Federal government sets aside $50
million for merchant navy veterans
OTTAWA (CP) - The federal government has set aside $50
million for veterans of Canada's merchant navy, becoming the
first allied government to compensate civilian sailors from
the Second World War, The Canadian Press has learned.
Documents say an undetermined number of merchant mariners
and widows will receive lump-sum payments of up to $24,000 in
lieu of benefits they did not receive before 1992. The
mariners were declared full-fledged veterans last year.
Veterans Affairs Minister George Baker was briefing
representatives from veterans organizations on the package
Tuesday, highly placed sources said. A news conference was
planned later Tuesday.
The tax-free compensation is graduated according to service
aboard cargo ships between 1939 and 1945:
- $20,000 for war-related service of more than two years.
- $10,000 for war-related service of between six months and
two years.
- $5,000 for war-related service of between one and six
months, or for less than one month if captured, killed or
disabled.
- An additional 20 per cent will be paid any prisoner of
war.
Canada's merchant mariners supplied Europe during the
Second World War. Nearly 1,500 died in the Battle of the
Atlantic - a higher casualty rate than any of the armed
services.
No one knows how many served. Estimates range between 2,400
and 7,400, including Newfoundlanders who served in the British
merchant marine prior to the protectorate joining
Confederation in 1949.
Researchers have been scouring archives in attempts to
track down the "manning lists" from which convoy crews were
assembled. The government has also set up toll-free numbers
and a Web site to help spread the word.
To ensure recipients get their fair share of available
funds, the payments are being made in two disbursements, the
documents say.
"The first will consist of a percentage of their maximum
eligible payment," say the papers. "Should there be funds
remaining, merchant navy veterans and surviving spouses would
be eligible for a second disbursement."
The package, expected to be announced at the news
conference, is virtually identical to one Baker negotiated
with veterans groups and took to cabinet in December.
Governments and merchant navy groups in Britain, Australia
and the United States have been watching the process with
interest.
"There is no other nation in the world that's recognized
their merchant navy like this," said the source, who spoke on
condition of anonymity.
"It'll be setting an international precedent."
The situation is particularly pressing in Britain, whose
Newfoundland veterans are now being compensated by Canada for
service in the British merchant marine, while British veterans
are not.
The Newfoundlanders are also in the unique position of
potentially receiving compensation from two governments should
Britain follow Canada's lead.
The Canadian merchantmen went into talks seeking flat
payments of $20,000 for each veteran and widow, and an
additional $20,000 for prisoners of war.
Different sides estimated between $45 million and $60
million was needed to cover program costs.
Represented were the Royal Canadian Legion, Army Navy and
Air Force Veterans in Canada, National Council of Veterans
Associations in Canada, Canadian Merchant Navy Veterans
Association and Merchant Navy Coalition for Equality.
© The Canadian Press, 2000