Bill C-22 would create the Canada Disability Benefit. There isn’t a lot of details yet, the regulations involving this benefit are to be created at a future date by an Order in Council. It does call out “work disincentives such as the loss of income and other benefits as a result of becoming employed” as being a problem for people with disabilities, so it probably won’t be something subject to clawbacks from having employment income. It also explicitly states that these payments aren’t subject to any law regarding bankruptcy, cannot be given as security, cannot be retained by deduction under any other Act of Parliament. It can be garnished for the purposes of the Family Orders and Agreements Enforcement Assistance Act though.
After the first 3 years, then every 5 years after, this Act will be put up for committee review.
Status
C-22 went up for its third reading vote on Feb. 2, 2023. It passed with everyone in favour and was sent to the Senate.
On May 18th the Senate passed C-22 with a number of changes. First, they added a clause that also ensures that no benefits given under C-22 can be recovered under the terms of any contracts, insurance plans, or anything similar in addition to the previously mentioned protections against things like bankruptcy. They’ve also added a clause that will allow people to appeal decisions that they don’t qualify for this benefit, as well as the amount that they receive.
The Senate also made big changes to the way the amount of the benefit will be calculated. When it left the House any regulations on how much you’d get had to take into consideration the Official Poverty Line. The Senate added considerations for the additional costs of living with a disability, the challenges of earning an income from work while disabled, intersectional needs of disadvantaged individuals, and Canada’s international human rights obligations. The Governor in Council will also have one year from C-22 coming into effect to set up the regulations needed to start paying out the benefit.
House Response
On June 14, 2023 the House returned a response to the Senate amendments. First, the House disagrees with the amendment that includes not being able to recover disability payments as part of insurance plans. Regulating insurance companies falls under provincial jurisdiction, so federal legislation can’t do anything about them.
The House also wants to change the appeals amendment to be “subject to regulations” and also to allow you to appeal anything that regulations say you’re able to appeal.
On June 20, 2023 the Senate responded that they agree to the House’s change to the appeal system and that they aren’t going to insist on the part about insurance companies.