Delay in federal disability payment a breach of trust, advocate says

Technical Delays Cause Payment Issues for Canadians with Disabilities

Many Canadians with disabilities have been left waiting for their monthly federal payment days after it was supposed to arrive, as a new program for low-income recipients faced technical delays in just its second month.

The Canada Disability Benefit was passed by the House of Commons in 2023, with the government committing $6.1 billion to the program in the 2024 federal budget. Eligible Canadians between the ages of 18 and 64 who have been approved for a disability tax credit can receive up to $200 per month for the first year. The first round of payments went out in July, but many recipients were left wondering what happened to their second instalment.

‘Deep Poverty’ Impacts Recipients

According to Rabia Khedr, national director of advocacy group Disability Without Poverty, even a short delay in payments can be harmful as many low-income people with disabilities are living well below the poverty line with expenses that far exceed it.

“People with disabilities are in deep, deep, deep poverty, and this missing $200 is inching them closer to that poverty line,” Khedr said. “They were counting on this money, they had plans for this money, and then for this money not to show up into their accounts is a huge disappointment.”

One Ottawa resident, John Redins, shared his experience of facing a service charge from his bank when his payment didn’t arrive on time, highlighting the importance of every dollar for those living on limited incomes.

Government Response

Employment and Social Development Canada stated that the majority of Canada Disability Benefit payments for August have been completed, with a limited number of client payments remaining outstanding due to an isolated systems issue. Service Canada is working urgently to ensure remaining payments are issued promptly and is collaborating with partners to prevent similar issues in the future.

Khedr emphasized the need for quick resolution, transparency about the cause of the delay, and assurance of safeguards to prevent future mishaps. “People need a lot of reassurances,” she said. “This kind of mistake, this kind of glitch, this kind of failure breaches trust.”