Minister of Finance Jim Flaherty takes questions following an event in Stittsville, OntAdrian Wyld/The Canadian Press
The Harper government is trying to brand its upcoming budget as an exercise in long-term employment creation rather than an austerity effort that will eliminate thousands of jobs.
Finance Minister Jim Flaherty will deliver a budget Thursday that is expected to make significant cuts to government departments and agencies, reducing public-sector jobs across the country.
But the government wants Canadians to see the budget as a growth plan, and not simply an effort to balance the books.
"If you concentrate on savings, you are going to miss out on what this budget is all about, it's about long-term sustainability for jobs, growth and prosperity," a senior government official said Sunday.
Canada's employment growth has stalled in the past five months – losing an average of 7,400 positions a month since October – even as the U.S. economy has begun to show sign of vigour.
In response, Ottawa is emphasizing measures that it says will boost the economy and job creation over the longer term, including streamlining environmental review for major projects and funding training programs so that Canadians can fill the demand for skilled labour in the resource sector.
The government will lay out five broad themes in the budget: support for innovation and research; overhauling regulation for resource development; investing in training and opportunity; support for families and communities, and ensuring the long-term sustainability of major social programs like the Old Age Security plan.