July 29, 1942

LIB

Clarence Decatur Howe (Minister of Transport; Minister of Munitions and Supply)

Liberal

Mr. HOWE:

These ships will be and are being operated by Canadian crews; the wages have been worked out in cooperation with the Department of Labour, and the standards are Canadian standards.

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
NAT

Richard Burpee Hanson (Leader of the Official Opposition)

National Government

Mr. HANSON (York-Sunbury):

Does that include working conditions, hours, and so forth?

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
LIB

Clarence Decatur Howe (Minister of Transport; Minister of Munitions and Supply)

Liberal

Mr. HOWE:

I assume so. I know of no reason why a Canadian ship operated by a Canadian company would not have Canadian standards. I am quite certain it would have.

The next question was, are there plenty of Canadian officers, engineers, firemen and men. The answer is, decidedly not. We have schools that are training officers, but our great difficulty in putting ships to sea as Canadian ships is the lack of experienced deep-sea officers. We have had great trouble in putting out the ships that are at sea to-day, and they would have sailed earlier had it been possible to get together Canadian crews capable of taking them out.

Merchant Marine

My hon. friend's next question was about organization. I hope my hon. friend is not competing with the Cooperative Commonwealth Federation in this regard, but I can tell him that the Minister of Labour and myself met with the organization he mentions. I explained to the organization the reason we could not build up our Canadian service faster than we are doing-because of lack of experienced officers and experienced men. I explained to the organization what was being done in training officers and training men, and I asked the fullest cooperation of that organization in helping the work along. I told the organization that the size of the Canadian merchant marine would depend entirely on the extent we are able to furnish crews. I said that we are building far more boats than we are able to man, and that if they would help us man the boats we would have just as large a merchant marine operated by Canadians as is possible.

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
NAT

Richard Burpee Hanson (Leader of the Official Opposition)

National Government

Mr. HANSON (York-Sunbury):

I mentioned no organization, but I indicated in the question which I asked that a certain organization had offered to supply crews for these ships, and I was asking if they were not prepared to do so. Am I to understand that the minister's answer is in the negative?

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
LIB

Clarence Decatur Howe (Minister of Transport; Minister of Munitions and Supply)

Liberal

Mr. HOWE:

No. On the contrary. The Canadian Seamen's Union called upon the Minister of Labour and myself. As I say, we discussed the problem at great length, and I told the officers who were present representing the Canadian Seamen's Union that if they would furnish the crews, we would furnish the ships, and that we would build just as large a Canadian merchant marine as the supply of officers and men would permit.

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
NAT

Richard Burpee Hanson (Leader of the Official Opposition)

National Government

Mr. HANSON (York-Sunbury):

Did the minister ever see the National Maritime Federation in regard to this matter?

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
LIB

Clarence Decatur Howe (Minister of Transport; Minister of Munitions and Supply)

Liberal

Mr. HOWE:

No.

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
LIB

John James Kinley

Liberal

Mr. J. J. KINLEY (Queens-Lunenburg):

Is the shortage of seamen in the merchant marine a Canadian condition only?

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
LIB

Clarence Decatur Howe (Minister of Transport; Minister of Munitions and Supply)

Liberal

Mr. HOWE:

Oh, no; every country is short of personnel in its merchant marine. There is no question about it that all are short of crews. There has been great loss of life among the crews, and of course the dropping out of foreign crews has affected the situation. A great many Norwegian and Swedish sailors have dropped out of the service. The shortage of crews is a condition which, I believe, applies all around the world.

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
LIB

John James Kinley

Liberal

Mr. KINLEY:

May I suggest that in the interests of the industry and of the men,

[Mr Howe.]

those who serve in the merchant marine should get more recognition for their war-time effort?

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink
LIB

Clarence Decatur Howe (Minister of Transport; Minister of Munitions and Supply)

Liberal

Mr. HOWE:

Hear, hear. I entirely agree. HOUSING

Topic:   QUESTIONS
Subtopic:   MERCHANT MARINE
Sub-subtopic:   OPERATION AND MANNING OF NEW SHIPS- STANDARDS OF WAGES AND WORKING CONDITIONS
Permalink

FINANCING OF CONSTRUCTION IN CONGESTED URBAN AREAS-EXTENSION OF HOME IMPROVEMENT PLAN


On the orders of the day:


LIB

James Lorimer Ilsley (Minister of Finance and Receiver General)

Liberal

Hon. J. L. ILSLEY (Minister of Finance):

I desire on the orders of the day to make a statement with regard to housing.

Some time ago I promised that I would make a statement to the house outlining the housing policy which the government will follow in future, particularly in regard to the National Housing Act. In arriving at a decision as to what our future policy should be, many factors had to be taken into consideration. On the one side, we have an acute and growing shortage of certain materials, particularly of metals, which are used both for building and for war purposes. On the other side, there appears to be undoubtedly an increasing shortage of housing accommodation, particularly in those urban areas where munitions work and other war activity have been rapidly expanded. There has also been the difficult question as to how far the shortage of housing accommodation should be met by emergency war-time housing and how far by the construction of permanent houses; in answering this question one must consider not only the extent to which an existing housing shortage in a given area is likely to continue into the post-war years, but also the extent to which permanent housing on the one hand and temporary housing, including the essential supplying of civic services, on the other hand, made demands upon the supply of the scarcer building materials. Finally, we had to remember that to the extent permanent housing construction can be deferred until after the war, we shall be building up an excellent safeguard against post-war unemployment and depression.

I think the house will' agree that it has not been easy to resolve these conflicting claims and reach a decision that would be the soundest possible in the national interest. Fortunately, we have been greatly assisted by the report of the committee on war expenditures, which was published in the Votes and Proceedings of the house on July 16. The subcommittee of this committee which was inquiring into the operations of Wartime Housing Limited made an extensive investigation of the housing situation throughout the dominion, and its report, as the house knows,

Housing

includes certain recommendations in regard to the supply of permanent housing accommodation. My colleague the Minister of Munitions and Supply (Mr. Howe) will make a statement to the house in regard to the operations of Wartime Housing Limited and the recommendations made by the committee on that subject. In so far as the report relates to permanent housing I am accepting its recommendations.

In other words, I have recommended an increase in the appropriation available for the National Housing Act in order to assist in financing the construction of small permanent houses in congested urban areas where a serious housing shortage exists and where permanent houses can be built without threatening to create a post-war surplus and where it can be shown that "by the use of building materials which are non-essential for war purposes, or by the use of building lots already serviced by local improvements, an actual saving in labour and essential war materials can be effected through the construction of permanent honjes rather than those built by Wartime Housing." The supplementary estimates which are about to be brought down will contain an appropriation of $1,000,000 for this purpose.

In addition, we propose to carry out the recommendation of the committee for an extension or revival of the home improvement plan in order to increase the supply of housing units by the conversion of existing large houses into two and three family apartments. The supplementary estimates will include an item which will authorize me to guarantee loans made by approved lending institutions to finance such conversion operations in congested urban areas. The giving of these guarantees will be subject to regulations approved by the governor in council generally along the lines of the provisions of the Home Improvement Loans Guarantee Act and the regulations made thereunder. The aggregate of these loans will be limited to $2,000,000 and the guarantee to be given to each approved lending institution will be limited to 15 per cent of the loans made by such lending institution.

I may add that I have had certain requests made to me that we should amend that provision of the National Housing Act which limits 90 per cent loans to loans on houses costing not over $2,500 to, say, $3,000 or $3,200 or $3,500, depending on those making the representation. We have given the most careful consideration to this suggestion but the decision we have reached is that no change should be made in this provision of the legislation. However, I want to draw to the attention of 44561-310

the house a policy already in operation by the housing branch of this department which will, I believe, meet the situation. This policy permits a borrower to take advantage of the 90 per cent loan provision even if his house is eventually to cost an amount in excess of $2,500. In order to reduce the first cost he may omit some of the equipment; he may leave certain parts of the house unfinished; or he may avoid other items of expense which may be incurred later when the necessary building materials and equipment become available. We believe this to be a sound policy, particularly where the items omitted involve the use of some of the scarcer metals. The operation of this policy will reduce the first cost of a small house to the point where it may be eligible for a 90 per cent loan, thus conserving scarce materials and labour and making it possible for the family of small income to finance the construction of a small house.

Topic:   QUESTIONS
Subtopic:   FINANCING OF CONSTRUCTION IN CONGESTED URBAN AREAS-EXTENSION OF HOME IMPROVEMENT PLAN
Permalink
NAT

Howard Charles Green

National Government

Mr. H. C. GREEN (Vancouver South):

I understood the Minister of Finance to say that the Minister of Munitions and Supply would be making a statement concering Wartime Housing. When will that statement be made, and will it deal with the question of extending the provisions to help the dependents of men in the forces?

Topic:   QUESTIONS
Subtopic:   FINANCING OF CONSTRUCTION IN CONGESTED URBAN AREAS-EXTENSION OF HOME IMPROVEMENT PLAN
Permalink
LIB

Clarence Decatur Howe (Minister of Transport; Minister of Munitions and Supply)

Liberal

Hon. C. D. HOWE (Minister of Munitions and Supply):

I will make the statement tomorrow or the next day and try to make it as complete as possible.

Topic:   QUESTIONS
Subtopic:   FINANCING OF CONSTRUCTION IN CONGESTED URBAN AREAS-EXTENSION OF HOME IMPROVEMENT PLAN
Permalink

TAXATION


On the orders of the day:


LIB

James Lorimer Ilsley (Minister of Finance and Receiver General)

Liberal

Hon. J. L. ILSLEY (Minister of Finance):

I should like to make a brief statement regarding instalment payments of corporation income and excess profits tax by corporations.

The house will recall that under this year's budget resolutions corporations are to be required to start paying in the middle of the taxation year the estimated taxes for that current year. For example, companies whose fiscal periods coincide with the calendar year will be required to pay in July, this month, one-twelfth of the estimated tax for 1942. The law was to have called for interest at the rate of 8 per cent on any deficiency in these payments. Since the budget it has been represented to me that the requirements just mentioned will cause a stringency in the cash position of many companies, particularly in the case of those who adopted the voluntary instalment plan for the payment of 1941 taxes, since the two final payments under it will not

Taxation

have been completed before the time for making payments in respect of 1942 taxes. There is an overlap of two months. To afford some relief from this situation I have decided that in respect of any deficiency in the first two instalments of taxes for 1942 the rate of interest charged on such deficiency shall be only 2 per cent instead of the 8 per cent which will apply in the case of any default in the remaining ten instalments. Under this arrangement corporations, if they find it necessary, may postpone the payment of the whole or any part of the first two instalments and pay them at any later time within the twelvemonth instalment period by paying 3 per cent interest on delayed payments.

This does not meet the requests of certain members, but forms have all gone out and it would be practically impossible to change the system as requested by the member for Lincoln (Mr. Lockhart), the member for Waterloo South (Mr. Homuth) and others.

Topic:   QUESTIONS
Subtopic:   TAXATION
Sub-subtopic:   INSTALMENT PAYMENTS OF CORPORATION INCOME AND EXCESS PROFITS TAX
Permalink
NAT

Thomas Langton Church

National Government

Mr. CHURCH:

Why not continue the general housing act until after the war and a year after? Building is two-thirds over for this year.

Topic:   QUESTIONS
Subtopic:   TAXATION
Sub-subtopic:   INSTALMENT PAYMENTS OF CORPORATION INCOME AND EXCESS PROFITS TAX
Permalink

July 29, 1942