That actually sounds crazy to me. At least for the House of Commons. I'm amenable to upper chambers of bicameral legislatures being indirectly elected. That's how the US Senate used to be before the constitution was amended.
I think you're misreading. MPs are directly elected. Anyone can run to be an MP (You have to collect 50 to 100 signatures from supporters and fill out some paperwork). Whoever wins the most votes in a riding becomes MP.
It's the property of a candidate being affiliated with a party - an indirect part of the election - that is run by the parties rules that are generally less than entirely democratic in nature.
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The British system which Canada basically copied is entirely designed to prevent real democracy.
The only thing that takes the Westminster system away from enabling real democracy is political parties, and they hadn't been invented when the system was designed. It took around 400 years before someone finally found the hack to break it. The original designers would have never envisioned the possibility that it could be hacked like that.