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October 2, 1995
National Social Policy group sends message to Premier of Ontario
"Welfare cuts of 21.6% will quickly deepen and increase child and family poverty in
Ontario," President Charles Birchall told listeners at a weekend meeting of the Canadian Council
on Social Development (CCSD). "While the CCSD recognizes the need to address government
debt and deficits, we believe that such fiscal measures can be achieved without undercutting
investment in our most valuable asset - human capital. The people of Ontario must recognize
that neglecting children today will lead to huge economic and social costs for all of us
tomorrow."
Birchall noted that "the most serious consequence of welfare cuts is the impact on
children. Today, they make up 40% of all welfare recipients. The cuts will only throw thousands
of children deeper into poverty."
The CCSD and others have shown that poor children are at greater risk of poor health
and psychiatric and behavioral problems than non-poor kids; they have more difficulties in
school, often repeating grades, and are twice as likely to drop-out before completing high school;
and, they are more prone to substance abuse. Given these problems, it is not surprising that these
children are disproportionately represented in the young offenders' system. Birchall told listeners
that "poverty prevents children from learning, growing and becoming productive members of
society. Poverty is not a 'lifestyle' choice for them. Poverty leads to an increased burden on the
education and health care systems, housing and law enforcement. It erodes our social
infrastructure."
The Ontario government expects that welfare recipients of working age will be able to
replace lost benefits with earnings from the labour market. This is at a time when persistent
unemployment and the growth of non-standard jobs have left many families unable to meet their
needs by earnings alone. The "market poverty gap" -- the shortfall between income from
earnings and the poverty line -- has more than doubled in Ontario between 1981 and 1992, from
$4.3 billion to $9.4 billion (in 1992 dollars). Over 80% of this growth has occurred since 1989.
Public transfers have been called upon to fill in this growing gap between market income
and family needs. This is particularly evident among low-income families with young children.
The Canadian data show that such transfers now account for two-thirds of these families' total
income, up from one third just two decades ago. Birchall stated that "these government spending
cuts should not be viewed as 'savings' since the results will cost us dearly in human and financial
terms. These cuts will squander valuable young human resources and will inevitably diminish
the quality of life for all of us."
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Founded in 1920, the Canadian Council on Social Development (CCSD) is an
independent, national, non-profit organization. Led by a voluntary board of directors from
across Canada, the CCSD has a broad mandate focussed on issues of social and economic
security. We are a non-partisan, membership-based organization that links concerned
individuals and organizations from coast to coast. We form a national network that includes
professionals in human service organizations, volunteers, union members, businesses,
academics, and government departments who share a commitment to social progress.
Policy Briefs
Canadian Council on Social Development,
190 O'Connor Street, Suite 100,
Ottawa, Ontario, K2P 2R3
Tel: (613) 236-8977, Fax: (613) 236-2750, Web: www.ccsd.ca, Email: council@ccsd.ca
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