SoVote

Context: House Hansard - 160 - Feb/14/23

Feb/14/23 10:30:01 a.m.
Watch

Madam Speaker, pursuant to Standing Order 43(2)(a), I would like to inform the House that the remaining Conservative caucus speaking slots are hereby divided in two.

28 words

The Assistant Deputy Speaker (Mrs. Carol Hughes)

Feb/14/23 10:30:24 a.m.
Watch

I thank the deputy whip for the official opposition for that. Questions and comments, the hon. member for Cowichan—Malahat—Langford.

23 words

Mr. Alistair MacGregor (Cowichan—Malahat—Langford, NDP)

Feb/14/23 10:30:42 a.m.
Watch

Madam Speaker, I hear Conservatives talk a lot about inflation. When we look at the size of corporate profits, for example oil and gas, their profits since 2019 have gone up 1011%. All we hear from the Conservatives on that figure is crickets, so I would like to hear from my friend. When are Conservatives going to take a stand for Canadian families, when are they going to fight the real inflation, which is the absolute concentration of corporate power in Canada, and when are they going to take them on to make sure Canadians are not being raked through the mud by these overbearing corporate increases in prices on everyday items?

112 words

Mr. Jasraj Singh Hallan

Feb/14/23 10:31:31 a.m.
Watch

Madam Speaker, it is too bad the NDP does not talk about government greed, the greed that actually is hurting Canadians. That is the tough part. New Democrats actually team up with the Liberal government to make sure home heating is more expensive, gas is more expensive and groceries are more expensive. Conservatives will make sure we axe the tax and make sure Canadians can keep the heat on.

69 words

Mr. Adam Chambers (Simcoe North, CPC)

Feb/14/23 10:32:12 a.m.
Watch

Madam Speaker, it is always a pleasure in this place. Today, I want to talk about inflation and spending. I have been here for just over a year. I have driven all over Ottawa, and I still cannot find the money tree that the government seems to have in its backyard, which it finds to spend on just about everything. Let us find out why spending matters. It drives inflation. There are two kinds of inflation. There is demand-side inflation, where there is too much demand for too few goods or, as we often hear, too much money chasing too few goods. There is also supply-side inflation, which is not enough goods to meet the demand. We have both of those in Canada. The problem is that the government would have us believe that the only issues causing inflation are supply-side issues that are outside of Canada's borders. However, many are now pointing out that inflation is being driven by too much demand in Canada, because we have too much money chasing too few goods. That is because we extended COVID supports longer than we needed to. We have prominent Liberal members, former members of Parliament, former finance ministers and former governors of the Bank of Canada suggesting that there is too much demand in Canada. The Bank of Canada is trying to lower demand. That is why it keeps raising interest rates. However, when one raises interest rates, it really hurts people, including those vulnerable folks who are looking for shelter. Inflation is even worse. Inflation hurts the lowest-income people, seniors and the most vulnerable Canadians the most. Every time they go to the grocery store, they feel like they are getting squeezed. They see it every day. One of the main drivers of inflation is energy prices. It has been happening for the last number of years. Consistently, on this side of the House, we have put forward ideas to reduce the cost of energy. If one reduces the cost or the price of the thing causing inflation, one will reduce inflation. I talked about spending and COVID supports. The government would have us believe that this is a binary discussion, and if one does not believe in government spending, then one did not support any of the COVID supports. That is not what we have been saying on this side of the House. In fact, this side of the House supported, in the very earliest days, the government putting forward programs to help people. However, as COVID wore on and it became clear that there was abuse and that people were receiving COVID support payments that they should not have received, including prisoners, people who were lying, fraud artists and organized crime, people said, hang on a second, maybe we should consider making some changes. Even the Auditor General recommended that the government make some changes to the process they were using. The government said not to worry. At the end it would go back, it would audit everybody and it would recover the money. However, the cheques were cashed and the money is gone. The CRA, which is supposed to be in charge of auditing the payments, said that it is not really worth the effort to go after everybody the Auditor General identified. That seems a little unnerving. We are talking about $32 billion that the Auditor General said should be investigated. That is for payments that went to individuals who were ineligible but who got money anyway. There are also additional billions of dollars that went to people who were eligible, because of the government's poor design of a program, who should not have been eligible. That includes corporations that paid dividends to their shareholders, and they took the wage subsidy. They also had money to repurchase shares. That was about $7 billion or $8 billion. The Canadians for Tax Fairness put out a report yesterday showing how much abuse there was of the wage subsidy by very high-earning corporations. In addition, we gave money to students, when the economy was open, to stay home and not work. That was another $8 billion or $9 billion. We are talking about almost $50 billion of COVID support payments out of a total $200 billion that might have gone to people who should not have had it. That is like 25% of the program. That is why we are concerned. That is why we think that the Auditor General has given the government pretty good advice when she says that it should identify, go after and recover the payments. It will increase Canadians' confidence in the integrity of the system. If the government just hopes that we all forget about it, Canadians are not going to believe that the government is working in their best interests. In fact, we need the government to take more seriously those who abuse the system so that it ensures the integrity of the system. Canadians' support for institutions is falling, because the institutions are failing Canadians. We cannot simply say it is going to be too hard to look at these payments or to recover the money, so it is not really worth the effort. It should always be worth the effort to make sure that we recover payments that were improperly paid to Canadians. We could have an honest discussion about those very low-income individuals who made an honest mistake when they applied. The amount is probably one or two billion dollars, and we could have a discussion about what kind of program, repayment or amnesty would make sense. The Auditor General has called into question some of those payments. The Parliamentary Budget Officer also identified that over 40% of all spending that happened during COVID never actually went to helping Canadians through COVID. Those are two respected, independent officers of Parliament who have called into question the government's entire COVID support plan. In times of inflation, we should always worry about top-line government spending, because when the government spends, it competes for goods. The government is spending 25% more per year, every year, than it did pre-COVID. The government calls that fiscal restraint. I have never met somebody who increases their spending by 25% and says they are spending a lot less money than we think they are. We also have the tightest labour market ever seen. Unemployment is at an incredible low, yet the government continues to hire employees at a blistering pace. The private sector is trying to hire employees. They want to grow their businesses, to recover from COVID, to employ people who pay taxes and who pay corporate taxes. They cannot find anybody to work. We have hotels with entire floors shut down, because they cannot find anybody to work there. It is not that they do not have the demand. They are turning people away. However, they do not have people to work, to open the rooms, to get the revenue, to pay the taxes, to pay the labour and to grow the GDP. Instead, the government wants to hire all those individuals and have them work for the government. That is not the way to grow ourselves out of this issue. The government said, for almost five or six years, that we have to spend money because interest rates are so low. When the government was asked what happens if interest rates go up, it said not to worry because interest rates were going to remain low for the foreseeable future. When the government was asked what would happen to the cost of servicing the debt if interest rates went up, it said that was never going to happen. Just this year, the government is going to spend $43 billion a year servicing and paying interest on the debt. Last year, it was $24 billion. Do members know how much we will spend on health care transfers to provinces next year? It will be $45 billion. We are going to spend almost as much money on servicing the debt as we will on transfers to the provinces for health care. Everybody is wondering where we could find more money for health care. How about we spend less money on interest on the debt so that we would have more money for the things that Canadians rely on. However, that means we would have to spend less money on the things that are not important. The government has so many priorities that it has absolutely none at all. The other issue is that the government does not need more revenue. The government has decided to continue to increasing taxes on things like the excise tax, which is a great example. The excise tax is going up on alcohol, beer, spirits and wine. It is going to cost industries tens of millions of dollars, which may even increase the price of those libations that members of Parliament and Canadians enjoy. The government is increasing the excise tax because it linked it to inflation. However, when it decided to link that tax to inflation, no one believed that inflation was going to be 7%. All reasonable people are saying to take a pause on raising that tax. We do not need to continually hurt people as they try to purchase a six-pack of beer, a bottle of wine or a bottle of their favourite spirit. The government does not need the revenue. It is making more money than it has ever made before. It is breaking records every day. The government needs to reduce its spending, to make sure that it is not taking on as much debt, to reduce the interest cost on the debt and to make sure that it does not compete with the private sector. We need to make sure that we reduce inflation and to make sure Canadians can afford to live in this country.

1657 words

All Topics

Mr. Mark Gerretsen (Parliamentary Secretary to the Leader of the Government in the House of Commons (Senate), Lib.)

Feb/14/23 10:42:10 a.m.
Watch

Madam Speaker, I thank the member for two things in particular. The first is for acknowledging the fact that Conservatives voted in favour of a lot of that spending. The second is for not invoking The Notorious B.I.G. in the House, like the member for Calgary Forest Lawn did. That reminds me of the time that Paul Ryan, former speaker of the U.S. House of Representatives, tried to suggest that he listened to Rage Against the Machine because it was a really cool band, and he did not fully realize the irony that he was the machine. Is it the belief, based on the rhetoric that we hear from Conservatives, that inflation is 100% a domestic issue? Can the member comment on whether Conservatives believe that other elements, like the war in Ukraine and other things that are going on globally, can contribute to the inflation Canadians are seeing? If they do not believe it as much as we do, then do they believe it at least to some degree, or are they just hell-bent on the idea it is—

185 words

The Assistant Deputy Speaker (Mrs. Carol Hughes)

Feb/14/23 10:43:13 a.m.
Watch

The hon. member for Simcoe North.

6 words

Simcoe
North

Mr. Adam Chambers

Feb/14/23 10:43:16 a.m.
Watch

Madam Speaker, I will resist the temptation to quote Nickelback, but if the hon. member listened to the speech, I had recognized that there are two causes of inflation. One is demand and the other is supply, both of them cause inflation in this country. More recently, economists, former Liberals and Bank of Canada governors are suggesting that the causes of inflation are more domestic than they are international. That means the things that happen here at home are causing inflation.

81 words

Ms. Louise Chabot (Thérèse-De Blainville, BQ)

Feb/14/23 10:43:57 a.m.
Watch

Madam Speaker, I have been listening to my Conservative colleagues and, once again, they are pointing out something that everyone already agrees is a problem. Inflation is causing a lot of problems for people in terms of the cost of groceries, mortgages and housing. Moving beyond all of the problems that the Conservatives raised, if they were in power and had to present a budget tomorrow morning, what solution would they propose to deal with these problems?

77 words

Mr. Adam Chambers

Feb/14/23 10:44:38 a.m.
Watch

Madam Speaker, if Conservatives were in power, one of the things we have consistently said we would do is to reduce energy bills by cutting the carbon tax, or we could take the suggestion of the NDP and reduce the GST on energy bills. However, we would also reduce government spending. We are spending $15 billion a year, every year, on high-priced consultants to do things that the civil service could do. There are many ways that we could reduce the size of government and free up some money to spend on the things that everybody cares about, such as social security, supports to help the most vulnerable and, of course, health care.

114 words

Ms. Lori Idlout (Nunavut, NDP)

Feb/14/23 10:45:21 a.m.
Watch

Uqaqtittiji, the member for Simcoe North said that he was looking for an invisible money tree. I suggest that he look at Shell, which showed $40 billion in profit in 2022. Does he agree that there needs to be a windfall tax on corporations like these, as well as the removal of the GST on home heating?

57 words

All Topics

Mr. Adam Chambers

Feb/14/23 10:45:54 a.m.
Watch

Madam Speaker, I will consider any recommendation that sees the energy bills of Canadians reduced. In addition, if the member wants to talk about profiteering corporations, I am not sure how a windfall tax is going to lower inflation for Canadians. However, I do support reviews by the Competition Tribunal and other independent officers as to whether there is unnecessary profiteering or price gouging going on. These are officers and agents of the country. We should be listening to them and taking their advice. There is a grocery study happening at committee. The Competition Tribunal is also looking at the grocery study. If we want to do more of that, I would be open to that as well.

118 words

All Topics

Ms. Rachel Bendayan (Parliamentary Secretary to the Minister of Tourism and Associate Minister of Finance, Lib.)

Feb/14/23 10:46:47 a.m.
Watch

Madam Speaker, I am pleased to be sharing my time with my colleague, the member for Sherbrooke. I am actually rather delighted to take part in today's debate on the economy. In examining the Conservatives' motion, I suspect that I am not the only person to note the unbridled enthusiasm with which the Canadian economy is being bashed. Indeed, the Conservatives' motion makes it sound like Canada is causing all the problems around the world, while that is obviously not the case. I am delighted to have this opportunity today to disabuse the Conservatives of this notion. The Conservatives seem unaware that we experienced a once-in-a-generation pandemic and that such an event would inevitably have significant and widespread adverse impacts around the world, impacts from which Canada was not and is not immune. The pandemic necessitated a shutdown and a restart of our economy, not just here but in countries right around the world. Vladimir Putin then illegally invaded Ukraine, sending shockwaves through global energy and commodity markets, with predictable and compounding adverse impacts on economies around the globe. Analysts have clearly indicated that the ensuing global inflation was not the result of decisions made by one government. On the contrary, global inflation is due to the combined aftershocks of two and a half years of historic turmoil. These global historic events cannot be dismissed or ignored. Unlike the Conservatives, our government did not ignore them. We faced them head on, and we gave Canadians the assistance they needed to overcome them. As a result, Canada is doing better than most of the other G7 countries during this extremely difficult period. I would like to point out that inflation eased throughout the last several months, notably in December. In total, I believe it is down 22% since its peak. I also do not want to minimize or dismiss the fact that the cost of living has gone up, which it has, and that inflation does remain higher than normal. The cost of goods has risen, but it has risen all over the world, and every indication is that it is better to be living here in Canada during this time of global economic instability than just about anywhere else in the world. Inflation is lower here in Canada than it is in the United States. It is lower here in Canada than in the average of the European Union as well. There is every indication that the current challenges flowing from the pandemic supply chain disruptions and from Russia’s illegal war on Ukraine are receding. The Bank of Canada and private sector economists expect inflation to ease towards the 2% target over the next two years. Moreover, as a result of the targeted investments we have made as a government in order to support Canadians and our economy through these difficult times, Canada has experienced a strong rebound from the pandemic recession, with our 3% growth so far in 2022 being the strongest among G7 countries. With close to 150,000 jobs created in January alone, our 5% unemployment rate is now close to historical lows. In fact, my friend, the hon. member for Simcoe North just said in the House that unemployment is at an exceptional low here in Canada. At the same time, the labour force participation rate rose once again to over 65%, and we are seeing labour force participation hit record highs across the board, but in particular for women aged 25-55. Canada also saw the largest increase in real disposable income in the G7, and that should not be downplayed. Outperforming our peers in times of global challenges is a sign of strength, not weakness. That is not to say that we are not still facing challenges, which is why the rising cost of living is at the heart of our government's concerns. There is no doubt that we see this as the number one economic challenge facing our country at this time. That is why we introduced our affordability plan to support Canadians who are having a rough time making ends meet. It is already making life more affordable for millions of Canadians. Under our affordability plan, we have doubled the GST tax credit, which is providing targeted support to roughly 11 million individuals and families, including more than half of Canadian seniors. Many received that additional payment just recently, in November. We have enhanced the Canada workers benefit to put up to an additional $2,400 into the pockets of low- and modest-income families starting this year. We set out a plan to further improve the workers benefit so that it reaches up to 1.2 million additional hard-working Canadians. This means, in total, the workers benefit will top up the income of up to 4.2 million of the lowest-paid Canadians, because no one who works a 40-hour week should have to worry about paying the bills or putting food on the table. As part of our affordability plan, we also introduced a permanent 10% increase in old age security for those over the age of 75. That began in July. This year we will provide a one-time payment to 1.8 million low-income Canadian renters who are struggling with housing costs. We have also reduced child care costs. The majority of provinces and territories managed to reduce fees by at least 50%, on average, by December 2022 as a result of agreements we have reached with our partners. We are building a dental care plan for Canadians, starting with hundreds of thousands of children under the age of 12. In addition, indexing benefits to inflation means that key benefits that Canadians rely on, such as the Canada child benefit, the GST credit, the Canada pension plan, old age security and the guaranteed income supplement, increase with inflation. These supports are targeted, and they reflect the actions of a responsible government. We have the lowest deficit and the lowest debt-to-GDP ratio among all G7 countries, and we have ensured those fiscal metrics while we were supporting Canadians who needed it. Allow me to conclude on that note. Our approach is about balancing fiscal responsibility with compassion, and it is working. We are outperforming our global peers in the face of this shared challenge of the global economic instability we are all facing. We are supporting Canadians through those challenges while being fiscally responsible.

1079 words

All Topics

Hon. Mike Lake (Edmonton—Wetaskiwin, CPC)

Feb/14/23 10:55:07 a.m.
Watch

Madam Speaker, the Trudeau legacy of the 1970s and 1980s was a disastrous inflation crisis, energy crisis and fiscal crisis that was terrible for Canadians at the time over those 15 years when that government ran deficits in 14 out of 15 years. A generation later, it led to $35 billion in cuts to transfers for health care, social services and education under the Chrétien and Martin Liberal governments. It was $35 billion in cuts because of the disastrous Trudeau economic policies of the 1970s and 1980s. Is the member concerned today that, at a starting point, the $4.5-billion broken promise on a Canada mental health transfer, a promise her own party made in the last election and cannot afford to keep, is just the tip of the iceberg in terms of things that will have to be cut for Canadians because of the disastrous economic policies of her government?

154 words

Ms. Rachel Bendayan

Feb/14/23 10:56:10 a.m.
Watch

Madam Speaker, if we are talking about cuts to programs and services that are essential for Canadians, we need only look at the years of the Harper government. The Harper government actually cut health transfers to provinces. It is our government that is attempting to fix the health care system in this country. I was personally both surprised and glad to hear that the leader of the Conservative Party would support and maintain the transfers that the Prime Minister announced just last week following a meeting with premiers from across the country.

92 words

The Assistant Deputy Speaker (Mrs. Carol Hughes)

Feb/14/23 10:56:50 a.m.
Watch

On a point of order, the hon. member for Edmonton—Wetaskiwin.

12 words

Hon. Mike Lake

Feb/14/23 10:56:54 a.m.
Watch

Madam Speaker, I believe it is against the rules of the House to mislead the House. The Harper government did not cut transfers. It raised transfers—

27 words

The Assistant Deputy Speaker (Mrs. Carol Hughes)

Feb/14/23 10:56:59 a.m.
Watch

That is not a point of order; it is a point of debate. Questions and comments, the hon. member for Repentigny.

21 words

Ms. Monique Pauzé (Repentigny, BQ)

Feb/14/23 10:57:07 a.m.
Watch

Madam Speaker, I thank my colleague from Outremont for her speech. She spent quite a bit of time on the preamble of the motion. I will focus on the motion itself, specifically the part that says, “fire...consultants”. I must admit that I completely agree with that part of the motion. When consultants such as McKinsey are used, government policy is being subcontracted out, and that is unacceptable. When contracts are awarded to external consultants, we end up paying double. What is more, multinational consulting firms operate on the periphery of democracy, and using their services undermines democracy. If the Conservatives had put a period after “fire...consultants”, we would be voting in favour of the motion. Would the Liberal Party also be voting in favour of the motion?

133 words

Ms. Rachel Bendayan

Feb/14/23 10:57:57 a.m.
Watch

Madam Speaker, I find it interesting that the Bloc Québécois is talking about consultants. The use of consultants is necessary in order to provide Canadians with services that meet their expectations. I do not understand why the Bloc is criticizing the federal government's use of consultants when the Government of Quebec, the government of Mr. Legault, uses the same consultants to provide services to Quebeckers. The Bloc does not seem to have a problem with that.

81 words