Mr. Speaker, I was very pleased to actually hear the Liberals support Bill C-14. There is very little we agree on in the House but from time to time we sing from the same page. Unfortunately, the NDP still is not getting that this is all about saving Canadian jobs.
This is not a complicated bill. Actually, it contains one simple clause. For most Canadians, it will have no significance that they know of but to the thousands of Canadians whose jobs will be lost if we do not pass this bill, it is critical to their livelihoods and their families.
What is remailing? Let me explain for those who do not understand what that industry is all about.
As we know, there are people in Canada who mail letter mail to each other. It is mail that is sent within Canada, collected within Canada and delivered within Canada. That mail is delivered by Canada Post and Canada Post has what is called exclusive privilege, which is simply another name for a monopoly. Canadians accept that. Our government accepts that. I believe all the parties in the House accept the fact that there is exclusive privilege for mail that is collected, distributed and delivered in Canada.
However, there is also other mail that is sent from Canada around the world. What businesses find is that the cost of that mailing can in some cases be very expensive. If a business is sending out thousands and thousands of pieces of letter mail a year, those costs can add up. They can affect one's competitiveness in a fiercely competitive international market.
Remailers are companies that will collect and bundle letter mail in Canada, take it to another jurisdiction, in most cases the United States, and mail it from there because the costs of mailing are significantly less. That is good for our economy because anything that allows Canadian businesses to compete better with the world markets is good. It is good for our economy and for families across this country, although the NDP just cannot understand that.
The change is very simple. The bill states, “does not apply to letters intended for delivery to an addressee outside Canada”. In other words, the exclusive privilege will not relate to letter mail that is collected in Canada but mailed from outside of Canada.
For 20 years this was not an issue. The industry, Canada Post, the unions, the remailers all accepted the fact that the Canada Post Corporation Act actually only provided exclusive privilege for letter mail that was collected and mailed within Canada to Canadians.
What happened along the way? The remailers started building their businesses. They starting investing a lot of money. They started creating jobs in Canada to provide a service to Canadian businesses. For 20 years there was no opposition to this. I am trying to figure out what happened.
Here is what I think happened. Canada Post obviously employs bright, young lawyers who are supposed to protect their interests, and that is fair. I am guessing that one day one of these bright, young lawyers checked the clause in the Canada Post Corporation Act, both in English and French, and, lo and behold, they found there was an inconsistency between the two clauses. The English clause did not say exactly what the French one said. It was an “aha” moment for the lawyer. He felt that he might have them and took the remailers to court.
The remailers were told that under the French version of the act they did not a right to exist and that the people working for them should not be employed in a remailing industry. The case was taken all through the courts until it ended up in the Supreme Court of Canada. The Supreme Court of Canada had to basically choose one or the other of the two interpretations, the English one or the French one. In the end, the Supreme Court of Canada decided, in its wisdom, that it was the French that should prevail.
That ruling came as a shock to the remailing industry and to our government. It came as a shock to most of the members of the House because we were at risk of losing an industry that employs some 10,000 people in Canada and an industry that is worth at least $100 million a year. Overnight this was going to be shut down.
I do not think that is fair. It is not the Canadian way and, quite frankly, it is not why I was elected as a member of Parliament. It is my job to stand up for Canadians, to defend Canadian jobs and to ensure we are fair with the Canadian people.
Our clause simply restates what everyone has accepted as the status quo for well over two decades. It says that remailers will continue to have the right to conduct their businesses, to take business mail within Canada, bundle it together and send it elsewhere in the world from another jurisdiction.
One might think that along the way Canada Post had been asserting its right to exclusive privilege over the remailing industry but that is not so. Back in 1988, Canada Post actually issued a magazine called Manager Magazine. In the April-May 1988 edition there was an article written by a lady by the name of Barbara Leimsner. In an article that she entitled, “Reaching for a Higher Plateau”, she said:
Outbound mail is not protected by exclusive privilege which leaves this lucrative business open to a new threat--aggressive competition from international remail companies.
That is Canada Post acknowledging that it was facing stiff competition and that it was taking on the remailers in the market legitimately. That was back in 1988.
Let us move on to 2005. A newsletter was issued by, I believe, Canada Post and, ironically, the newsletter is called , “Upfront”. It is actually in the form of a letter by the president and CEO of Canada Post no less, and is entitled, “Moving beyond our history”. The chief executive of Canada Post said:
Today, the notion of exclusive privilege is a thing of the past....We must all understand that today our customers have many opportunities to take their business elsewhere.
When she refers to taking business elsewhere, what else could she mean but that Canadian businesses have the ability to take their mail to a remailing company and have it mailed around the world from another jurisdiction.
Even as recently as 2005, Canada Post accepted the fact that exclusive privilege, this monopoly, only applied to domestic mail, mail that was collected within Canada and delivered within Canada. The CEO acknowledged in the article that exclusive privilege did not extend to the remailers.
Today, however, we have the court case that we must deal with. It says that there was an ambiguity in the law, that there was an anomaly between the English and French versions and that somehow we must reconcile those so they will choose the French version which has the impact of actually shutting down a major industry in Canada, eliminating some 10,000 jobs and $100 million worth of business a year.
The member for Notre-Dame-de-Grâce—Lachine referred to the fact that Canada Post actually owned a slice of the remailing industry for some four years. Is that not an irony? The very corporation that says remailers should not exist, actually invested in a remailing company some years ago and presumably made some money at it.
I do not know if the Bloc is supporting the legislation, but the other suggestion being made by my NDP colleagues is that somehow the profits that the remailers make today, and that Canada Post would like to now make its own, is critical to continuing a rural mail delivery service across Canada.
That is absolutely not true. In fact, we heard the profit quoted earlier. Last year, Canada Post earned some $320 million in profit. It is not losing money. The suggestion that somehow the bill would cause Canada Post to lose money is absolute nonsense. It does not own that business now, and it has not for some 20 years. This is a business that was legitimately carried on by the remailers. For over two decades, they depended on what everyone understood the state of the law to be, which was the English version of the Canada Post Corporation Act. Now that has changed because the courts picked up on this anomaly and decided against the remailers.
We want to correct that situation. We want to send a message to Canadians, especially those who rely on the remailing industry for their livelihoods, that we will stand behind them.
I want to give credit to the Liberals in the House. They recognized that. They got it. They understood there would be an injustice foisted upon these workers and industries, which had been acting in good faith for such a long time.
A suggestion has also been made that this is somehow a step toward deregulating postal service in Canada and privatizing Canada Post. Nothing could be further from the truth. We have made it very clear, as a Conservative government, that we will not take steps to privatize Canada Post. We believe Canada Post is performing a very useful service in Canada.
We have ordered that a strategic review of Canada Post be undertaken to ensure Canadians receive full value from Canada Post, to ensure Canada Post continues to pursue the objectives and purposes for which it was created and to ensure the postal corporation remains vibrant within Canada.
The suggestion that now putting the heavy hand of the law on the remailers would somehow enhance Canada Post prospects or enhance the prospects of businesses across Canada, which would like to keep their costs down, is ludicrous.
I come from an area of the country where individual enterprise is valued very highly. The remailers that have invested for some 20 years in this industry have done so in good faith. They took risks. They built their companies. They hired employees. They continued to grow. They provided a valuable service to thousands of other businesses across the country. To suggest that shutting those businesses down and getting rid of those jobs is somehow serving Canadians is absolutely wrong.
If I could just summarize, in point form, what the bill would not do and then what it would do, I hope Canadians will understand why Bill C-14 is important to them.
As I have already mentioned, it is critically important to those who rely on the remail industry for their livelihoods, but it is also critical for Canada's ongoing economic prosperity because we depend on remaining competitive. Canada lags behind many of the other industrialized countries in productivity.
How do we improve on that? One way is to ensure that Canadian businesses can reduce their costs and compete in a fiercely competitive world.
What would the bill not do? It would not result in a loss of revenue for Canada Post because Canada Post never had these revenues in the last 20 years.
This is not about a loss of jobs. I do not believe the NDP is even suggesting that it is a loss of jobs in the industry. What we are doing is protecting jobs. What those members would like to see happen is that those jobs go elsewhere. In fact, members may not know this but a number of the remailer companies have shut down their business in Canada and have gone elsewhere. Do members now where those jobs went? They did not stay in Canada. They left the country. Therefore, why would we want to risk that happening to the 10,000 remaining jobs we have in Canada? It is not about a loss of jobs; it is reaffirming the status quo of the last 20 years.
Is this about deregulation? Absolutely not. We have made that clear. My colleague across the floor has made that clear. This is not an attack on Canada Post. We continue to support exclusive privilege to Canada Post and its critical role in allowing Canadians to communicate with one another.
This is about protecting jobs, protecting our industry, our remailers, ensuring that we protect the trust that Canadians have, especially Canadian businessmen, when they see government and Canada Post moving forward in reliance on a certain law, that we will not flip-flop down the road. Finally, this is about maintaining Canada's competitiveness in the global economy.
Is Canada Post an important federal institution? Absolutely. It has a presence throughout our country. Does it need the remail industry to survive? Absolutely not. The profits last year of $320 million speak for themselves. There is more than enough money for Canada Post to do a good job in ensuring that Canadians have good rural mail delivery. Canada Post will continue to collect and transmit mail within Canada, and it is entitled to compete with the remailers in sending mail outside of Canada.
This is about protecting jobs. It is about standing up for Canadians. I appreciate the opportunity to defend this industry today with Bill C-14.
