Background on Ontario's Zero Tolerance Policy

Frequently Asked Questions (FAQs) re:
Lifetime Ban for Welfare Fraud

Q: What does the policy say?

A: Starting April 1, 2000 people convicted of social assistance fraud were banned from receiving social assistance benefits for life, including benefits provided under both Ontario Works and the Ontario Disability Support program. One conviction will trigger the ban.

The following scenarios outline how the policy will impact different family units:

• If a single recipient is convicted, they will be permanently ineligible for social assistance;
  
  
• If a sole support parent is convicted, the recipient is permanently ineligible and assistance will continue for the children only;
  
  
• For a couple, if one spouse is convicted , the convicted spouse is permanently ineligible, and assistance will continue at a reduced rate for the other spouse and other children the couple may have; and
  
  
• For a couple with children, where both parents/guardians are convicted, assistance will continue for the children only. (Source: City of Toronto).

Q: How many people were convicted of welfare fraud this year?

A: In December 2001, there were 682,862 people receiving social assistance in Ontario. In 2000-2001, Ontario investigated 52,582 social assistance recipients for fraud. Only 430 people were criminally convicted of welfare fraud. (Source: Ministry of Community, Family and Children's Services).

Q: What impact does the ban have on people receiving social assistance?

A: It forces people to rely on shelters that are more expensive to fund than social assistance. If shelter space is not available, it leaves them homeless and destitute. Children with parents who are banned may lose their housing and/or access to food and potentially be taken into care by Children's Aid. Loss of access to drug cards and other medical benefits will be particularly serious for people with disabilities who may face life-threatening situations. People will also lose access to employment support services that are in place to assist them to get jobs. (Source: City of Toronto).

Q: Can people banned from OW and ODSP collect other income support benefits such as the National Child Benefit or child care subsidies?

A: Yes.

Q: Are there similar bans in other provinces?

A: Yes. The provincial government in BC enacted a welfare ban on September 30, 2002. It is slightly different than Ontario's but it will have the same negative impact.

Q: How are local governments in Ontario responding to the ban?

A: The following local governments have taken action to oppose the ban: Brant County Council, City of Greater Sudbury, City of North Bay, City of Ottawa, City of Toronto, County of Northumberland, London City Council, Regional Municipality of Waterloo Simcoe County Council, Thunder Bay DSAB and York Region.

Q: What's wrong with Ontario's welfare system?

A: The shelter allowance doesn't cover average rents and the basic needs allowance was cut by 21.6% and isn't tied to cost of living increases. People can't access higher education because student loans are treated as income. The 2001 City of Toronto study After Ontario Works found that nearly 20% of people on Ontario Works who leave, return within a year. This is because Ontario Works doesn't include supports that lead to meaningful, long-term employment.

Q: What should we do about people that cheat the welfare system?

A: We should look at the circumstances surrounding each case and use a range of remedies from repayment, to community service, and in extreme cases criminal sanctions, just as we do in cases involving other kinds of fraud. We should ensure that penalties for fraud don't target one specific group because they are poor. We should bring an end to inadequate welfare rates, community service cutbacks and the lack of meaningful employment options that lead to poverty. Trapping people in poverty is the real crime.

Last revised Oct/11/2002
source: Income Security Advocacy Centre (ISAC) www.incomesecurity.org