Know About Universal Basic Income Canada Bill S-233/C-223

Last Updated On 18 October 2023, 9:41 AM EDT (Toronto Time)

The Guaranteed Livable Income Bill in the Senate (S-233) and a similar bill in the House of Commons (C-223) advocate for a universal basic income, or, to be precise, a guaranteed livable basic income for all the residents of Canada.

These bills call on the Canadian finance ministry to develop a national framework for a coast-to-coast guaranteed livable basic income program for anybody over the age of 17, including temporary workers, permanent residents, and refugee claimants.

On October 17, Parliamentarians discussed this universal basic income bill on the International Day for the Eradication of Poverty.

Parliamentarians discussing universal basic income bill, October 17

What exactly is the Universal Basic Income Bill?

Although it is being interpreted as the Universal Basic Income bill, it is actually a guaranteed, livable basic income bill.

Difference between Universal Basic Income and Guaranteed Livable Income:

Universal basic income (UBI) means that everyone in a society, rich or poor, receives the same monthly payment. The government uses the tax system at the end of the year to balance the scales and collect that extra revenue from higher-income people who didn’t end up requiring it.

On the other hand, the Guaranteed Basic Income (GBI) system talks about the basic income of all Canadians, allowing them to live with dignity. It is an income-contingent system, which means that monthly payments are only made to low-income families and individuals to help them get out of poverty and stand on their own.

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The bill S-233/C-223 calls for the enactment of a ‘National Framework for a Guaranteed Livable Basic Income Act’ that will give every person authorized to work in Canada access to a livable basic income to eradicate poverty.

This includes Canadian citizens, indigenous people, temporary workers, permanent residents, and refugee claimants.

The bill outlines that there should be a national framework to implement guaranteed livable basic income and must include the below-listed measures:

to determine what constitutes a livable basic income for each region in Canada, taking into account the goods and services that are necessary to ensure that individuals can lead a dignified and healthy life, as well as the cost of those goods and services in accessible markets;
to create national standards for health and social supports that complement a guaranteed basic income program and guide the implementation of such a program in every province;
to ensure that participation in education, training or the labour market is not required in order to qualify for a guaranteed livable basic income; and
to ensure that the implementation of a guaranteed livable basic income program does not result in a decrease in services or benefits meant to meet an individual’s exceptional needs related to health or disability.

Need for this Guaranteed Livable Income Bill

Sponsors of the Guaranteed Livable Basic Income bill expect it to go a long way toward eradicating poverty and improving income equality, health conditions, and educational outcomes.

Furthermore, this act would benefit individual families and communities and protect those who are most vulnerable in society while facilitating the transition to an economy that responds to the climate crisis and other major challenges.

This program, once implemented through a national framework, would ensure the respect, dignity, and security of all Canadians.

Background

Originally, these bills were introduced in 2021, both in the Senate and the House of Commons.

Senator Kim Pate introduced this bill as S-233 in the Senate, with the first reading taking place on December 16, 2021, and the second reading taking place on April 18, 2023.

Now this bill is in consideration in the Standing Senate Committee on National Finance with its most recent meeting today, October 17, 2023.

Leah Gazan, a member of parliament from Winnipeg Centre, introduced a similar bill in the House of Commons on December 16, 2021.

How much could be guaranteed in a basic livable income?

Because living costs vary across Canada, there is no set income level that defines poverty.

However, experts say that in general, advocates have discussed setting a guaranteed basic income of roughly $20,000 per year in 2021 for a single person between the ages of 18 and 64.

What is the guaranteed basic income?

The guaranteed basic income (GBI) is an income-based system, which means that monthly payments are exclusively made to lower-income families and individuals without any conditions.

The CERB program introduced during the pandemic was not, in fact, basic income since there were requirements: Canadians were only eligible if they had earned at least $5,000 in the previous year.

Gagandeep Kaur Sekhon

Gagandeep Kaur Sekhon moved to Canada in 2010 on a study visa. She navigated through the ups and downs of her student life and gained her permanent residency in 2015. Today, she is a proud Canadian citizen residing in Calgary, Alberta. She is mother of 2 beautiful daughters and making her difference through writing and guidance at INC – Immigration News Canada.