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ARTICLE · 05 JULY 2023

Canada Disability Benefit Act Receives Royal Assent

After a long wait, the Canada Disability Benefit Act received royal assent on June 22, 2023, and officially became law.

CanadaEmployment and HR

After a long wait, the Canada Disability Benefit Act received royal assent on June 22, 2023, and officially became law. This development is considered a significant achievement for the disability advocacy community, representing a positive stride towards providing financial security and dignity to low income working-age people with disabilities.

According to government data, more than 1.4 million Canadians with disabilities live in poverty. People with disabilities face a higher rate of unemployment, and individuals with more severe disabilities have an approximate after-tax income of CA$12,520, which falls well below the poverty line.

At present, there is limited support for individuals with disabilities below the age of 65 at the federal level. This includes the Canada Pension Plan (CPP) Disability Benefit, which requires sufficient contributions to the CPP for approval, and the Disability Tax Credit, which reduces the individual's income tax obligations.

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