by Kate McFarland | Sep 1, 2016 | News
Ontario’s provincial government is on track to begin a pilot study of a guaranteed minimum income, according to the latest comments by former Conservative senator Hugh Segal. A more detailed report will be available in mid-September.
In June, the government of Ontario appointed Hugh Segal — a long-time proponent of a guaranteed income — to advise officials in the design and implementation of the pilot study, which is currently on track to begin before April 2017.
The pilot is designed to test a guaranteed minimum income, in which participants’ total incomes are topped up to above the poverty line. This income subsidy will supplement any support received from existing anti-poverty programs, which will not be eliminated or replaced during the pilot.
Thus, although it is often referred to by the term ‘basic income’, the policy to be tested in Ontario should be distinguished from the commonly discussed “demogrant” model of basic income, wherein all individuals receive a regular payment of the same amount, regardless of other earnings or total income. Ontario will be investigating a program that supplements the earnings only of individuals whose incomes are below a certain level (e.g. the poverty line). In this respect, the pilot is similar to Manitoba’s well-known “Mincome” experiment of the late 1970s.
As under a demogrant model, however, there would be no work requirement or other conditions that poor Canadians would need to meet to qualify for the guaranteed minimum income. All would be eligible, whether working or not.
According to CBC News’ most recent report (dated August 30), Segal has suggested that the government could run two types of pilots: one in a small community in which the entire community would receive a guaranteed income (as was the case in the Mincome experiment), and another involving a sample of individuals within a large community. The latter design would allow the beneficiaries of the guaranteed income to be compared against a control group, as in the recently-announced design of the basic income experiment in Finland.
Statements in the CBC’s article suggest that the participation in the pilot will be voluntary [1]. This would contrast with the Finnish experiment — in which, as a measure to prevent bias in the sample, participation is mandatory for those individuals selected to participate.
The CBC News report also notes Ontario will not receive direct financial support from Canada’s federal government — despite the fact that the majority Liberal Party endorsed guaranteed annual income as party policy at its convention in May. The provincial government itself has earmarked $25 million for the pilot.
According to CBC, Segal is planning to publicize a preliminary report on the pilot project in mid-September, making it available for three months of public consultation.
[1] Context: “…the pilot will not eliminate or consolidate existing poverty-reduction programs, but rather be designed as a top-up to such programs to lift its voluntary participants above the poverty line [emphasis added].”
Addendum (December 8): In light of the continued high frequency of view of this post, we note that the report in question was published on November 3. See the Basic Income News summary — and links to the full report — here.
References
Dean Beeby, “Ontario to test guaranteed-income program amid warnings about costs, effectiveness“, CBC News; August 30, 2016.
Roderick Benns, “New report out for Ontario pilot on basic income“, Basic Income Canada Network; August 30, 2016.
Rob Rainer, “Ontario moving toward basic income pilot”, Basic Income News; July 23, 2016.
André Coelho, “CANADA: Ontario reaches further into basic income implementation”, Basic Income News; June 26, 2016.
Photo CC BY-NC-ND 2.0 Commonwealth Secretariat
by Guest Contributor | Jul 23, 2016 | News
The Government of Ontario is moving to undertake a basic income pilot project. In recent weeks it has been receiving expert information and advice, for example from Jurgen De Wispelaere (formerly on the Board of Basic Income Canada Network and now a member of its new Advisory Council). On May 26th De Wispelaere presented to the government’s Deputy Ministers Social Policy Committee.
Two of the most knowledgeable experts concerning the Manitoba Mincome experiment of the 1970s are its former executive director, Dr. Ron Hikel, and University of Manitoba economist and researcher Dr. Evelyn Forget. At the recent North American Basic Income Congress in Winnipeg, Dr. Hikel spoke about Mincome and lessons learned that could be applied to the Ontario pilot. I also recommend watching Dr. Forget’s appearance on June 13th on Steve Paikin’s program, The Agenda: the 17 minute video reflects Evelyn’s sweeping knowledge of the history and results of Mincome.
Another encouraging sign of the Ontario government’s seriousness behind giving basic income a try was its appointment last month of the Hon. Hugh Segal as the pilot’s special advisor. A trailblazer for basic income in Canada over the past 40 years, Mr. Segal will now “deliver a discussion paper to the province by the fall to help inform the design and implementation of the pilot….The discussion paper will include advice about potential criteria for selecting target populations and/or locations, delivery models and advice about how the province could evaluate the results of the basic income pilot” (source).
Ontario’s Premier, the Hon. Kathleen Wynne, has publicly recognized that Ontario needs to investigate basic income as an alternative to welfare. Among welfare’s many problems: its profound stigmatization of “clients” of the system. And on that, I recommend David Calnitsky’s fine academic paper exploring the non-stigmatizing effects of Manitoba Mincome.
by Rob Rainer
Basic Income Advocate and Member, Advisory Council of Basic Income Canada Network
by Andre Coelho | Jun 26, 2016 | News
Hugh Segal (credit to: Basic Income Canada Network)
Ontario’s political leadership aims at economic growth and job creation. That is particularly clear in the most recent News Release, announcing that the provincial government has appointed Special Advisor Hugh Segal to “help inform the design and implementation of the pilot”. Mr. Segal’s involvement will be of a technical nature, such as giving advice on potential criteria for selecting subjects, locations and evaluation of results.
Conservative former Senator Hugh Segal has long been a basic income supporter, having extensively written about and been cited on the subject (a couple of examples listed below).
Ontario is also investing in education, as a part of a four-part major economic plan for the region. Other priorities are related to housing, in an effort to “help grow Canada’s economy in a clean and sustainable way”. Ontario’s leaders reinforce the need to help “more people get and create the jobs of the future”, although the relation between that objective and the basic income implementation potential effects is not clear yet.
More information at:
Ministry of Housing, “Social infrastructure spending strengthens communities and grows the economy in Ontario”, Ontario Newsroom, 21st June 2016
Ministry of Community and Social Services, “Ontario moving forward with basic income pilot”, Ontario Newsroom, 24th June 2016
Hugh Segal, “Scrapping Welfare”, Literary Review of Canada, December 2012
“Learn about basic income”, Basic Income Pilot Canada
by Kate McFarland | May 31, 2016 | News
At its national convention in Winnipeg last week, the Liberal Party of Canada — the oldest federal political party in Canada, and the country’s current majority party — passed a resolution in favor of a guaranteed basic income.
This Priority Resolution states, “That the Liberal Party of Canada, in consultation with the provinces, develop a poverty reduction strategy aimed at providing a minimum guaranteed income.”
The rationale for the resolution draws upon Dr. Evelyn Forget’s analysis of the the success of the Mincome experiments, conducted in Dauphin, Manitoba in the late 1970s:
The ever growing gap between the wealthy and the poor in Canada will lead to social unrest, increased crime rates and violence. Research indicates that a guaranteed basic income can reduce this gap, and create social security while being cost neutral. …
… Dr. Evelyn Forget conducted an analysis of the [Mincome] program in 2009 which was published in 2011. Forget found that in the period that mincome was administered, hospital visits dropped 8.5%, with fewer incidents of work-related injuries, and fewer emergency room visits from car accidents and domestic abuse. Additionally, the period saw a reduction in rates of psychiatric hospitalization, and in the number of mental illness-related consultations with health professionals.
Roderick Benns, reporting on the resolution in Leaders and Legacies, contextualizes this breakthrough amid the growing popularity of universal basic income in Canada:
Quebec is currently looking into a form of basic income and Ontario has committed to doing a pilot project beginning this year to study the effects of a minimum income. Prince Edward Island has also expressed strong interest.
Senator Art Eggleton has been relentlessly pushing this issue, as has his retired counterpart, retired Conservative Senator Hugh Segal.
Mayors across Canada are also on board. In fact, no less than nine provincial and territorial capital leaders support basic income or at least pilot projects, with innumerable smaller city and town mayors across the nation declaring their support as well.
References:
Liberal Party of Canada, “Poverty Reduction: Minimum Income,” WPG 2016.
Daniel Tencer, “Basic Income Now Officially Liberal Party Policy,” Huff Post, May 30, 2016.
Roderick Benns, “Liberals ready to shake up Canada’s social policy with basic income guarantee,” Leaders and Legacies, May 30, 2016.
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by Joe Timothy | Dec 24, 2015 | News
Kingston City Council in Ontario province is the first Canadian municipality to endorse a basic income guarantee (BIG). In a vote held on Tuesday, December 15, the policy idea was unanimously endorsed with a 13-0 outcome in favour. The successful motion calls for a “national discussion of a Basic Income Guarantee for all Canadians”. It also asks for provincial and federal governments to investigate and develop the measure at the national level. The motion will be sent to all municipalities in Ontario with a request to endorse the initiative.
According to the approved text, the rationale for a BIG is the growing income insecurity and inequality, and the inadequacy of the current welfare system to address these issues. The motion states that:
A basic income guarantee would reduce income insufficiency, insecurity, and inequality and ensure everyone an income sufficient to meet basic needs and live in dignity regardless of work status.
One of the biggest supporters of the outcome was former Kingston-area senator Hugh Segal. He has been an advocate for some form of basic income guarantee for decades, and took great pride in this result. Speaking to the local daily Kingston Whig-Standard, he stated that the “Council has shown tremendous courage and real leadership.” He went on to say that “it’s fiscally responsible and it responds to reality in terms of need… Give the money to people because they know where to spend it.”
This result comes at a time of change in the Canadian political landscape with the recent victory Justin Trudeau’s Liberals in the national elections. Toni Pickard, a retired law professor from Kingston University and co-founder of the Kingston Action Group for a Basic Income Guarantee, was interviewed by the same newspaper. She stressed that “the progress exceeds our hopes, to some degrees our imaginations. We expected maybe 20 years before any political take-up”. She remarked that Trudeau, the new Prime Minister, has declared poverty reduction is a top priority. A guaranteed basic income could be a way to help him make great strides in that area.
This is the first elected body in Canada to endorse the introduction of a basic income guarantee. In recent months, several Canadian mayors have spoken in favour of BIG. At the national level, the Canadian Medical Association endorsed BIG, and the National Women’s Liberal Commission, the women’s wing of the ruling party, has called for the federal government to launch a basic income pilot.
Kingston’s move is a significant step. We will have to wait and see whether this will encourage others to show the same support for BIG. With the changing political climate in Canada, it may well be a policy whose time has come.
For more information, see the following sources:
Paul Schliesmann, “Kingston council first to endorse guaranteed income,” The Kingston Whig-Standard, December 18, 2015.
Roderick Benns, “Kingston becomes first Canadian municipality to call for basic income guarantee,” Leaders and Legacies, December 16, 2015.
Roderick Benns interviews Toni Pickard, “Basic income guarantee and healthy minimum wage go hand in hand, says retired professor,” Leaders and Legacies, July 3, 2015.
Toru Yamamori, “CANADA: Ruling party’s women’s commission calls resolution for UBI experiment,” Basic Income News, November 6, 2015.
Josh Martin, “Canadian Medical Association officially endorses basic income at general council,” Basic Income News, September 6, 2015.
Will Wachtmeister, “CANADA: Edmonton mayor moots twin basic income pilot with Calgary,” Basic Income News, June 19, 2015.
