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Decentralized Democracy

House Hansard - 229

44th Parl. 1st Sess.
October 4, 2023 02:00PM
Context: House Hansard - 229 - Oct/4/23
Mr. Irek Kusmierczyk (Parliamentary Secretary to the Minister of Employment, Workforce Development and Official Languages, Lib.)
Madam Speaker, nearly a hundred years ago, Canada's first public pension plan was established. It was 1927, and the Old Age Pensions Act was enacted. The simple goal was to ensure that men and women aged 70 and over would have a basic income. Years later, in 1952, the Old Age Security Act came into force and replaced the act of 1927. This important change marked the birth of a pension financed by our government. Like the population of Canada, the program has grown and evolved over the years. Canadians have grown, and so has the old age security program. It goes without saying that the old age security program has adapted to the needs of Canada's elderly population and continues to do so today. As we all know already, we increased the old age security pension by 10% for seniors aged 75 and older. This officially came into effect last year. It was the first permanent increase to the OAS pension since 1973. It is giving older seniors greater financial security now and into the future. Most importantly, it will continue to be indexed to inflation, so that it maintains its value over time. This increase was the smart thing to do, because many seniors aged 75 and over are facing greater financial vulnerability than younger seniors are. As they get older, many seniors must deal with health issues. Illness appears, and that entails more expenses. Many seniors are not working much or even not at all. Not everyone benefits from a pension plan from their employer. Moreover, let us not forget the risk of finding oneself alone following the loss of one’s life partner. These are all situations that can deplete personal savings. The older we get, the more likely these situations are to happen. For example, in 2018, among the population aged 65 to 74, more than three out of 10 Canadians had employment income. When we look at those aged 75 and older, it drops by more than half, for fewer than two out of 10 Canadians. Now we have Bill C-319 before us. It is a great piece of legislation. However, it is clear to us that it is not in sync with the demographic information we have and that I have just given. OAS is a proven program, and so are the measures we have been taking to improve it. Yes, the old age security program continues to evolve. This new system has been in preparation since at least 2021, even though we committed to it in our budget. It clearly became a priority in 2022, after almost two years of the pandemic, which made us acutely aware that it was high time to put in place a modernized platform for payment of benefits. Here we are, in the middle of the modernization process. This is another reason that it is impossible for us to support Bill C-319, and I will explain. It would not be possible to implement the bill within the specified time frame. Its implementation would require us to make complex modifications to the existing IT system. The entire essential deployment and stabilization of the old age security program on the modernized platform would then be compromised. We cannot take such a risk. We cannot do anything that would jeopardize this modernization process. As I said, this process is a priority. The OAS program keeps evolving, and we cannot jeopardize this evolution, this modernization. It is an integral part of the whole process we have undertaken since 2015 to improve Canadian seniors' financial security. Without a doubt, we have demonstrated how serious we are about supporting seniors. We have an interesting debate today regarding old age security. It is a debate that allows us to see, once again, to what extent we are already taking the actions that must be taken to ensure the well-being of older Canadians. Nearly a hundred years ago, Canada began laying the foundations of its retirement income system, and the old age security program was one of these foundations. Since then, the program has evolved to meet the needs of Canadians; today, we are ensuring that it continues to evolve in this way.
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Context: House Hansard - 229 - Oct/4/23
Mrs. Anna Roberts
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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