subsidy – mackaycartoons

Saturday June 3, 2023

June 3, 2023 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Saturday June 3, 2023

Ontario and Federal Governments Teaming Up

May 17, 2023

In a shocking turn of events, Prime Minister Justin Trudeau and Premier Doug Ford have seemingly struck a deal with Stellantis that could make your head spin. Brace yourselves for a mind-boggling $13 billion in subsidies to save the Windsor battery factory. Yes, you heard it right, folks – more Canadian tax dollars may flow to Stellantis than what Germany’s Volkswagen received for their “gigafactory” near London.

But wait, there’s more! This grandiose move is not just about saving the battery factory; it’s about securing the future of Stellantis’s Brampton auto assembly plant as well. It’s as if the Ontario and Federal governments have become experts in printing money specifically for the subsidy-hungry automakers. Move over, U.S. President Joe Biden’s generous subsidies; Canada is ready to outdo you!

Opinion: Trudeau, Ford to blame for Stellantis shakedown

April 28, 2023

Confidential sources in Ottawa and Queen’s Park spilled the beans, revealing that Premier Ford personally assured Deputy Prime Minister Chrystia Freeland that Ontario would step up to keep Stellantis from fleeing to the United States. With their close rapport, Ford and Freeland managed to clear the intergovernmental logjam just in time for the Stellantis board meeting. It’s all a part of the thrilling high-stakes drama unfolding behind closed doors.

While federal and provincial officials insist that details are still being worked out and there’s “a bit more work to do,” it’s hard to contain the excitement. Construction on Stellantis’s massive Windsor project had come to a screeching halt, but fear not! The subsidies will breathe life back into the $5-billion joint venture with Korea-based LG Energy Solution. Who needs a functional economy when you have electrifying subsidy deals?

Rumors abound that Ontario has significantly upped the ante, preparing to contribute billions to the final offer. Ford, the subsidy connoisseur, had already confirmed that he would increase the initial $500-million subsidy provided by the province. It’s all part of the grand conference call spectacle, where top officials from both levels of government meticulously discussed the timing and amounts of funding. The excitement is palpable!

In a stunning concession, Ontario has agreed to foot “a big chunk” of the production incentives for Stellantis, leaving Ottawa to pick up the rest of the tab. Move over, Volkswagen – your $500-million share of subsidies from Ontario is child’s play compared to what Stellantis might receive. The drama intensifies as negotiations continue, and workers across southwestern Ontario eagerly await the outcome of these normal, everyday subsidy negotiations.

September 5, 2020

Oh, and let’s not forget the regional fairness aspect that Deputy Prime Minister Freeland loves to emphasize. The federal government wants provinces to kick in more money for major clean energy investments. It’s all about spreading the subsidy love across the great land of Canada.

As Biden’s legislation sends shockwaves through the industry, it’s clear that Canada cannot afford to be left behind. We must match those mind-blowing U.S. subsidies or risk witnessing factories migrate south. It’s a race against time to secure the ultimate EV Battery Factory Subsidy Money Printing Facility. Buckle up, folks – the subsidy frenzy is just getting started! (AI) | Cartoon also printed in the Toronto Star.

Wednesday February 10, 2021

February 17, 2021 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Wednesday February 10, 2021

Rogers, Bell and Telus collected more than $240 million from Canada’s wage-subsidy program — and Bell and Telus raised shareholder payouts

June 18, 2020

Canada’s big three telecom companies have collectively received more than $240 million from the federal government’s wage subsidy program while continuing to pay out billions of dollars in dividends to shareholders.

According to the most recent filings in provincial lobbyist registries, Bell has received $122.9 million, Rogers $82.3 million and Telus $38.6 million in support payments as part of the Canada Emergency Wage Subsidy (CEWS).

Since the beginning of the pandemic, the three companies have continued to pay out regular dividends to shareholders; Bell and Telus have announced increases to their annual payouts. Both Bell and Rogers have also laid off workers at their hard-hit media divisions.

Other large businesses have also paid out dividends while receiving CEWS support, including numerous companies in the oilpatch, auto-parts maker Linamar and furniture retailer Leon’s. (Torstar, the parent company of the Toronto Star, is among the recipients of the federal wage subsidy.)

April 2, 2020

Economists say the relief payments to large, profitable companies with ample access to credit illustrate problems in the way CEWS is designed, in these cases leading to benefits for shareholders but not necessarily targeted support for workers whose jobs are at risk. One Liberal MP is calling on the government to claw back payments from companies that have paid dividends.

“CEWS is sold as a wage subsidy, but it’s really a business expense subsidy,” said Amin Mawani, associate professor of taxation at the Schulich School of Business at York University.

Mawani has argued that Canada should consider a model where the government pays subsidies only in respect of employees who miss hours of work because of the pandemic. Under the current rules of the Canadian program, businesses with any level of revenue decline are eligible for at least some level of subsidy with respect to all their Canadian employees.

He said it is understandable that businesses would continue to pay dividends, which he described as a “cost of doing business” akin to paying interest to the bank on loans, but he questioned the need to hike payouts this year. “I don’t think shareholders were necessarily expecting an increase during the pandemic.” (Niagara Falls Review)

Thursday October 13, 2016

October 12, 2016 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Thursday October 13, 2016

Federal Liberals signal desire for ‘meaningful investment’ in Bombardier

The federal government investing in aerospace giant Bombardier is not a matter of if but how, Innovation Minister Navdeep Bains said Tuesday.

“We want to be a partner,” Bains said after announcing up to $54 million in funds for a Bombardier-led aerospace-research consortium.

“We want to find a solution and we want to continue to make meaningful investments. We want to be a partner, we are at the table, we want to find a solution. It’s not a matter of if but how we want to make the investment.”

His comments are the clearest the Liberals have been to date regarding whether they’ll accept the Montreal-based company’s request for $1 billion in federal funding.

In early September, Bombardier (TSX:BBD.B) received the second of two instalments of US$500 million from the Quebec government.

Quebec now owns 49.5 per cent of a new limited partnership of the CSeries aircraft program, including larger versions of the plane beyond the CS100 and CS300 should they be developed.

Bains wouldn’t give details as to exactly how much Ottawa will invest or where the money will be targeted.

He did reiterate the conditions his government will place on any future funding.

Ottawa wants Bombardier to keep its head office and the jobs connected to its research and development activities in the country, he said. (Source: Financial Post)

Published in the Leader-Post (Regina, Sask)

Thursday September 15, 2016

September 14, 2016 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Thursday September 15, 2016

Canada Post needs ‘transformational changes’ to be viable, task force finds

A task force studying the national mail carrier says Canada Post isn’t financially self-sustainable under its current structure.

And it says transformational changes are needed to prevent taxpayers from having to prop it up.

The four-member panel issued a discussion paper Monday that suggests a number of ways the letter carrier can turn its business model around, including distributing legalized marijuana and cutting back on door-to-door delivery in favour of community mailboxes — an initiative launched by the Conservative government in 2013 but scrapped by the current Liberal government.

The report also suggested charging fees to those who opt to have mail delivered directly to their door.

A House of Commons committee has scheduled cross-country hearings this month to hear Canadians’ views of what they want from the postal service. The ideas contained in the discussion paper are meant as a launching pad for those public consultations.

The task force says a significant decline in letter mail deliveries is sapping revenues at Canada Post, a loss that has yet to be made up from its growing parcel and ad mail businesses.

Canada Post applauded the task force findings, saying it reaffirms the challenges faced by the Crown corporation. (Source: CBC News)

Thursday May 26, 2011

May 26, 2011 by Graeme MacKay

By Graeme MacKay, The Hamilton Spectator – Thursday May 26, 2011

Budget will phase out political subsidies

The government will table its post-election budget on June 6, a document that will implement the Conservatives’ promise to phase out political subsidies.

Finance Minister Jim Flaherty made the announcement Wednesday morning on Parliament Hill.

“On Monday, June 6 our government will reintroduce the next phase of Canada’s economic action plan, a low tax plan for jobs and growth,” Flaherty said.

The document will include several updates to reflect election promises, but Flaherty said the budget will be almost identical to the document that was unveiled prior to the election. The original budget died when the election writ was dropped, and never went to a vote in the House of Commons.

Among the changes: the budget will make good on a Conservative election promise to end political subsidies.

“We will include phasing out the per-vote political party subsidy as according to what was set out in the platform…which was a phasing out,” Flaherty said when asked by CTV’s Ottawa Bureau Chief Robert Fife.

The budget will also set aside $2.2 billion to fund an agreement the government hopes to reach with Quebec to create a Harmonized Sales Tax.

With the Conservatives’ new majority government status, there is little doubt the budget will pass.

New Democrat Leader Jack Layton lashed out over the elimination of the political party subsidies, suggesting the move was damaging to democracy (Source: CTV News) http://www.ctvnews.ca/budget-due-june-6-will-phase-out-political-subsidies-1.648866