Dear Friends,
The COVID-19 crisis is the challenge of our generation. Millions of Canadians have lost their jobs, lost hours, or lost wages, and businesses of all sizes are still facing uncertainty. I also want to acknowledge the thousands of Canadians who have gotten sick in the midst of this pandemic and also extend my sympathies to the families of the over 8,000 Canadians who lost their lives to this terrible virus. Canadians have made great sacrifices, and our Government stepped in with immediate action to support Canadians while they fought to stop the spread of this virus.
Canada’s COVID-19 Economic Response Plan is ensuring that Canadians have the support they need to put food on the table and keep a roof over their head. Our government has been clear from the beginning: Canadians should not have to choose between protecting their job or the health of themselves or their loved ones. Representing nearly 14 per cent of Canada’s gross domestic product (GDP), the Plan includes more than $230 billion in measures to protect the health and safety of Canadians and provide direct support to Canadians, businesses and other employers, and up to $85 billion in tax and customs duty payment deferrals to meet liquidity needs of businesses and Canadian families. Some of these measures include:
- The Canada Emergency Response Benefit (CERB) that has provided support to 8.16 million individuals.
- Assisting 688,000 businesses through the Canada Emergency Business Account (CEBA).
- The Canada Emergency Wage Subsidy (CEWS) which has supported about three million employees by helping them stay in the workforce or return to work.
- A special one-time $300 per child top-up of the Canada Child Benefit (CCB) which has benefited approximately 3.7 million families.
- Issuing a special one-time top-up to the GST credit for 12 million low and modest-income individuals and families. On average, single adults received $400 in additional benefits, and couples almost $600.
- Bringing forward the Canada Emergency Student Benefit (CESB) to provide assistance to over 600,000 students. It provides a $1,250 base benefit amount to eligible students, and an additional $750 per month to those with dependents or a disability.
- Making changes to the Canada Summer Jobs program that will help employers hire summer staff and provide young Canadians access to the jobs they need during this unprecedented time. This program will help create up to 70,000 jobs for youth between 15 and 30 years of age.
- A one-time tax-free payment of $300 to recipients of OAS and $200 to those on GIS which will help to support 6.7 million seniors.
- Contributing $9 million through United Way Canada for local organizations to support practical services to Canadian seniors. These services could include the delivery of groceries, medications, or other needed items, or personal outreach to assess individuals’ needs and connect them to community support.
- Investing $350 million in the Emergency Community Support Fund to support charities and non-profits in their important work and get vulnerable Canadians the resources they need.
- Providing $100 million to national, regional, and local organizations across Canada that are able to reach people and communities experiencing food insecurity.
- $100 million in funding to help the Red Cross meet increased demand due to COVID-19, and to support future floods and wildfire relief efforts.
- Investing $2 billion to support diagnostic testing and to purchase ventilators, more masks and face shields, gowns, and hand sanitizer and other pieces of protective personal equipment, including for bulk purchases with provinces and territories.
- Calling on Canadian businesses and manufacturers to retool and help deliver critical health supplies including through an investment of $50 million to the Next Generation Manufacturing Supercluster to develop and scale-up new, in-demand technologies, equipment, and medical products.
The combination of these measures and many others brought forward by our government represent the most comprehensive and substantial peacetime investment in Canada’s history. Our investments have meant that Canadians and Canadian businesses, instead of closing their doors, will be better positioned to come roaring back as we safely reopen the economy.
Today, Minister Morneau presented Parliament with an economic and fiscal snapshot. It highlighted how our government was able to use Canada’s strong fiscal position to stabilize our economy and support Canadians. The Government took on debt so individual Canadians would not have to. We kept the economy going so that as different sectors come back to work they can pick up where they left off.
It also stated that the temporary measures implemented through the government’s economic response plan will have a significant impact on the federal deficit. Coupled with the severe deterioration in the economic outlook, these result in a projected deficit of $343.2 billion in 2020-21.
While this year’s deficit estimate is elevated, the government’s response is in line with the fiscal response deployed by other comparator countries. Coming out of the crisis, Canada is expected to maintain its low debt advantage among G7 countries. Our government is strongly committed to maintaining this advantage and will work to ensure that future generations are not burdened with COVID-19 related debt.
To be clear: the well-being of Canadians had to come before all else. If we did not act, did not take the measures we did when we did, we don’t have to look far to see how the virus has taken hold in countries who did not institute the same measures. We must remain vigilant to keep protecting the health and safety of Canadians. We will continue to put Canadians, their health, their economic well-being and security first.
The Government of Canada has your back in these most difficult of times. Together, we will get through this and build a better, fairer, more resilient country.
Sincerely,
Hon. Karina Gould
Member of Parliament
Burlington
To read the full Economic and Fiscal Profile, please consult the link found here.