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National Framework for a Guaranteed Livable Basic Income Bill

Second Reading--Debate Adjourned

February 8, 2022


Hon. Kim Pate [ - ]

Moved second reading of Bill S-233, An Act to develop a national framework for a guaranteed livable basic income.

She said: Honourable senators, more than 50 years ago, in the report of the 1971 Special Committee on Poverty, Senator Croll and his colleagues identified that “Poverty is the great social issue of our time.” They stated, “The poor do not choose poverty,” declaring it “our national shame,” and warning us:

No nation can achieve true greatness if it lacks the courage and determination to undertake the surgery necessary to remove the cancer of poverty from its body politic.

They noted that we continue to pour billions of dollars every year into social assistance schemes that have “treated the symptoms of poverty and left the disease itself untouched.”

This unanswered call to action focused on pressing issues of long-term well-being for Canadians and prescribed as an urgent priority a “Guaranteed Annual Income as the first firm step in the war against poverty.” The committee pressed for immediate action because it “felt the poor could not be asked to wait years for the help they so urgently need.”

Poverty is not inevitable, nor is it an individual failing. It is the result of government policy choices that fail to provide viable pathways out of poverty that abandon and leave people behind.

Poverty puts people’s safety, health and well-being at risk and undermines the values of equality, dignity and choice to which we collectively aspire. Poverty excludes people from contributing to their communities to their full potential in ways that impoverish all of us.

For these reasons, in terms of human, social, health and economic well-being, it is the cost of failing to address poverty, not the cost of support measures that Canada cannot afford.

As we approach the second anniversary of the pandemic, the need to revisit the Senate’s 50-year-old recommendation regarding guaranteed livable basic income is more urgent than ever.

Canada is reckoning with a COVID-19 toll of illness and of death indisputably shaped and defined by income inequality; and a status quo that has allowed billionaires to amass incredible wealth at a time when millions are struggling without the economic means to stay safe and healthy; and with pandemic response measures that have yet to reach those below the poverty line in a meaningful way, despite Canada’s stated intention of ensuring recovery for all.

Bill S-233 would respond by implementing a framework to make a guaranteed livable basic income a reality.

Canada’s current approach to poverty is leaving millions behind. According to the government’s own data, on the eve of this pandemic, at least 3.7 million people — that is 10% of Canadians — were struggling below the poverty line. Poverty rates are at least double that for persons with disabilities, racialized and First Nations peoples. Families headed by single mothers, and particularly by mothers living with a disability, are nearly three times more likely than average to be living in poverty. Indigenous children face poverty rates five times higher than the national average. Canada’s policies have left 53% — more than half — of children in Indigenous communities in poverty.

The pandemic exacerbated health and income inequality. During the first year of this unprecedented economic and health crisis, 47 Canadian billionaires increased their wealth by $78 billion. The International Monetary Fund, the World Bank and World Economic Forum document staggering increases in economic inequality around the world as a result of COVID-19. The pandemic has created a new billionaire every 26 hours and allowed the world’s 10 richest men to double their wealth.

While Canadian billionaires increased their wealth during the pandemic, too many of their companies cut or clawed back pandemic pay increases from their front-line workers.

Compensation for Canada’s 100 highest-paid CEOs increased to an average of $10.9 million per year. For 30 of these 100 CEOs, these incredible amounts were paid out as their companies applied for and received emergency wage supplement funding from the government.

In the meantime, Statistics Canada reports that low-income workers, particularly women and racialized persons, disproportionately lost jobs as a result of business closures. In Canada and around the world, women assumed additional unpaid care work, contributing a stunning $10.8 trillion to the global economy while impoverishing themselves.

COVID-19 spotlighted the vital work of caregivers in long-term care homes, too many of whom were in poverty at the start of the pandemic due to inadequate pay, or working multiple jobs in order to barely make ends meet. As the pandemic made it impossible to work at different care homes, too many were left to struggle, some with no housing options other than homeless shelters.

During the first year of the pandemic, 34% of African Canadians reported difficulties meeting basic household financial commitments, compared to 16% of non-racialized people. The household incomes of 31% of persons with disabilities decreased. As many as 54% of Indigenous peoples faced difficulties meeting their personal needs for shelter, food and protective equipment.

While measures like the Canada Emergency Response Benefit provided many with vitally needed economic relief, these individual supports were unavailable to anyone without $5,000 in income in the previous year. As a result, those most marginalized and most in need of assistance were left behind, abandoned to the pandemic with next to nothing in additional protections. Those who were poor stayed poor. Let us be very clear, dear colleagues, CERB did nothing for those who were poor before the pandemic and who became more vulnerable because of and during it.

The unconscionable consequences of Canada’s failure to address poverty and income inequality include starkly magnified, needless and cruel exposure of people to preventable health risks.

As Public Health Agency of Canada research brings into sharp relief, one of the most shameful realities of this pandemic is that the poorest Canadians are two times more likely than the richest to die of COVID-19.

Studies from around the world demonstrate a horrifically clear link between income and a person’s risk of dying of COVID-19. In fact, when it comes to predicting COVID-19 deaths, income inequality is a clearer and more determinative indicator than even a person’s age.

The situation is no different in Canada. Despite this country’s investments in medicare and in the belief that no one’s health should depend on their ability to pay, our eviscerated health and social care systems and economic inequality are killing people.

People are dying because they cannot afford space to physically distance or to stay safe when they are ill. Mortality rates were between 2.5 and 2.8 times higher for people living in apartments compared to those living in single, detached homes. Many of those at greatest risk for COVID live in multi-generational homes or with multiple roommates in order to be able to afford rent. The situation is infinitely worse for those in congregate settings, from long-term care homes to shelters to jails, and is all the more desperate for those on the streets with nowhere safe to turn.

People are dying because they cannot afford to stay home from work. Front-line workers are mostly low paid, with limited to no benefits, and working remotely is definitely not an option. Many have to take public transit to get to work.

One year into the pandemic, lower income, high immigrant, racialized and dense neighbourhoods have been hardest hit by COVID. For example, Scarborough, which accounts for about 5% of Ontario’s population, represented about 15% of the province’s COVID-19 cases. This reality is attributed in part to the number of people working multiple jobs in the most precarious forms of employment.

In this fifth wave of this pandemic, health professionals continue to describe “a tale of two pandemics,” one lived by those who can afford to better protect themselves and one by those who cannot. Too many below the poverty line cannot afford to buy masks or tests, or take time off work to get vaccines, or have the means to stock up on extra food or medications to avoid multiple trips to stores.

The pandemic has underscored the plight and policy imperative of meaningfully addressing the needs of low-income Canadians. Income is the number one UN Sustainable Development Goal and the primary social determinant of health for Canadians and globally. Compared to higher-income individuals, people living in poverty in Canada experience 11.3 fewer healthy years; 1.5 times the rate of infant mortality; 1.6 times the rate of unintentional injury mortality; 2.7 times the rate of suicide; 4.1 times the rate of self-reported poor mental health; 1.4 times the rate of asthma; two times the rate of diabetes; 1.9 times the rate of disability; 1.9 times the rate of smoking, and 1.7 times the rate of lung cancer.

Health consequences are not restricted to those below the poverty line. Many more, though not in poverty, are desperately trying to keep poverty at bay. Recent polling reveals that an unprecedented one in three Canadians — and one in two young Canadians — are struggling with their mental health. They are fatigued, frustrated and anxious as they navigate the inequality and instability of COVID-19. For those on the precipice, living without adequate economic, health and social safety nets takes a dangerous toll.

There is no possible excuse for our inaction. Despite the risk to individuals, to public health and to community well-being, Canada continues to leave people in poverty and at risk of poverty. This costs us between $72 billion and $86 billion per year, billions in preventable healthcare expenses alone. Previous investments in guaranteed livable basic income tell us that Bill S-233 has the ability to help change this.

In the 1970s, Manitoba’s basic income pilot resulted in an 8.5% reduction in hospitalizations and emergency healthcare costs. In Ontario’s basic income pilot, 79% of participants reported improvement in overall health; 82% reported improvements in mental health; 83% were better able to afford necessary medication; 74% were better able to afford dental care, and 50% were better able to afford psychotherapy. One third of participants with children reported improvements in their children’s health. Many reported having to use health services less often.

Bill S-233 and its sister, Bill C-223, lay the groundwork for significantly improving the health and well-being of Canadians. They would result in the Minister of Finance developing and advancing a framework, in consultation with Indigenous peoples and provincial, territorial and municipal governments, for implementing a national guaranteed livable basic income program. Such a program would provide direct amounts of income support sufficient to live on and would be accessible to anyone in Canada over the age of 17 below the poverty line.

As a recently released briefing paper by Dr. Jim Stanford reveals, the success of the CERB underscores both the feasibility and effectiveness of income security supports such as guaranteed livable basic income. Dr. Stanford also pointed out that despite rhetoric about the CERB and other income benefits disincentivizing work, aside from anecdotal, self-interested employer testimonials, there is a decided dearth of evidence to support such assertions. While some who were in precarious, part-time or gig work may have moved into more reliable work, leaving employers offering low wages or no benefits with some work shortage, the labour market is rebounding and arguably more robust, with labour force participation in late 2021 exceeding pre-pandemic peaks.

Rather, as many of our colleagues more acquainted than I with business practices have pointed out, like CERB, a basic income would allow workers to not be forced to choose between starvation or homelessness or working in dangerous conditions. This provides them a chance to decommodify their lives and resist employer demands that are unfair, unsafe or intolerable.

A guaranteed livable basic income should not result in clawbacks to other services or benefits individuals receive to meet exceptional needs related to health or disability, nor would it replace or remove the need for vital housing, social, health, education, labour and other programs and protections; rather, it would work to ensure that access to these measures and decision making about how best to care for oneself, one’s family and community are not undermined by lack of money to meet basic needs. Moreover, it could be constructed so as to incentivize training and labour enhancement by eliminating current policies that interfere with the ability of too many to rebound out of poverty.

Currently, those most marginalized spend whole days, years and even lives working to access a series of over-subscribed services like food banks and shelters, as well as income programs that offer too little while subjecting people to rigid, dehumanizing, and arbitrary conditions. As reported by the National Advisory Council on Poverty, the design, requirements and criteria of these programs too often make them particularly difficult for Indigenous peoples and other marginalized groups to access and out of touch with their needs and realities.

By navigating this demoralizing system day after day, a person may receive a bare minimum to help them to subsist. Such emphasis on minimum subsistence means that people are trapped at the margins, making impossible and unacceptable choices, for example, between food, medicine or shelter, not to mention constantly on the brink of urgent need and crisis.

In just one example brought to light by the research of Dr. Evelyn Forget, a single mother of two on social assistance had a plan to try to improve her employment prospects and lift herself out of poverty by taking job training. Because she was on social assistance, she required permission from a caseworker before she could do so. The otherwise supportive caseworker did not see the benefits of the woman’s plan, and so instead of supporting and encouraging her initiative, the woman was not allowed to explore a pathway that could have led her and her family out of poverty. In whose interests do we plunge people into and then keep them submerged in poverty?

The observations included in the 2021 report of the National Advisory Council on Poverty linked inadequate responses to poverty to the pernicious opinion that people in need are trying to abuse the system by accessing benefits. Through consultations, they heard that:

. . . programs design their eligibility criteria with a focus on keeping out the “cheaters.” Systems place responsibility on applicants to prove their disability repeatedly, even for lifelong conditions, including an emphasis on doctor-verified diagnoses. There is a perception that resources are carefully rationed and scrutinized to ensure that each qualifying recipient has “just enough” to survive.

In every province and territory, social assistance rates are wholly inadequate. They not only fall well below the poverty line, but they provide between 20% to 60% less than so-called deep poverty lines.

As summarized by one participant in the advisory council’s consultations, “You’re just trying to put food on the table and you’re seen by others as cheating. It’s soul destroying.”

These harmful and classist attitudes about poverty are belied by the sheer amount of work and determination that go into surviving. The National Advisory Council notes that the time and effort required to navigate anti-poverty programs has turned poverty into a punitive, permanent and dead-end full-time job. And as one Ontario disability benefit recipient noted to our office, if navigating poverty is a full-time job, “The pay sucks, man.” If the disability payments she qualifies for were expressed as the equivalent of an hourly wage, they would amount to $6.74 per hour. Those on social assistance, rather than disability assistance, receive even less.

Emergency pandemic responses like the Canada Emergency Response Benefit, or CERB, have risked reinforcing already powerfully engrained stigmas by drawing distinctions between workers eligible to receive supports and others who are not.

This ignores the reality that more than half of people below the poverty line have employment income as their main source of support — they are working but not being paid enough to survive. More fundamentally, it reinforces the assumption, noted by the National Advisory Council on Poverty that:

. . . poverty is the result of personal failings, rather than the failure of systems, labour market challenges, and government policies and programs.

This leads to the assumption that some are deserving and others undeserving of help.

Participants in consultations with the council noted the expectation that people living in poverty:

. . . have to be without fault in order to receive support. There is no room for them to fail or slip up.

Those in poverty are held up to scrutiny in a way that no one else is. The kind of decisions those better off routinely make and absorb the costs of — from buying a treat for their child to taking a personal day off work — are, for those in need of income assistance, too often construed as moral failings, lack of discipline or, worse yet, laziness. Meanwhile, as the work of our colleagues Senator Downe and Senator Wetston reveal, we do not seem to apply the same critical lens when it comes to wealthy Canadians evading taxes or competition law. At its root, guaranteed livable basic income would ensure that everyone has the freedom to make choices about how best to care for themselves and their families.

Let’s return to Dr. Forget’s example of the single mother who was trying to access job training. For her, the Manitoba basic income pilot was a crucial turning point. Enrolled in the program and no longer subjected to the scrutiny of a caseworker, she now had the option of accessing enough money to give herself and her family stability while she temporarily left the labour market to pursue job training. She enrolled in the training.

Speaking to Dr. Forget 40 years later, the single mother spoke about the pride she still felt at having modelled independence for her two daughters.

Her experience is echoed by countless participants in the Ontario Basic Income Pilot in 2017. One person reported, “It helped fill in the gaps when I had precarious (part-time) employment while looking for something more sustainable.”

Another person said, “I was saving for a vehicle so I could pursue self-employment without fear of not making ends meet.”

And another said, “I was able to get the medical equipment I needed so I didn’t have to leave work for my asthma.”

And another:

I was able to get out from under payday loans. I was able to feel dignity in living and hope for being able to maybe buy a cheap car, pay off debt and not being looked down on by my neighbours.

And another:

Even with a low employment income, I became more committed to my job serving a vulnerable population because I knew the basic income supplement would allow me to pay all of my bills and eat well.

And another:

As someone who works 40+hrs a week in a factory job that destroys my body, making next to [minimum] wage, I was making barely enough to get by . . . The basic income program helped me afford my bills . . . and allowed me to participate in recreational activities more.

And another:

I had plans to go to school for all three years of the pilot so that when it was over, I would be in a position where I would be educated enough to have a good career. I would be in a higher tax bracket and paying more taxes so I would be contributing more to society.

And another:

I was in the hospital multiple times a week with health problems from not being able to eat properly, stress, and not having a way to really go anywhere (in life). I’m enrolled in schooling and I intend to go to college next year . . . .

And another:

I finally felt like part of society and not isolated . . . able to go out for a tea when asked, pay for uncovered meds needed . . . sleep without anxiety. It was a feeling of confidence, self-worth.

And another:

My confidence boosted sky high . . . I took 2 months to get my anxiety under control. I found a full-time job in a little less than 2 months . . . My kids’ confidence went higher, [they] started bringing home better grades . . . They have proper winter clothing . . . able to play outside . . . Basic income made me want to better myself and I did.

The access to meaningful choices afforded by guaranteed livable basic income is a matter of dignity and equality. It is also crucial to allow people a chance to get out of what can otherwise be overwhelmingly cyclical chasms of poverty in ways that current social assistance programs simply do not.

Bill S-233 is part of a cross-chamber collaboration with MP Leah Gazan. It builds on the momentum and decades of work of parliamentarians from diverse regions and political affiliations, drawing attention to the potential of guaranteed livable basic income as those behind the bill seek to represent Canadians below the poverty line, especially during this health and economic crisis.

More than 50 of us, honourable colleagues, signed joint statements and letters to the government on this issue. Three of our Senate committees, including National Finance, Social Affairs and Human Rights, as well as the Finance Committee in the other place, have made recommendations in support of guaranteed livable basic income since the onset of the pandemic.

Our former colleagues Senators Eggleton and Segal worked to bring guaranteed livable basic income to the attention of this chamber long before the onset of COVID-19 through committee studies and motions. They have carried on their seemingly tireless work beyond the chamber and throughout this pandemic.

Member of Parliament Julie Dzerowicz introduced guaranteed livable basic income legislation in the last parliament. Two major political parties included this issue in their federal platforms last election. A third endorsed guaranteed livable basic income as a top priority at their policy convention.

Public opinion polls indicate that significant majorities of Canadians support guaranteed livable basic income. The COVID-19 pandemic has seen unprecedented numbers of people organizing, contacting their representatives and petitioning for urgent implementation of this measure, citing recommendations from experts in fields as diverse as the arts, banking, economics, health care, human rights, labour relations, social work and the tech industry.

Bill S-233 builds on Canada’s past successful experiences with guaranteed livable basic income. Participants in pilots in Ontario and Manitoba reported improved health and well-being without significant work disincentives. In Manitoba, the main areas where labour market participation decreased were for teenagers who were able to complete high school instead of having to work to support their families and parents temporarily caring for young children.

Federally, Canada already counts on two forms of guaranteed livable basic income, the Canada Child Benefit and the Guaranteed Income Supplement for seniors, to reduce the number of young and older Canadians living in poverty in ways that contribute to the economy. According to the Canadian Centre for Economic Analysis, every $1 that the government spends on the Canada Child Benefit results in $2 of economic activity. The economic benefits of a national guaranteed livable basic income program are predicted to similarly stimulate the economy.

The Parliamentary Budget Officer has estimated the costs of a national guaranteed livable basic income program. Most recently, they provided an example of a program that could deliver $80 billion in supports for a net cost of only $3 billion by replacing tax measures like the GST credit and basic personal amount, as well as provincial and territorial social assistance.

This estimate does not include future cost savings associated with downstream social and economic benefits, such as reductions in health care, criminal legal system and emergency shelter spending. Nor does it include the potential economic benefits outlined by the Canadian Centre for Economic Analysis, including a 1.8% increase in real GDP, 346,000 additional jobs and $52 billion in additional tax revenue after the first five years of the program alone.

A national income-tested guaranteed livable basic income would obviously entail transition costs, but overall it is not a question of spending significantly more money; rather, it requires us to spend money differently and more effectively.

During COVID-19, CERB and related programs have demonstrated Canada’s capacity to deliver meaningful, innovative and flexible economic supports to individuals in need. New pushes for federal involvement in guaranteed livable basic income are underway. The government has committed to reintroducing the Canada disability benefit, a form of guaranteed livable basic income for persons with disabilities. The Province of Prince Edward Island is requesting federal support for a provincial guaranteed livable basic income, which could serve as a demonstration project for rollout to other interested provinces and territories.

The 2021 Missing and Murdered Indigenous Women, Girls, and 2SLGBTQQIA+ People National Action Plan includes implementation of a national guaranteed livable basic income program as a key facet of decolonization and reversing systemic economic marginalization of Indigenous women. For years, Canada has been exploring the idea of guaranteed livable basic income and has been generating a wealth of compelling data about the benefits that such a program can offer. Bill S-233 would allow us to map out a national approach at a time when the imperative of eliminating poverty has never been clearer.

In 1971, the members of the Special Senate Committee on Poverty presented their bold proposal for guaranteed livable basic income to Canadians as follows:

To do what has to be done will certainly cost money. Lack of action will cost many times more. What inaction will cost in lost humanity is infinitely greater. The Committee believes that the Canadian people . . . are ready to face the challenge of poverty.

I think so, too. Canadians have been ready and waiting for more than five decades. It is time for us to act, honourable colleagues.

Meegwetch, thank you.

The Hon. the Speaker pro tempore [ - ]

Senator Pate, there are still 14 minutes left. We have two senators who would like to ask questions. Is that okay with you?

Senator Pate [ - ]

Absolutely.

Thank you, Senator Pate, for speaking on behalf of the most vulnerable Canadians and for clearly explaining just how important this program is.

At the beginning of your speech, you spoke about the number of CEOs who had the gall to increase their own gigantic salaries while seeking public funds for their companies by applying to the COVID-19 wage supplement programs. If I recall correctly, you mentioned that 30 companies had done this. Could you please confirm exactly how many companies showed so little social conscience?

Senator Pate [ - ]

There are a number of companies. I can certainly point you to the report. I don’t recall all of the names of the companies offhand, but I would be happy to send that to you and to all colleagues as a follow-up. Certainly, in the notes attached to my speaking notes, I have the direct hyperlink to those.

It was a shock to me, when I mentioned some of our colleagues, to find that when the five largest grocery chains in this country got together and decided to end the hero pay for front-line workers, it was not considered a conspiracy or contrary to competition law. That would be one example, and I certainly will be happy to provide you with more of those names. Thank you.

Hon. Frances Lankin [ - ]

Senator Pate, thank you very much for bringing forward this bill.

As you and I know, many of us have been working on this for many years. I think of the work of Evelyn Forget in trying to finally bring together the research from the Dauphin, Manitoba project. I think about the changes that have been made, and the calls and some sort of patchwork from the Eggleton-Segal report. I think about the report on social assistance reform in the province of Ontario, which called for enhancement of the disability benefit and a basic income. Those were over the years. I think of P.E.I. more recently being interested in exploring this.

It doesn’t matter the political stripe of the government in power over all of these decades that we have been fighting for this; there is a stop — a hard wall. It seems to come from the Finance Department. I’m not blaming bureaucrats; they have their interests, reasons, philosophy, ideology and whatever. I want to understand it better, because I have never gotten a straight answer from them. They talk about the problems of design, but those are problems to be solved.

Have you, in your discussions with the minister or the department, gotten any clear information about why they continue to say “no” and won’t pursue what so many Canadians think is a much more inclusive and much more deliberately compassionate social policy?

Senator Pate [ - ]

I wish I had a clear answer for you. My answer is “No, I have not received clear understanding,” hence the reason I spoke about many of the myths and stereotypes about poor people and the assertions that, in fact, CERB has significantly impacted the labour situation in this country when all of the available evidence to the government and beyond reveals just the opposite.

The only thing I have heard is that some have said, “Well, that’s not the legacy project this particular government or any government was looking for.” I think that’s beyond regrettable.

As we’re seeing outside the doors of this chamber right now, people’s frustration with their inability to navigate throughout this pandemic is rooted in the evisceration of social, economic and health policies over decades, and then is being used — I would argue is being appropriated — by some with very extreme horrific views, and they are exploiting people who are very much struggling to get by.

It’s imperative that not just the government, but all of us, look at how we move forward on this. I thank you very much for all of the work you have done historically, both in this chamber and before being in this chamber in the work you did provincially, municipally and throughout the country.

Senator Lankin [ - ]

Briefly, I think it’s time that a group of us and perhaps some of the folks that are involved in the All-Party Anti-Poverty Caucus — because it involves people from all political parties and, in the Senate, from political caucuses and groups — to meet with Department of Finance officials and get them to spell out their concerns. I know we’ll hear about marginal effective tax rates. Those are design issues; they are not things that are impossible to overcome.

So maybe there is a group of us that need to request a full briefing and a full dialogue, and I would be happy to work with you on getting that set up. Thank you.

Senator Pate [ - ]

Thank you very much. I would be happy to work with you, as always, on that and many other things. So thank you, and thank you for all your work for gig workers as well. I know that is well appreciated by me and many of the people in my circles. Thank you.

Hon. Diane Bellemare [ - ]

Thank you for your speech, Senator Pate. I think there are many different ways to approach the topic of a guaranteed basic income for Canadians. It doesn’t necessarily have to be through a single program. I will no doubt have the opportunity to speak to this bill and explain how we can share the same objectives of reducing poverty and integrating people, but using different approaches.

My question for you has to do with your speech and your approach, specifically. You mentioned the 1971 Senate report, the Croll report, a number of times. I would like to hear your thoughts on two of the fundamental aspects of the Senate proposal for a guaranteed basic income.

The first is that the guaranteed basic income was being proposed on condition that it be supported by a policy of full employment, which would involve a suite of active measures to support people in the labour force.

The second condition on the Croll report’s proposal was that the government definitely should not start by offering a guaranteed basic income to people aged 18 and over, but rather focus on people aged 40 and over.

What do you think about this and, most importantly, why would you want this proposal to include people as young as 18? Don’t you think it would be better to prioritize people who are a little older and have some work experience?

I would like to hear your thoughts on these two essential conditions from the Croll report that I didn’t hear you talk about much in your speech.

Senator Pate [ - ]

Thank you very much, and thank you for all your work and for the time you have taken to educate me about the incredible initiatives that you have been part of and the research you have done, Senator Bellemare.

Yes, 50 years ago last year, when the Croll report was tabled, it talked about a broader approach to addressing poverty. In the ensuing 50 years, we have seen the evisceration of many of the supports that were then in place that actually meant that we had certain populations at greater risk of being in poverty than we do now.

As we saw in the B.C. research that has been done, almost every body of research starts with a suggestion that we start somewhere and incrementally build. In the B.C. model, it was women leaving violent relationships or people with disabilities. But when you actually read all those documents, we’re not talking about getting rid of other supports. We’re talking about building on and increasingly creating the kind of social, economic and health safety nets that Canada, quite frankly, has dined out on internationally for many decades but hasn’t necessarily been worthy of that reputation for at least the past three or four. I think it’s vitally important that we look at the work that you and others — and I mentioned Senator Lankin, Senator Wetston — and members who are here in the chamber now, like Senator Woo, and all of this work. I shouldn’t start naming people because then I forget people, but there is incredible work being done and I think there is a great body of knowledge and expertise here that can assist the government in moving forward on this.

Senator Bellemare [ - ]

I can see how a universal program might seem very appealing, but I would like to go back to the idea of adopting more targeted measures to tackle poverty. Senator, how did you react to the second report of the Parliamentary Budget Officer, specifically the part where he laid out the impact on income distribution should a guaranteed basic income be funded with money currently allocated to existing programs? In other words, several programs would be abolished to fund one universal program. If we look at the impact on distribution, it is clear that the group most severely impacted would be single-parent families, whose income would decrease under a guaranteed basic income system. Single-parent families are currently the second-poorest segment of society, and they would lose over $5,000 per year if a universal basic income program like this one were introduced.

Maybe you missed that bit of information, but I think it is proof that universal programs can sometimes hurt the very people we want to help.

Senator Pate [ - ]

I agree. There were facets of the costing that I certainly have questions about and have raised with the Parliamentary Budget Officer as well. I think one correction perhaps is that we’re talking about universally accessible, we’re not talking about a universal basic income such as a demo grant, which has been recommended by some where it would go to everybody and then be pulled back at tax time.

When I first started looking at this some years ago, I was interested in all of these facets, but in talking to people like our colleagues Senator Downe and Senator Wetston, people who have more expertise — and former Senator Eggleton, who spent his pre-Senate life, his working life, as an accountant helping people with money protect and hide that money — we don’t want that. We also need tax reform, which I think the Parliamentary Budget Officer touched on but doesn’t really go into.

Then when I talked to Senator Downe, he talked about the fact that those who are hiding money offshore — of course, an issue that he has a tonne of expertise and I have none in — that we could virtually fund an initiative like this with the tax resources that are lost by some of those sorts of measures. Then I talked to Senator Wetston and he talked about how we need to address the money laundering issues in this country. That’s why I say I’m very excited about the possibility of a number of us working on this, looking at a framework, addressing these issues and meeting those challenges because it’s not that we should hide our heads in the sand about the very real challenges of doing this in a country as large and with as many jurisdictions as Canada. But the fact that we pretend that we’re not already paying multiple billions of dollars — tens of billions, hundreds of billions — to deal with not dealing with poverty, I think that is where we are putting our heads in the sand. That’s what I’m suggesting that we need to stop doing. We need to look at how we can actually invest those resources so they create better opportunities for everybody in this country, not just those whom we — because of myths and stereotypes — judge to be deserving or those who do not.

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