Human Resources, Skills and Social Development and the Status of Persons with Disabilities

The committee met to study the main estimates 2026-27 for the Department of Employment and Social Development and, in a second hour, homelessness in Canada. Appearing were Minister Patty Hajdu and departmental officials for the estimates, and Sandra Clarkson, President and CEO of the Calgary Drop-In and Rehab Centre Society, and Gilles Beauregard, Coordinator of Table Itinérance Rive-Sud, for the homelessness study.

Minister Hajdu outlined the government's spring economic update, including a $6-billion plan to recruit, train and hire 100,000 new Red Seal trades workers over five years, with measures such as a $2-billion investment for youth, a $10,000 employer subsidy for first-year apprentices, a $400 weekly top-up for in-class training, and a $5,000 completion bonus. She also highlighted extended student grant and loan increases, and the proposed $25-billion Canada strong fund for strategic projects. During questioning, she defended the use of back-to-work legislation for airline workers, citing briefings on risks to medical supply transport, and said she would review a Conservative parental leave reform proposal and a case of subsidies to a company that hired illegal workers, but she did not provide a specific youth unemployment target.

Deputy Minister Paul Thompson confirmed that budget cuts of $156.8 million would target administrative functions to protect service delivery. Deputy Minister Robert Wright said he would provide written details on the New Horizons for Seniors program budget and the cap increase, and noted the department is strengthening fraud prevention in program registration, which affected groups like Les Cercles de fermières du Québec. Minister Hajdu disagreed with Conservative assertions that the government had vilified energy workers, citing support for unions and energy projects, and stated that public funds for child care should primarily go to public institutions, though provinces like Alberta have a 45% privatization ratio.

Sandra Clarkson described how homelessness has become more complex, with shelters increasingly responding to severe addiction, mental illness and chronic health needs, and she emphasized that housing must remain the central goal. She recommended a dedicated homelessness system transformation fund to support integrated health care partnerships, stabilization and recovery environments, and prevention, and she urged that federal policy align capital investment with sustainable operating funding and recognize high-acuity homelessness as a distinct challenge. She noted that the Calgary Drop-In Centre has housed over 4,000 people since 2018 with a return-to-shelter rate under 5%, and she advocated for multi-year funding for encampment programs, as short-term cycles disrupt operations and staff retention.

Gilles Beauregard highlighted successes in Quebec, where federal homelessness funding rose from $20 million to $90 million annually and leveraged provincial contributions, but he stressed that homelessness is rising and spreading to smaller communities. He called for indexed and predictable multi-year funding under Reaching Home, the ability to carry forward unspent amounts, and a review of the designated-community model, which leaves many areas underfunded. He emphasized the importance of prevention, especially for youth leaving care and for workers newly experiencing homelessness, and noted that outreach and relationship-building are critical, particularly for hidden homelessness in rural areas.