Federal Poverty Reduction Plan: Working in Partnership Towards Reducing Poverty in Canada

Report of The Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities

Reported to Parliament – November 17,2010

SUPPLEMENTARY OPINION OF THE CONSERVATIVE MEMBERS OF PARLIAMENT

The Conservative Members of Parliament of the Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities (Members) believe that reducing poverty in Canada is an important objective. We are committed to the goal of fostering economic prosperity, strengthening communities, and ensuring that all individuals in Canada are able to support themselves and their families.

We would like to thank all of the witnesses that appeared before the HUMA committee during the course of the Federal Contribution to Reducing Poverty in Canada study. They all played an important role in helping further the dialogue on the scope of the problem and the potential solutions.

The Conservative Members support the intent of the study and are generally supportive of the final report. However, we do have some significant concerns with the report and its recommendations. Accordingly, our support is qualified through this supplemental opinion which outlines those concerns.

Due to the large and comprehensive nature of the report, as well as the high number of specific recommendations included within, the supplementary opinion will outline our overall concerns, rather than speak to each individual recommendation.

First, the Conservative Members believe that the best long-term strategy to fighting poverty is the sustained employment of Canadians. We believe that the final report and its recommendations do not focus adequate attention on this goal or on specific measures to support jobs for Canadians. In addition, in light of Canada’s evolving labour market, we would have preferred to see more recommendations on how the Government can help ensure that Canadians are ready to fill the jobs of tomorrow, many of which will require new and different skills than today’s jobs.

Second, the Report virtually ignores the Government’s current investments and the impacts they are having in terms of poverty reduction. We commend the Government for its substantial investments in families, skills training, housing, and education among many others areas. We believe the Report should have included a more comprehensive picture of what the Government is already doing to fight poverty, whether those measures are working, and what improvements can or should be made.

Third, we commend the Government for working in a co-operative and collaborative manner with its provincial and territorial partners to address the issue of reducing poverty. The Conservative Members are committed to respecting the constitutional jurisdiction of the provinces and territories. Consequently, we are concerned that many of the Report’s final recommendations prescribe federal action in areas of provincial and territorial jurisdiction. We know that on many issues, each province and territory faces different challenges and, therefore, one-size-fits-all solutions are not always effective or appropriate. We believe that when it comes to issues such as housing, skills training and education, to name a few, the provinces and territories are much better positioned to know and understand their unique issues. Accordingly, they are also best-positioned to identify and deliver the most effective solutions.

Fourth, the decision by the opposition Members of the committee to exclude costing of the recommendations is cause for serious concern and weakens the credibility of the overall report. The report includes a high number of recommendations and the cost of implementing all of the recommendations would be astronomical. For example, the Child Care Advocacy Association of Canada has estimated that implementing a national day care plan, which is one of the report’s recommendations, would alone cost at least $6 billion per year.1

It is also concerning that in the rare instances where costs are provided, they are not always accurate. For example, the Report states that a uniform Employment Insurance qualification requirement of 360 hours of insurable employment would cost $1.148 billion annually and that this estimate has been confirmed by the Parliamentary Budget Officer. However, on October 18, 2010 the Parliamentary Budget Officer released a report in which he estimated the cost at $2.4 billion per year.2 Furthermore, the Department of Human Resources and Skills Development, which has the most accurate data, has estimated the cost at $4 billion annually.

The lack of costing for the vast majority of recommendations makes it very difficult for the Government to determine which recommendations are prudent and practical to adopt. It is critical that the Government understand what impact implementing any of these recommendations would have on its important commitments to deficit reduction, keeping taxes low, and maintaining transfers to the provinces and territories.

It also makes it difficult for Canadians to decide which recommendations would be the most effective while at the same time providing value for money. As taxpayers, they will ultimately be forced to bear the additional costs of implementing any of the recommendations. Canadians need to comprehend what impact implementing the report’s recommendations will have on their pocketbooks and their ability to provide for their families.

In conclusion, the Conservative Members have some concerns with the final report. Nevertheless, we believe that it is a significant addition to the dialogue on the causes of poverty how it can and should be reduced. We strongly support the intent of the report and hope it serves as an impetus to get Canadians and all levels of Government engaged in this important discussion with the ultimate goal of finding effective solutions to fight poverty in Canada.

Ed Komarnicki, MP, Parliamentary Secretary to the Minister of HRSDC
Rick Casson, MP
Maurice Vellacott, MP
Jeff Watson, MP
Alice Wong, MP

1 Child Care Advocacy Association of Canada. 2010 Pre-Budget Brief.
2 Office of the Parliamentary Budget Officer. October 18, 2010. Cost Estimates of Selected Legislative Amendments in Bill C-280 and Bill C-308 (October 2010)