, the Government of Quebec received a little more in equalization than it was entitled to because the situation had improved. If my memory is correct, it was $2.3 or $2.4 billion more. The federal government asked the Government of Quebec to pay back the excess amount, and every year the Quebec government has to transfer $238 million to Ottawa, while the other provinces that also received too much have not been required to pay anything. That is what is called protection money. Here too there is $238 million a year that Quebec loses, which eats away terribly at its financial situation.
There is also the matter of the harmonization of the GST and QST. That is $2.2 billion that the Government of Quebec is entitled to but has not received. It is totally absurd. How is it that the first jurisdiction to have harmonized its sales tax with the federal GST has never been compensated while all the others that followed have been compensated? It is very clear that the Conservative government wants to use this debate and these negotiations over compensating Quebec for harmonizing its sales tax with the GST to try to take over the collection of the GST and the QST, which has been done since 1992 by the Government of Quebec.
What they want ultimately from the Government of Quebec and all Quebeckers is an act of submission in order to receive this $2.2 billion, even though Quebec is entitled to it for simple reasons of fairness and equal treatment with Ontario, British Columbia and the three Atlantic provinces. We obviously have an awful lot of grievances.
I am short on time, so I will not talk about the government's crazy plans for a Canada-wide securities commission, a plan despised by all financial stakeholders in Quebec, a plan with the sole objective of taking away Quebec's only remaining financial levers. Nobody in Quebec agrees with this plan. It is unacceptable to the Quebec nation and to all Quebeckers, be they federalist or sovereignist.
Everyone can see that there is absolutely nothing in this bill that is good for Quebec. That is why we will vote against this budget.