Low job growth; a problem small firms can help fix

CFIB presents small business priorities ahead of federal budget

TORONTO, Jan. 24, 2014 /CNW/ - If the federal government wants to grow the economy and get job numbers back on track, it need look no further than solutions recommended by the small business community. The Canadian Federation of Independent Business (CFIB) presented its top pre-budget priorities in a recent meeting with federal Finance Minister Jim Flaherty.

"The latest job numbers show how fragile our economy continues to be," said CFIB president Dan Kelly. "Small business can be a big part of the solution, but needs government to help create the right environment for growth."

Key budget priorities for small business include:

  • Small business tax rate: lower the rate from 11 to 9% over time - starting with a 0.5% decrease in 2014.
  • EI hiring and training credit: recognize the costs of on-the-job training done by small business by retaining the Hiring Credit.
  • Public sector pensions: end the bridge benefit and phase-out early retirement.

"CFIB began our meeting with Minister Flaherty by thanking him for his government's leadership in pushing back against plans to hike Canada Pension Plan and Quebec Pension Plan premiums," Kelly said. "We asked him to consider lowering the small business tax rate and keeping the EI credit to serve as direct incentives to growth and hiring."

In addition to keeping the focus on eliminating the deficit by 2015 by restraint on public sector compensation, benefits and pensions, CFIB asked the Minister for early help in addressing rapidly rising credit card processing fees for merchants and consumers.

In advance of CFIB's Red tape Awareness Week starting January 27th, Kelly shared with the Minister several ways to reduce the regulatory burden on small firms as a low-cost way to stimulate the economy and create jobs. CFIB's full pre-budget submission is available at www.cfib.ca.

CFIB is Canada's largest association of small and medium-sized businesses with 109,000 members across every sector and region.

SOURCE Canadian Federation of Independent Business

For further information:

For more information or to arrange an interview with Dan Kelly, contact Gisele Lumsden at 416 222-8022 or email public.affairs@cfib.ca.