Question Period Note: Compensation pertaining to First Nations child and family services and Jordan’s Principle

• We are pleased to have reached a final settlement agreement regarding compensation for First Nations children and families harmed by discriminatory underfunding of the First Nations Child and Family Services program and the federal government's narrow definition of Jordan's Principle.

• The agreement ensures fair compensation for survivors and their families who suffered because of the discriminatory underfunding of services.

• We continue to take the necessary steps, together with the parties so that the agreement can be implemented and those eligible can receive compensation.

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On December 31, 2021, two Agreements-in-Principle were reached between Canada, the Assembly of First Nations, the First Nations Child and Family Caring Society, the Chiefs of Ontario, the Nishnawbe Aski Nation and counsels for the AFN-Moushoom and Trout class actions (collectively, “the Parties”). One agreement in principle is for compensation for those harmed by discriminatory underfunding of First Nations child and family services and for those who were denied, or delayed in receiving, services under Jordan’s Principle and the other pertains to the long-term reform of the First Nations Child and Family Services Program.
These Agreements-in-Principle provide a basis for final settlement agreements to be negotiated over the coming months. The Agreements-in-Principle include:

• $20 billion in compensation for First Nations children on-reserve and in the Yukon, who were removed from their homes between April 1, 1991 and March 31, 2022, and for their parents and caregivers. This also includes compensation for those impacted by the government's narrow definition of Jordan's Principle between December 12, 2007 and November 2, 2017, as well as for children who did not receive or were delayed receiving an essential public service or product between April 1, 1991 and December 11, 2007. Our shared goal is to achieve a settlement that can be delivered to families as soon as possible.

• Approximately $20 billion, over five years, for long-term reform of the First Nations Child and Family Services program to ensure that the discrimination found by the CHRT never repeats itself. This includes funding to support young First Nations adults aging out of the child welfare system and prevention services to build on the multi-generational cultural strengths to help children and families in staying together that will be implemented as early as April 2022. There is also new funding for on-reserve housing to support these prevention initiatives.

On July 4, 2022, a final settlement agreement on compensation was reached. The necessary steps are being taken before the Canadian Human Rights Tribunal and the Federal Court so that compensation can be paid to children and families as soon as possible.

The Parties will continue to work together to reach a final settlement agreement on the long-term reform of the First Nations Child and Family Services program.

If pressed on whether all claimants will receive $40,000 as ordered by the CHRT
• Canada’s approach to the final settlement agreement was that the settlement would be designed by the Plaintiffs. However, the design is such that all victims that were eligible for compensation under the CHRT’s order will receive $40,000.

• The Jordan’s Principle Class Members who did not experience significant impact due to a service gap, delay or denial may receive less than $40,000.

If pressed on long-term reform of the First Nations Child and Family Services Program

• We are pleased to have reached an Agreement-in-Principle, worth $20 billion over five years, with the Assembly of First Nations, the Caring Society, the Chiefs of Ontario and the Nishnawbe Aski Nation on the long-term reform of the First Nations Child and Family Services Program.

• We continue to work with the parties towards a final settlement agreement that will significantly improve the Program and ensure First Nations and agencies have the resources to address the needs of their children and families.

• In addition, immediate enhancements to the Program rolled out is April, which saw funding increases for prevention activities and post-majority support services.

If pressed on why the compensation amount exceeds the Parliamentary Budget Officer’s compensation estimate by $5 billion

• The Parliamentary Budget Officer estimate of $15 billion did not consider the class actions and covered a period from 2006 rather than 1991.

• The parties have agreed to that amount to resolve orders by the Canadian Human Rights Tribunal as well as related class actions.

• What’s significant is that this Agreement-in-Principle will lead to a comprehensive end to litigation as well as to compensation for all children who suffered from discrimination.

If pressed on groups that are excluded from receiving compensation under the Agreement-in-Principle

• The Agreements-in-Principle address complaints before the Canadian Human Rights Tribunal launched by the Assembly of First Nations and the First Nations Child and Family Caring Society, and address class actions launched in Federal Court, pertaining to discriminatory practices in the delivery of the First Nations Child and Family Services Program and Jordan’s Principle.

• Both the Program and Jordan’s Principle are applicable only to First Nations children and families ordinarily resident on reserve and Yukon. The Agreements-in-Principle are specific to this group.

If pressed on comparisons with other First Nations childhood settlements
• No amount of money can reconnect First Nations children and youth with their cultures nor reverse the suffering experienced by First Nations children, youth, their families and communities.

• It would not be appropriate to make comparisons between settlements.