Author Archives: Dale

About Dale

Journalist in the Canadian Parliamentary Press Gallery

Roundup: A big economic week ahead

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It’s going to be a very big week in Canadian economics: Today is the day the Bank of Canada has their mandate to target inflation between one and three percent at an average of two percent gets renewed, with some additional language around employment in there (but not a dual mandate). Then Tuesday will be the government’s fiscal update, which isn’t expected to announce too many new things because there simply isn’t time for a budget implementation bill to accompany it. And then Wednesday, Statistics Canada will release the inflation figures for November, and it there remains a possibility it could go higher still before being expected to cool down by mid-next year. Because it’s largely about supply chains, and as the former governor of the Bank of Canada keeps reminding us, it’s not about the political situation or fiscal policy. The counterfactual is that if the government didn’t spend on pandemic supports and the Bank didn’t engage in quantitative easing, we would be in a deflationary depression cycle, and that would have left us all worse off.

With this in mind, here is economist Kevin Milligan with some added context:

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Roundup: Limited federal options on Bill 21

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So, the fight over Bill 21 in Quebec is gaining some traction now that there have been real-world consequences, and a bunch of MPs (mostly Conservatives) who previously said nothing about it—and who previously supported odious things like “barbaric cultural practices tip lines” and “Canadian values tests”—are now speaking up and recanting previous positions. Which is good, but while everyone is hoping for some kind of federal response or action on the legislation, I’m not sure there is an actual avenue. Consider this from constitutional law professor Carissima Mathen:

https://twitter.com/AaronWherry/status/1469013986142298114

This is essentially what Justin Trudeau has been saying—he’s opposed to it, but this isn’t the time for the federal government to step in. That time will be when the fight reaches the Supreme Court of Canada, because then they have a legitimate avenue to be an intervenor in the case. Until then, they can say they oppose it—and they have much more so than other parties—but they’re also not making wild symbolic actions that won’t mean anything. And while both Erin O’Toole and Jagmeet Singh say they are personally opposed (and Singh has a legitimate dog in this fight), Singh has been somewhat blank on actions a federal government could take, while O’Toole made it clear he wouldn’t interfere in any way because a) provincial jurisdiction, and b) he’s spent his entire leadership trying to suck up to François Legault and out-Bloc the Bloc, for all of the good it did him in the election. And there are demographic considerations that play into the political calculations as well:

Meanwhile, Chantal Hébert, lays out the political calculations and options for Trudeau and O’Toole when it comes to challenging Bill 21. Paul Wells adds a boatload of more context to the situation both federally and in Quebec, and gives some sharper thoughts as to why the federal government has vanishingly few levers but nevertheless has options.

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Roundup: Theatre of the absurd, housing motion edition

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The closer the House of Commons gets to rising for the winter break, the more absurd theatre we see. Yesterday was case in point, with the Conservatives’ second and final Supply Day of the calendar year. The topic was housing, but their motion was a complete dog’s breakfast of nonsense, contradiction and outright unconstitutional demands. Because of course it was.

The point was made that the inclusion of the outright lie about capital gains taxes was a ploy for the Conservatives to say that the Liberals were not ruling it out when this motion as inevitably defeated (as indeed it was). But Liberal Mark Gerretsen though he was being crafty and tried to move a motion after QP to head off those talking points, trying to call for unanimous consent to reaffirm that they wouldn’t tax capital gains. But the motion didn’t pass, so Gerretsen tried to spin that too, and it’s just utterly stupid that I can’t even.

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QP: Demanding the inflation target

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With the prime minister virtually attending Biden’s “democracy summit,” and Chrystia Freeland absent, it was promising to be a rockier day in the Commons. Erin O’Toole led off, his script on his mini-lectern, and he brayed about inflation, housing prices, and coming interest rate hikes. Ahmed Hussen reminded him that they were the federal party that restored leadership to the housing file and he praised the National Housing Strategy. O’Toole raised the prospect of predicted food price hikes, and then pretended that Trudeau and Freeland were in the Chamber and not answer, and Randy Boissonnault, in his role as associate finance minster, reminded O’Toole about the Bank of Canada’s inflation target. O’Toole pretended that the prime minster ignored his responses about the Bank’s mandate and worried it would be changed, to which Boissonnault reminded him that the Bank is independent. O’Toole switched to French to misleadingly say that the Liberals planned to abandon the inflation targeting mandate, and Hussen repeated his first response, and called out the nonsense in the Conservatives’ supply day motion. O’Toole returned to braying about inflation in French, and Boissonnault repeated in French about the Bank’s mandate, before reciting some good news talking points.

Alain Therrien led for the Bloc, and he worried that the Auditor General showed that thirty percent of COVID tests were lost or mislabelled, for which Duclos said that he thanked the AG for her work, and said they would examine the results. Therrien worried about the stat that fourteen percent of those tested were never notified, but Duclos gave a bromide about working to prevent omicron.

Jagmeet Singh rose for the NDP, and after citing a report on growing inequality (I would be dubious of that given that the Canadian trajectory has not been the same as the US), and he demanded a tax on the super-wealthy, for which Boissonnault listed measures to help those in need. Singh repeated the question in French, and Boissonnault read measures in the Liberal platform about taxing banks and insurance companies.

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Roundup: Rejecting the compromise for more theatre

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In spite of the Liberals proposing a compromise on the release of the Winnipeg Lab documents last week, the Conservatives have rejected the offer, citing that it was “months late,” and that the “will of parliament has not changed.” But this is wholly disingenuous—they did offer another compromise in June before Parliament rose for the summer, and Parliament dissolved before the challenge to the order could reach Federal Court, which may have settled the outstanding question of whether the Security of Information Act fettered parliamentary privilege or not.

This rejection makes it clear that this is not about the information—it’s about political theatre. If it was about the information, they would have let NSICOP review the documents and report back. But no—they first came up with the fiction that they didn’t trust security-trained public servants to properly redact the documents, and then they came up with the fiction that the prime minister redacts NSICOP reports, which he does not and never did, and handwaved about only trusting the Commons’ Law Clerk—who doesn’t have the training or context around national security to know what is a necessary redaction or not—to do redactions. (They also piled onto the same law clerk the redactions from pandemic documents for the health committee in the previous parliament, overloading his office and ensuring that they would never see all of the requested documents). The government provided avenues for the documents to be released, but the Conservatives have consistently decided that theatre was more important (particularly as they fed the “mystery” of these documents into conspiracy theories).

We’ll see how much patience the other parties have for this nonsense—and at this point, it is most definitely nonsense. They were happy enough to embarrass the government pre-election, so we’ll see if they still have the appetite to do so now. But at this point, this no longer has any bearing on accountability or being serious about national security. This is one hundred percent about political theatre, and it would be great if the pundit class of this country could call it out for what it is.

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QP: Shouting about the Bank of Canada’s mandate

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Less than two hours after the prime minister announced that Canada would be engaging in a diplomatic boycott of the Beijing Olympics, he was present along with his deputy for QP. Erin O’Toole led off, script in front of him, and he lamented that there was no decision on Huawei and that Canada was the “last one” to announce the diplomatic boycott of the Olympics. Justin Trudeau have a paean about standing up for human rights and doing what is right. O’Toole then pivoted to uninsured mortgages and worried that interest rates would soon be rising and blamed the government for letting inflation run rampant—which doesn’t make any sense because rates were going to go up anyway and they are unnaturally low and them rising toward a neutral range would be a good thing. Trudeau reminded him that they had a plan around housing while the Conservatives only promised a tax break for landlords. O’Toole railed about inflation and demanded the government mandate the Bank of Canada maintain the Bank of Canada’s two percent inflation target, and Trudeau said they would renew it and then pointed that the Conservatives plans did nothing for affordability. O’Toole started yelling about inflation, and Trudeau shrugged this off as flailing. O’Toole switched to French to ask again that they renew the Bank’s inflation target, and this time Trudeau said that an announcement was forthcoming. 

Yves-François Blanchet rose for the Bloc, and he complained that border measures were too confusing, and Trudeau said that he understood that the new rules could be confusing but they were doing everything they could to keep Canadians safe. Blanchet gave a hypothetical travel plan and wondered to know what tests or constraints they would be subjected to, and Trudeau said that anyone travelling should consult with public health authorities, but they needed to protect Canadians. 

Jagmeet Singh led for the NDP, and he complained about housing and claimed the government has to tools to solve it — erm, except nothing immediately short of a Green Lantern ring. Trudeau praised the efforts that the government has been taken and are expanding. Singh complained in French that the government wasn’t building housing on federal lands in Montreal and accused Trudeau of giving it to a member of the Bronfman family. Trudeau lamented that he expected personal attacks from the Conservatives but not the NDP, before talking about partnering with Montreal.

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Roundup: Swift passage, but not for the better

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In another surprising move, the Senate passed the bill to ban conversion therapy at all stages yesterday, with no committee study, meaning that it only needs royal assent now, which can happen at any time. But while this is a relief to many, it’s also a tad irresponsible.

The lack of study of the current bill in the House of Commons was a political gambit designed to keep the Conservatives from being trapped by their own social conservative members, and to avoid giving any more media clips about people supposedly overcoming “lesbian activity” and so on. The fact that this version of the bill is different from the one that passed the Commons in the previous parliament is relevant, and there are changes that deserved some actual scrutiny because there were live constitutional questions around them (and yes, I asked the minister about it during the press conference, and I asked other questions about the bill during the not-for-attribution technical briefing, but those are not on the parliamentary record). And yes, this matters because the Senate should have done the work that MPs opted not to do out of political expediency. That’s one of the reasons why the Senate is the chamber of “sober second though”—because they don’t have to deal with the political repercussions and ramifications when the politics wins out in the Commons.

Unfortunately, politics also won out in the Senate (which should be an indictment of its supposed more “independent” existence these days). Acting Conservative leader in the Senate, Senator Leo Housakos, in his speech to give the bill swift passage, said that this issue shouldn’t be made into a political wedge like the Liberals were doing. Which is ironic because it wasn’t the Liberals who were holding up the bill previously by slow-walking it, refusing to let debate collapse, and by putting up speaker after speaker to offer the same concern trolling. That wasn’t the Liberals being political—it was 100 percent on the Conservatives for that, and now they’re trying to shift that blame. Yes, passing this bill at all stages was the expedient thing to do, but from a process and a parliamentary perspective, it was not the right thing to do, and it’s going to make the courts’ jobs that much harder when this inevitably gets challenged and they have little on the record to go by.

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QP: Litigating the Kabul evacuation

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The Liberal benches were a little over two-thirds full, the opposition benches a little more full than that, and both Trudeau and his deputy were present (Freeland having previously being scheduled to only attend virtually but she was present in the flesh). Erin O’Toole led off, script on his mini-lectern, and he insisted that the government had two years to evacuate our interpreters and workers in Afghanistan, quoted a CSIS report, and railed at the government’s failure. Trudeau insisted that they stood by Afghanistan, and noted their commitment to resettle 40,000 Afghans. O’Toole noted that 1,215 Canadians left in Afghanistan when evacuation operations ended, and Trudeau praised the work to get as many Afghans and Canadians out of the country as possible in August. O’Toole read scoffing remarks from script, and complained that the election was called, while Trudeau reminded him of the speed at which things happened in Afghanistan before once again praising the work of officials on the ground at the time. O’Toole switched to French, and he repeated his first question on the alleged two-year timeline, and Trudeau repeated about the work to get people out, and work with the international community to resettle 40,000 Afghans. O’Toole then read the scripted scoffing remarks in French, and Trudeau repeated his same answer.

Yves-François Blanchet led for the Bloc, and he worried about a potential rule change that would see oil sands tailing ponds being dumped into the Athabasca River. Trudeau read a script about consultations on regulatory changes to ensure safeguards. Blanchet accused the government of being so much in the pockets of the oil and gas industry that it would cause the Conservatives an identity crisis, and a Trudeau read again that they were putting in strict water quality measures in the region.

Jagmeet Singh rose for the NDP, raised the coming fiscal update and the scourge of inflation, and then demanded the puzzling tools of immediate housing supply and lowering cellphone bills—a very curious notion that ignores the causes of this current bout of inflation. Trudeau read a script about what they planned to talk about in the fiscal update. Singh repeated the question in French, and got the French version of the same script.

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Roundup: Going on the cyber offensive

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The Communications Security Establishment released a ransomware bulletin on Monday that pointed to attacks against Canadian, citing that more than half of known attacks were critical infrastructure providers (and many attacks are not reported). A good example was the cyberattack that targeted Newfoundland and Labrador’s health system, the details of which the premier is still keeping silent about.

To that end, CSE is imploring Canadians to better secure themselves against these kinds of ransomware attacks, because they’re getting more aggressive—not to mention that insurance against them is starting to move toward a policy of not paying ransoms, or of encouraging a lot more due diligence on the part of companies rather than just letting the insurance pay the ransom and being done with it. As well, the proposed digital privacy bill (which should be making its return to the new parliament in the coming days) also had requirements for companies to be better prepared for such attacks, so there is awareness there, but whether companies are taking it seriously remains to be seen (and hopefully not when it’s too late).

The most interesting part of the CSE report, however, is the fact that they are letting it be known that they are also targeting foreign hackers to “impose a cost” for cybercrimes, and this shift to an offensive position is very, very interesting, and a sign that Canada is not playing around.

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QP: From solemn moment to clown show

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Following every party’s statements and a moment of silence for the anniversary of the massacre at École Polytechnique, things got underway in earnest. While the prime minister was absent, Chrystia Freeland was present. Candice Bergen led off, script on her mini-lectern, and she asked for an update on the government’s programmes to combat violence against women. Freeland highlighted the importance of the day, and spoke about the “unprecedented” investments in the budget, and then called on all women in the a House to rise for a moment to remember those women. Bergen then pivoted to the topic of inflation and wanted to know what was happening with the Bank of Canada’s inflation target, and Freeland assured her the decision was coming in due course. Bergen was not satisfied, and demanded action on rising prices—though she did not call for price controls. Freeland assured her that they understand the difference between fiscal and monetary policy, and have confidence in the Bank, and that they don’t disparage them like the Conservatives do. Alain Rayes took over in French, and demanded a “concrete plan” to tackle inflation. (Like price controls?) Freeland listed off global inflation figures in response. Rayes repeated his demand for a “concrete plan,” and Freeland responded with praise for the GDP growth and job numbers.

Claude DeBellefeuille also raised the anniversary of École Polytechnique and the current spate of gun violence in Montreal and demanded tougher gun control. Marco Mendicino assured her the are working together with different governments to ensure that everyone can live safely. DeBellefeuille accused the federal government of doing nothing, and Mendicino repeated his assurances and brought up his meetings last week with gun control advocates.

Alexandre Boulerice rose for the NDP, and he raised the scourge of opioid deaths, and demanded decriminalisation of simple possession of drugs. Jean-Yves Duclos noted that they are working at several levels around things like safe supply and support for users, with more to be announced shortly. Gord Johns repeated the demand in English, and Carolyn Bennett repeated Duclos’ answer in English.

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