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Public debate about how to deal with Canada’s $53.8 billion deficit has largely focused on spending cuts. Prime Minister Stephen Harper has explicitly ruled out the possibility of tax increases (except for an increase in EI premiums), while Liberal leader Michael Ignatieff has suggested a freeze on continued corporate tax cuts until Canada is in better fiscal shape. The New Democratic Party has consistently called for the repeal of corporate tax cuts to restore government revenue. In April, nearly three-fifths of senior executives polled said they believed some kind of tax increase would be necessary to deal with the deficit. So far, however, there hasn’t been much debate about this option in Canada.

While responding to the deficit and appropriately and sufficiently investing in social security may require a rise in several different taxes, today I want to take a closer look at corporate taxation. Read more »

Last week I participated in a tele-learning seminar hosted by Tamarack on the Ontario Poverty Reduction Strategy, Breaking the Cycle. This is the fourth in a nation-wide series on provincial poverty reduction strategies.

Ontario’s strategy is unique in the sense that its specific goals and targets are focused on one particular area- to reduce child poverty by 25% in 5 years. As a result much of the plan’s focus is on child-tax benefits, child care, early childhood education, and training for children and youth. Education and support for children is seen as a key element to breaking the cycle of poverty. Read more »

Last week the Canadian Truth and Reconciliation Commission for the Indian Residential Schools was officially launched in Winnipeg. Those present included Murray Sinclair and the other commissioners, government officials such as the Minister of Indian and Northern Affairs, Chuck Strahl, Aboriginal, Métis and Inuit people from across the country, representatives from the four national churches who ran the schools, and the general public.

This was the first opportunity for many residential school survivors to share their stories with the Canadian public. Emotions were running high for those testifying, as well as those listening. The truth stirred up memories among survivors, and regret among the others. Read more »

A Private Member’s bill mandating the creation of a federal poverty elimination strategy was tabled this afternoon in the House of Commons. The bill was presented by Tony Martin of the New Democratic Party and seconded by Mike Savage of the Liberal Party and Yves Lessard of the Bloc Québécois.

Bill C-545 directs the federal government to consultatively develop a federal poverty elimination strategy, creates a new, independent Poverty Commissioner to monitor progress of the strategy, and provides a stronger advisory role for the National Council of Welfare, to be renamed the National Council of Poverty and Social Inclusion. Read more »

I have been amazed and not a little disturbed to see the narrative shift leading up to the G8 and G20 meetings that the time for stimulus is past and the time for government cuts has arrived. Among other pieces, this recent Macleans story is reflective of this trend. It forecasts a V-shaped economic recovery, for which it blames growing government debt and prescribes greater government austerity. However, at least it acknowledges the heavy socio-economic impact to be paid by cutting stimulus spending: high unemployment combined with the loss of valuable social programs.

The problem with this analysis, according to Paul Krugman, the US economist, is that cutting spending now will barely make a dent in the debt, while simultaneously increasing unemployment. Read more »

Many Canadians have long celebrated the fact that everyone in Canada has access to free health care. The Canadian government is one of the world’s biggest spenders, proportionally, on national health care programs. But is all the spending making a difference? Is covering health care sufficient for the health and well being of all Canadians?

A new report issued from York University by Juha Mikkonen and Dennis Raphael, Social Determinants of Health: The Canadian Facts, shows that health and well being is determined by many social factors, not just the health care system itself.The report shows that the circumstances in which people live play a significant role in their health and well being. Read more »

Yesterday CPJ launched a new research paper, Bearing the Brunt: How the 2008-2009 Recession Created Poverty for Canadian Families, on Parliament Hill. This paper looks rising economic insecurity and indicators of poverty including Employment Insurance, social assistance, costs of living and food bank usage caused by the latest recession.

Check out the photos!

Read more »

UPDATE:

The Senate report, In from the Margins, passed in the Senate last week! This means that the government has to respond within 150 days to the over 70 recommendations made by the Subcommittee on Cities.

But it is still important to contact our Members of Parliament and Senators about the importance of taking strong action to eliminate poverty in Canada, for the sake of dignity for all Canadians, and for the sake of our economy. See the Parliamentary website for a list of current MPs, and please continue to use the Talking Points below to get the message through to your MP. Read more »