44th Parl. 1st Sess.
October 4, 2023 02:00PM
Madam Speaker, I apologize.
In my riding, a young man named Alessandro and his mother Mary started a not-for-profit organization that provides free lawn maintenance and snow removal for seniors who cannot perform these functions themselves, either due to physical or financial issues. Liberal financial policies have led to higher inflation. This has been stated by the former governor of the Bank of Canada and the Parliamentary Budget Officer.
Seniors' retirement income is simply not keeping up with the pace of the cost of living crisis, which is cutting into the savings of seniors. High inflation rates, interest rate hikes and the tripling of the carbon tax, which affects the price of groceries, gas and home heating, are the real record of the Liberal-NDP government on seniors. Many seniors feel increasingly isolated in their own towns and cities, and many have struggled with financial insecurities due to the record inflation.
According to a survey by the National Institute on Aging, 72% of Canadians age 70 years and older became more concerned about their financial well-being in the last few years. Inflation has risen to 4%, and the cost of groceries has gone up by 6.9% since last year. The price of housing continues to skyrocket, with mortgage costs up over 30%. The Liberal-NDP government hit Canadians with a double tax hike this year by raising the cost of its first carbon tax and then imposing a new second carbon tax on Canadians. In fact, Nova Scotians saw a 14% increase at the pump between June and July. We know that the Prime Minister continues to bring in his 61¢-a-litre tax. He will drive gas prices back to record highs. The Prime Minister's tax grabs are directly increasing the cost of gas and groceries, driving inflation higher.
In a country as prosperous as Canada, it is inexcusable that the heaviest burden of the government's failure is falling on the most vulnerable. Many seniors who live on fixed incomes have no other choice but to make sacrifices to get by. Some are being forced to postpone their retirement so they can make ends meet. Others are taking on new debt to cover the cost of housing, which has doubled under the Liberal-NDP government.
Let us do a little math. A couple who has contributed the full amount toward their CPP would receive a monthly benefit of just under $2,700. We know that the average monthly rent for a one-bedroom apartment is approximately $2,100. That leaves them a little over $500 per month for groceries, utilities, medication and any other essentials they will require.
I want to recap. Conservatives are committed to our seniors, and to ensure that they have the financial security and support they need to enjoy their retirement, we believe that increasing the guaranteed income supplement, the GIC earning exemption, is one step in reaching this goal. This would help seniors who are able to, choose to and want to work, such as through having a part-time job, to keep more of their money in their pockets without affecting other benefits. This increase would help—
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Madam Speaker, I am pleased to rise today to participate in the second hour of the second reading debate on Bill C-319.
I would like to thank the member for Shefford for sponsoring this bill. It continues to spark important conversations. That is because we are constantly looking at how best to support older persons in Canada. Not everyone needs the same kind of help. Seniors themselves would agree.
To demonstrate my point, I give an example from Manchester, United Kingdom. A communications campaign in 2020 called “Valuable, not vulnerable” highlighted contributions of older people in the pandemic response. It featured those who performed jobs in person on the front lines, those who volunteered in their communities and those who took on caregiver roles. The campaign successfully countered the idea that an entire group should not be labelled as frail or vulnerable, and the slogan was picked up around the world, including here in Canada.
I bring this up because I want to underline that our government chose to raise the OAS pension for seniors 75 and over, and it was a good choice. It was based on data. It helped avoid lumping all seniors into the same category. As we know, the evidence tells us that seniors 75 and over are more likely to be vulnerable in certain circumstances. They are more likely to need more support.
As the Minister of Employment said to the Senate Standing Committee on Social Affairs, Science and Technology, this policy step was a very big step. The decision to increase the OAS pension for older seniors was in recognition of the more precarious life circumstances that are known to happen more often at age 75 and upward.
Let us crunch the numbers to get a more detailed view. We know financial needs increase in this age group, and in 2020, more seniors aged 75 and over received the guaranteed income supplement compared to those 65 to 74. There are also more women in the 75 and over category than men. As well, there are more Canadians with a disability in that age group. According to the Canadian disability survey in 2017, 47% of seniors aged 75 and over had a disability, compared to 32% of those in the younger group. That is quite a jump.
That is why our government increased the OAS pension for seniors aged 75 and older. Budget 2021 provided a one-time payment of $500 to OAS pensioners who were 75 or over as of June 2022. We then increased OAS payments for pensioners aged 75 and over by 10% on an ongoing basis as of July 2022. This policy has helped approximately 3.3 million seniors. They will receive more than $800 extra over the first year of the increase, and the benefit, of course, is indexed, so it will continue to go up.
I want to turn to another matter that has been commented on in this House and that we need to consider with Bill C-319. That is the critical work that is under way to modernize the IT infrastructure that supports the OAS program. Canada's IT infrastructure has been aging faster than the pace of repairs or replacements. By investing the time and money to fix this infrastructure, our government is ensuring key programs like the old age security program and employment insurance will continue to be delivered in the timely way Canadians deserve.
These system changes were spurred on by the pandemic. We realize a modernized benefits delivery platform is crucial so that we are able to target support when Canadians need it the most. We hope to ensure all Canadians are receiving all the benefits to which they are entitled.
The timelines for Bill C-319 do not take into account the ongoing work. If passed, the bill would require complex changes to the existing OAS legacy system that would in turn jeopardize the critical deployment and stabilization of OAS onto the new platform.
The benefits delivery modernization work has been under way since budget 2021 provided nearly $650 million for Employment and Social Development Canada and Treasury Board Secretariat to undertake it. In this year's supplementary estimates (C), our government is planning for nearly $1.3 billion in expenditures related to the workforce capacity for OAS and to modernize the IT infrastructure that hosts it.
As I mentioned, Bill C-319, if passed, would require various system changes to the legacy OAS system. The earliest recommended date to introduce policy changes that would require IT system changes is after September 2025, once the deployment of OAS onto the new system has been properly stabilized.
What is more, in October 2022, the then minister of families, children and social development confirmed that safely onboarding OAS is a number one priority. The Canadian population is aging. Seniors are the fastest-growing age group and we need to consider how best to support them, knowing that older Canadians are valuable and that some are vulnerable, just as we would find in any age group. Bill C-319 is not ideal. Our government already has a good plan to support older Canadians, and work is under way. In fact, we have been supporting seniors since 2015.
Most recently, in budget 2023, we introduced a one-time grocery rebate to help offset the rising cost of food for eligible seniors. In addition, budget 2023 provides funds to implement the Canadian dental care plan. This plan provides dental coverage for uninsured low- to medium-income Canadians, including seniors. This means that no Canadian will ever have to choose between taking care of their oral health and paying the bills at the end of the month. These measures are in addition to the steps already taken by our government, which include returning the age of eligibility for the OAS pension and the GIS to 65 from 67; enhancing the GIS for the lowest-income seniors, which benefited 900,000 seniors and contributed to lifting 45,000 seniors out of poverty; increasing the OAS pension by 10% for seniors aged 75 plus, based on good data; and, of course, indexing all our key benefits, so they keep pace with the cost of living and never decrease.
Supporting seniors has been and will always be a top priority for the government. Our seniors have built the country that we know and love today, and they are the backbone of Canadian society. We will always have our seniors' backs.
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