Newfoundland and Labrador to launch basic income program for residents aged 60-64
How different things are in Ontario.
Just over 30 years ago in June 1993, Bob Rae raised rates for 60-64 year olds to $930 a month which in today’s terms adjusted to inflation would now be $1,720.01.
But Mike Harris dropped welfare rates by 21.6% in October 1995 and followed that by moving all (new) non-disabled 60-64 year olds to $520 a month allowing existing recipients to age out from 1995 to 2000 at the $930 rate.
Subsequent governments raised the $520 rate to $733 a month which is what it is today.
Had the $520 rate been raised with inflation since 1995, it would now be $939, more than $200 more than it is today but just $9.00 above what it was in 1993.
The last PC Premier to raise rates was Bill Davis who raised welfare rates by 6% in 1985. Although having power for 13 years since 1985, no PC government has raised basic welfare to 60-64 year olds yet Harris performed 3 rounds of cuts from 1995-1998 (1995, 1997 and 1998).
Now the good news
A needy 64 year old receiving Ontario Works without other income who turns 65 in Ontario today will see their income go from $733 a month to $1,930.69 a month on the month (OAS, GIS and GAINS) following their 65th birthday, an increase of 163%.
When I run into such persons at my low-income retirement seminars and assure them that the rumours they have heard are in fact true, it is hard to wipe the smiles off their faces. One single immigrant woman who came to Canada in the 70’s insisted on taking me for coffee after one session just before the pandemic and speculated that I had been sent by God to reveal the welcome news. I assured her that I had been sent by the Library.