Committee
Consult the user guide
For assistance, please contact us
Consult the user guide
For assistance, please contact us
Add search criteria
Results: 1 - 60 of 79
View Wayne Easter Profile
Lib. (PE)
Okay. I do have a chair's ruling on this, Mr. Julian, which I think you were expecting.
On Bill C-30, I'll read the one for clause 264 first. The other rulings on the other two amendments are basically the same, only with different acts.
Bill C-30 seeks to amend the Canada Student Loans Act to temporarily suspend interest and interest payments with respect to guaranteed student loans during the period that begins on April 1, 2021, and ends on March 31, 2023. The amendment attempts to suspend interest and interest payments by a borrower for an indeterminate period of time that begins on April 1, 2021, therefore extending the time the government would assume the payment of interest to the lender, which would result in increasing payments from the consolidated revenue fund. The amendment as proposed is inadmissible as it requires a royal recommendation since it imposes a new charge on the public treasury.
That relates to NDP-11.
The same wording, basically, relates to NDP-12, as it deals with the Canada Student Financial Assistance Act. It would be the same wording for NDP-13 on clause 266 as it relates to the Apprentice Loans Act.
On all three, I rule them inadmissible based on the need for a royal recommendation, since it imposes a new charge on the public treasury.
View Peter Julian Profile
NDP (BC)
Yes. I'll just finish briefly. I haven't taken a lot of airtime over the last couple of days.
Given that it is the historical ability of the finance committee, with the government being pressed to provide a royal recommendation, I will appeal your decision to the committee, and the committee can decide whether they choose to overrule your decision and ultimately adopt these amendments. That, of course, increases pressure on the government to do the right thing and provide the royal recommendation.
View Wayne Easter Profile
Lib. (PE)
All right.
I will ask the clerk to go to a recorded vote on the chair's ruling.
(Ruling of the chair sustained: yeas 9; nays 2)
(Clauses 264 to 267 inclusive agreed to on division)
(On clause 268)
The Chair: Thank you very much, Ms. Damsbaek. That was much appreciated.
We will turn, then, to division 31 and first nations elections. There is only one clause.
We'll go to Christopher Duschenes.
Does there need to be an explanation on this? I guess we had better. We might as well.
Go ahead.
Atiq Rahman
View Atiq Rahman Profile
Atiq Rahman
2021-05-17 17:27
Thank you, Mr. Chair. I will make it very short.
I am the assistant deputy minister of the learning branch at Employment and Social Development Canada.
Division 30 proposes to waive interest accrual on Canada student loans and Canada apprentice loans for two years between April 1, 2021 and March 31, 2023. No interest will accrue during this period, ensuring that borrowers facing financial impacts of the COVID-19 pandemic can better manage their student debt as the economy recovers.
Thank you, Mr. Chair. I will be happy to take questions.
View Chrystia Freeland Profile
Lib. (ON)
Thank you very much, Mr. Chair. I will leave it to you to introduce the officials later on, but let me say thank you very much to the officials for being with us.
Mr. Chair and members of the committee, thank you for inviting me to speak to you today about Bill C-30, Budget Implementation Act, 2021, No. 1.
After more than 14 months of uncertainty and challenges, Canadians are continuing to fight COVID-19, but we know there is light at the end of the tunnel. As we fight the third wave, more and more Canadians are getting vaccinated.
Bill C-30 is an essential piece of legislation that, once enacted, will allow us to implement our plan to finish the fight against COVID, create jobs and a swift recovery from the COVID recession and lay a foundation for robust, inclusive, green, long-term economic growth.
This budget is about helping middle-class Canadians, helping workers and helping more Canadians to join the middle class. It is about embracing this moment of global transformation to a greener, cleaner economy. It is a plan that will help Canadians and Canadian businesses heal the wounds of COVID and come roaring back.
First, we need to finish the fight against this virus. This bill includes a one-time payment of $4 billion to the provinces and territories to support their health care systems, support that is so essential as we fight the third wave. This is in addition to the $1 billion to support the provinces and territories as they ramp up their vaccine campaigns.
We are making progress in our vaccination efforts, and I know that team Canada can vaccinate even more Canadians even more quickly, and we will. I was vaccinated with the AstraZeneca vaccine at a Toronto pharmacy 15 days ago, and I encourage all Canadians to get vaccinated as soon as it is their turn.
The pandemic has caused a recession, so we need to start by rolling out a comprehensive plan for jobs and growth, to address the disproportionate impact the recession has had on women, young people, racialized Canadians, low-wage workers and small business.
A cornerstone of our plan is a historic investment of $30 billion over five years, reaching $9.2 billion annually, in permanent investments to provide high-quality, affordable and accessible early learning and child care across Canada. Our goal is that within five years, families everywhere in Canada should have access to high-quality child care for an average of $10 a day. Dear colleagues from all political parties, let's make a commitment together today to all Canadians. Let's get this done.
I want to take a moment to recognize Quebec's leadership, especially that of feminist Quebeckers, who have led the way for the rest of Canada.
While we know better days are ahead, many families are still struggling. Around a million Canadians either remain out of work or are working significantly fewer hours than they were pre-pandemic. We must support hard-hit Canadians and businesses across the country so they can recover as soon as possible.
Bill C-30 includes emergency supports for Canadian workers, businesses and families.
The legislation extends the Canada emergency wage subsidy, the Canada emergency rent subsidy, and lockdown support through to September 25, 2021 which will help protect millions of jobs.
With this legislation, we are providing a bridge for people who are unable to work because of COVID by extending income supports, maintaining flexible access to EI benefits, and extending the EI sickness benefit from 15 to 26 weeks.
Bill C-30 also introduces a $15 an hour federal minimum wage. It expands the Canada workers benefit, extending income top-ups to about a million more low wage workers, and lifting nearly 100,000 Canadians out of poverty. These are measurable concrete steps to help Canadians who need help.
We must also help small business, the backbone of our economy and every main street in the country. To do that, we need to improve access to capital and help businesses hire more workers, in particular, through the new Canada recovery hiring program.
Young Canadians have made tremendous sacrifices this past year to protect their elders, and now, they need our collective support.
Through Bill C-30, we will make college and university more accessible and affordable by extending the waiver of interest accrual on federal student loans until March 2023. This will mean savings for more than 1.5 million Canadians repaying student loans. We will not let young Canadians become a lost generation.
Mr. Chair, I have spoken today about just a few of the measures included in Bill C-30, measures which will make a tangible positive difference in the lives of millions of Canadians.
This is a plan for jobs, growth and the middle class. It is a plan built around helping Canadians recover, succeed and thrive.
I recognize the critical role parliamentary committees play in scrutinizing government legislation, and I'm grateful to all of you for your hard work.
Bill C-30 is a historic first step towards recovery and new economic growth for future generations of Canadians.
I would be pleased to answer any questions you have as you study this critically important piece of legislation.
Thank you.
Thank you very much.
View Peter Julian Profile
NDP (BC)
Thanks very much, Mr. Chair.
Thanks to all our witnesses for coming here today. That includes the departmental witnesses. We hope your families continue to stay safe and healthy.
Congratulations, Madam Freeland, for shattering that glass ceiling as the first Canadian woman to present a national budget.
Now, the context of that national budget is that Canadians are suffering through an unparalleled crisis. At the same time, we've seen Canadian billionaires increase their wealth by $78 billion. Hundreds of thousands of Canadians have not been able to return to work. Yet Bill C-30 slashes, in just a few weeks' time, as the third wave crashes on our shores—the most devastating wave yet—the CRB from $500 a week to $300 a week. At the same time, it does nothing to address the fact that Canadian students are having to pay back student loans during a pandemic.
Will the government accept amendments to ensure that the CRB is not slashed from $500 to $300 in the midst of a pandemic and that students get a debt moratorium so that they are not having to pay back student loans in the middle of this crisis?
View Chrystia Freeland Profile
Lib. (ON)
Mr. Julian, thank you very much for the question and for your continued advocacy for low-wage workers and students.
Let me start with students. I do believe that this budget provides unprecedented support for students and young Canadians, with more than $5 billion in support for young Canadians. It includes support in three things, actually, in the Canada student grant—in extending to 2023, as I said in my remarks, the interest moratorium and also in lowering the amount and raising the income threshold at which Canadian students need to begin repaying their loan after they graduate. That is real support for our young people, and they deserve it.
I'm happy to talk about the CRB later on, if you would like. I see that you're wanting to speak, Mr. Julian.
Mr. Chair, maybe I've run out of my time for an answer.
View Sean Fraser Profile
Lib. (NS)
View Sean Fraser Profile
2021-05-11 17:03
Thank you, Mr. Chair.
I wasn't expecting a question in this round, so I'll treat it as a bonus.
Before I do, let me just put on the record my extraordinary disagreement with our colleague Ms. Jansen's perspective on the CERB. I can tell you the feedback that I heard, Minister, in my own community. During a time when people were being forced to stay at home to protect the health and well-being of their families and members of their communities, this is a program that made sure they could pay their rent and mortgages and put food on the table.
I want to direct my question towards the measures targeting young people, particularly students, in this budget.
Before I got into politics—in fact, before I got into anything—I was a student president at StFX University. Go X Go!
I see Wayne shaking his head up there; I'm a homer.
I was one of the folks who went to Ottawa to lobby MPs for important changes. Some of the things in this budget around extending a moratorium on interest on student loans, not requiring students to pay back their student loans until they're earning $40,000 a year, extending the doubling of the Canada student grant—which is going to cover, on average, 90% of the tuition for the lowest-income families in Canada—are all terrific measures. However, there is one in particular that I don't think has got the attention that it deserves. There is a new proposal in this budget that is going to ensure that students don't need to pay back their student loans if their monthly payments exceed 10% of their household income. I should say that they'll still be required to pay that portion back, but the amount beyond that 10% will be covered, both principle and interest, by the federal government.
In the case of students for whom, say, 10% of their monthly income is $400 a month and whose monthly payments are $650, this is going to extend hundreds of dollars every month to low-income students when they're trying to get their feet under them.
Could you tell me the motivation behind this policy and the importance of supporting young people? I'll add that the reason I care about this is that I think the next cure for cancer or the next business solution might be locked in the mind of some kid who can't afford to go to school. It's not just that kid who loses out when he or she can't get an education; it's every single one of us.
If you could highlight the importance of some of these measures to make sure that we can improve the affordability of an education, I would be grateful.
View Chrystia Freeland Profile
Lib. (ON)
Thank you, Mr. Fraser.
I do want to start by underscoring, as I did in my reply to Ms. Jansen, the strength of my agreement with you about the CERB and the CRB. Our government really stepped in when literally millions of Canadians through no fault of their own were suddenly left without a job and without the ability to find a job. I am really, really glad that we took action to support them. I want to say to those Canadians that we will continue to be there. The support is there to September 25.
On students, again I find myself in violent agreement with you, Mr. Fraser. When it comes to the unprecedented support for students in this budget, let me offer three motivations.
I really believe that young Canadians have made a huge and very particular sacrifice during the pandemic. They have curtailed their social lives and many of them have had to learn virtually. They've really done it for us, for their parents and for their grandparents. I think we owe it to them to support them now.
There is a robust body of academic research suggesting that if you graduate into a recession, your lifetime prospects on everything from income to likelihood of having children to likelihood of marriage to even your health can be stunted. This budget really believes in supporting young Canadians. It does that through the measures to support students that you listed and through aggressive action to create work experience and job opportunities. About 500,000 work experience and job opportunities will be created in this budget.
Nicole Brayiannis
View Nicole Brayiannis Profile
Nicole Brayiannis
2021-04-20 16:05
Thank you, Chairperson.
Thank you to the committee for inviting the Canadian Federation of Students to speak on this issue.
I want to start out by acknowledging the privilege that comes with addressing you today, as I ask you to join in paying respects to the original caretakers of the land where I reside, in so-called Pickering, Ontario, who are the Anishinabe, the Haudenosaunee and the Mississauga of the Credit peoples.
To share a bit of context, the Canadian Federation of Students is the oldest and largest student organization in Canada. We represent more than 530,000 students across the country, and our membership includes both domestic and international students at the college, undergraduate and graduate levels, including full- and part-time students.
I want to emphasize how proud I am of the student leaders who, for over a year, have been tirelessly lobbying for improved support. From parliamentary petitions signed by nearly 10,000 Canadians, to a federal lobby week dedicated to a “Just Recovery for Students”, we have been calling on our elected officials for adequate financial support.
This pandemic has proven to be a struggle across sectors. As classes shifted online and work became even more precarious, we continued to see students experiencing new and enhanced challenges to accessing post-secondary education.
While we appreciate the more than $9-billion student investment made last April, we want to address the ongoing shortfalls experienced by students and the PSE sector as a whole. To date, as reported yesterday within budget 2021, more than $2 billion remains unspent.
Instead, students have received a failed $912-million Canada student service grant, inaccessible exclusion criteria for centralized financial relief supports and a six-month moratorium on federal student loans that ended in October 2020. In fact, students spent weeks fighting for the Canada emergency student benefit, only to receive less funding support and to have it endure for less than half of the pandemic.
Therefore, our first recommendation is to uphold commitments to students and graduates by allocating the remainder of unused funds to expand the current and any future financial relief programs to include every domestic and international student and recent graduate. Alongside this, students need an investment in accessible mental health supports that are adequately funded and staffed to address the very real threat of a youth mental health crisis.
As youth unemployment hovers around 20%, following a record-breaking 29% in May 2020, students need a commitment from their elected officials to lay the foundation for a stable future. While the Canada summer jobs program holds value in providing youth opportunities for employment, it excludes international students and those over the age of 30.
Amidst ever-changing familial and personal situations, relief for every person living in this country needs to be readily available, without the stipulation and added barrier of productivity demanded only of young people in this challenging time.
Budget 2021 also promises to continue the doubling of the Canada student grants program for an additional two years, which will assist many students with continuing their studies into the next academic year. Alongside this, we need to see a focus on more permanent measures for low-income students and sustainable investments into the post-secondary education sector.
Our PSE system has been increasingly underfunded since the late 1970s and now faces extreme precarity, as we've seen in recent events with the collapse of Laurentian University in Ontario. Therefore, our second recommendation is to invest in the targeted funding of federal grants, with the intention to move to a universal framework that matches 50% of student tuition costs in each province and territory.
Canada is one of the only G7 countries without a federal post-secondary education act. To stay competitive on a global scale and continue to attract and retain talent within this country, our government needs to be investing in the education sector to see large-scale advancement.
In order to ensure that money is being effectively spent, we need a holistic approach to understanding the impacts of this pandemic. As part of this process, the PBO has been tasked, on the federation's behalf, with producing estimates and cost frameworks for this short- and long-term grant-matching program, federal student debt elimination strategies and annual program values to ensure investment adjustments with inflation, enrolment growth and institutional costs.
Yesterday's budget also waives the accrual of interest on student loans for the next two years and increased the income repayment threshold for borrowers living alone to $40,000.
This is a step in the right direction, but our third recommendation is to listen to student calls for the reintroduction of moratoriums until at least December 2021, implement a stopgap urgent loan forgiveness program and permanently eliminate interest on student loans.
Debt creates economic drag and causes students to delay making large purchases and life choices, and actually reverses the positive, upward mobility associated with pursuing a post-secondary degree. Now more than ever, the PSE sector is going to be critical in advancing our country forward. Re-skilling will be key to upkeep with the technological and virtual shift we've seen this past year, as well as prepare us for the parallel need for a greener economy.
In a just social and economic recovery from COVID-19, student and post-secondary issue prioritization will be critical in rebuilding Canada.
The Canadian Federation of Students appreciates being a part of this consultation to address these needs, and I look forward to your questions. Thank you.
Brandon Rhéal Amyot
View Brandon Rhéal Amyot Profile
Brandon Rhéal Amyot
2021-04-19 12:17
[Witness spoke in Ojibwe and provided the following text:]
Aaniin kina wiya.
[Witness provided the following translation:]
Hello, everyone.
[English]
My name is Brandon Rhéal Amyot. I'm student at Lakehead University in Orillia and a co-organizer with the Don't Forget Students campaign. I am speaking to you from the territory of the Chippewa Tri-Council of Rama, Beausoleil and Georgina. These are lands under the Williams Treaties and the Dish With One Spoon wampum, long stewarded by the Anishinaabeg, the Haudenosaunee and the Wendat. I mention this not just because it's important to recognize the land, but because of the impact that the pandemic has had on indigenous peoples and, in particular, indigenous students and students of diverse communities.
Members, I speak to you today to raise a grave concern about the impact of the pandemic on post-secondary education, students and recent graduates. This pandemic has taken an immeasurable toll on our financial outlook, our job prospects, our quality of education and, most important, our mental health and community health.
In the past year, students and recent graduates have fought hard to get governments to listen and to act. At the beginning of the pandemic, we called for the CERB to be extended to students and recent graduates. After almost two months of advocacy, the Canada emergency student benefit was launched. This provided four months of relative stability and support for students and recent graduates, but hundreds of thousands of international students and recent graduates were not eligible, and recent graduates who are still in search of jobs and who were not eligible for CERB also could not access this program.
The other large program, the Canada student service grant, as you all know, did not end up rolling out and also did not equitably address the impact of the pandemic on students. In the end and to date, of the over $9 billion originally promised for aid to students through the pandemic, $3.2 billion remains unspent. If I'm to be frank, I feel that politics came before students and before responding to the impact this pandemic has had on us, the post-secondary system and our communities.
We're now 13 months into this pandemic, and I probably don't need to tell you that here in Ontario, where I live and attend university, new COVID-19 cases have hit an all-time high. This third wave is particularly impacting me and other young people across the province and across the country.
The toll this has had on my mental health is difficult to measure, and it's difficult to measure the impact it has had on our mental health for all of us post-secondary students, but research just this past November from the Ontario Confederation of University Faculty Associations and others paints a bleak picture—one that I'm living in. The lack of attention to post-secondary from all levels of government during the pandemic and the legacy of systemic underfunding have led to the pandemic being able to wreak havoc not only on our education, but on our lives.
Most recently, one of the casualties was Laurentian University. This is the product of mismanagement, systemic policy failures and underfunding, and it's not only billions of dollars lost in economic activity but a community ripped apart. These systemic issues are not unique to one school. They are present in this system across the country.
Students and recent graduates were barely making ends meet as it was, and we're barely making ends meet now. Despite the picture that is sometimes painted, we are not a homogenous group of recently graduated high-schoolers. Students are parents, caretakers and workers. Some of us, including me, are disabled and are struggling to cope. This is not an environment conducive to learning, and it is not an environment conducive to innovation.
Meanwhile, recent graduates and those about to graduate are facing one of the worst job markets in a generation and will be crushed under the weight of record high student debt and unreasonable payments. What possible justification is there for collecting student debt payments and interest during a pandemic? In the best of times, these payments are difficult to make. We have to find a better way, not just to get us through the COVID-19 pandemic, but to fully realize the potential of post-secondary education in this country as a part of a social, environmental and economic recovery.
In the short term, all funds that were originally allocated to students—and additional funds—need to be invested towards supporting us through the pandemic. This means relaunching the Canada emergency student benefit—or whatever you want to call it—in May and including international students in the eligibility. It means including all soon-to-be-graduating and recently graduated students in direct supports. It also means extending the moratorium on student loan debt and interest payments until at least the end of the pandemic, with commitments to significant student debt relief.
We have to think about the long term, and that means systemic investments in post-secondary students and education. It means expanding the Canada student service grant with a goal of returning to a fifty-fifty cost-sharing model. It means increasing funding to institutions, and it means creating a federal vision for a universal post-secondary system in collaboration with students, workers and academics.
With these measures, the government can begin to address the impact that the pandemic has had on students and our mental health and well-being, and the long-standing inequities and gaps within the post-secondary system.
In closing, I want to thank this committee for reaching out to hear from students, and I urge members to take action.
Meegwetch.
View Don Davies Profile
NDP (BC)
Thank you, Brandon.
I want to zero in on a few things. I want to preface by saying that I know every single Canadian has been terribly affected by the COVID crisis, but I think that seniors and young people have particularly had their lives disrupted in certain ways—I think students in particular in that regard. I want to ask you a couple of specific questions.
What would be your recommendation to the federal government in terms of the appropriate policy to handle student debt and interest payments for student loans at the federal level?
Brandon Rhéal Amyot
View Brandon Rhéal Amyot Profile
Brandon Rhéal Amyot
2021-04-19 12:48
I think that, short term, obviously we need to get through this pandemic. We shouldn't be charging recent graduates interest and student debt payments. We paused it for the first six months of the pandemic, so I believe the federal government should work with the provinces and territories to refreeze payments to the National Student Loans Service Centre for the remainder of the pandemic. Long term, we should be looking at progressively and aggressively writing off student debt federally—the federal portion—and urging the provinces to do the same because, at this point, we have reached a critical junction in post-secondary policy and in terms of student debt. It is not in the economic interest of Canada to continue to burden people with student debt.
Particularly if we're talking about the marginalized communities in Canada—low-income students, indigenous students, women—they have a longer and harder time paying off student debt than their peers. If we're looking at this through an equity lens too, we need to acknowledge that. We should be working towards the progressive elimination of student debt, but in the short term, student-loan interest payments and debt payments.
View Don Davies Profile
NDP (BC)
Just so that I'm clear, Brandon, right now as we speak, are graduates paying federal interest on their student debts?
Brandon Rhéal Amyot
View Brandon Rhéal Amyot Profile
Brandon Rhéal Amyot
2021-04-19 12:49
It's my understanding that a freeze on interest has been implemented or is about to be implemented. They are still making hundreds of dollars in payments a month; there's just no interest. Frankly, the removal of interest is not sufficient, not during the pandemic and not in the best of times.
View Don Davies Profile
NDP (BC)
Thank you, Mr. Chair. That's generous of you.
Brandon, I want to give you a chance to answer my last question. It's budget day today. What advice would you give the Prime Minister and the Minister of Finance regarding the best measures to help students in this country?
Brandon Rhéal Amyot
View Brandon Rhéal Amyot Profile
Brandon Rhéal Amyot
2021-04-19 13:00
Thank you, and I apologize for my cut-off.
I was actually about to touch on the fact that Internet has been an issue for post-secondary education across the country. Even in bigger cities, it's an issue. I have missed many a class because my Internet cuts out, as it just did here, so now I'm on mobile data.
To answer your question regarding the federal budget today, we need to go bold with our post-secondary policy on funding. During the pandemic, we need to reimplement the Canada emergency student benefit. We need to extend it to international students. We need to put a moratorium on student loan debt repayment and interest. In the long term, we need to increase federal transfers to the provinces for post-secondary grants for students to reduce the amount of debt we have to take on.
We need to increase institutional funding, and the federal government should create a federal post-secondary education committee. We are the only G7 nation with no federal oversight of post-secondary education. It is time to get bold, when it comes to post-secondary policy, so that Canada can really stand out on the world stage.
View Leah Gazan Profile
NDP (MB)
Just with the limits on my time, Minister, it was in your mandate letter—
Hon. Carla Qualtrough: I know.
Ms. Leah Gazan: —so if you could follow up with my office with a response....
On the student loan repayment moratorium, we know that industries that employ young people have been hard hit during the pandemic. The service industry is one example. Young people currently have fewer job options, and those that are available are often low-paying jobs and put them at higher risk for COVID-19.
On November 25, the House unanimously adopted a motion to extend the pause on federal student loan repayments. Why have we not seen action on this? When will you pause federal student loan repayments?
View Carla Qualtrough Profile
Lib. (BC)
Helping to provide relief for students' debt obligations was, as you know, one of the first things we did when the pandemic hit. In the fall economic statement, we have committed—I think it was around $329 million, but I'll confirm—to provide immediate relief to all student loan borrowers through a one-year interest waiver, which I guess is the best way to describe it.
Again, we're looking at the way forward through our budget preparations, and I will have more to say on additional supports for students in the coming months.
View Chrystia Freeland Profile
Lib. (ON)
Thank you, Mr. Chair and members of the committee, for the invitation to be with you virtually today. Accompanying me virtually from the Department of Finance are Maude Lavoie, Dave Beaulne, Trevor McGowan, Lesley Taylor and Nicolas Moreau.
I'd like to begin by acknowledging that today is a sombre anniversary. It is one year since COVID-19 was declared a global pandemic by the WHO.
On this national day of observance, I know that all of us honour the memories of all those who have lost their lives to this disease, and we have the deepest compassion, I know, all of us in this committee, for their families and their loved ones.
To the extraordinary Canadians who have been serving on the front lines in our country's fight against COVID-19, to personal support workers in long-term care facilities, to all of our health care workers and to the essential workers keeping food on our shelves, from cashiers to truck drivers, let me just say thank you.
I'm happy to be with you, parliamentary colleagues, to talk about Bill C-14, which would implement several important and necessary measures from the fall economic statement, which I tabled last November 30.
For over a year now, Canadians have been coping with an unprecedented crisis that is still in progress. But spring is coming and there will be better days ahead.
Until we've got COVID-19 under control, our government will do everything it can for as long as it's needed to help Canadians get through the crisis. From the beginning of the pandemic, the Government of Canada has done everything in its power to get the virus under control and limit its economic impacts. So far, $8 out of every $10 spent in Canada to combat COVID-19 and help Canadians came from the federal government.
In the 2020 fall economic statement, we set out a detailed plan to protect Canadians, jobs and companies in Canada during the pandemic's second wave. We took rapid action to meet these commitments.
By supporting Canadian businesses, jobs and families, not only were we helping our communities get through a difficult winter, but also preventing economic after-effects. This support will allow for a full and robust economic recovery once the virus is totally under control.
Bill C-14 is an important component of our government's economic plan. It makes it possible to move forward with the emergency measures outlined in the economic statement designed to provide immediate assistance to families with young children, students and businesses, in addition to measures to protect the health and safety of Canadians.
When we debate Bill C-14, here is what is concretely hanging in the balance.
The fall economic statement announced a new $1 billion safe long-term care fund to help provinces and territories protect seniors. Of this, Bill C-14 would provide $505.7 million immediately, while our need is most urgent, to support long-term care facilities over the coming months to help prevent the spread of COVID-19 and to help prevent outbreaks and deaths in supportive care facilities.
In addition, we have proposed, through this bill, to provide up to $395.6 million to support a range of health initiatives to help Canadians cope during the pandemic and to continue our fight against the virus with vaccine funding and development, testing and treatment.
The challenges brought on by this pandemic have caused great hardship for Canadian families with young children and brought unanticipated costs. Bill C-14 proposes to provide immediate relief for low- and middle-income families with young children who are entitled to the Canada child benefit by providing up to $1,200 in 2021 for each child under the age of six. Families that have a net income at or below $120,000 would receive four tax-free payments of $300. Families entitled to the CCB who have a net income above $120,000 would receive four tax-free payments of $150, for a total benefit of $600.
This temporary assistance would directly benefit more than 1.5 million families and more than two million children at a time when many are still grappling with the financial impacts of the pandemic.
If I can speak personally for one moment, I am hearing so clearly from my neighbours and constituents who have young children just how hard COVID is for them. I know we would all love to give them this extra support. As you all know, we can't get it to them until Bill C-14 receives royal assent.
Our government is also working to protect the future of students who had to leave school or who were unable to obtain summer internships or jobs.
Through Bill C-14 we will eliminate interest on repayment of the federal portion of Canada student loans and Canada apprentice loans for 2021-2022. This important measure will provide $329.4 million to 1.4 million Canadians who are looking for work or who are in the early stages of their career.
The bill also formalizes an amendment to the Income Tax Act that will allow the Canada emergency rent subsidy to recognize rent payable as an eligible expense, provided certain conditions are met.
As members of this committee will recall, the Canada Revenue Agency is currently administering the rent subsidy with rent payable as an eligible expense. This is because the businesses relying on this subsidy told us that it was what they needed, and all of us listened. Not all small businesses have the cash flow to pay their rent on the first of the month with the reimbursement to come later. This bill ensures that those small businesses can get the support they need. Again, I'm sure we've all heard from small businesses in our ridings who really need that support.
Additionally, Bill C-14 authorizes payments to Canada's six regional development agencies for the regional relief and recovery fund. The government announced the $962-million fund on April 17, and then expanded it to $1.5 billion on October 2. As a next step, Bill C-14 proposes a further top-up, to $2 billion, for this fund. It helps support businesses that for one reason or another are unable to access other federal pandemic support programs.
The point I'm making here is really simple: The measures in Bill C-14 are essential. Canadian families and Canadian businesses need this support to get through the crisis.
Colleagues, today let's set aside partisan sparring and work together to support the people all of us serve. I welcome vigorous debate, care and study. Indeed, debate has been central to Canada's response to COVID-19 so far. Our government has received constructive input from all parties, very much including all the members of this committee. I recognize the critical role parliamentary committees play in scrutinizing government legislation. I understand that the opposition's formal role is to oppose, and that delay forms part of the opposition tool kit in the Westminster parliamentary system. I get that. When I was first elected, I sat in the opposition benches. I asked questions in committee of the member for Abbotsford, who now sits in this committee with us all, when he served as trade minister.
That said, it is now time for us to move forward. Canadians need the concrete support this bill offers, and they need it urgently. At second reading, some of our colleagues on the opposition benches set partisan politics aside to do what is best for Canadians and supported the bill. I was frankly surprised that the Conservatives chose to do the opposite. I was surprised they did that even as they put forward an opposition day motion urging the government to support small business.
I say to my Conservative colleagues, on this committee and in the House, that—
View Peter Julian Profile
NDP (BC)
Thank you.
You talked about comprehensive supports. Here's another example: part 2—student loan payments. Despite the fact that the NDP steered through a motion, which passed unanimously, for a moratorium on all student loan payments, what we have is just a moratorium on interest.
Students are struggling. People with disabilities are struggling. These are situations that are well known to Canadians right across this country. The NDP has also proposed supports going immediately to people with disabilities, far beyond the partial payment that was made this fall and that took nine months to occur.
Why didn't the fall economic statement ensure that there was a moratorium on all student loan payments and that there were adequate supports in place for people with disabilities?
View Chrystia Freeland Profile
Lib. (ON)
Mr. Julian, I'm really glad you raised students. In my opening remarks, I singled out the importance of Bill C-14 in allowing us to provide more support for students. It is really important to me, and you're right to raise the issue.
What I would say, collectively, is that we need to understand that the three groups that have been hardest hit by losing their jobs are youth, women and low-wage workers—particularly racialized and new Canadians. We need to be sure that our support is targeted there.
Mabel Tung
View Mabel Tung Profile
Mabel Tung
2021-02-17 18:14
Ever since Hong Kong was handed over to China in 1997 its people have strived to protect their way of life and their system of government. In July 2020, China imposed a sweeping national security law, stripping the city of any remnants of autonomy, civil and social freedom. Tens of thousands turned out to protest this new legislation. Thousands were arrested and hundreds were imprisoned.
In 2021, the mass arrests have intensified. Pro-democracy legislators, democracy activists, a media tycoon and a human rights lawyer are on the list. Some are held, being denied bail.
Many Hong Kongers who participated in the movement fear they will face the same fate as the student protesters in Tiananmen Square 32 years ago. They look to western democracies for protection and safe harbour. Already 46 Hong Kong citizens are seeking asylum in Canada.
We urge the Government of Canada to lend support to Hong Kongers seeking political asylum. We welcome the new open work permits for Hong Kong residents announced by Minister Mendicino as a major step when it comes to helping young activists become integrated into Canadian society.
To make the new policy more accessible to activists under imminent persecution, we submit the following recommendations:
First, appoint a designated commissioner within the Canadian consulate in Hong Kong to handle, with utmost confidentiality, cases from political asylum seekers, including vetting, background checking and evidence gathering to establish the validity of their claims. This commissioner can enlist the help of prominent Canadian civil rights organizations such as VSSDM, which have direct connections with Hong Kong civil society. In urgent situations, we recommend providing temporary resident permits with special quotas to activists who need to leave Hong Kong and complete the application process within Canada.
Second, broaden family reunification, including for siblings and extended family. This would be another way for more young activists to flee Hong Kong. Again, in urgent situations, we also recommend providing temporary resident permits to activists who need to leave Hong Kong and complete their application within Canada.
Third, provide grants or loans to asylum seekers. Instead of applying for refugee status, asylum seekers would receive a loan to further their studies and they would pay back the loan in the same way that one pays back student loans. This way the federal government would not be required to pay any financial assistance, thereby saving taxpayers' money. Furthermore, this would save the activists from having to live through a year of uncertainty.
Number four, support former Canadian citizens who returned to Hong Kong and ran for public office in the pan-democracy camp. These Canadians were required to give up their Canadian citizenship. These legislators have subsequently been either disqualified to run or stripped of their seats under the national security law. We ask that the Canadian government grant them pathways to regain their Canadian citizenship, such as giving them permanent resident status to work towards citizenship.
Number five, extend the visas of Hong Kongers currently residing in Canada under the temporary work permit who participated in protest actions in various Canadian cities since 2019. They face an uncertain future. They fear returning to Hong Kong only to be arrested or barred from leaving the city, or remaining in Canada without proper status. We recommend allowing for an application to extend their existing visa to a five-year visa with an expedited pathway towards obtaining permanent resident status.
View Matthew Green Profile
NDP (ON)
Thank you. I'm trying to get an outlook for the next generation, notwithstanding the fact that our aging population has had some good years and of course some other decades that might not have been so good.
I want to take a moment right now and zero in on your legislative costing note on eliminating interest on the Canada student loans program. In it, you have suggested that it will cost $315 million for 2020–21. It showed that in the past five years, ESDC has written off, waived or forgiven more than $2 billion in students loans due to financial distress and what student borrowers are experiencing here throughout COVID. That's on top of the $410 million ESDC has to spend to contract the administration of Canada student loans programs to DH Corporation over the same period of time.
In your opinion, what would be the effect of eliminating student loan interest payments; what effect would it have on borrowers; and could this help potentially offset the losses experienced by the student loan defaults and writeoffs?
Yves Giroux
View Yves Giroux Profile
Yves Giroux
2021-01-27 17:39
The cost estimate we did, which was pegged to not imposing interest on student loans, as you pointed out, was a $315-million gross cost, minus $5 million in reduced tax credit for the interest expense. Of course, this would probably have a positive impact on the number of defaults, given that the amount owed by students collectively would be lower, so the probability of default, other things being equal, would probably go down slightly.
That's one thing we considered, and we also noticed when we did cost estimates in a previous setting. In the electoral campaign a couple of questions were asked by various parties on various student loan measures. When relief measures are afforded to students, they have a corresponding impact in reducing the number of bankruptcies, loans in default and loans written off.
View Matthew Green Profile
NDP (ON)
I note that the new Biden administration has extended the freeze. We have not, to date. We're hoping this government will go down that path.
Just for my own clarification, what is the effective rate right now on the program? Is it also impacted by the really low interest rates?
Yves Giroux
View Yves Giroux Profile
Yves Giroux
2021-01-27 17:41
Yes, it is, but given my apparent age it's been a while since I've paid interest on student loans.
Maybe Xiaoyi or Trevor knows the going rate on interest on student loans.
Trevor Shaw
View Trevor Shaw Profile
Trevor Shaw
2021-01-27 17:41
I believe the interest rate on that program is close to the government's own borrowing costs of close to the prime rate of interest.
View Matthew Green Profile
NDP (ON)
Respectfully, though, I'm not looking for comfort; I need to get a sense of the number.
I say that with the utmost respect to you.
View Louise Chabot Profile
BQ (QC)
Thank you, Mr. Chair.
I'm going to ask a question about the student loans mentioned in the fall economic statement. $329.4 million was announced to eliminate interest on Canada student loans and Canada apprentice loans for fiscal 2021-22.
Since these programs do not apply to Quebec students, can you give us the details about compensation for Quebec students further to this announcement?
View Louise Chabot Profile
BQ (QC)
Thank you. I am mainly interested in how Quebec students will be compensated for this program.
My other question I have already asked. You are aware that the employment insurance claims of people who received money during their parental leave are caught up in an administrative maze. All these claims are frozen, sometimes for months, because of a lack of clear policy. That's what Service Canada agents are telling claimants. They are telling them to call their members of Parliament. We feel it's unacceptable.
Are you working with the department responsible to get clear instructions for unblocking claims so that people can receive assistance?
View Chrystia Freeland Profile
Lib. (ON)
The fall economic statement details our plan to protect Canadian lives, Canadian jobs and Canadian businesses, and we are moving quickly to deliver on our commitments.
The legislation I tabled last week, Bill C-14, proposes to move forward with several urgent COVID-19 related measures in the fall economic statement that will help Canadians get through this pandemic and strengthen our health response.
For example, the legislation would provide low- and middle-income families who are entitled to the Canada child benefit with additional support of up to $1,200 for each child under the age of six in 2021.
It would also help young Canadians by eliminating, for one year, the interest on their repayment of the federal portion of the Canada student loans and Canada apprentice loans.
Bill C-14 also sets out up to $505.7 million in 2021 to help long-term care facilities prevent the spread of COVID-19. Under the bill, $400 million in additional funding will also go to various measures including support for mental health, substance abuse, COVID-19 testing and telemedicine.
I hope all members will consider this legislation with the urgency it deserves. I know that we all know that Canadians are counting on us.
Mr. Chair, last week's fall economic statement also outlined a growth plan to jump-start Canada's economy once the coronavirus is under control.
The government will invest between 3% and 4% of Canada's gross domestic product, or GDP, over three years. The government will provide further details on its recovery plan in the months ahead leading up to budget 2021. The plan will be based on creating good jobs for the middle class.
This, Mr. Chair, is needed economic policy and this is smart economic policy. One of the lessons of the 2008-09 global financial crisis is that withdrawing fiscal support too soon after a deep downturn can hamper growth for years afterwards. Our government will not repeat that mistake.
That said, our stimulus, our growth plan, will be time limited and carefully targeted. Fiscal guardrails will help us establish when the stimulus will be wound down. When the economy has recovered, time-limited measures will be withdrawn and Canada will resume its prudent and responsible fiscal path.
Uncertainties about the timing of the pandemic and global economic developments mean that the timeline for recovery should not be locked into a rigid, predetermined calendar. Instead, the government will track progress against several related indicators, recognizing that no one data point is a perfect representation of the health of the economy. These indicators include the employment rate, total hours worked and the level of unemployment in the economy.
Mr. Chair, I'm very glad the committee is beginning its consultations. The federal government will launch our own pre-budget consultations in the new year. We all very much look forward to hearing from Canadians about their priorities as we design our growth plan.
I look forward to hearing Canadians' ideas on what we can do to support families and businesses, kick-start the economy and keep Canada's strong fiscal position.
We Canadians have faced adversity in the past. We've faced tough winters, and we have always emerged stronger than before. I know that we will this time too.
I would be pleased now to answer your questions.
View Jean-Yves Duclos Profile
Lib. (QC)
Thank you, Mr. Chair.
I would first like to thank the committee for inviting me back to speak this time to the supplementary estimates (B) 2020-21, which were tabled last October.
With me today, I have the pleasure of introduce to you Glenn Purves, assistant secretary, expenditure management sector; Karen Cahill, assistant secretary and chief financial officer; Sandra Hassan, assistant deputy minister, employment conditions and labour relations; and finally Kathleen Owens, assistant comptroller general, acquired services and assets.
These supplementary estimates (B) are the second of three supplementary estimates planned for fiscal year 2020-21. They outline new and updated spending needs for programs and services that were not sufficiently developed in time for inclusion in the 2020-21 main estimates.
The government needs to make sure that it gives Canadians the support they need during the COVID-19 pandemic, while at the same time promoting our country's economic recovery and prosperity .
We do this by investing in critical health care and supporting the safe restart of our economy. Our spending plans, the ones you have in front of you, will help Canada thrive, and remain strong and united.
The government continues to invest in Canadians and the economy, particularly in efforts to respond to the public health threats of the COVID-19 virus and to minimize its health, economic and social impacts.
These supplementary estimates (B) present a total of $79.2 billion in incremental budgetary spending. This includes $20.9 billion to be voted by Parliament and $58.3 billion in forecast statutory expenditures.
As you know, vote expenditures require annual approval from Parliament through an appropriation bill. These types of expenditures include operating, capital, and grants and contributions.
Statutory spending does not require annual approval from Parliament because that type of spending is already authorized by Parliament through separate legislation, such as the federal-provincial transfers that are pursuant to the Federal-Provincial Fiscal Arrangements Act.
In these supplementary estimates (B), most of the $20.9 billion in new voted spending is for emergency responses to the COVID 19 pandemic, including medical research, vaccine development and purchases of personal protective gear, and medical equipment and supplies. They also cover economic responses to the pandemic, including support for small- and medium-sized businesses, salary top-ups for essential workers, and funding for provinces and territories to safely restart their economies, and bring students back to school.
Overall, funding requirements for the top 10 organizations account for approximately 85% of the voted spending sought through these estimates. Of those 10 organizations, eight are each seeking more than $500 million to support their priorities. For example, in my department, the Treasury Board Secretariat is asking for $646.6 million.
In addition, the $58.3 billion in planned statutory spending included in these estimates reflects the government's key response measures and emergency supports, including $28.5 billion for the Canada emergency response benefit, $12.3 billion for payments to provinces and territories for the safe restart agreement, $3.8 billion for medical research and vaccine development and $3.3 billion for the acquisition of protective gear and medical equipment.
These supplementary estimates (B) also include $1.3 billion in non-budgetary measures related primarily to student loans.
To conclude, my officials and I are very appreciative of the time the committee spends studying the government's spending on behalf of Canadians.
We would be pleased to take any questions you may have.
Thank you.
View Julie Dzerowicz Profile
Lib. (ON)
Thank you.
Thank you so much, Mr. Shugart. Thanks for being here today. Thank you so much for your leadership and service to our nation, especially during this unprecedented time.
I want to start off by going back to March and April, when the severity of the pandemic became obvious and the Government of Canada was very focused on providing Canadians with as much help as possible. I just went through everything that was announced before April 22, and I literally have four pages of announcements. There was an unprecedented amount of work done by our civil servants to provide supports to the homeless, to the arts sector, to the business sector, to individuals—you name it. We introduced a whole number of programs.
In terms of students, as you just mentioned, there was a huge concern about the unevenness of what was available in terms of jobs and opportunities and the ability for students to be able to continue to have financial means to be able to support their ongoing education. On April 22, $9 billion was announced to support post-secondary students. There were four key programs. There was the Canada emergency student benefit, expanding more jobs, in addition to CSJ, with adjustments to Canada student loans and grants to make them far more generous. This last segment was the Canada student service grant, which was up to $912 million. It was meant as a way to provide an opportunity for students to not only volunteer, serve in their community and help non-profits, but also to earn a little bit of extra money.
Again, my understanding is there was a stacking element. You could actually have up to three of these components. We could give many opportunities to students across this country and give them the best ability to be able to continue to work or continue to support their community while also trying to raise some funds for their ongoing education.
There's this false narrative around the federal government setting up the Canada student service grant to provide an hourly wage for students. Can you please relate to the committee whether there was the intention to provide an hourly wage or whether it was meant as part of an overall package, some additional support, in a grant format?
Ian Shugart
View Ian Shugart Profile
Ian Shugart
2020-07-21 11:43
My understanding...and I want to underline to the committee, Chair, that I am not the file expert, and one of my many flaws is a non-encyclopedic memory. But my understanding is that this was intended to help provide for the needs of students who, because of the inability to have part-time work or perhaps the support from families that have been affected by job loss, etc., were not able to access the CERB and they could very well be in hard times in terms of their own income.
So in the form of a grant, as you say, this was intended to meet that financial need, but as part of an engagement putting students who would otherwise have been studying to work in ways so that they could make a contribution through non-profits and support to the community and so on during the pandemic.
I might point out that one of the criteria, one of the requirements, of the WE Charity was to be able to support this kind of thing in a safe way, so that the public health goals of limiting the spread of the pandemic would be supported and attended to through this vehicle.
View Julie Dzerowicz Profile
Lib. (ON)
So it was never meant to be an hourly wage, just an additional support, and one of many numbers of different things that the government was introducing to try to support the students.
Ian Shugart
View Ian Shugart Profile
Ian Shugart
2020-07-21 11:45
Well, I stand to be corrected by officials in the relevant departments, but that is my understanding. You're correct.
Chris Aylward
View Chris Aylward Profile
Chris Aylward
2020-07-21 12:24
Thank you. No problem.
My apologies, especially to the interpreters in the booth.
Students may actually end up making even less than $10 an hour. The grant will be calculated using 100-hour thresholds and will be rounded down. Students need to work a full 100 hours to get any money at all. If they work more than 100 hours, but less than 200, they are providing free labour for the additional hours. It is also ironic that the federal government has brought in regulations under the Canada Labour Code to restrict the use of unpaid internships, yet it is expecting students to work unpaid hours under the student service grant program.
Paying students to carry out volunteer work means that they are no longer volunteers. Simply calling them volunteers will not protect the government or the organizations employing them from violating provincial labour standards. PSAC agrees that students need support during this very difficult time. What they don’t need is a program that shortchanges them for their labour.
The government could have organized the program to pay students to work for non-profit agencies and charities, carrying out duties that volunteers could not do, or to perform work that would not be done due to a shortage of volunteers. They could have been paid at least minimum wage for their work, but ideally a wage more closely aligned to the type of work they would be performing, and they could be paid for all their work. For that matter, why introduce a grant program that emphasizes volunteer experience as opposed to job experience? The government could have taken immediate action to bolster existing summer student employment programs, including the federal student work experience program.
Finally—and let me conclude—if the government had either used existing programs or asked the public service to set up a new student work and payment plan, it would have avoided the conflict of interest issues that have come to light since the WE Charity announcement, and it would have been able to deliver both pay and work experience to students.
Thank you.
View Pierre Poilievre Profile
CPC (ON)
Thank you.
My question is for Mr. Aylward.
First of all, Mr. Aylward, thank you to you and your members for the extraordinary work the public service has done during this pandemic. It is a real testament to their commitment and professionalism. Though we don't always agree with the government's policies, we do commend those who have taken an oath to loyally deliver the programs, and your members have done that, so please give them our thanks.
Are you aware of any federal program that provides students with some compensation for working at non-profits and/or charities?
Chris Aylward
View Chris Aylward Profile
Chris Aylward
2020-07-21 13:09
There are a number of programs for students that are currently being administered by the federal public service that do that type of work. I would defer to my technical expert who is with me, my technical resource, Mr. West. If he is on the line, he could provide a better answer to that.
Howie.
Chris Aylward
View Chris Aylward Profile
Chris Aylward
2020-07-21 13:09
Okay, maybe Mr. West is not with us. That's okay.
Mr. Poilievre, I can't give you specific programs that would do that, but as I said, I do know there are several programs administered within the federal public service that address student issues.
View Pierre Poilievre Profile
CPC (ON)
Are there there any programs that basically provide some federally backed compensation or wage subsidy for students to help not-for-profits or charities?
Joshua Mandryk
View Joshua Mandryk Profile
Joshua Mandryk
2020-07-21 13:10
Yes, some of the existing programs do that. They'll provide subsidies to the not-for-profits and charities for the full value of those young workers' wages in order to hire them as employees.
View Ryan Turnbull Profile
Lib. (ON)
View Ryan Turnbull Profile
2020-06-12 14:39
I'd like to ask you a follow-up question about that.
We also announced new eligibility criteria for the Canada student loans program and a doubling of the Canada student grant. Do you think that's going to have an impact on helping students go back, re-enrol and pay for that tuition in the fall?
Babacar Faye
View Babacar Faye Profile
Babacar Faye
2020-06-12 14:40
Absolutely, I think that would have an important impact. We have to ensure that is available but also that there's an equivalent or [Technical difficulty—Editor] that the amount of government aid in student loans for Canadian students is sufficient.
There is a need, I believe, for more support when it comes to just the other factors that might surround it and that might apply but might not be considered when it comes to our students. We typically have a narrow field, to use those words, when it comes to students, and we usually have the perception that students only have tuition fees to worry about. We need to expand that to consider that a lot of students also have living standards to uphold. We need to be looking at the entire cost of living for students.
We could look at promoting and pushing for a more complete approach when it comes to providing, first of all, accessibility for learning materials and other tools that may aid students in learning, but also look at rent and the ability to find places to rent. We also need to be looking beyond domestic students to international students, who don't apply for that help and don't receive that aid, and who don't apply, for example—
Bryn de Chastelain
View Bryn de Chastelain Profile
Bryn de Chastelain
2020-06-12 15:14
Good afternoon, Mr. Chair, esteemed committee members and fellow witnesses. I would like to begin my statement by acknowledging that I speak to you today from Mi'kma'ki, the ancestral and unceded territory of the Mi'kmaq people.
My name is Bryn de Chastelain. I am the chair of the Canadian Alliance of Student Associations, or CASA. I am also president of the Saint Mary's University Students' Association and a fourth-year student pursuing a Bachelor of Arts degree with a double major in political science and economics.
CASA is a non-partisan, not-for-profit organization that represents over 275,000 students at colleges, polytechnics and universities from coast to coast. Through a formal partnership with the Union étudiante du Québec, with which I will be sharing time today, we are a trusted national student voice.
CASA has been at the forefront of student advocacy efforts throughout the COVID-19 pandemic. We've been clear that students, like other Canadians, have been hit hard by the pandemic's economic and social impacts. At a uniquely vulnerable point in their lives, students have been blindsided by lost income, online classes, a summer of isolation and bleak job prospects following graduation.
Thankfully, on April 22, the federal government responded to our calls for support with a generous and significant student aid package. As a student leader, I would like to express my gratitude for this immediate and considerable support, which was extraordinarily necessary in these unprecedented times. Many students are now seeing immediate support from either the Canada emergency response benefit or the Canada emergency student benefit, which together are providing an irreplaceable stopgap for students. These benefits are helping students to keep food on the table and a roof over their heads, and we thank you for that.
I would also like to highlight the generous additions to both the Canada student grants and the Canada student loans, which were also announced on April 22. These improvements will help ensure that many students in Canada can continue to access and afford their education despite COVID-19-related hardship. These supports are welcomed by students across Canada, but not everybody has access to them.
I would particularly like to highlight the lack of support available for international students during this quarantine period. Let's not forget that international students in Canada contribute an estimated $21.6 billion to Canada's GDP and support almost 170,000 jobs. On top of that, many international students in Canada plan to stay and contribute to our economy once they have graduated. According to the Canadian Bureau for International Education, 60% of international students in Canada plan to apply for permanent residency once they graduate from school. Many also continue to live and work in Canada over the summer between semesters, and the COVID-19 pandemic has robbed them of their opportunity to support themselves.
These international students are stuck in Canada with no job prospects, with groceries and rent to pay for, and with little financial support from the federal government. As it stands, international students are ineligible for the Canada emergency student benefit, meaning that those who have made less than $5,000 in the past year are left without access to desperately needed assistance. The Canada emergency response benefit is available to international students, but the Canada emergency student benefit is not, and we see that as fundamentally unfair. Many international students cannot work while in school and have lost the opportunity to do so over the summer. They need support, and we're asking the federal government to leave no student in Canada behind.
Now, despite this gap surrounding international students, CASA is strongly supportive of the federal government's overall student aid efforts thus far. Looking forward, however, we at CASA are hearing that students are still very worried about their finances and their health, as well as the quality and accessibility of the upcoming digital semester. According to a recent poll that we at CASA commissioned, 77% of students in Canada report being considerably stressed by the ongoing COVID-19 pandemic. We're stressed about what the pandemic means for our future, about the health of our loved ones and about finding employment after graduation.
Students are reporting significant financial hardship despite the relief provided by the CERB and the CESB. Close to 70% of students in Canada say their summer employment plans have been negatively affected by COVID-19. Of that 70%, four in 10 say they've lost all of their regular summer income due to the pandemic, while 43% say they will be relying more on government loans to pay for the upcoming school year, and 59% say they are just as worried about covering their living expenses in January as they are today.
Students are seeing real financial hardship on the horizon, and that's why CASA is calling on the government to consider additional support for students beyond September 2020. Specifically, we are asking the government to extend the six-month interest-free moratorium on federal student loan payments past September 30, 2020.
Now, beyond financial concerns, CASA is also hearing that many students are second-guessing whether school in the fall is even worth it, given the less-than-ideal digital environment. Our data tells us that 39% of students have considered deferring or have already deferred their fall semester. Along with this, 31% have also considered switching or have already switched from full-time to part-time studies.
Students are rightly worried about the quality and accessibility of their classes in the fall, and we think the federal government can do more to ensure that our next semester is a success.
According to the CRTC, only 64% of rural residents have access to broadband Internet fast enough to sustainably access the kind of video conferencing applications used for online learning, compared to 100% of urban residents. The OECD also ranks Canada in the top 10 of the most expensive countries for broadband Internet access when adjusted for cost of living.
In the 2019 election, the Liberals promised to ensure that every Canadian would have access to high-speed Internet by 2030. CASA urges the federal government to accelerate this timeline and move forward with immediate steps to ensure that all post-secondary students have adequate access to reliable and high-speed Internet in time for school this fall.
Finally, we know that success in a digital classroom hinges on having the suitable technology to succeed. Digital learning, while necessary during the COVID-19 pandemic, will place the burden of possessing sufficient technology, like computers, on post-secondary students. According to our polling, almost 50% of students in Canada highlighted having the technology they need as a primary concern entering next semester.
That's why we're also calling on the federal government to ensure that all students have sufficient access to digital technology. Specifically, we're asking the government to commit additional funding to provide appropriate digital technology to any low-income student who needs it.
I would like to thank the committee once again for the invitation to come and testify and represent the voice of Canadian students.
I will now turn the floor over to my colleague Jade Marcil of the Quebec Student Union, and I look forward to answering your questions.
View Raquel Dancho Profile
CPC (MB)
Thank you for that.
My second question concerns financial aid for students. Many students are, of course, supported by their parents in university, but also, in addition to that, they access government student loans, which, if my memory serves me correctly, depend on the parents' earnings from the year prior. Of course, as was mentioned, many parents have taken a serious hit to their income this year. If the students weren't eligible last year because of their parents' income, it may not be the same this year going into the fall semester.
Do you anticipate there will be a significant impact on fall enrolment because of the lack of parental support or the lack of eligibility for student loans?
Mackenzy Metcalfe
View Mackenzy Metcalfe Profile
Mackenzy Metcalfe
2020-06-12 15:33
I do expect that many students will very seriously reconsider attending post-secondary education because of the costs. That is one of the reasons we are asking for students' expected income and spouses' contributions to also be waived in the 2021-22 academic year. When you apply for programs like OSAP in Ontario, you have to declare your parents' income, and those are for tax years that would not have been impacted by COVID-19.
Matthew Gerrits
View Matthew Gerrits Profile
Matthew Gerrits
2020-05-11 17:18
Thank you, Ms. Town.
Through the chair, thank you to the committee. It is an honour to be here today. WUSA is one of nine members of Undergraduates of Canadian Research-Intensive Universities, or UCRU, which represents over 250,000 students across Canada. Last month, I had the privilege to work on a report drafted by UCRU that detailed our members' concerns about financial situations and recommendations for student support in response to COVID-19. I will detail some of my thoughts here today on the government's response where Ms. Town has not already covered them.
We have heard concerns from one of our member institutions about support for indigenous students, and we are hoping more information will be made available to provide clarity to them about what supports might be available. Currently, it is unclear to students whether support programs for indigenous students are complementary to the CESB or whether they are exclusive. More information about this and other programs, including the Canada student service grant, will be key as students plan out their summer.
Students are also concerned about the rising cost of tuition, especially as post-secondary programs are administered online. Years of decreases to public funding of post-secondary education by provincial governments has led to an increased financial vulnerability of institutions to drops of enrolment, especially international enrolment, a condition that we fear this crisis may bring. The vulnerable institutions are diverse in size and in geography. Therefore, we ask that the federal government collaborate with the leadership of post-secondary institutions, as well as provincial ministers of higher education, to explore what role the federal government may play to ensure universities' finances can weather this pandemic.
Students are concerned about being able to afford to continue school in September. For that reason we’d also like to mention that we see the increases to the Canada student grant program as stepping into that gap for most students in need, and we are incredibly grateful that these increases were included in the student aid package. However, student aid usually uses the previous year’s tax data, which may not account for how the income of a student’s parents or guardians may have been affected by COVID-19. We ask the government to investigate how to account for this in the fall 2020 Canada student grant disbursements.
Finally, an area of concern is with regard to eligibility requirements, which prevent students from accessing CESB if they have income even slightly in excess of $1,000 per month. In the event that CESB must be extended, which we hope will not be required, we suggest the government investigate a phase-out of the benefit for students earning above $1,000 in a more gradual fashion, while holding steady or increasing the $1,250 base amount.
On behalf of UCRU, I would like to convey our thanks for the government’s action, which we understand to be the largest one-time financial investment in student aid in history and proportional to the crisis that students face. We also hope that action can be taken on these outstanding priorities of international student inclusion, efficient and timely rollout, clear communication of information and coordination to support our post-secondary institutions. We have also provided some additional detail in our joint brief, which is still under translation and will be distributed to members in the coming days.
Thank you very much for your parliamentary service during this time, and for listening to students’ concerns. Both Ms. Town and I look forward to your questions.
View Carla Qualtrough Profile
Lib. (BC)
Mr. Chair, I apologize. My remarks are in both languages, back and forth. I'm going to do my best to just do English, so please indulge me.
Hello, everyone. I'm pleased to join you today to speak about the measures to support Canadians during the COVID-19 pandemic as they pertain to my current portfolio.
Before I begin, I'd like to thank the committee for your study on our government's response to the COVID-19 pandemic. Your work is truly essential to our democratic process.
It's been nearly two months now that Canadians have been adapting to the COVID-19 pandemic gripping our country and the world. To give you a sense of the scope of the need, I can tell you that we've received 11.38 million applications, of which we have processed 11.29 million applications under the Canada emergency response benefit, both through Service Canada and through the CRA. A total of $30.48 billion in payments have been made to 7.83 million people.
The CERB was created to come to the aid of Canadians during these unprecedented circumstances. In reality, our EI system was not built for the situation of a global pandemic. It doesn't cover all the different situations in which Canadians find themselves in this time of a public health crisis. Service Canada and CRA stepped up, formed a team, and in the space of a couple of weeks elaborated and put into place a system that really responded to Canadians' needs. For eligible workers, the CERB provides temporary income support of $500 a week for up to 16 weeks. It applies to workers who have stopped working for reasons related to COVID-19. It also supports working parents who are staying home to care for children because of school and day care closures.
We've made extraordinary efforts to make this emergency benefit as inclusive as possible. Workers, including the self-employed, can earn up to $1,000 per month while collecting the benefit. The benefit also applies to workers who've recently exhausted their regular EI benefit payments and aren't able to start working again because of COVID-19. This helps many seasonal workers, including fishers and those in the tourism industry, who may not have had their usual seasonal work to return to as a result of COVID-19.
Now I'll say a word about supporting temporary foreign workers and ensuring Canada's food supply.
The COVID-19 pandemic has made it difficult to bring in the needed temporary foreign workers. That's why we've made modifications to our temporary foreign worker program to try to add some flexibility to the system. I want to emphasize that there are definitely jobs available for Canadians in the areas that are also supported by temporary foreign workers, as has been the case historically.
I'll now say a word about students and youth.
We've announced comprehensive support for post-secondary students and recent graduates, representing an investment of approximately $9 billion. As part of that support, we introduced a four-month Canada emergency student benefit. Students who are not receiving the CERB and meet the criteria for this new benefit will be able to apply to receive $1,250 per month between May and August. Students with permanent disabilities and students with dependants could receive an additional $750 per month.
We've heard a lot in the past few weeks about how these payments might disincentivize students to work. Well, that's not what we've heard from young people across the country. We've heard very clearly from students that they want to work and serve in their communities in this time of crisis. That's why we also announced the creation of 76,000 additional jobs and training opportunities, including jobs in the agriculture and processing sectors, through mechanisms such as our youth employment and skills strategy program. This is on top of the 70,000 jobs that will be available through the Canada summer jobs program, with greater flexibility for employers to hire young people this summer and through the fall.
Other important measures to help students during the COVID-19 pandemic are changes to the Canada student loans program. These changes will expand eligibility, increase the weekly cap and double the value of our grants. These new measures came in addition to earlier measures to pause the repayment of student and apprentice loans, interest-free, until September 30, 2020.
Mr. Chair, we've taken these measures with the goal of helping Canadians and supporting our economy. As the situation evolves, my colleagues in cabinet and I will be ready to respond to whatever Canadians need.
I'm available now for questions.
View Lindsay Mathyssen Profile
NDP (ON)
Mr. Chair, I would like to present this e-petition. One of my young constituents, Haley Odegaard, presented this to me. I think it's timely considering just last week we were talking a lot about students in the House, and I hope we continue to talk about how we're going to help them.
This petition is in regard to the fact that over half of Canadian post-secondary students graduate with student loan debt. She indicates, and all the petitioners indicate, that millennials now account for 20% of Canada's population, and many aren't able to purchase homes, get married or have children due to this financial burden. An educated workforce is an advantage that should be viewed as an investment in our future, and higher education should be encouraged and not penalized.
The petitioners call on the Prime Minister and the government to eliminate interest on all outstanding and future federal student loans.
View Richard Martel Profile
CPC (QC)
Mr. Chair, it's an honour to sit in the House today and voice the concerns of the people of Chicoutimi—Le Fjord in these uncertain times.
Parliament never closed down before. This is a first. With the nation in crisis, Canadians looked to their leaders. Sadly, for several weeks, we were at an impasse with the government, and we couldn't move forward on the issues that matter to them.
I went through this as a coach. It's not easy to innovate and improve when you're surrounded by people who think exactly the same way you do. That's why we fought so hard to be here. We would have preferred to meet several times a week, but we'll take what we can get.
During question period, I raised several issues that affect both individuals and businesses. I realize these are exceptional circumstances, that we're all moving forward together in uncertainty, and that the government is doing its best to help people in need. However, I would like the government to co-operate more with the Conservative opposition, because I believe we could all contribute to finding positive solutions to the COVID-19 crisis. The government would do well to work with us for the good of Canadians without wasting parliamentarians' time on partisan issues like controlling law-abiding gun owners.
That being said, in the spirit of collaboration, I want to highlight certain problems with the government's usual programs. We hope to enhance these programs to help a larger number of Canadians. I think that parliamentarians could be the government's greatest allies in the fight against COVID-19. We're the ones who listen to the problems brought to us by individuals and businesses and help them find solutions.
At Service Canada, measures have been taken to better support us as parliamentarians. At the Canada Revenue Agency, it's a little harder, not least because the parliamentary line has been shut down. Right now, people are falling through the cracks, and we're the only ones who can help. We realize that the government is announcing programs quickly, without necessarily having all the details, in order to respond as fast as possible. However, many Canadians are being left behind.
I know that our public servants are working very hard these days, but I think they should have the right to interpret vague regulations somewhat broadly. For instance, I'm thinking of people who were forced to apply for EI because of the rail blockades and people with above-average foresight who self-isolated before March 15. Unlike most people, they're not eligible for the CERB.
With regard to help for individuals, I'm shocked that the government provided such generous support for students, the very people who work for our essential services during the summer. They're the least vulnerable to COVID-19, yet they're the ones getting the most encouragement to stay home. The government is pandering to the lowest common denominator instead of incentivizing work. It's clear that certain businesses will struggle and won't be able to rehire their usual staff. We absolutely need to add an incentive to work. For instance, why not offer more loans and grants to those who choose to work this summer? That's the kind of policy that will minimize aid for youth and reward those who worked on our farms, in our businesses or even in front-line health care.
I would also urge the government to work with the provinces to increase support for seniors during COVID-19. Seniors are in forced isolation and are the most vulnerable to this virus. Many are being forced to buy electronic devices, get Internet installed to stay connected with their families, and do their grocery shopping online for their own safety. This crisis is increasing their expenses. Will any help be planned for them?
Now I'll turn to businesses. The Canada emergency business account is a good program, but it's far too restrictive. Why doesn't this program do anything to help start-ups that are newly established, businesses that unfortunately didn't have time to spend $20,000 on payroll this year, businesses run with a personal chequing account, businesses whose employees are issued T4As or are on service contracts, or businesses that pay themselves in dividends or revenue sharing? There are many different ways to run a business in Canada. I'm sure the Minister of Finance is aware of that.
Many businesses are falling through the cracks, even though it would be easy to provide them with a $40,000 repayable loan. It wouldn't be hard to improve the program. This program could be the difference between surviving or not for some businesses.
Speaking of businesses surviving, many of them were hoping to get the emergency wage subsidy to keep their employees on the job and keep our economy going. I see two huge gaps in this program.
First of all, why are non-arm's length businesses not eligible for this assistance? That makes no sense. The government is literally interfering in the management of Canadian businesses. Whether they're arm's length or not, they need help.
Second, for non-arm's length employees, they're being asked to look at the average earnings between January 2020 and March 2020. Many businesses in the tourism sector, including campgrounds for instance, have lots of seasonal workers who don't work between January and March. Under this rule, they won't get any wage subsidy.
As a final point, I'm a little puzzled by the emergency commercial rent assistance. Why is it that the government thinks it can interfere in the lease between two businesses and force landlords to accept a 25% rent reduction? The government is playing a dangerous game. It should either help tenants with 50% or 75% of the rent, or provide loans to landlords until their tenants can pay their rent again. However, forcing landlords to lower rents completely undermines the rule of law. This could be a very slippery slope. I therefore urge the government to approach this with caution and review the program's structure.
I really hope the Liberal government will consider my suggestions. After all, the issues I've raised here are not unique to Chicoutimi—Le Fjord; they exist across the country. Although this is the right thing to do, these programs will be enormously expensive for Canada, and we can't afford to pass this debt on to future generations. Already our tax system isn't very competitive compared to the rest of North America. Our tax system is cumbersome and inefficient. I would therefore caution the government against raising taxes in any way that would further squeeze Canadians and hurt our economic recovery.
In terms of a recovery plan, I urge the Liberal government to expedite infrastructure projects, to make it easier to invest in Canada and, most importantly, to support the private sector natural resource development projects worth around $200 billion that are currently being studied in Canada, such as the GNL Québec project in my riding.
Before the COVID-19 crisis struck, GNL Québec enjoyed around 68% support in the Saguenay—Lac-Saint-Jean region. This major green project will be ready for construction in 2021 and will definitely give the Canadian economy a boost.
In my region, we've been less affected by COVID-19, as everyone has been reviewing their hygiene practices. This is a perfect opportunity to decentralize investments in large urban centres and move them towards the regions. With programs that are more flexible and better suited to rural realities, the regions could take a leadership role in Canada's economic recovery.
If another wave of this or another health crisis were to strike one day, the regions, which tend to be more isolated, could help ensure a strong economy if the urban centres have to come to a standstill. I therefore urge the government to be bold and support investment in the regions. That is how we'll be able to reach our full economic potential and quickly pay down the enormous debt weighing down our country.
The COVID-19 crisis is unlike anything we have ever seen in the 21st century. We understand that the government is in a difficult situation. Today I want to reach out to the government and encourage it to remain open and flexible and consider some of the proposals I've suggested. I am confident this would help many people and many businesses, and that these recovery plans would help the country get back on track quickly.
Thank you for the opportunity to speak in this debate. It was a privilege to share my constituents' concerns at this historic time.
View Carla Qualtrough Profile
Lib. (BC)
Thank you very much, and thank you to all committee members for being here.
I am pleased to join you today to give you an update on measures taken to address the COVID-19 pandemic as they pertain to my portfolio.
Thank you for permitting me to participate by telephone. I've been having some challenges integrating my accessibility software with virtual meeting software, which means I can't always read what's on my screen when I'm in a meeting. It's sometimes doable, but not when I need to manage documents and participate meaningfully, so thank you very much.
I'm accompanied here today by the ESDC officials you have already been hearing from. I understand Graham, Lori and Benoît are with us.
Before I begin, I would like to thank the committee for its study on the government's response to the COVID-19 pandemic.
Your work is essential in our democratic process.
It has been some time now that Canadians have been adapting to the COVID-19 pandemic gripping our country and the world. During that time, Service Canada and CRA employees have expended a monumental effort to respond to this crisis.
To give you a sense of the scope of this effort, we need to look no further than the 13.4 million payments made to date under EI and the Canada emergency response benefit. This figure is a reflection of the real need of Canadians during this time and our staff’s dedication to public service and our country.
Let me tell you a little more about the Canada emergency response benefit.
The CERB was created to assist Canadians in unprecedented circumstances. Our employment insurance program was really not designed to respond to a global pandemic. It does not cover all the situations that our workers are facing during this public health crisis.
Service Canada and the Canada Revenue Agency therefore formed a team and, in a few weeks, they developed and implemented a simple, quick approach to applications. They are now quickly and efficiently paying out the Canada emergency response benefits to Canadians each day.
For eligible Canadian workers, the CERB provides temporary income support of $500 a week for up to 16 weeks. It applies to workers who have stopped working for reasons related to COVID-19. It also supports working parents who are staying home to care for children because of school and day care closures.
However, when we launched the benefit on April 6, some Canadian workers expressed concern about eligibility. We listened and on April 15 made it more inclusive.
Now, workers, including the self-employed, can earn up to $1,000 per month while collecting the benefit. The benefit also now applies to workers who’ve recently exhausted their EI regular benefit payments and are unable to start working again because of COVID-19. This helps many seasonal workers, including fishers and those in the tourism industry, who may not have their usual seasonal work to return to as a result of the COVID-19 outbreak.
I understand that some Canadian workers who are eligible for the CERB and who are going on maternity leave in a few weeks or months have questions with regard to how their claims have been processed. We are in the process of reconciling these cases and will make sure that no one is disadvantaged and that everyone has access to their proper maternity benefit entitlements when they need them.
Before going on, I'll quickly share the latest CERB numbers. As of April 23, we have received 9.65 million applications from 7.12 million people. We have processed 9.51 million of these applications which, by my math, equals about 98.5% of applications having been processed. The total amount of payments made is $22.4 billion.
I mentioned seasonal workers, and I’d like now to speak about temporary foreign workers and Canada’s food supply. Temporary foreign workers have been integral to Canada’s food production since the 1960s.
For example, last year approximately 60,000 temporary foreign workers came to Canada to work in agriculture and food-processing jobs, but the COVID-19 pandemic has made it harder to bring in the workers needed to meet Canada’s food security needs. In response, we have implemented emergency changes to the temporary foreign worker program to make it easier and faster for employers to hire and retain these workers.
In the meantime, we're also working closely with provinces and territories, employers, foreign governments and other stakeholders to safeguard the health of workers and of all Canadians. This includes regulatory amendments, which came into force on April 20 and which are now being enforced through inspections by Service Canada compliance officers.
It is also true that, although temporary foreign workers are an integral part of our economy, many Canadians are now without work. I would like to assure members of the committee that there are still jobs for Canadians who want to work in the agriculture and agri-food sector. With our partners, we are currently trying to find ways to better communicate these employment possibilities to Canadians.
I'll have a word now about students and youth.
Our government is committed to providing targeted support for individuals and vulnerable groups, such as students. That is why we announced comprehensive support for post-secondary students and recent graduates, representing an investment of approximately $9 billion.
Young people are facing a serious set of challenges in this difficult time, be it interrupted studies, reduced work opportunities, or disruptions to summer co-op or internship plans. Many of Canada’s post-secondary students are worried about how they will be able to afford tuition, food and rent if they can’t find summer work. That’s why our government is introducing a four-month Canada emergency student benefit. Students who are not eligible for the CERB and meet the criteria for this new benefit will be able to apply to receive $1,250 per month between May and August. Students with disabilities and students with dependants could receive an additional $500 per month. This benefit is designed to reach the vast majority of existing and newly graduated post-secondary students.
In addition, we are expanding eligibility for the Canada student loans program for September. We are also doubling the value of Canada student grants and increasing the cap on Canada student loans from $210 to $350 per week of study.
I understand that many young Canadians will be anxious about their job prospects this summer and that they will be looking for opportunities in healthy and safe work environments. The temporary changes that we recently announced to the Canada summer jobs program are only the beginning.
Earlier this week, we announced that we will expand existing federal employment programs to create up to 76,000 jobs, placements and other training opportunities to help students find employment and develop valuable skills this summer and over the coming months. This includes expanding the student work placement program by creating more paid work placements across critical service sectors like health care, food and agri-food, retail and e-commerce.
We're also introducing flexibilities to the youth employment and skills strategy, creating placements for young Canadians in critical sectors, such as community service.
We're investing in bringing important wraparound services online through the support for student learning program, and services like mentoring and tutoring for vulnerable young people to make sure they are not further marginalized by COVID-19.
We believe these measures and others made as part of Canada's COVID-19 economic response plan will help young people weather the negative economic impacts of the pandemic while ensuring their health and safety.
Finally, I'd like to speak about what our government is doing to address the concerns of persons with disabilities during this pandemic.
We recognize that some groups are significantly and disproportionately impacted by this crisis. For some Canadians with disabilities, underlying medical conditions put them at greater risk of serious complications related to COVID-19. Others face discrimination and barriers in accessing information, social services and health care.
On April 10, I released a statement outlining our government's unequivocal commitment to the rights of every citizen and the value of every life, including the right to equal access to medical treatment and care. This is in keeping with our commitment to Nothing Without Us and in line with the principles and objectives of the UN Convention on the Rights of Persons with Disabilities and the Accessible Canada Act.
In addition, in this same spirit and to support Canadians with disabilities, we established the COVID-19 disability advisory group. This group is offering advice to the government on real-time, lived experiences of persons with disabilities during this crisis. Areas of particular focus are equality of access to health care and support, access to information and communications, mental health and social isolation, and employment and income support.
My Cabinet colleagues and I are ready to take other steps to protect Canadians and the economy. This means continuing to support workers and businesses now and in the coming transition back to the normal operation of the economy, as soon as that happens.
I'd now be happy to take your questions.
View Bill Morneau Profile
Lib. (ON)
Thank you, Mr. Chair.
I understand I'm here until 2:40 and I'm looking forward to answering questions.
All of us know that COVID-19 is causing unprecedented disruption to the economy here at home and around the world. This is a crisis unlike any we've ever faced before. The outbreak of the disease is rapidly evolving, and we know that the government's ability to respond must be equally rapid.
On March 18, the Prime Minister presented Canada's COVID-19 economic response plan. This comprehensive and continually evolving plan is designed to protect Canadian workers and businesses and to ensure that our economy can weather the storm and emerge strong.
To date we've announced the following programs in Canada's COVID-19 economic response plan.
To begin with, yesterday we announced details on the proposed Canada emergency wage subsidy. We know that taking action to protect a strong economy includes taking action to protect Canadian jobs. The subsidy will provide employers who see a 30% or more decline in gross revenue since this time last year with a wage subsidy of 75% for the first $58,700 of normal salary. That goes up to a maximum of $847 a week per employee.
It's available to employers, big and small. It includes non-profits and charities, any of those kinds of organizations, that meet the same eligibility requirements.
We also, as I think you know, have the 10% wage subsidy program, which will provide eligible employers with up to $1,375 per employee and $25,000 per employer.
However, the government acknowledges that, despite this, many Canadians will no longer be earning an income as a result of COVID-19. To ensure that all Canadians can pay for their groceries, housing and necessary medication, we announced the implementation of the new Canada emergency response benefit, or CERB.
This benefit will be provided to Canadian workers who lose all their income as a result of COVID-19. The benefit is for workers who are eligible and for workers who aren't eligible for employment insurance. If a worker is sick, is asked to self-isolate, is caring for an elderly relative, or isn't receiving any wages because they're looking after young children as a result of school or day care closures in response to COVID-19, the worker will be eligible. The CERB also applies to workers on leave without pay, which helps maintain the link between the employer and employee. The CERB is a taxable benefit of $500 per week for up to 16 weeks.
For small businesses and non-profits, we introduced the Canada emergency business account, which will provide interest-free loans of up to $40,000 for small businesses and non-profits, with 25% of it forgivable if paid back by December 31, 2022.
We also launched the new small and medium-sized enterprise loan and guarantee program, which will enable up to $40 billion in lending, supported through Export Development Canada and the Business Development Bank, for guaranteed loans through financial institutions to help small and medium-sized enterprises meet their operational cash flow requirements.
We also announced tax and customs duty deferral measures. Income taxes will not be due until August 31, 2020. In addition, GST and HST remittances and customs duty payments due at the end of March, April or May can now be deferred until the end of June.
We're also supporting families through a one-time top-up of the Canada child benefit of $300 per child this May. For the 12 million families who need it the most, we're making a supplementary GST credit payment, starting on April 9.
We're helping seniors by protecting their savings by reducing the minimum withdrawal from their RRIFs by 25%. To support students and recent grads, effective this past Monday, we put in place an automatic six-month moratorium on Canada student loan repayments.
We're also making sure there is support for those who may need it the most in this challenging time. We've created a distinctions-based indigenous community support fund that will address the immediate needs of first nations, Inuit and Métis nation communities. We have also invested over $200 million to support shelters for women, for children and for Canadians experiencing homelessness.
We're experiencing an unprecedented crisis. We've taken unprecedented action by establishing emergency assistance on a scale that the country has never seen. This is the largest economic program in Canadian history.
We know that Canadians need support urgently, and our government is using all the tools necessary to make sure we can protect Canadians' health and keep our economy strong. These measures are keeping food on Canadians' tables. They're keeping businesses intact, restoring Canadians' confidence, preserving communities' resilience and making sure, importantly, that when this crisis passes—and it will pass—Canadian workers and businesses will be ready to bounce back.
Thank you very much, Mr. Chair, and I am looking forward to the questions.
View Julie Vignola Profile
BQ (QC)
Mr. Duclos, I have noticed in the budget that just over 33,000 students debts would be written off and that there was a $230-million increase for loans and another $125-million increase for grants, or vice versa. Since you are familiar with my party, my question will not surprise you.
Among those 33,000 written off debts and those millions of dollars provided for loans and grants, what proportion will go to Quebec?
View Jean-Yves Duclos Profile
Lib. (QC)
This is very important because, as we know very well, not only students in Canada are experiencing a difficult economic situation that is often very dire, but we need them and their investments in their human capital to continue to grow the economy while growing the middle class.
In Quebec, we are very aware of that and have a loans and grants program that is separate from the Canadian government's program. Here is how it works. The Canadian government announces, as in this case, substantial investments to improve students' quality of life and their investments in their human capital. Part of that budget is allocated to the Government of Quebec, and we expect it to reinvest it in programs for students.
For your information, Mrs. Vignola, our student associations in Quebec also need to know how students in Quebec will be supported through those federal investments. We know that we can count on the Quebec government to provide that response because we know that it is even more important to take care of our students in Quebec.
Results: 1 - 60 of 79 | Page: 1 of 2

1
2
>
>|
Export As: XML CSV RSS

For more data options, please see Open Data