Ontario is both the largest GDP and population as such has about 1 in 7 people on some form of welfare.

1. POVERTY AND SOCIAL
ASSISTANCE - ONTARIO
BY: PAUL YOUNG, CPA, CGA
DECEMBER 6, 2018

2. PAUL YOUNG - BIO
• CPA, CGA
• Financial Solutions
• SME – Risk Management
• SME – Emerging Technology
• SME – Business Process Change
• SME – Close, Consolidate and Reporting
• SME – Public Policy
• SME – Financial Solutions
• SME – Supply Chain Management
Contact information:
Paul_Young_CGA@Hotmail.com

3. AGENDA
• Income and Jobs
• Social Assistance
• Jobs by Government
• GDP Growth
• Bob Rae
• Public Sector vs Private Sector
• Income Tax Policies
• Social Housing
• Problem with socialism

4. SUMMARY
• Social assistance is up 40% since 2003
• Ontario’s income have barely grown over 10 years.
• Ontario has a broken Ontario Works program
• Ontario has grown public sector jobs at faster pace than private sector jobs
• Carbon tax are regressive tax which hurts the low to middle class more -
http://www.cbc.ca/news/world/australia-s-carbon-tax-repealed-after-2-
years-1.2709642
• NDP daycare plan ensures people above 40,000 income do not qualified
• High taxation does not create jobs. Rae tried this approach in the 1990s
and it failed

5. ONTARIO INCOMES
• PC left office there were only 675K on social assistance. There is now 1M. Ontario has
become truly a welfare state. Wynne will never discuss how her govt policies drove out
300,000 mfg jobs over the past 15+ years.
• High costs drove out nearly 75,000 manufacturing jobs -
https://www.theglobeandmail.com/news/national/high-electrical-costs-have-driven-
thousands-of-manufacturing-jobs-from-ontario-report/article36610740/
• Employment has come back but those jobs have been replaced by service sector jobs
that pay less money that goods producing sector.
• Ontario incomes barely grew over the past decade
• https://www.thestar.com/opinion/editorials/2017/09/13/rising-incomes-arent-
being-shared-as-widely-as-they-should-editorial.html

6. SOCIAL ASSISTANCE
Source – Government of Ontario and Stats Canada

7. GDP AND JOBS
Source – Stats Canada, https://www.fraserinstitute.org/sites/default/files/ontario-no-longer-a-place-to-prosper.pdf
and Government of Ontario

8. ONTARIO JOBS / 2018
Source – Stats Canada
• Liberal policies have led to exodus of jobs and FDI
• Ontario job creation is anemic in 2018

9. GDP
Source – Government of Ontario, http://www.rbc.com/economics/economic-reports/pdf/provincial-forecasts/provfcst-mar2018.pdf and
Stats Canada

10. BOB RAE
• Horwath plans to hike taxes to both corporations and the top 1%. This was the same approach as

11. SOCIAL ASSISTANCE – AG REPORT 2018
Source - https://www.canadianmanufacturing.com/financing/social-assistance-costs-ballooned-under-
liberals-auditor-says-in-report-223365/
TORONTO – Ontario’s social assistance costs ballooned under the previous Liberal government but the
system failed to help recipients become self-reliant, the province’s auditor general said Wednesday.
In her annual report, Bonnie Lysyk said the number of Ontario Works cases has increased by almost 25
per cent since 2009, hiking costs up more than 55 per cent to nearly $3 billion.
At the same time, the program only helped 10 to 13 per cent of recipients find work in the last five
years, Lysyk said.
• Wynne approach was to have more people on welfare and she was successful
• Lisa McLeod will have her work cut out to fixed the abuse with Ontario Works

12. PUBLIC SECTOR VS PRIVATE SECTOR WAGES
• https://twitter.com/CBCQueensPark/status/977261190974865410
•
• Liberals also have grown their public coffers allot larger. Liberals are great at summary data, but not at the details!
•
• CFIB - https://www.canadianmanufacturing.com/human-resources/wages-higher-in-public-sector-than-private-in-
ontario-says-fraser-institute-183470/ or http://thechronicleherald.ca/business/1276204-public-workers-out-earn-
private-sector-%E2%80%94-cfib
•
• https://www.slideshare.net/paulyoungcga/election-2018-ontario-liberals-vs-ontario-progressive-conservatives-
economic-trends-and-fiscal-management
•
• Where are the Liberals on the broken arbitration process?
•
• https://www.thestar.com/news/canada/2016/04/01/communities-struggle-to-rein-in-budgets-as-policing-costs-rise-
while-crime-rates-fall.html

13. PARTY POLICIES
Policy PC Liberals NDP
Income tax • PC will
eliminated
provincial
Income tax for
less than
30,000
No tax hikes • NDP will hike
the tax rates to
top 1%
Minimum Wage • Will tie
minimum wage
to inflation to
inflation
• Will hike
minimum wage
to $15.00
(January 2019)
• Will hike
minimum wage
to $15.00
(January 2019)
Carbon tax • PC will
eliminate the
tax
• Liberals will
keep the tax
• NDP may look
at $0.35 per
liter gas tax
Small Business
Tax
• Drop to 3.2% • Will hold tax • Will raise small
business taxes
to 4.5%
Vacation time • No changes • No changes • 1st year
employee will

14. SOCIAL HOUSING
• You do realize their systemic issues with real estate, right?
• https://www.slideshare.net/paulyoungcga/real-estate-market-canada-april-2018
• Toronto Star - Affordable housing advocates: Cities and tenant rights groups who wanted the government to increase investment in
affordable and social housing were also left empty-handed. - https://www.thestar.com/news/canada/2018/02/27/winners-of-2018-
federal-budget.html
• Municipalities - https://fcm.ca/home/media/news-and-commentary/2018/fcm-statement-on-federal-budget-2018.htm “that is why
FCM called on the government to use Budget 2018 to kick-start the Strategy by expediting already earmarked funds for social housing
repairs. After years of chronic underfunding for repairs, this move would have enabled housing providers to keep at-risk homes safe and
open for vulnerable families. But instead of protecting this vital part of Canada's social housing supply, this budget delays funding for
critical repairs that are ready to go ahead.
• BC - James said B.C. is in an affordable housing crisis and while she was glad to see the federal government’s plans to increase loans for
rental housing projects, the money is “back-end loaded,” so it won’t materialize for a number of years. She said she wants to see the
federal government step up with long-term funding and strategies. Thom Armstrong, the executive director of the Co-operative Housing
Federation of B.C., said while the federal government’s big housing announcement came in 2017 there were also additions of note in this
budget, including $1.5 billion over five years for First Nations housing and the loan increase.
• “Guelph’s mayor says, from a municipal standpoint, the 2018 federal budget is not what he was hoping for. Most notably, said Mayor Cam
Guthrie, is a lack of funding in the budget for dedicated to social housing. The federal government announced a National Housing Strategy
in November and many — including Guthrie — hoped the funding would begin to flow this year. The Federation of Canadian Municipalities
said in a news release that the federal government missed a key opportunity by not including funding in the budget. “We were really
lobbying hard to have some money dedicated to our social housing and the plan that came out from the government, but there is really
nothing there,” said Guthrie. ”Source - https://www.guelphtoday.com/local-news/lack-of-funding-for-social-housing-in-federal-
budget-disappointing-says-mayor-850857
• “Half of the $4 billion that will be spent by 2028 will come from the provinces and territories with the other half coming from the federal
government. The government says the benefit will help support 300,000 households by 2028.”http://www.cbc.ca/news/politics/housing-
national-benefit-1.4413615

15. ONTARIO POVERTY
Source - https://torontosun.com/news/provincial/welfare-reform-on-its-way-
food-bank-use-soars
The Minister did not provide many
details but said the program will not
be like Workfare, the initiative
introduced by the former PC
government of Mike Harris.
The new multi-ministry initiative will
ensure frontline staff help those on
assistance able to work to become
“employment ready,” while providing
“additional wrap around” support for
those who cannot enter the workforce,
she said.
She described the current system as
patchwork and ineffective.
“(The new system will) make sure that
we empower people, and provide a lot
more dignity and compassion in the
system,” MacLeod said Wednesday.
• Liberals Policy killed manufacturing jobs -
https://business.financialpost.com/opinio
n/75000-manufacturing-jobs-lost-thats-
the-price-of-ontarios-electricity-disaster
• Liberals moved to service sector economy
-
https://www.slideshare.net/paulyoungcga
/ontario-fiscal-and-economic-cliff
• Ontario’s income barely grew over the
past decade -
https://www.fraserinstitute.org/sites/def
ault/files/ontario-no-longer-a-place-to-
prosper.pdf
• Welfare program needs to support getting
people off of welfare.

16. PROBLEM WITH SOCIALISM