Skip to content
Study Hall
Lesson 2 of 8Canada, 1929–1945
Unit 3 · Lesson 2 of 8

Responding to the Depression: Relief, Protest, New Parties and New Institutions

How governments under Mackenzie King and R. B. Bennett responded to the Depression, why relief camps led to the On-to-Ottawa Trek and the Regina Riot, what Bennett's New Deal proposed, how new parties (the CCF, Social Credit and the Union Nationale) offered alternatives, and which lasting institutions came out of the decade.

6 min read9 practice questionsAsk AI about this →

Key things to remember

  1. 1King's "five-cent piece" remark (April 1930) helped R. B. Bennett's Conservatives win the July 28, 1930 election.
  2. 2Federal relief camps (October 1932–June 1936) paid single men 20 cents a day; their protest became the On-to-Ottawa Trek (from June 3, 1935), stopped by the Regina Riot on July 1, 1935.
  3. 3Bennett's New Deal (radio broadcasts, January 1935) promised unemployment insurance, a minimum wage and work-hour limits; most of it was struck down in 1937 as provincial jurisdiction.
  4. 4New parties: the CCF (1932, Regina Manifesto 1933, J. S. Woodsworth), Social Credit (Alberta, 1935, William Aberhart) and the Union Nationale (Quebec, 1936, Maurice Duplessis).
  5. 5Lasting institutions: Bank of Canada (1935), Canadian Wheat Board (1935), CBC (1936), unemployment insurance (1940).

When millions of people lose their jobs, whose job is it to help them? In 1930 most Canadian politicians believed relief was mainly the responsibility of families, charities, towns and provinces, and that governments should balance their budgets and wait for the economy to recover. By the end of the decade that belief had cracked. Angry voters, desperate protesters and brand-new political parties pushed governments toward a much bigger role in the economy, laying foundations for the social programs Canadians rely on today.

King, Bennett and the first responses

In April 1930, Liberal Prime Minister William Lyon Mackenzie King told the House of Commons that he would not give a "five-cent piece" to provincial governments run by his Conservative opponents for unemployment relief. The remark made him look indifferent to suffering, and in the election of July 28, 1930, the Conservatives under R. B. Bennett won a majority. Bennett promised action: he raised Canadian tariffs to protect jobs and to pressure other countries into trade deals, hosted the Imperial Economic Conference in Ottawa in 1932 to win better access to British markets, and gave the provinces emergency relief grants. None of this ended the Depression.

Relief camps and the On-to-Ottawa Trek

Single, homeless unemployed men worried the government most; officials feared they could be drawn to communism. From October 1932, the Bennett government set up relief camps run by the Department of National Defence in remote areas. Men cleared bush, built roads and planted trees for bunkhouse beds, three meals, work clothes and 20 cents a day, which led them to call themselves the "Royal Twenty Centers". The camps had no wages worth the name, no vote for workers and no end date, and many men felt they had been sent away to be forgotten.

  1. April 1935: relief camp workers in British Columbia, organized by the Relief Camp Workers' Union, go on strike and gather in Vancouver.
  2. June 3, 1935: led by Arthur "Slim" Evans, more than 800 strikers climb aboard freight trains heading east to take their demands to Ottawa: the On-to-Ottawa Trek.
  3. June 1935: the trek grows to about 2,000 men by the time it reaches Regina, where the federal government stops it. A small delegation goes on to Ottawa, but its meeting with Bennett ends in a shouting match.
  4. July 1, 1935 (Dominion Day): police move in to arrest the trek leaders at a public meeting in Regina's Market Square. The Regina Riot lasts for hours; a city police detective is killed, a trekker later dies of his injuries, and dozens of people are injured.
  5. 1936: the relief camps are closed by the next government in June 1936.

Bennett's New Deal

With an election coming, Bennett surprised the country. In five radio broadcasts in January 1935 he announced a program soon called Bennett's New Deal, after US President Franklin Roosevelt's reforms. It promised unemployment insurance, a minimum wage, limits on working hours, fairer treatment of farmers and controls on business practices. Many Canadians doubted a leader who had resisted such ideas for five years. Voters chose King's Liberals in October 1935, and in 1937 the courts (the Judicial Committee of the Privy Council in Britain, then Canada's highest court of appeal) struck down most of the New Deal laws because they intruded on provincial powers.

New parties, new ideas

DEMOCRATICfree elections, rights, free pressAUTHORITARIANone party or leader, no real elections, rights crushed← LEFT: state control, equalityRIGHT: free markets, tradition →CommunismUSSR under StalinSocialismCCF (founded 1932)LiberalismLiberal PartyConservatismConservative PartySocial CreditAlberta, elected 1935FascismItaly under MussoliniNazismGermany under HitlerNazism: the most extreme,built on racism andantisemitismPlacements are general;real parties and regimeschanged over time.
Fig 1A left–right and democratic–authoritarian chart placing communism, socialism, liberalism, conservatism, fascism and Nazism, with examples of 1930s regimes (the USSR under Stalin, Fascist Italy, Nazi Germany) and Canadian parties (CCF, Social Credit, Liberal, Conservative).
PartyFounded and leaderMain ideasWhere it was strongest
Co-operative Commonwealth Federation (CCF)Founded in Calgary in 1932; led by J. S. Woodsworth; program set out in the Regina Manifesto (1933)Democratic socialism: public ownership of key industries and banks, economic planning, social programs such as health insurance and pensions, change through electionsThe Prairies (especially Saskatchewan), British Columbia, some industrial cities
Social CreditLed in Alberta by William Aberhart, a Calgary school principal and popular radio broadcaster; won the Alberta election of August 22, 1935Argued the economy failed because people lacked purchasing power; promised to put money in citizens' hands through monthly dividendsAlberta, later British Columbia
Union NationaleLed by Maurice Duplessis; won the Quebec election of August 17, 1936Quebec nationalism, rural and traditional values, strong opposition to communism and to federal interferenceQuebec
Three new parties that grew out of the Depression.

The new parties reflected regional frustration as much as ideology. Westerners felt the old parties served central Canadian banks and railways; many Quebecers wanted their province to control its own affairs. Not every new movement respected rights: Duplessis's Padlock Act (1937) let the Quebec government lock buildings used to spread communism, a vague term that was used against unions and other critics. Ordinary people also organized themselves. In Nova Scotia, the Antigonish movement led by Moses Coady helped fishers, farmers and miners form co-operatives and credit unions, and in 1932 academics founded the League for Social Reconstruction, which helped shape the CCF's ideas.

New institutions that lasted

  • Bank of Canada (began operating March 11, 1935): a central bank to manage the money supply and interest rates and issue the national currency, instead of leaving this to private banks.
  • Canadian Wheat Board (1935): a federal agency to market Prairie wheat and support farm prices.
  • Canadian Broadcasting Corporation (CBC) (November 2, 1936): a public radio network to connect Canadians from coast to coast and offer Canadian programs as American radio spread north.
  • Trans-Canada Air Lines (1937) and the National Film Board (1939): publicly owned bodies to link the country and tell Canadian stories.
  • Royal Commission on Dominion–Provincial Relations (Rowell–Sirois, 1937–1940): studied which level of government should pay for social programs; its report shaped later federal–provincial deals.
  • Unemployment insurance (1940): after the provinces agreed to a constitutional amendment, Ottawa created a national unemployment insurance program.
Continuity and change
Government action in the 1930s was limited and often harsh, and the Depression only truly ended when spending for the Second World War put Canadians back to work. Yet the decade changed what Canadians expected from government. The idea that Ottawa should protect people against unemployment, poverty and old age, first pushed by the CCF and others, grew into the social safety net built after 1940.
Analysing a protest
For any protest, such as the On-to-Ottawa Trek, ask four questions: Who protested and what did they want? How did the government see them? What happened? What changed afterward? The trek failed in the short term, but the camps closed within a year and the government that crushed it was voted out.

Worked examples

Reveal one step at a time and try to beat it to the next line.

Example 1
In April 1930, Mackenzie King said in the House of Commons that he would not give a "five-cent piece" for unemployment relief to provincial governments led by his political opponents. Analyse this source: its context, its point of view and its consequences.
Example 2
Explain how the relief camps led to the On-to-Ottawa Trek and the Regina Riot (a cause-and-consequence chain).
Example 3
Compare the CCF and Social Credit as responses to the Depression. How were they similar and how were they different?

Where marks get lost

  • Thinking Bennett did nothing. He raised tariffs, funded relief and the camps, created the Bank of Canada and Wheat Board, and proposed a New Deal; the criticism is that his actions were late, harsh or ineffective.
  • Calling the CCF a communist party. The CCF was democratic socialist: it sought change through elections and Parliament, and Canadian communists were a separate party.
  • Mixing up the Regina Manifesto (the CCF's 1933 program) with the Regina Riot (the violent end of the On-to-Ottawa Trek on July 1, 1935).
  • Saying the government's programs ended the Depression. Unemployment stayed high through the 1930s; full recovery came with wartime production after 1939.

Flashcards 9

Five-cent piece speech
Relief camps
On-to-Ottawa Trek
Regina Riot
+ 5 more

Practice

1
Put these responses to the Depression in chronological order.
  1. 1The Regina Riot ends the On-to-Ottawa Trek
  2. 2Bennett announces his New Deal in radio broadcasts
  3. 3The CBC is created
  4. 4King's "five-cent piece" remark in the House of Commons
  5. 5The first federal relief camps open
  6. 6The CCF adopts the Regina Manifesto
2
Match each party or movement to its leader.
CCF
Social Credit in Alberta
Union Nationale
On-to-Ottawa Trek
Antigonish movement
3
How much were men in the federal relief camps paid?
4
What happened to most of Bennett's New Deal laws?
5
What 1933 document set out the CCF's democratic socialist program?
6
In what year did the Bank of Canada begin operating?
7
Which statement best explains why new parties like the CCF and Social Credit appeared in the West?
8
Why was the CBC created in 1936?
9
What July 1, 1935 event ended the On-to-Ottawa Trek?

Spot a mistake on this page? Let us know