Pre-war Canada To aid the farmers who would have benefited had the reciprocity treaty been implemented, Borden's government passed the
Canada Grain Act of 1912 to establish a board of grain commissioners that would supervise grain inspection and regulate the
grain trade. This law would also allow the federal government to build or acquire and operate
grain elevators at key points in the grain marketing and export system. In 1912 and 1913, Borden's government sought to pass a naval bill that would have sent $35 million for the construction of three
dreadnoughts for the
British Navy. Laurier, now Opposition leader, argued that the bill would threaten Canadian autonomy. In May 1913, the bill was blocked by the Liberal-controlled
Senate.
Major reforms On August 22, 1914, Parliament passed the controversial
War Measures Act (with support from both Conservatives and Liberals), which gave the government extraordinary and emergency powers, including the right to censor and suppress communications, the right to arrest, detain, and deport people without charges or trials, the right to control transportation, trade and manufacturing, and the right to seize private property during times of "war, invasion or insurrection". The act also allowed Borden to govern by
order in council, meaning that Cabinet was allowed to implement pieces of legislation without the need for a vote in the
House of Commons and
Senate. Borden's government created the
Canadian Patriotic Fund to give financial and social assistance to the families of soldiers. The government also raised tariffs on some high-demand consumer items to boost the economy. In 1918, to gain information on Canada's population, social structure, and economy, the government established the
Dominion Bureau of Statistics through the
Statistics Act. It was renamed
Statistics Canada in 1971. In December 1914, Borden stated, "there has not been, there will not be, compulsion or
conscription." As the war dragged on, more troops for the CEF were deployed through the
voluntary force. In July 1915, the number of CEF soldiers increased to 150,000 before being increased to 250,000 in October 1915 before doubling to 500,000 in January 1916. By mid-1916, the rate of volunteers enlisting started to slow down. This led Borden and White to successfully negotiate a $50 million loan in New York City in 1915. Canada also succeeded in negotiating larger bond issues in New York in 1916 and 1917. In 1918, a
Victory Bond of $300 million brought in $660 million. In 1917, Borden's government introduced the
income tax which came into effect on September 20, 1917. The tax exempted the first $1,500 of income for single people (unmarried persons and widows and widowers without dependent children); the tax exempted the first $3,000 for everyone else. Single people were taxed at four percent while the tax rate ranged from two to 22 percent for married Canadians with dependents and an annual income over $6,000. Due to its several exemptions, only two to eight percent of Canadians filed tax returns during the early days of the income tax. When the war ended in 1918, $8 million in income tax revenue had been recorded, which was a small fraction of the national net debt of $1.6 billion. Though Borden's government declared the income tax to be temporary, it has remained in place ever since. In 1917, facing skyrocketing prices, Borden's government established the Board of Grain Supervisors of Canada to distance the marketing of crops grown in 1917 and 1918 away from the private grain companies. It was succeeded by the
Canadian Wheat Board for the 1919 crop.
Conscription, Unionist Party, and 1917 election In Spring 1917, Borden visited Europe and attended the
Imperial Conference. There, he participated in discussions that included possible peace terms and helped spearhead the passage of
Resolution IX which called for a post-war constitutional conference to "provide effective arrangements for continuous consultation in all important matters of common Imperial concern, and for such necessary concerted action, founded on consultation, as the several Governments may determine." The act became law on August 29, 1917. , March 1917 The disputes over conscription triggered the
Conscription Crisis of 1917; most
English Canadians supported the policy whereas most
French Canadians opposed it, as seen by protests in
Quebec. In a bid to settle Quebec opposition towards the policy, Borden proposed forming a wartime
coalition government composed of both Conservatives and Liberals. Despite Borden offering the Liberals equal seats in the Cabinet in exchange for Liberal support for conscription, the proposal was rejected by Liberal leader Laurier. In October, Borden formed the
Unionist Party, a coalition of Conservatives and pro-conscription Liberals (known as
Liberal–Unionists). Laurier, maintaining his anti-conscription position, refused to join the Unionist government and instead created the "
Laurier Liberals", a party of Liberals opposed to conscription. The
1917 federal election was held on December 17. The election was Canada's first in six years; it was supposed to be held in 1916 due to the constitutional requirement that Parliament last no longer than five years, but was delayed by one year due to the war. Months before the election was called, Borden's government introduced the
Military Voters Act that allowed all 400,000 conscripted Canadian soldiers — including those who were underage and born in Britain, to vote. The act also allowed current and former Indigenous veterans to vote. In addition, the
Wartime Elections Act allowed female relatives of soldiers (excluding Indigenous women) to vote. However, this law confiscated voting rights from German and Austrian immigrants (i.e. immigrants from "enemy nations") who moved to Canada during and after 1902 as well as those who exempted from the coming conscription draft, including
conscientious objectors. Some believe that these laws put the Unionists in a favourable position. The Unionist election campaign criticized French Canada for its low enlistment rate to fight in the war. Fearing the possible event of a Liberal victory, one of the Unionist pamphlets highlighted ethnic differences, stating, "the French Canadians who have shirked their duty in this war will be the dominating force in the government of this country. Are the English-speaking people prepared to stand for that?" To suppress the anti-conscription "Easter Riots" that occurred in
Quebec City between March 28 and April 1, Borden's government used the
War Measures Act, invoked
martial law, and deployed more than 6,000 troops. The troops and rioters exchanged gunfire, resulting in four civilian deaths and as many as 150 casualties. Another 80,000 Ukrainian Canadians were not imprisoned but were registered as "
enemy aliens" and were compelled to report regularly to the police. Their freedom of speech, movement, and association were also restricted. in a January 1916 letter to the
High Commissioner of Canada in the United Kingdom,
George Perley, Borden wrote: On October 27, 1918, British Prime Minister
David Lloyd George requested Borden to visit Britain for possible peace talks. Borden replied stating, "the press and the people of this country take it for granted that Canada will be represented at the Peace Conference." World War I ended shortly after on November 11, 1918. Borden told his wife, Laura, that "Canada got nothing out of the war except recognition." Not only did Borden's persistence allow him to represent Canada in
Paris as a nation, it also ensured that each of the
dominions could sign the
Treaty of Versailles in its own right and receive a separate membership in the
League of Nations. Also during the conference, Borden tried to act as an intermediary between the United States and other members of the
British Empire delegation, particularly Australia and New Zealand over the issue of the
League of Nations Mandate. Borden also discussed with Lloyd George the possibility of Canada taking over the
West Indies but no agreement was reached. On May 6, 1919, Borden issued a memorandum calling for Canada, as a member, to have the right to be elected to the League's council. This proposal was accepted by Lloyd George, U.S. President
Woodrow Wilson, and French Prime Minister
Georges Clemenceau. These three leaders also included Canada's right to contest for election to the governing body of the
International Labour Organization. Borden departed Paris on May 11; his Cabinet ministers
Charles Doherty and
Arthur Sifton signed the Treaty of Versailles on his behalf. Borden helped set up the Halifax Relief Commission that spent $30 million on medical care, repairing infrastructure, and establishing pensions for injured survivors.
Women's suffrage On May 24, 1918, female citizens 21 and over were granted the right to vote in federal elections. In 1920, Borden's government passed the
Dominion Elections Act to allow women to run for the
Parliament of Canada. However, these two laws prevented or discouraged
Asian Canadian and
Indigenous Canadian women and men from voting.
Nickle Resolution Despite being knighted himself, Borden disapproved of the process by which Canadians were nominated for
honours and in March 1917 drafted a policy stating that all names had to be vetted by the prime minister before the list was sent to
Westminster. In mid-1917, Borden agreed with MP
William Folger Nickle's proposal to abolish
Hereditary titles in Canada. In addition to the abolition of the Hereditary titles, it was later learned that with the exception of military distinctions, honours would not be granted to residents of Canada without the approval or the advice of the Canadian prime minister. Borden's government established the
Canadian National Railways (CN) as a
Crown Corporation. The organization originally consisted of four railways: the
Intercolonial Railway, the
Canadian Northern Railway, the
National Transcontinental Railway, and the
Grand Trunk Pacific Railway. In January 1923, a fifth one was added: the
Grand Trunk Railway. All five of these railways were financially struggling as a result of their inability to borrow from banks (mainly British) during the First World War.
1919 Winnipeg general strike After the war, the working class experienced economic hardship. In a bid to address this problem, construction and metal trades workers in
Winnipeg, Manitoba, sought better wages and better working conditions by negotiating with their managers. In May 1919, as a result of talks between the workers and their managers breaking down, several
strikes started; on May 15, the Winnipeg Trades and Labor Council (WTLC) called for a general strike as a result of the negotiations collapsing. Within hours of the
Winnipeg general strike breaking out, nearly 30,000 workers resigned. Afraid that the strike would spark conflicts in other cities, Borden's government intervened. His Cabinet ministers
Arthur Meighen and
Gideon Robertson met with the anti-strike Citizens’ Committee but refused to meet with the pro-strike Central Strike Committee. Taking the advice of the Citizens' Committee, Borden's government threatened to fire federal workers unless they returned to work immediately. The government also changed the
Immigration Act to allow the deportation of British-born immigrants. On June 17, the government arrested 10 leaders of the Central Strike Committee and two members of the
trade union,
One Big Union. On June 21, Borden's government deployed troops from the
North-West Mounted Police (NWMP) to the strike scene to maintain public order. As a result of the protestors beginning to riot, the NWMP charged at the protestors, beat them with clubs, and fired bullets. Two people were killed and the violent incident became known as "
Bloody Saturday". Within days, the strike ended.
Retirement With his doctors recommending that he should leave politics immediately, Borden told his cabinet on December 16, 1919, that he was going to resign. Some cabinet members begged him to stay in office and take a year-long vacation. Borden took a vacation for an unspecified amount of time and returned to Ottawa in May 1920. Borden announced his retirement to his Unionist caucus on
Dominion Day, July 1, 1920. Before he retired, the caucus asked him to choose his successor as leader and prime minister. Borden favoured his Finance Minister
William Thomas White. With White refusing, Borden persuaded cabinet minister Arthur Meighen to succeed him. Meighen succeeded Borden on July 10, 1920. Borden retired from politics altogether in that same month. ==After politics (1920–1937)==