Budget stimulus too timid, tax cuts ineffective

Another Point of View: Harper/Flaherty Budget: Stimulus Too Timid, Tax Cuts Ineffective

Little for jobless, families, elder care or students

Instead, the new budget confirms that equalization improvements already announced will be limited to the growth rate of the economy, meaning that struggling provinces will receive $7 billion less from the federal government than they had been counting on over the next two years. The budget also contained next to nothing to help the unemployed, families struggling with the rising costs of child care and elder care, students with rising debt loads, and seniors struggling with reduced retirement savings.

“Extending Employment Insurance (EI) benefits by five weeks is not nearly enough to help unemployed Canadians,” Clancy says.

“Improving access to EI and increasing benefits would have been far more helpful when it comes to putting money in the hands of those who need it most. But the budget does nothing to address our flawed system, where only 40% of workers qualify for what are now poverty-level benefits."

“Most Canadians were expecting new investments in our social infrastructure but this budget invests nothing in child care, elder care, mental health, post-secondary education or community-based social services,” he adds.

"Furthermore, the budget does nothing to improve public pensions for seniors and nothing to shore up workplace pension plans.”