A conversation with the Minister of Finance

The COVID crisis has left many Canadians fearing for the wellbeing of themselves and their loved ones. The anxiety extends beyond health issues, though. One of the most important issues to arise out of the pandemic is the financial strains felt by individuals and businesses alike. Lower-income families living in neighbourhoods such as Regent Park, are especially at risk given high levels of unemployment and underemployment in the area.

As a Member of Parliament (MP) for Toronto Centre since 2015, Federal Finance Minister Bill Morneau claims to understand these financial concerns and explains how his government is addressing the financial health of everyday Canadians. Please note -- our interview with Bill Morneau took place in early June 2020, prior to the outbreak of the We Charity scandal.

Morneau explains that one of the government’s most widespread programs is the Canada Emergency Response Benefit, or CERB, which provides $2,000 a month to people whose finances have been affected by COVID. As of June 2020, around 8 million Canadians--over 20% of the country’s citizens--have applied for CERB. The CERB is especially important in diverse socio-economic neighbourhoods like Regent Park, which Morneau represents on Parliament Hill. Mandatory closures of non-essential businesses mean minimum wage workers (sales associates at stores; servers at restaurants; custodians at malls and schools) are put on leave or even laid off. As opposed to people who can work from home (typically workers in higher-salaried positions) these employees are even more susceptible to the financial stress of the pandemic. In lower-income neighbourhoods like Regent Park, where every paycheque counts, being out of work means not being able to buy groceries, pay bills, or pay rent. CERB, Morneau insists, is there to help.

Students and new graduates often rely on summer jobs at camps, community centres, arts centres, or other positions in the retail, service, and hospitality industries. Since many of these businesses have been forced to close, the Canada Emergency Student Benefit can help relieve the burden of tuition loans. Additional grants provide up to $5,000 for students doing volunteer work over the summer.

Finally, Morneau says that the federal government has created support programs to help small businesses survive the pandemic. One such program is the Rent Subsidy Programs which requires  co-operation between businesses, landlords, and the government, dividing rent between the three parties in an effort to keep more businesses afloat. Another program that Morneau feels is important is the Wage Subsidy Program where upon the government contributes to paycheques, so employers can afford to retain employees without mass layoffs. Finally, Morneau informs us that businesses are eligible for a $40,000 interest-free loan; and over 600,000 businesses have already applied.

According to Mr Morneau, about 150 billion dollars, or 10% of our country’s GDP, has been directed to finance programs for Canadians. Deciding where and how to use this money is no easy task. It requires communication and co-operation between three levels of government (federal, provincial, and municipal), which itself has seen revenue loss (the city-run TTC, for example, has seen a huge drop in ridership). For all of the good that the COVID relief programs have done, Morneau agrees that they can still be notoriously difficult to navigate. If you’re having trouble applying for support, Morneau urges you to reach out to your local constituency office. For those living in the Toronto Centre riding, Morneau can be reached at Bill.Morneau@parl.gc.ca or (416) 972-9749.

By Chloё Nguyen-Drury
(Chloe is a summer journalist with the FOCUS Media Arts Centre)