Debates of October 3, 2008 (day 36)

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Statements

Member’s Statement on Payroll Tax on Income Earned in NWT

Speaker: Mr. McLeod

Thank you, Mr. Speaker. For many years and all the time I have been here, I always hear about the NWT being rich in resources. I’ve also heard so many times, in almost every statement that comes out of this Assembly that we should be the major benefactors of our resources. In a lot of cases I don’t see this happening, especially with the workforce that continues to be brought in from down South. I and my colleagues from Nunakput and Mackenzie Delta know that we have a skilled workforce in the Mackenzie Delta that should be utilized more, but there seems to be no effort to go up there and recruit them. They will gladly recruit workers from south of the border. In many cases, Mr. Speaker, they come up here, they earn their living, and they continue to contribute nothing to the Northwest Territories.

My understanding, Mr. Speaker, was that the NWT Payroll Tax was implemented to ensure that the GNWT receives some income from migrant workers. Now we have a proposal to increase the Payroll Tax from 2 per cent to 3 per cent. Who will this benefit? Just another example of Northerners being hit hard again with increases while people come from the South and contribute, I say, nothing. I truly believe that.

I understand there are mobility issues, and we should be able to work anywhere we want within Canada, and that’s not my issue. My issue is the fact that income earned in the NWT and the workers that earn it in the NWT should have to contribute to a payroll tax in the NWT, not their place of hire. I thought that’s why this whole Payroll Tax was proposed in the first place.

Mr. Speaker, a lot of them return home, and they continue to enjoy a lower cost of living than we have up here. Residents of the Northwest Territories have a high cost of living, and again there is a proposal to increase everything. We hear talk about the fuel, the electricity and everything going up.

Mr. Speaker, this is not a fair process. We are rich in resources. We really should be the major benefactor of some of the resources and not have everything continue to go out of the territory. If this continues, I would give this advice: don’t be standing anywhere near the border if all this goes through, because you’re going to be trampled in the herd of people that’ll be leaving. Thank you.

Speaker: Mr. Speaker

Thank you, Mr. McLeod. Members’ statements. The honourable Member for Hay River South, Mrs. Groenewegen.