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“Change” in the social assistance rates?

People receiving assistance through the Ontario Disability Support Program and Ontario Works are finally receiving an increase in their rates! ODSP recipients haven’t had a raise since 1993. Ontario Works recipients had their rates slashed by 21.7% in 1995, and have had no increases since then. So, even the 3% increase announced by the Ontario government was good news. But how much difference will it actually make to people in Renfrew County?

The cost of living has gone up by at least 20% since 1992, and many people have felt the effects of increases in property taxes, water bills and insurance costs. Hydro rates alone have increased by an average of 19% since this past April! How far will the 3% increase in social assistance rates go to help people?

A single person on Ontario Works will get a maximum of $16 more per month. Monthly benefits will increase from $520 to a maximum of $536, or $6432 per year. This is $5957 (48%) below the 2003 poverty line for a single person in a small community.

A single parent with one child on Ontario Works will get a maximum of $30 more per month, enough for a box of diapers and some milk. Benefits will increase from $957 to a maximum of $987 per month or $11844 per year. It would take an additional $3274 per year to bring this family up to the poverty line in Renfrew County.

A couple with two children receiving Ontario Works will get an additional $37 per month. One of the kids could get a new pair of shoes, with a little left over for a notebook and pencils. The family’s monthly income will increase from $1178 per month to a maximum of $1215 or $14580 per year. This is $9284 per year below the poverty line for this family.

A single person receiving Ontario Disability benefits will get a maximum of $29 more per month. This brings their income from $930 per month to $959, or $11508 per year. Only $881 more per year will bring this person up to the poverty line for a non-disabled person.

The 3% increase is a start, but more must happen soon if we are to avoid a crisis in Renfrew County and all over Ontario. Already many of us have been approached by or know people who are living without gas or hydro because there is just “too much month at the end of the money”. Social assistance rates should be based on the cost of living, to enable people to stay on their feet during crises and to raise their children to take part in our communities. The government could take a huge next step towards this by simply living up to its election promise to end the clawback of the National Child Benefit from families on social assistance, and letting them have the benefit of the money the federal government gave them to help eliminate child poverty in Canada.

Felicite Stairs
Staff Lawyer

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