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Federal Budget 2006
Responses to the May 2, 2006 Federal Budget May 4, 2006
Index of Responses to date YWCA
Canada Canadian
Housing and Renewal Association (CHRA) FAFIA
Wrap Up National
Council of Women of Canada (NCWC) Assembly
of First Nations (AFN) Health
Action Lobby (HEAL) Assembly
of First Nations of Quebec and Labrador (AFNQL) Native
Women's Association of Canada (NWAC) Canadian
Union of Public Employees (CUPE) Canadian
Federation of Students (CFS) Ontario
Ministry of Finance Public
Service Alliance of Canada (PSAC) Certified
Management Accountants of Canada (CMA Canada) Nishnawbe
Aski Nation (NAN) Child
Care Advocacy Association of Canada (CCAAC) Métis
Nation Anishinabek
Nation - Union of Ontario Indians Heritage
Canada Foundation Canadian
Association of University Teachers (CAUT) Federal
Budget short-changes Canadian Children Service
Employees International Union (SEIU) Local 1. on Rural
Voices National
Housing and Homelessness Coalition
Prime Minister Harper's Surplus Budget puts Canadian Children at a Deficit May 2, 2006 - YWCA Canada has made the healthy development of women and their children its priority for 130 years. "For almost four decades we have been calling for a national quality child care system that would serve both, with this budget the Conservatives have let us down. Tax breaks and cuts will not build a system of early learning and care," said Paulette Senior CEO, YWCA Canada. Study after study
demonstrates that quality early childhood learning and care is beneficial
to both children and the economy. It is well established that for every
$1 invested in child care there is a $2 economic return. This means if
the Harper government had invested just some of its $10 billion surplus
in the development and support of a child care system we would see a two-to-one
financial return in less than a generation. "Now that would have
been prudent financial management!" explains Ms Senior. By canceling the federal-provincial deals Harper has taken away true choice for Canadian families. "As one or the largest providers of child care we know what parents want. They want child care whether they are in the workforce or at home. They want the assurance that their children are safe and engaged in developmentally appropriate activities and they want it to be affordable," says Ms Senior. "Without it we will fall back decades and leave families scrambling for quality care." "Prime Minister Stephen Harper's decision to cancel the federal -provincial agreements has put Canadian children in a deficit situation for generations to come," concludes Senior. YWCA Canada, is the country's largest women's multi-service organization, serving 1,000,000 women and their families every year. Please visit www.ywca.ca for more information.
Canadian Housing and Renewal Association (CHRA) Federal Budget Delivers Housing Funding May 2, 2006 - Today's federal budget delivered $1.4 Billion for affordable housing, reduced somewhat from the $1.6 Billion originally announced as part of Bill C 48 last year. "Housing is the best way to build secure communities and successful lives," said CHRA President Karen Charlton. "CHRA has been working hard to confirm delivery of these funds since Bill C 48 was approved. With the allocation of $1.4 Billion today we are one step closer to opening doors on new homes in communities across Canada." Nearly 1.5 Million Canadian households are in "core housing need"; they are living in housing which is inadequate for their needs, in poor repair and/or unaffordable. High rents are the single greatest factor in the escalating use of food banks. Over the next two years, the promised one time funding is expected to assist in the development of 20,000-30,000 units of affordable housing. CHRA has been pressing the federal government to provide resources to develop 25,000 units of housing annually for ten years. While today's budget only represents a fraction of what is needed, it signals an important recognition of the need to invest in housing in order to build city infrastructure and inclusive communities with a place for everyone. Predictable, on-going funding is still needed. "Housing is a profound tool for revitalizing communities and cites," said CHRA Executive Director, Sharon Chisholm. "The case for housing includes better economic as well as social outcomes." Funding is conditional upon a surplus being in place when the government closes it books in September. Provinces, as delivery agents, will be able to draw from the trusts for the next three years and will not be required to cost share. $800 M will be put into an Affordable Housing Trust for the provinces to draw upon over the next three years based on their population. A further $300 M will be available to the provinces through an Off Reserve Aboriginal Housing Trust based on the provinces' share of the off reserve Aboriginal population. $300 M will be placed in the Northern Housing Trust for the territories reflecting the great need and high cost of construction in the north. CHRA was extremely disappointed to find that the $500 M EnerGuide for Low Income Households program will not proceed. This program would have provided important benefits in the face of rising energy costs by retrofitting up to 130,000 housing units.
National Council of Women of Canada (NCWC) National
Council of Women of Canada
Responds
to May 2nd Budget While at first glance it may seem to be a budget with something for everyone, it ultimately fails our children and young adults. Families will receive $100 a month (before tax) for each child under six to address child care costs. In reality most parents have to pay many times this amount for adequate child care. In our Brief to the government in their pre-budget consultation discussion, we urged them to honour the agreements the previous government had made with the provinces for a national child care initiative to meet the needs of all parents and children, with special emphasis on early childhood education. This budget falls far short of that. This budget also fails to deal with the rising cost of a university education. While it has made it easier for more students to access student loans, this does not address the crippling debt our young adults will face upon graduation. A tax credit for textbooks is a band-aid on a gaping wound. While this budget
does give some tax relief, those who will benefit the most are higher
income earners. The 1% decrease in the GST amounts to a savings of $300
on a purchase of $30,000. The government states that as a result of their
personal income tax and GST reductions, families earning between $15,000
and $30,000 a year will be better off by almost $300 in 2007. Those earning
between $45,000 and $60,000 will save almost $650. So the more you have,
the more you save; and the more you spend, the more you save. But you
have to "have"? in the first place.
Canadian Nurses Association (CNA) Canadian Nurses
Association Reacts to 2006 Federal Budget OTTAWA, May 3, 2006
- The Canadian Nurses Association (CNA) says Budget 2006 supports initiatives
that will have an impact on the nursing workforce and the health of Canadians
with investments to address pandemic preparedness, chronic disease management
with funding for the Canadian Strategy for Cancer Control and a one-time
infusion to increase affordable housing - a key determinant of health.
These measures, says CNA, are steps in However, according to CNA CEO Lucille Auffrey, Canada's nurses are disappointed that there is no funding to deal with the care guarantee promise. "While Budget 2006 confirms commitments made in the 2004 Ten-Year Plan to Strengthen Health Care, no new monies are proposed to deal with the care guarantee promise. Plus the three cornerstones of that promise (health human resources planning, research and electronic infrastructure) were not included or referenced. We do not believe that the 2004 funding will buy the changes needed to deliver on the wait times issue. The care guarantee cannot be delivered without new investments." "CNA will monitor this issue closely in the coming year and will help provide solutions to meet the health needs of Canadians," added Auffrey. The association will continue to advocate for a pan-Canadian coordinated approach to health human resources planning, especially critical at a time when there is a shortage of health professionals. Accountability Under the priority
of accountability, Budget 2006 advises that a new program review will
be done and driven by three principles: focus on results; eliminating
those no longer serving a purpose; and consistency with federal responsibilities.
While CNA does not object to the review or to the three principles, it
is concerned about the lack of reference to the federal government's role
in health care, noted on page 20 of Restoring Fiscal Balance in Canada,
which accompanied the budget. In that document, public health is identified
as a shared responsibility, but health care is designated as provincial/territorial
only. Auffrey said the federal government has a vital role to play in ensuring that the principles of the Canada Health Act are upheld, especially at a time when there is increased discussion about the privatization of health services. "CNA continues to advocate for a publicly funded, not-for-profit, publicly administered health system. The federal government must continue to exercise its role in ensuring the sustainability of our public health system," she said. Investments to
Improve Population Health The budget offers unprecedented investments in health determinants. It proposes, for example, a huge one-time infusion to increase affordable housing in Canada. This is an area that CNA has identified in its interventions on Parliament Hill as one of the cornerstones of a strategy to improve and support the mental health of Canadians. Other determinants will be funded through tax credits for public transit, participation in sports and physical activity and child care. The federal government has also committed significant funding to address water quality in First Nations communities. Research Budget 2006 increases annual funding to four research councils, including the Canadian Institutes of Health Research; however, CNA is not convinced that the funding levels are adequate. In this regard, CNA joins the Association of Canadian Academic Healthcare Organizations (ACAHO) in asking for more clarity from the federal government on the future direction of its health research and innovation agenda. CNA, along with ACAHO, believes that investments in capacity building and innovation, including research, are essential to the long-term sustainability of the publicly funded health system. International
Support CNA - which provides strong and vibrant international health partnership programs funded by the Canadian International Development Agency - was pleased to see surprise commitments for increased funding for international assistance, including global efforts on AIDS, TB, malaria, and polio. CNA is the professional voice of over 126,000 registered nurses in Canada. It is a federation of 11 provincial and territorial professional associations and regulatory authorities for registered nurses. CNA believes that the sustainability of a publicly funded, publicly administered, not-for-profit health system rests upon a vibrant nursing workforce. For more information
visit:
Assembly of First Nations (AFN)
"It is ironic that the federal government saw fit to invest in combating epidemics of tuberculosis and HIV/AIDS in developing countries, while many First Nations are living with these diseases, and there is no new assistance for them," states National Chief Fontaine. While the Conservative government honored the commitment to the Ten-Year Plan to Strengthen Health Care which gives provinces and territories a 6% increase in transfers, the federal First Nations health system is capped at 3%. First Nations communities already facing significant disparities in health status and access to quality care, will suffer from this fiscal imbalance. "We expect shortfalls reaching close to $2 billion over the next two years," says National Chief Fontaine, "This means cutbacks in medical transportation, access to drugs, diabetes prevention and many other essential health services in our communities. Ultimately, this means heavy risk to patient safety and further widening of the gap between First Nations and Canadians' health and well-being." Honoring the investment of $1.3 billion in health under the Kelowna Accord would have achieved an equitable 6% growth rate. Although, the overall 2% cap on other federal socio-economic programming would have remained. First Nations communities appear to have no way to access the Wait Times Reduction Transfers totaling $5.5 billion, nor are they presently included in talks leading to the development of the Wait Times Guarantee. "Unless this guarantee takes into account primary care and public health, as well as access to the basic determinants of health such as housing and education," stressed National Chief Fontaine, "it will have no relevance to truly measuring the performance of federal, provincial, and territorial governments in meeting their responsibilities to First Nations." Budget announcements
in cancer care and pandemics and other public health emergencies were
also silent as to whether they will reach First Nations communities. First
Nations have also been excluded from recently introduced "Perhaps of greatest concern is the lack of consideration of First Nations children, from investments in child care to children with disabilities," concludes National Chief Fontaine, "our population is younger and our communities more challenged to support adequate facilities for our children. And yet, the needs of our children appear to have been ignored." The Assembly of First Nations is the national organization representing First Nations citizens in Canada. Backgrounder on
Health Crises in First Nation Communities Health Status
Health Determinants
Wait Times
Fiscal Imbalance
Assembly of First Nations Statement on the 2006 Federal Budget - First Nations Sacrificed to Build a Better Canada OTTAWA, May 2, 2006 - "First Nations will remain in last place as a result of today's so-called "Building a Better Canada" federal budget. This disappointing budget does not begin to address the gap in quality of life between First Nations and other Canadians and could increase the gap through inaction. The Canadian public may see a $3.2 billion figure dedicated for Aboriginals in the 2006 budget, but $2.2 billion was already set aside last November as compensation for residential schools survivors. We welcome the money for survivors, but it was a measure to provide redress and acknowledge liability, not a new measure to build a better Canada for First Nations. The money allocated to address the critical socio-economic and infrastructure gaps faced by First Nations is more realistically described as a portion of the two-year, $450 million funding commitment that has been earmarked for "Aboriginal Canadians". That money is a drop in the bucket when compared to the $17 billion surplus, and is only a third of the money that had been allocated to improving quality of life for First Nations and other Aboriginal Canadians under the corresponding first two years of the Kelowna targets. The government committed in this budget to measures that will correct fiscal imbalances at the provincial and territorial level. Nowhere is fiscal imbalance more apparent than in the critical under-funding of First Nations health, education, housing and infrastructure, yet today's budget perpetuates the imbalance for our communities. There is a critical need to address First Nations health, social and childhood development issues, yet First Nations are excluded from the government's new comprehensive plan on wait time guarantees. This budget committed to a 6% escalator in health for provinces and territories, but despite previous announcements, there was no corresponding escalator for First Nations health. There is no First Nations-specific component in the government's child care plan and, while over $300 million was committed to addressing diseases like tuberculosis and HIV/AIDS in developing countries, there was no funding to address rising tuberculosis and HIV infection rates for First Nations. This government stated today that they will consult with provinces, territories and Aboriginal leaders to "develop a new approach". The approaches developed in Kelowna were developed with and supported by Aboriginal leaders, provinces and territories. These were not commitments from a particular party, but by the federal and all provincial and territorial governments. The Minister of Indian Affairs, Jim Prentice, has stated publicly that he was committed to "putting the wheels on Kelowna". Why is it now necessary to reinvent the wheel? This government has consistently stated that they are willing to discuss Kelowna targets. We are more than willing to meet to discuss implementing measures that will improve quality of life for First Nations, but this budget does not appear to offer much." Phil Fontaine, National
Chief The Assembly of First
Nations is the national organization representing First Nations citizens
in Canada. Health Action Lobby responds to 2006 Budget OTTAWA, May 3, 2006 - The Health Action Lobby (HEAL) offered a mixed response to yesterday's release of the Harper Government's first budget, indicating support in general but cautioning that additional funding for ongoing health initiatives including health human resources must remain a government priority. HEAL welcomed funding in support of pandemic preparedness, the Canadian Strategy for Cancer Control, the Child Disability Benefit and support for the 10-Year Plan to Strengthen Health Care. HEAL also supported funding aimed at the 'establishment of a Canadian agency for the assessment and recognition of foreign credentials' and looks forward to the opportunity for greater consultation as this important endeavour unfolds. The coalition, however, noted several areas of concern, specifically the lack of additional funding in support of wait times initiatives, electronic health and networking, chronic disease management and health human resources (HHR). HEAL also expressed its concern over the absence of a clearly stated federal role in healthcare, as highlighted on pg. 20 of the companion document to the budget speech, "Restoring Fiscal Balance in Canada." HEAL was formed in 1991 as a result of concern by healthcare and consumer organizations over the erosion of the federal government's role in supporting a national health caresystem. Yesterday's speech stated "Budgets say something about your motivationand goals. They say something about priorities." "By not committing additional funding to ensure we have adequate numbers of health personnel available to meet demand, the government is missing an opportunity to build on the momentum gained in this critical area over the past few years. Regrettably, this budget insufficiently recognizes this critical need, so eloquently articulated in recent provincial and national reports." stated Pamela Fralick, HEAL Chair. "Yesterday's
budget reinforces the government's commitment to improvements around the
wait times issue, however, they are failing to make the intrinsic link
between HHR and a reduction in wait times," explains HHR has been a top priority in broad rounds of stakeholder consultations, the First Ministers Accord on Health Care Renewal (February 2004) and was reinforced in the 2004 10-year plan to Strengthen Health Care. The federal government, in partnership with provinces and territories, has shown leadership in recently developing a framework for coordinated HHR planning. HEAL looks forward to further enhancing that action by bringing the provider voice into the debate", explains Pamela Fralick, HEAL Chair and CEO of the Canadian Physiotherapy Association. Recognizing the need to advance the HHR issue, HEAL recently released a discussion paper, entitled Core Principles and Strategic Directions for a Pan-Canadian Health Human Resources Plan, offering strategic, coordinated solutions to Canada's growing health human resource crisis. An Ipsos-Reid poll conducted last month for HEAL showed that 91 per cent of Canadians support development of a health care workforce plan based on the projected demographic and health needs. Ninety-three per cent indicated that Canada should strive to become self-sufficient in training enough health professionals to meet future needs, with only 36 per cent of respondents confident that Canada will have enough health professionals to meet future demand. The Health Action Lobby (HEAL), a coalition of 30 national health and consumer associations and organizations dedicated to protecting and strengthening Canada's health care system, represents more than half a million providers and consumers of health care. You can access a
synopsis of the document: Core Principles and Strategic Directions
for a Pan-Canadian Health Human Resources Plan at http://www.physiotherapy.ca/HEAL/english/
The Federal Budget Is a Source of Concern for the Assembly of First Nations of Quebec and Labrador The rejection of the Kelowna agreement does not come as a surprise. Right from the outset, the Chiefs of Quebec and Labrador had expressed their dissidence as to the lack of proper consultation with the communities leading to the ratification of this agreement. Now, with the election of a new government, everything has to be started all over again. "Yesterday, we were told by the government that it acknowledges the goals of Kelowna and that it wants to develop a new approach to achieve them. We remain open to dialogue, but this time, it is crucial that all Aboriginal communities get involved. Time is of the essence and the problems that we face are affecting everybody, Aboriginal as well as non-Aboriginal peoples. The longer we wait to solve them, the more costly it will be. We constantly hear about closing the gap of socioeconomic conditions between Aboriginal and non-Aboriginal peoples; how can this goal be achieved with the very few resources put at our disposal?", underlines the Regional Chief of the AFNQL, Ghislain Picard. On the other hand, in its budget, the new government attaches much importance to the accountability of the communities as to the management of funds which will be allocated to them. The AFNQL and the Chiefs support entirely this principle, except that they demand from the Department of Indian Affairs to be accountable not only to its minister, but to the communities as well. "If we can agree
on the goals and priorities, we should be able to agree on the most efficient
and best adapted solutions in achieving them, except that the government
will have no other option but to allocate the necessary The Assembly of First Nations of Quebec and Labrador (AFNQL) is the regional organization representing the Chiefs of the First Nations of Quebec and Labrador.
Native Women's Association of Canada (NWAC) Native Women's
Association of Canada President Beverley Jacobs disappointed with the
lack of clear financial commitment the Conservative Gov't has committed
to Aboriginal people in its 2006 Budget OTTAWA, May 2, 2006 - "Today's disappointing budget is a confusing change to the mutually developed approaches that were addressed in Kelowna. The government has taken a strong turn in a completely different direction that is leading Aboriginal peoples down a completely unknown course," said President Jacobs. Jacobs expressed concerns of how the cuts in funding to child care, education, water and housing will adversely affect Aboriginal women, who already are the most marginalized population in Canada. She states that the $150 million in 2005/2006 and $300 million in 2007/2008 are inadequate to address all these diverse areas of concern. "I do not believe that the amount in this budget will be able to deal with complex and deep issues that face Aboriginal communities and Aboriginal women today. The issue of heath was not addresses and that is very discouraging to Aboriginal peoples, especially women and children." Jacobs applauds the $2.2 billion dollars that will be used to compensate residential school survivors, but also states that this will not address the huge loss of language, family bonding and traditional teachings that Aboriginal people have sustained as a result of genocidal policies of the residential school era. NWAC does acknowledge that the federal budget makes reference to the pivotal role that Aboriginal women play within their families and communities; however the budget did not reflect the capacity building required to capitalize on this resource. "Aboriginal women have traditionally sustained their families during rough times, and I have a sense that once again, now more then ever, Aboriginal women have to be vigilant within these roles." NWAC is strongly
committed to working with the Federal government to ensure that the needs
of Aboriginal women and their children are at the forefront of the decision-making
processes that are implemented in the 2006
Canadian Union of Public Employees (CUPE) Harper's first budget: tax cuts trump child care, public services - Conservatives hoodwinking Canadians in quest for majority
Far from "Standing up for Canada", Harper's first budget lays out a plan for the federal government to walk out on important areas of national responsibility. "Harper's fixation with tax cuts is driving the federal government to abandon its role in providing quality public services," said Paul Moist, national president of the Canadian Union of Public Employees. "There is absolutely nothing in this budget that will build the quality early learning and child care program children and families deserve," Moist said. "The Conservatives are essentially wiping out the first national social program in a generation." The Conservatives are hitting working people and communities hard. The 1 per cent reduction in the Goods and Services Tax will cost Ottawa over $5 billion a year in lower revenue, creating pressure to cut program spending. Worse, Harper is increasing the tax load of working families by about $200 per year by increasing the lowest income tax rate and reducing the basic tax allowance. "Canadians should not be fooled. Insisting on tax cuts today will lead to program cuts tomorrow," Moist warned. In all, the government is proceeding with over $21 billion in tax cuts over the next two years and only $8 billion in spending. Most of the new spending is going to the misguided Conservative child care benefit instead of to a real program, as well as to increased spending on police, defence and security. The funding for infrastructure is welcome but is not enough to alleviate Canada's infrastructure deficit. The budget also serves up cuts to education, training, research and development, aboriginal Canadians and the environment. "The federal government is fast tracking tax cuts, but digging in its heels on spending commitments," said Moist. "Stay tuned for the sequel if the Conservatives win a majority in the next election - more tax cuts for the wealthy, massive spending cuts for the rest of us and more money on so-called 'security' to keep us in line." CUPE is Canada's
largest union, with 550,000 members providing public services in communities
across the country, including health care, child care, municipal services
and more.
Response
from the Canadian Alliance of Student Associations (CASA) removed. Ontario Still Seeking Fairness From Federal Government Harper's First
Budget "Leaves More Questions Than Answers," Bountrogianni Says TORONTO, May 2, 2006 - The federal government has presented a budget that raises more questions than answers in meeting Ontario's priorities and addressing the fiscal imbalance, says Dr. Marie Bountrogianni, Minister of Intergovernmental Affairs. "The federal
government has recognized the fiscal imbalance for the first time, but
it missed the opportunity to act on the fiscal imbalance today. We will
continue to make our case to the federal government for fair treatment While the federal government made investments in transit, Ontario is disappointed that there was no specific mention of funding for GTA rapid transit projects. A number of other important areas, such as manufacturing and forestry, lack specific answers for Ontarians. "This is the beginning of a process, not the end," Bountrogianni said. "We look forward
to moving ahead from here in building a more productive working relationship
with Ottawa."
Federal budget
spells bad news for federal public services TORONTO, May 2, 2006 - The Harper government's first federal budget provides more questions than answers about its impact on services to Canadians, according to the Public Service Alliance of Canada. In its pre-budget submission, PSAC had argued that demands for public services are growing as the population ages and as more and more people locate to larger cities and communities. The union urged the government to reconsider premature tax cuts. "In addition to tax cuts, particularly the many corporate tax cuts contained in the budget, the Conservatives are slowing government spending at a time when the economy is growing," says PSAC National President Nycole Turmel. "They're also instituting another round of expenditure review, cutting $1-billion in each of the next two fiscal years." "If the government is planning to institute these cuts in addition to Liberals' five-year expenditure reduction plan, there will be a serious impact on the provision of federal public services in more areas," says Turmel. Instead of taking advantage of the growing economy to spend tax dollars investing in public infrastructure, child care and other programs Canadians say they want, the Conservatives are unnecessarily speeding up the federal debt reduction plan. Working parents who had hoped that the Conservatives would reconsider their position on the creation of new child care spaces will find little relief in this budget. "The government is offering only $250 million to create new spaces, fully $4.75 billion less than the previous government had negotiated with the provinces," says Turmel. If there is any good news for PSAC members in the budget, it is that the government is planning on spending $101 million over the next two years to eliminate work-alone posts and begin arming border officers. According to Turmel, "these are health and safety issues that the union has been pursuing through successive governments." "Our pre-budget submission also urged the government to ensure adequate staffing. Any cuts will have the opposite effect, increasing workloads and negatively affecting the delivery of services and our members' health and safety." Turmel is putting
the government on notice that the union expects to meet with the President
of the Treasury Board as soon as possible to find out more about which
programs will be affected by government cuts and what impact these cuts
will have on service to Canadians. Certified Management Accountants of Canada (CMA Canada) First Conservative Budget Falls Short in Boosting Canadian Productivity Measures ignore growing information and communications technology where greatest gains can be achieved OTTAWA, May 2, 2006 - The first federal budget by the new Conservative government is a step in the right direction to boosting productivity and prosperity for Canadians, but lacks key measures which would achieve the greatest gains. "Finance Minister
Jim Flaherty clearly recognizes that to ensure long-term prosperity, Canada
needs to increase our productivity," said federal budget analyst
Richard Monk, Vice Chair of Certified Management Accountants of Canada
(CMA Canada). "But the measures introduced today, mean Canadians
will still lag far behind the U.S. in productivity growth and have to
wait years before enjoying the same levels of prosperity." Mr. Monk expressed
concern that a number of measures, such as reducing the corporate tax
rate in two stages to 20.5%, then 19%, won't occur until 2008 and 2010.
Likewise the elimination of the corporate surtax won't take place until
2008. "We congratulate
the government for recognizing the tax burden is still high for small
and medium businesses, but raising the threshold for small business income
to $400,000 from $300,000 for the reduced federal tax rate is still insufficient,"
said Mr. Monk. In its pre-budget submission, CMA Canada had called on
the government to implement a number of measures to boost productivity
particularly for small and medium enterprises (SMEs), including raising
the small business income threshold to $500,000. CMA Canada notes that
the budget provides assistance for apprentices and trades people, but
provides no support for businesses and the training of workers in the
areas of information and communications technology (ICT). "There is wide
acceptance that information and communication technology investment is
critical for maximum productivity growth, yet there are no measures here
to help companies grow that important employment base," said Mr.
Monk. "In fact, they've specifically excluded communications and
data devices such as BlackBerries and computers from the new Capital Cost
Allowance measures to help workers acquire new tools to boost productivity." CMA Canada had called on the federal government to ease the burden of training ICT workers by providing a refundable 150% investment tax credit up to $10,000 per worker per year. This would recognize the important investment by businesses in growing Canada's highly-skilled knowledge worker base. A 2005 study by the
Centre for the Study of Living Standards attributed Canada's poor productivity
performance in recent years to "a substantial shortfall in the growth
of ICT capital stock to what is necessary in order to catch up to the
level of technology employed by U.S. industries." Other tax measures recommended by CMA Canada are:
The productivity
gap with the U.S. has grown another 10% in just five years, now seeing
Canada lagging almost 30% behind our American counterparts. This has resulted
in the purchasing power of Canadians falling to almost 17% below that
of Americans in 2005. The average annual average income gap between Canadians
and Americans is now US$7,020.
NAN Grand Chief disappointed with fraction of FMM commitments in budget "It's good to see the Harper Government recognize the need for resources to upgrade water, housing, and social services both on and off-reserve, especially considering the ongoing challenges of many of the communities across Nishnawbe Aski territory, including the second evacuation of Kashechewan in less than one year," said NAN Grand Chief Stan Beardy who represents 49 First Nation communities across Ontario. "It remains disappointing, however, that other priorities identified at the November 2005 First Ministers Meeting, such as health and economic opportunities continue to be neglected." As announced in Budget 2006, the Conservatives are committing $450 million to improve water supply and housing on reserve, education outcomes, and socio-economic conditions for Aboriginal women, children and families, $300 million to provinces to address immediate pressures in off-reserve Aboriginal housing, and funds to meet governmental obligations associated with the legacy of residential schools - a fraction of what was announced by the former federal government last November. The First Ministers Meeting on Aboriginal Issues, which took place in Kelowna, B.C. November 2005, had former Prime Minister Paul Martin's Liberal government announcing contributions of more than $5 billion over the next five years to close the gap between Aboriginal and non-Aboriginal Canadians in the areas of education, health, housing, and economic opportunities. "If significant
steps and strategies for implementation are not taken today to close the
gap between Aboriginal and non-Aboriginal Canadians, there will be continued
hardship in taking responsibility for ourselves in terms of decreasing
the burden currently posed on all of Canada," said Beardy. "In
order to take responsibility for ourselves we need economic development
and business opportunities, particularly in terms of skill development
and partnerships with industry."
No child care in
today's Budget OTTAWA, May 2, 2006 - The Federal Budget contains nothing for child care today and no plan for tomorrow, says the Child Care Advocacy Association of Canada (CCAAC). Families that can't
find child care now are going to find the search harder. Some children
may lose the early learning and child care they have and parents will
find paying for child care just as difficult. "This government
doesn't understand the benefits of early learning and child care or how
to develop it," charged the CCAAC's co-chair Debra Mayer of Winnipeg.
"An allowance to parents is not an early learning program for children." In canceling the child
care agreements with the provinces, the Harper government took $3.6-billion
away from Canadian communities, Mayer said. This funding was to expand
early learning and child care options for over 100,000 families; improve
access, particularly for low income and rural families and for children
with special needs; and enhance intervention services for children at-risk.
It was particular vicious of this government to single out aboriginal
children for a $25-million cut. "The Harper allowance
can't begin to replace what children lost in this Budget," says Jody
Dallaire, the CCAAC's New Brunswick representative. "This government
has failed children, but it has also denied parents the option to participate
in the workforce knowing their children are safe and thriving. It has
denied Canadians a solution to a shrinking workforce which is threatening
the health of our economy." The Association finds
it ironic that a government that has made accountability a priority would
cut mechanisms to provide accountability for early learning and child
care. "The government can try to erase public dialogue by attacking
research and information sharing," charged the CCAAC's executive
director Monica Lysack. "However, there is no denying the vast majority
of Canadians believe a national child care system is vital for Canada." Lysack predicts that child care will continue to dog the Harper Tories. "The opposition parties, most provincial premiers, but more importantly, parents of young children recognize early learning and child care is essential for a healthy productive society. They will continue to remind the government of this."
Federal Budget falls short for the Métis Nation OTTAWA, May 2, 2006 - Métis National Council President Clément Chartier is not impressed with the Conservative governments' first budget announced today on Parliament Hill. President Chartier was on hand to listen to Finance Minister Jim Flaherty deliver a budget that did not live up to the expectations of the Métis Nation. President Chartier
says, "Despite years of hard work and great progress as we experienced
with the previous government, Stephen Harper's Conservatives have not
stood up for the Métis Nation. It is not acceptable to ignore the
years of work which lead to last November's historic signing of the $5.1
billion dollar Kelowna Accord. The accord was endorsed by all provinces,
territories and national Aborigional organizations and yet, despite receiving
clear support for this investment and record federal surpluses, this new
government has not made the welfare of Canada's first peoples and in particular,
the Métis Nation, a priority." The Métis National Council continues to dialogue with provinces and territories which remain committed to seeing the obligations outlined in the Kelowna Accord fulfilled.
Budget a 'patchwork foundation' to Harper's aboriginal agenda "This budget is a far cry from what was committed by the First Ministers," said Grand Council Chief Beaucage. "Once again, we've been left out in the cold. Like the proverbial poor person looking in through a frosted window watching somebody having a real nice dinner in a fancy restaurant." "Addressing poverty and improving the living conditions of First Nations people is arguably the most pressing social issue in Canada today," said Beaucage. "Unfortunately, the government is laying only a patchwork foundation to Stephen Harper's aboriginal agenda." "This budget will mean First Nations will continue to be marginalized and subject to third world poverty," he said. Beaucage expressed disappointment in the $450 million "new approach" plan to improve education outcomes, socio-economic conditions for aboriginal women, children and families and water supply and housing on-reserve. Beaucage was particularly
critical with the lack of any fundamental investment for on-reserve housing.
First Nations have long maintained there is a significant shortage of
housing in First Nations' communities across Canada. In this budget, the government committed up to $300 million to address immediate pressures in off-reserve Aboriginal housing. "I acknowledge the government's attempt toward addressing housing especially off-reserve and in urban centers. It may not be what was committed by the First Ministers but it's a start," said Grand Council Chief Beaucage, who holds the National Portfolio for Housing at the Assembly of First Nations and the Ontario First Nations portfolio for Housing at the Chiefs of Ontario. These funds, however, will be allocated to the Provinces. "The Government
of Ontario must now begin working with our First Nations governments in
addressing off-reserve and urban housing," said Beaucage. The Grand
Council Chief looks forward to working with The Hon. David Ramsay, Minister
Responsible for Aboriginal Affairs and The Hon. John Gerretsen, Minister
of Municipal Affairs and Housing to implement a constructive approach
to implementing this new funding commitment for housing. "Despite our
disappointment, we are very willing to work with this government and the
Province of Ontario to address our immediate housing needs and demonstrate
that our vision of housing can work," he said Despite this overall
disappointment, Beaucage expressed pleasure in the $2.2 billion commitment
to address the legacy of residential schools. "I am excited to see the Harper government honour the agreement to compensate residential school survivors," said Beaucage. "Our elders have fought their entire lives, have sacrificed so much in addressing this tragic part of Canadian history. I now look forward to the establishment of a truth and reconciliation commission that will educate all Canadians about Residential Schools and how it has affected all First Nations society." The Anishinabek Nation incorporated the Union of Ontario Indians as its secretariat in 1949. The UOI is a political advocate for 42 member First Nations across Ontario. The UOI is the oldest political organization in Ontario and can trace its roots back to the Confederacy of Three Fires, which existed long before European contact.
Heritage Canada Foundation disappointed in federal budget OTTAWA, May 2, 2006 - Canada's national voice for the conservation of historic places expressed disappointment that the federal government has yet again missed an opportunity to encourage investment in Canadian communities. For decades, the Heritage Canada Foundation and its partners in architecture, urban planning and municipal affairs have asked for changes to the federal tax system that would encourage Canadians to rehabilitate deteriorating heritage buildings. According to Natalie
Bull, executive director of the foundation, "For several decades,
many municipalities and provinces have offered tax-based incentives -
it is high time the federal government stepped up." She added, "Rehabilitated
historic buildings and districts are known to generate tourism dollars
and new jobs. Projects like the Distillery District in Toronto and the
Lougheed Building in Calgary enhance our communities instead of sending In the United States, approximately 1,000 buildings a year are rehabilitated through its tax incentive program. Canada is the only G8 country that doesn't have federal tax incentives to encourage private sector investment in the country's historic buildings. The Heritage Canada Foundation is a national, membership-based, non profit organization with a mandate to promote the preservation of Canada's historic buildings and places.
Federal Budget Ignores Student Debt OTTAWA, May 2, 2006
- The Harper Government's first federal budget will do very little to
provide relief for students and their families who are struggling with
escalating fees for post-secondary education. Although the budget contains
minor tax changes for students, it will not fundamentally improve access
to post-secondary education according to the Canadian Federation of Students. "Tinkering around
the edges of the tax system is not going to increase access to college
and university," said George Soule, National Chairperson of the Canadian
Federation of Students. "This government should be restoring the
billions of dollars that were cut from post-secondary education transfers
during the past decade so that tuition fees can be reduced." Financial barriers
are choking off access to post-secondary education for many Canadian families.
Based on calculations from Statistics Canada's Youth in Transition Survey,
tens of thousands of high school graduates are denied access to post-secondary
education for financial reasons each year. Last month, a Statistics Canada
report titled How Students Fund Their Post-Secondary Education confirmed
that low- and modest-income families are grossly underrepresented in universities. The Canadian Federation
of Students is Canada's largest student organisation. It is composed of
more than 80 university and college students' unions, across all ten provinces
with a combined membership of over one-half
OTTAWA, May 2, 2006 - Canada's universities and colleges will be worse off as a result of the first Harper budget. "We're shocked
that the Harper government has cut half a billion dollars out of the post-secondary
education funding committed by the previous government," said Greg
Allain, President of the Canadian Association of University Teachers. CAUT is the national
voice representing more than 55,000 academic staff at over 100 universities
and colleges across Canada.
Federal Budget short-changes Canadian Children TORONTO, May 2, 2006
- Educators, parents, and school trustees are disheartened to learn that
the Federal Budget has scrapped the previous child care agreements made
with provincial governments. Rick Johnson Emily Noble Rhonda Kimberley-Young Winston Carter Brian Peat
Ontario government's home care initiatives still fail clients and workers TORONTO, May 2, 2006
- While Ontario Health Minister George Smitherman's announcement that
the provincial government is investing $117.8 million to improve home
care and community support services is welcome news, the Ontario government
has failed to tackle the real problems in Ontario's home care sector,
says the Service Employees International Union Local 1.on, the largest
home care union in the province. "Home care workers will welcome a pay increase. However, the increase does not address the wide wage disparity between home care workers, such as personal support workers working in homecare and those working in institutional settings such as hospitals and nursing homes," said Sharleen Stewart, president of SEIU Local 1.on. Elinor Caplan in her
report admitted that the wage disparity between home care and institutional
sectors was a factor in recruitment of home care workers. Caplan recommended
that CCACs not be required to provide 100 per cent PSW status within the
Request for Proposals process. This will further reduce the quality of
care a home care agency must deliver. Home care workers
still will not have the employment rights every other worker in Ontario
enjoys. They will remain "elect to work" workers, meaning they
can not exercise any successor rights when a home care agency loses its
service contract to another agency. In her report, Caplan
admitted that to remove the elect to work model would cost $62 million. "The Ontario
government is content to have workers and home care clients carry the
financial burden that is the direct result of the competitive bidding
model. It must be scrapped," Stewart said. It will be years before
any real changes to human resource practices can occur, because no current
home care agency contract with a CCAC can be reviewed until it expires. The Ontario government
still has not established any provincial standards for the delivery of
home care services. The services a client receives in Windsor must also
apply to a client in Cornwall or Kenora, but this is currently not the
case. "The competitive
bidding model in Ontario's home care sector has failed workers, clients
and Ontario's tax payers," Stewart says. The competitive bidding
model has allowed for profit providers to capture over 50 per cent of
all home care services in Ontario. "For profit home
care operators will continue to reap profits from Ontario's health care
system, but there has been no increase in the number of care hours home
care clients can receive," said Stewart. The amount of care hours an individual home care client is entitled to has been frozen since 1999.
Rural, remote and Northern communities missed in all the tax credit giveaways FEVERSHAM, May 4, 2006 - Prime Minister Harper's new budget of tax cuts reveals how poorly this government is responding to the challenges facing families in small rural, remote and northern communities, says Rural Voices. "Rural communities need infrastructure funding well beyond the promise of more highways, more bridges and more public transit," said Carol Gott, Co-Manager of Rural Voices. "We need recreation facilities, buildings and resources to support quality child care choices and innovative transportation supports to assist in the challenge of geographic isolation of many communities," Gott said. The budget provides public transit tax credits when remote, rural and Northern communities have no public transit. The budget also provides family fitness credits that will mean little in communities with limited access to recreation facilities. And many families will receive $100 a month to purchase "choice" in child care in centres that do not exist, while many communities will not be able to support building new child care spaces only through tax credits. This government has taken a fragmented, "give everyone something approach" in this budget - but is this really short-term thinking, Gott said. "Farmers will welcome additional income support," Gott said. "However, it will not remove the need for both farm parents to work to survive, or assist them with the lack of safe quality child care choices for their children while they work on and off the farm." "Prime Minister Harper needs to look well beyond the two- year window of his budget planning to the long term effects of his tax cut budget," Gott said. Rural Voices is a virtual support network which provides a rural conscience for other organizations and governments, and a means for rural and remote communities to benefit from knowledge, learning and best practices in early childhood education and care locally, provincially and nationally.
National Housing and Homelessness Coalition Housing Coalition welcomes federal budget's funds for affordable housing
The funds are allocated in three trust funds - $800 million for the provinces; $300 million for the territories; and $300 million for off-reserve Aboriginal housing, allocated through the provinces. "This offers some hope for the 1.5 million Canadian households that desperately need affordable housing," said Jim Marshall, Coalition spokesperson and program coordinator with the United Church of Canada. "Our Coalition has been urging the government to make these funds available and we are pleased to see the creation of these housing trust funds." The Coalition was also glad that funds had been set aside for off-reserve Aboriginal housing, although the $300 million is far short of the urgent need for Aboriginal housing, especially off-reserve. The Coalition has long supported the concept of funding dedicated to off-reserve Aboriginal housing in urban centres coast to coast. The National Housing and Homelessness Coalition represents housing and non-profit associations, anti-poverty and faith groups, municipalities and other associations with a focus on housing. Membership includes the National Anti-Poverty Organization, the Canadian Housing and Renewal Association, the Co-operative Housing Federation of Canada, the National Aboriginal Housing Association, the Ontario Non-Profit Housing Association, The United Church of Canada, The Anglican Church of Canada, the Front d'action populaire en réaménagement urbain (FRAPRU), Raising the Roof and others.
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