Mr. J. W. Noseworthy (York South):

Mr. Speaker, I should like to call your attention and the attention of the house to the presence in the south gallery of a class of boys from Glebe collegiate in this city. I thank you, sir, for your provision for their attendance here today.

Hon. George Prudham (Minister of Mines and Technical Surveys):

Mr. Speaker, at the last sitting of the house the hon. member for Vancouver South (Mr. Laing) asked me to make a statement with regard to the proposals of the Department of Mines and Technical Surveys to survey iron ore in the province of British Columbia.

The geological survey of Canada has already made considerable investigation of the British Columbia iron ore deposits. Investigations made prior to 1925 were compiled in a report by G. A. Young and W. L. Uglow, entitled "The Iron Ores of Canada, Volume 1, British Columbia and Yukon" (Economic Geology Series No. 3). This report indicates iron ore minerals at fifty-seven localities in British Columbia. These iron ore deposits are dealt with quite fully in this report, and a rough estimate given of the potential tonnage of ore containing more than fifty per cent iron.

In 1930 further geological field work was conducted in the Buttle lake area, Vancouver island.

In 1950 geological survey party, in charge of Dr. J. W. Hoadley, made extensive studies in the vicinity of Zeballos, Vancouver island.

The British Columbia department of mines published a report in 1942 by A. G. McKee and Company, engineers and contractors, of Cleveland, entitled "Report on Proposed Iron and Steel Works."

The geological survey of Canada has no new plans for 1951 dealing specifically with iron ore deposits in British Columbia. However, the field work of Dr. J. W. Hoadley in

the Zeballos area will be continued, and this will include mapping and studies of potential iron deposits.

Hon. Robert H. Winters (Minister of Resources and Development):

Mr. Speaker, the heavy demands the present international situation is imposing and will impose upon the economy of Canada for defence and other measures have made it necessary for the government to give new consideration to the problem of housing in Canada.

Through private endeavour, but also in large part owing to the assistance afforded by the government under the National Housing Act, house construction in Canada since the war has proceeded at an unprecedented rate. In 1947 the number of houses constructed was 79,359. In 1948 the number rose to 81,243. In 1949 the number of houses built was 91,000. In 1950 there was an unprecedented volume of loans under the National Housing Act, and a record number of housing starts. During the year approximately 87,000 housing units were completed but by the end of 1950 there were about 66,000 houses incomplete, which was approximately 8,000 more than were incomplete at the end of 1949.

The government is aware of the continuing need for housing accommodation in Canada, but starts at the 1950 rate are beyond the capacity of the house-building industry under present and foreseen circumstances. Building supply materials, and particularly products of steel, are in short supply, with the result that many builders and owners are unable to complete houses. One of the main problems is to complete houses now under construction, and what the government wishes most to avoid is the starting of a large number of houses which could not be completed.

Since September 1949, additional loans in the amount of one-sixth of the basic loan were being made, provided that the sale price to the home owner was fair and reasonable; but because of rising costs and the previously announced policy of maintaining January 1, 1950, lending values, this provision has become increasingly ineffective. It will be

National Housing Act

recalled that January, 1950, lending values have been maintained in an effort to curb price increases. Effective immediately, therefore, loans under the National Housing Act to home owners will be limited to 80 per cent of lending values prevailing in January, 1950. The effect of this action is that the additional one-sixth provision is suspended. This does not apply to existing commitments. Loans on rental property remain at 80 per cent. Rental insurance guarantees, now on an 85 per cent basis, will, effective immediately, also be computed on an 80 per cent basis.

Although the cost of construction rose about 10 per cent in 1950, the basis of valuation for National Housing Act purposes has not been correspondingly increased. As a result, down-payment requirements have increased in 1950 by the amount by which cost of construction has risen. Without the additional one-sixth, down-payment requirements are greater by about $1,000 on five-room houses and about $1,500 on six-room houses than they would be were this provision effective.

I would emphasize that the building supply situation in certain fields is expected to become more acute than at present, and would urge that builders and home owners consider carefully difficulties which they are likely to encounter on this score before they embark upon building operations. With respect to the current shortage of materials and the use to be made of available supplies, the government will continue to attach a high order of importance to housing and emphasize it to a degree second only to the direct defence program itself.

It is reasonable to expect that the demands for housing will be greatest in those centres where the defence program bears heaviest. With that in minds the whole problem is being kept under constant review, and every effort within the scope of the National Housing Act will be made to see that, of the new housing in 1951, as much as possible will be built in areas where it is most urgently needed.

Mr. Fleming:

May I direct a question to the minister arising out of his statement? In the first place, has there been any consultation with the provincial governments with regard to this change of policy? Second, will the new policy be applied to applications now pending?

Mr. Winters:

As to the first question, there has been discussion with some of the provincial governments with respect to this policy. As to the second question, the new

I Mr. Winters.]

policy is not effective with respect to applications already approved; but where the applications have not been approved, the policy is effective.

Mr. Fleming:

Even though the applications have been received?

Mr. Winters:

Yes.

Hon. Milton F. Gregg (Minister of Labour):

I beg leave to table copies of order in council P.C. 567, dated 1st February, 1951, relating to the establishment of a national advisory council on manpower. In doing so, I wish to make an explanatory statement.

Plans related to the most effective utilization of Canada's present and potential working force, men and women, have been receiving the most careful consideration of the government.

As hon. members know, since the emergency of 1939 Canada has instituted widespread activities under the Unemployment Insurance Act, made possible through amendment to the British North America Act. The unemployment insurance commission now has throughout the country well-organized offices which have a double function- unemployment insurance on the one hand, and employment services on the other.

At the present time nearly every large community in Canada is served by one of these offices, of which there is a total of nearly two hundred. They keep constant and intimate contact with local working forces and employers in industry.

This is illustrated by the fact that the unemployment insurance commission records, kept up to date from week to week, were maintained for a total of over 2,800,000 Canadian workers who were insured under the unemployment insurance commission plan and who were in the labour force at the end of last October. Further, we have records for over four million workers who were insured at one time or another, including the 2,800,000 figure. The national employment offices during the past calendar year have been responsible for nearly 800,000 placements of workers in jobs. To do this, to provide the commission, our research branch in the department and the dominion bureau of statistics with a constant flow of vital information and statistics, these offices keep in the closest touch with their respective regions and communities.

To assist the national employment service and its regional and local offices in its

work, the Unemployment Insurance Act provided for a national employment committee for head office, and similar committees for regional and local employment offices. These have representatives of labour, of employers and of other non-governmental bodies making up the social and the economic life of the nation. These committees have performed and will continue to perform most valuable services to Canada in this field.

Since becoming Minister of Labour I have made appraisal of the up-to-date information on Canada's working force, on the activities in which they work and on the industrial life of Canada generally that comes to the commission's head office, to the Department of Labour and to the bureau of statistics, through this well-integrated network that covers the whole country.

While the demand for workers was less than the supply in all categories, the objective of this machinery has been the mitigation of the hardships of unemployment on the one hand, and seeking to find work for applicants for jobs on the other.

Now, however, when the demand for workers for the armed forces, and for defence industries as well as normal industries, promises to exceed the supply in some categories, I believe the unemployment insurance commission-national employment service machinery I have outlined could continue its present role without interruption and at the same time provide the medium for arranging the maximum voluntary utilization of our manpower during the kind of emergency in which we now find ourselves.

There are many organizations, public bodies and departments of government vitally interested in all these matters, as well as the Minister of Labour, through whom the department and the unemployment insurance commission are responsible to the government: for example, the Department of National Defence, labour unions, defence industries, management, and so on. In this search for the maximum utilization of manpower now under the voluntary system, I believe the government should have available a joint clearing house for the prompt study of month-to-month manpower resources and needs, for the formulation of advice to the Minister of Labour or to the government with respect to these matters, and for the interpretation of resultant plans to workers, to management and indeed to all citizens.

The success of any plans, whether made under present voluntary methods or under more difficult conditions in the future, will depend upon how well they have been formulated in the light of all the facts, and

Manpower

upon how intelligently the opportunities to participate in them are presented to the people of Canada.

Therefore, with the authority of the government, there will be set up immediately, by the order I have just tabled, a national advisory council on manpower, the membership of which will consist of the clerk of the privy council and the deputy minister of labour, who shall be joint chairmen, and such other persons, including the following, as may be appointed, with the approval of the governor in council, by the Minister of Labour, after consultation with the appropriate national organizations:

Four representatives of labour; four representatives of employers; two representatives of agriculture; two representatives of the women of Canada; two representatives of the veterans of Canada; also representatives of the divisions of the government service responsible to the Minister of Agriculture, the Minister of Citizenship and Immigration, the Minister of Finance, the Minister of Fisheries, the Minister of Justice, the Minister of Labour, the Minister of National Defence, the Minister of Resources and Development, the Secretary of State, the Minister of Trade and Commerce, and the Minister of Veterans Affairs.

The council may, in the discharge of its duties, utilize the services of the unemployment insurance commission and its national employment services, as well as the national regional and local employment advisory committees now operating under the Unemployment Insurance Act, 1940.

I would like to state that a representative of this national advisory committee on unemployment will also be a member of the new council.

The duty of the council will be to consider various aspects of manpower questions; to advise on plans under review, and to suggest plans which should be developed so as to make for the most effective utilization in the national interest of the present and potential man and woman working force of Canada.

In organizing this council the government is determined that the greatest care shall be exercised in seeing to it that our available working personnel-particularly in the skilled trades-shall be distributed amongst the armed forces, defence production and civilian activities in the most effective manner possible.

I am informed by the joint chairmen, Mr. Norman Robertson and Mr. Arthur MacNamara, that it is their intention to call the first meeting of the council just as soon as all its members have been appointed, which I hope will be within a week.

72 HOUSE OF

Inquiries of the Ministry

Mr. Coldwell:

May I ask the minister a

question? Will this committee also be able, if necessary, to advise the government on the material resources of this country, both industrial and financial? It seems to me that in order to appraise the manpower we have also to know something of our machinery, our industries and our financial resources.

Mr. Gregg:

This council is intended to advise the minister, or the government, or both, on any question affecting manpower.