A basic income is seen as a way to eliminate poverty and provide a modern safety net. Yesterday, a working group of community organizations released a policy paper that lays out the vision and cost for a basic income in Newfoundland and Labrador.
Jenn Crowe of Choices for Youth says their model includes detailed costing and the challenges faced in developing such a program.
People who live below a certain income level would qualify for a refundable tax credit. The minimum wage in Newfoundland and Labrador is $12.50 an hour, but a working wage would be substantially more. The threshold being used by the working group is $22,050 a year.
Crowe says they are recommending an increase in taxation to pay for a basic income program. She says the cost would be between $471-million and $3.8-billion depending on which model is used.
