As Ontario faces a certified class action, former recipients of basic income pilot share their struggles

Tracey Crossonsays she ate healthier, slept better and had more energy when she was receivingbasic income payments from the Ontario government.

Now, she's left with$22every month after paying rent and relies on Meals on Wheels.

Crosson is just one of thethousands ofpeople impactedafter the province scrapped the basic income pilot project (OBI) nearly six years ago. The early cancellation of the program in 2018is behind a class-action lawsuitthat was certified by aSuperior Court judge on March 4.

"When I was on the OBI, I got to go and get a steak for $10 and have that for dinner once a month," said Crosson, who participated in the program in Thunder Bay and now lives in Toronto for better access to medical care."Now, I don't have the luxury for steakand hamburger and all that stuff."

On Tuesday, the Toronto law firm CavalluzzoLLP said the class action wasbrought forward by 4,000 people. Italleges Ontario breached the terms and conditions of the contract it entered with participants and seeks damages of up to $200 million.

The pilot project waslaunchedby Kathleen Wynne's Liberal government in 2017in Lindsay, Hamilton and Thunder Baywith the goal of learning how a basic income would affect people's well-being over a three-year period.

It was axed in the summer the following year,shortly after the Conservatives under Premier Doug Ford came into power.

Cost of living, food bank use up since OBI ended

Tracey MacKinnon, an anti-poverty advocate in Thunder Bay, has had similar experiences to Crosson.

MacKinnon said the OBI finally allowed her to stock up on food.

"It was nice to see my cupboards, my fridge, my freezer ... full of food. That never happened before."

WATCH | People in thebasic income pilot say they're still impacted byits cancellation:

Ontario cancelled its basic income pilot project early, and participants still feel the loss

5 months ago

Duration 3:30

The Ontario basic income pilot project was supposed to provide monthly payments to people in Lindsay, Hamilton, and Thunder Bay for three years - but the program was axed shortly after the Conservatives came into power in 2018. Here's how the cancellation continues to affect former participants, as advocates at the federal level push for a guaranteed livable basic income framework established across Canada.

Since the pilot project ended, the cost of living has continued to climb across Ontario and more people are relying on food banks.

Ontario has indicated it won'tappeal the court's decision to certifythe lawsuit. That meansthe case has entered the second stagethe common issues trial.

In an email to CBC News, aspokesperson for the Ministry of Children, Community and Social Services saidthey could not comment on the caseas it is before the courts.

Tracey Mechefske, who goes by Willow, is one of the designatedplaintiffs in the class action.She participated in theOBIin Lindsay and saidit allowed her to start a skin-care business, Raventree Naturals.

"My heart sank because I had a three-year plan to pay off [my] line of credit and have this business up and running enough that I wouldn't need to be on ODSP[Ontario Disability Support Program]anymore," Mechefske said of the program's cancellation.

For her, participating in the lawsuit has been a way to channel her anger "in a positive way."

In the years it's taken for the lawsuit to be certified,"We've had people die by suicide because they were going to be forced back into this hole that they couldn't get out of," Mechefskesaid.

Joshua Hewitt was in and out of homelessness for about a decade. The Thunder Bay resident saidthe OBIhelped him get into a better apartment and invest more time into his volunteer organization, StandUp4Cleanup, which he launched while in recovery from alcoholism.

"A lot of the barriers just started to fade away because I was able to get out in the community and access resources, and I could go to restaurants that I normally wouldn't go to," said Hewitt.

After the pilot program ended, his three-year plan was tossed out the window. Now a single dad on Ontario Works (OW), Hewitt saidhaving a basic income would have made a huge difference for his family.

"I felt like all the dignity I worked for and all the dignity they gave me with the program was just stripped away," he said. "It really is just a broken system."

Push for living wage continues

A single person on ODSP gets $1,308 a month for basic needs and shelter,or under$16,000 a year. A single person on OW receives $733 a month, amounting to less than$9,000 annually.

CBC News asked the Ministry of Children, Community and Social Services ifthat's enough to live on.In an emailed statement, aspokesperson said, "Future increases for ODSP are now tied to inflation and will occur each July, helping recipients to keep pace with the rising costs of life's essentials.

"We've made it possible for ODSP recipients to keep much more of their ODSP income support when working by increasing the earnings exemption by 400 per cent, allowing them to further support themselves and their families while continuing to contribute to their community."

The spokesperson also said the federal and provincial children's benefits and the Ontario Trillium Benefit help support affordability for Ontarians.

The Ontario Living Wage Network calculates the living wage in Thunder Bay at $19.80 an hour.For a person working40 hours a week for 50 weeks a year, that would equate to an annual incomeof just below $40,000, not including tax deductions.

Bonnie Krysowaty is a researcher and program manager at the Lakehead Social Planning Councilin Thunder Bay. The council helped bring about 1,000 participants intothe OBI and advocates for aliving wage.

"What it would mean is that people would be able to meet the social determinants of health," Krysowaty said of having a living wage. "That includes social inclusion, being able to have mental health supports, physical health, all of those things combined it really would make a difference in people's lives."

WATCH | Plaintiff reacts to class action lawsuit against Ford government

Why Ontario is facing a lawsuit for cancelling its basic income project

5 months ago

Duration 2:16

In July 2018, the Ford government abruptly cancelled Ontarios basic income pilot program, leaving about 4,000 participants without that financial support. Now, those former recipients are suing the province for up to $200 million. CBCs Lorenda Reddekopp spoke to one of the plaintiffs in the class action lawsuit.

Basic income bill going through Parliament

At the federal level, efforts are underwayto establish a national framework for a guaranteed livable basic income.

Senator Kim Pate and Winnipeg Centre MP Leah Gazan introduced Bills S-233 and C-223 in December 2021. If passed,the bills would require the finance minister to create such a framework within a year. Bill S-233 is further ahead, having reached second reading in the Senate last April.

MacKinnonand other anti-poverty advocates feel hopeful about the basic income bills, especially given thelonger lineups at food banks and soup kitchens in recent years.

"It's not a handout;it's a hand up to help those that are struggling," she said.

Mechefskewants people to understand that a basic income would benefit everyone, not just those onsocial assistance.

"The more you take care of people, the healthier they are and the better chance that they're going to be in society being productive," she said. "Life just works better for everybody when everyone's healthy."