Bill C-298 (Historical)

Corporate Social Responsibility of Mining Corporations Outside Canada Act

An Act respecting Corporate Social Responsibility for the Activities of Canadian Mining Corporations in Developing Countries

The purpose of this enactment is to ensure that Canada’s commitments to international law and the International Bill of Rights are complied with in respect of the mining activities of Canadian corporations in developing countries. The enactment creates the Office of the Ombudsman and requires those corporations to report to it on their mining activities. It also gives the Office of the Ombudsman the responsibility to develop guidelines on best practices to follow for mining activities and it requires the Ombudsman to submit an annual report to both Houses of Parliament on the provisions and operation of this Act.

Corporate Accountability of Mining, Oil and Gas Corporations in Developing Countries Act

[John McKay, Liberal, Scarborough—Guildwood, ON]

Mr. Speaker, I want to thank all hon. members for their contributions to this debate. Naturally I prefer some members' opinions over others, but nevertheless that is the nature of debate. I thank each and every member who has contributed over the last couple of hours of debate.

We are in the final hour of debate on second reading and Bill C-300 will go to a vote on the principle of the bill.

The need for CSR supervision has already been decided. It no longer forms part of the debate. All sides agree, even the government, that there is a need for some form of CSR supervision. The debate has moved from should we do something to really how we should do it.

It may have taken the government a number of years, but on March 26, in its press release, the Government of Canada effectively admitted that there was a serious CSR issue in our country and in the extractive corporate sector. If there was no such issue, then there would have been no such announcement.

Now we will talk about whether Bill C-300 is the best response, or Bill C-298 or the government's press release.

As I said at the beginning of the debate, ideally the government would have taken over this issue and framed the response around the creation of an ombudsman, an independent officers of Parliament. Regrettably that did not happen. Now we have three choices: the government's press release, or CSR lite, as I have taken to calling it; private members' Bill C-298, creating an ombudsman; or Bill C-300, reposing the responsibility in the two ministers with sanctions.

Unfortunately Bill C-298 requires a royal recommendation and for reasons alluded to earlier in the debate, would be dead on arrival as it proposes something that a private member's bill cannot do, namely spend taxpayer money. Only government with the approval of Parliament can do so.

As delighted as I would be to support the NDP party, both for its previous member, the member from Halifax, Alexa McDonough and the member from Ottawa Centre, Ed Broadbent and currently the member for Ottawa Centre in Bill C-298, unfortunately this would be an exercise in futility.

That really leaves Bill C-300 or CSR lite.

Bill C-300 proposes a scheme of accountability which would include an ability to investigate, make findings, deal with frivolous and vexatious claims, report to Parliament and gazette the results. The government proposes an order in council appointment to assist in dispute resolution. Bill C-300 proposes a modest array of sanctions with BDC, EDC, CPP and various promotions. The government proposal is free of consequences for any offending company.

Bill C-300 proposes a review and report to Parliament. The government response, CSR lite, proposes a report by various ministers, and the tabling of that report by the Minister of International Trade to Parliament.

Therefore, should we not just declare a victory, issue a press release, pat ourselves on the back and go home? While I like and respect the Minister of International Trade, even he does not think that he is going to be the Minister of International Trade forever. A new minister may well not be so enthusiastic about CSR and may withdraw the order in council appointment. What a prime minister can make, a prime minister can also unmake.

The only meaningful protection is legislation. Bill C-300 is legislation. A press release, followed by an order in council appointment, is not. Legislation has to be repealed by an act of Parliament. An order in council proceeds at the whim of Parliament.

The effectiveness of the councillor is dependent upon the consent of the involved parties. Bill C-300 does not depend upon the willingness of the accused party to co-operate. In fact, it presumes the opposite. Bill C-300 may not have as optimistic a view of human nature as does the government, but possibly it is just a little more realistic.

While joining hands and singing Kumbaya may be a wonderful experience in Muskoka on a glorious summer night or even Haliburton, it does not cut it in the harsh light of daily life, let alone operating a business in some dreadful conditions.

I would urge all hon. members to support this bill. I am extremely grateful for the support that I have received, that this bill has received, over the past weeks and months from Amnesty International, CCIC, Development and Peace, EFC, Halifax Initiative, Mennonite Central Committee, MiningWatch, World Vision, and the list goes on and on.

I did want to thank each and every person who has supported this bill, and I hope that all hon. members see fit to vote in support of Bill C-300.

[Claude Gravelle, NDP, Nickel Belt, ON]

Mr. Speaker, I want to begin by thanking the hon. member for Scarborough—Guildwood for presenting this private member's bill on corporate accountability.

In the 38th Parliament, a similar but much stronger member's private bill was presented by the former leader of the NDP, Ed Broadbent. New Democrats have long stood for corporate accountability as a principle of international trade. I strongly believe that Canadian companies who operate overseas must be held to the same standards as they are in Canada.

Canada must see to the protection of workers, their families and the environment everywhere Canadian companies operate. I realize that that is what this legislative measure is trying to do. Unfortunately, I do not think it succeeds.

Bill C-300, an act respecting Corporate Accountability for the Activities of Mining, Oil or Gas in Developing Countries, is not perfect. Its scope and application are too limited, and its enforcement mechanisms lack teeth.

There are three main areas of concern that I have with this piece of legislation.

First, the bill should be expanded to include all incorporated companies in Canada, not just companies receiving support from the Government of Canada. This is a significant loophole that would greatly weaken the application of the bill.

Second, the legislation should include additional provisions within the Criminal Code to strengthen its enforcement mechanism and to ensure that all companies operating in Canada have the same legal duty to protect workers' rights in their foreign operations as in their domestic operations.

Third, this piece of legislation should establish an ombudsman to carry out the provision of this legislation rather than relying on the minister.

As usual, the Liberal caucus and its members claim to uphold certain principles, in this case that of corporate accountability, but again they fail to deliver effective legislation to enshrine those principles into law.

While I always welcome progress on a matter of global corporate accountability, Bill C-300 would only encourage a fraction of companies operating in Canada and would have no meaningful enforcement mechanism. In other words, this bill is only aimed at encouraging companies to respect the principle of corporate accountability and not enforcing such behaviour.

Bill C-298 is a far more effective piece of legislation. The hon. member for Scarborough—Guildwood should consider putting forth or accepting two amendments to his bill similar to clauses contained in Bill C-298, especially the establishment of an ombudsman.

Overall, I feel that these issues can be resolved at the committee level, which is why I will support this bill through second reading. The most troubling thing about this bill is that it is a private member's bill. The Conservative government should be making this issue a priority and investing the appropriate resources to finally address this concern.

As a retired steelworker and Vale Inco employee I know first-hand how important it is that we stand together as workers to protect each other. I have worked for close to 35 years for a mining company which has operations outside of Canada and I want to show my solidarity with my brothers and sisters throughout the developing world by supporting the bill through second reading.

As the late Rosemary Brown said, “unless all of us are free, none of us will be free”. It is time for our government to take global corporate accountability seriously and set out clear expectations and consequences for all Canadian companies operating abroad.

Corporate social responsibility and Canadian extractive industry in developing countries

[John Rafferty, NDP, Thunder Bay—Rainy River, ON]

Mr. Speaker, I thank the member for Pierrefonds—Dollard for introducing this motion and for his general concern for citizens in developing countries. I would like him to know that I am of the very clear opinion that corporate accountability for Canadian resource extraction companies abroad is long overdue.

We know that extractive industries are often able to take advantage of political cultures in developing countries that do not accept or respect our domestic principles of democratic accountability and transparency. Centralized decision-making at the executive level that can offer extraction rights in exchange for capital in many developing countries can greatly infringe upon the human rights and environmental sustainability of localized populations.

Canadian companies, like those from other modern industrialized states, have at times taken advantage of such political circumstances in their quest for new sources of revenue to the gross detriment of workers and local communities that have and will suffer the devastating environmental consequences for generations. I was sad to see that, very recently, a lawsuit was filed against a company listed on the Toronto Stock Exchange for its alleged involvement in human rights abuses at a mining concession site in Ecuador. Legislation that enforces a responsible code of conduct that respects international human rights and local environmental concerns and enforces corporate accountability upon Canadian companies operating abroad is needed now more than ever.

New Democrats have long stood in the House in support of corporate accountability as a principle of international trade and economic activity among and between nations. The member for Pierrefonds—Dollard will no doubt know that it was the former hon. member for Ottawa Centre who first sought to enforce this principle with Bill C-369 in the 38th Parliament. Support from the New Democrat caucus on legislation or motions that enforce ethical behaviour upon Canadian companies, including those operating abroad, has never been difficult to attain. As such, I am proud to offer my support for this motion.

The creation of an independent ombudsman, as prescribed in this motion and as would be established in law with the passage of Bill C-298, introduced by the current member for Ottawa Centre, would ensure that the enforcement of corporate accountability principles is legitimate, consistent, apolitical and fair to both Canadian companies and the populations that may or may not be affected by their operations abroad.

I would like to thank all the members of the advisory group and all participants of the National Roundtables on Corporate Social Responsibility for their hard work and encourage each and every member of the House to read their report and strongly consider their recommendations when deliberating this particular motion and other pieces of legislation. I would like to take a moment to also recognize the work of the Canadian Network on Corporate Accountability, which has helped keep the issue of corporate accountability on the political agenda in Canada for some time.

Member groups of CNCA that deserve our ongoing thanks include: Amnesty International, Africa-Canada Forum, Americas Policy Group, Asia Pacific Working Group, Development and Peace, Canadian Council for International Co-operation, Canadian Labour Congress, L'Entraide missionnaire, Friends of the Earth Canada, Halifax Initiative, Inter Pares, KAIROS: Canadian Ecumenical Justice Initiatives, MiningWatch Canada, North-South Institute, Rights & Democracy, Steelworkers Humanity Fund, United Church of Canada and more.

I wish to thank the staff and members of all of those groups. I ask them to please keep the strong and principled work that they have undertaken for so long and with such pride. This Parliament, a minority one with many progressive members, represents a rare chance for real change on a number of fronts, if only these members could muster the political courage to stand up in support of the principles they claim to respect and wish to uphold.

I would like to thank the member for Pierrefonds—Dollard for doing just that. I encourage him to reach out to other members of the Liberal caucus to gain their support for this motion and to lobby for their support of Bill C-298.

Corporate Social Responsibility of Mining Corporations Outside Canada Act

[Paul Dewar, NDP, Ottawa Centre, ON]

moved for leave to introduce Bill C-298, An Act respecting Corporate Social Responsibility for the Activities of Canadian Mining Corporations in Developing Countries.

Madam Speaker, again I thank my colleague from Halifax for seconding this bill.

This bill would ensure Canada had the same obligations overseas as it has here for all of its mining extractive industries, for things like labour law, human rights and environmental laws.

In the past, the government has said that it would act on this and it has the report on corporate social responsibility to actually engage in this area but it has sat on the minister's desk without any reply.

This bill would have Canada apply the ideas and the principles of corporate social responsibility for the extractive industries overseas. This applies to places like the Congo, for sure in Darfur and Sudan, and other places around the world.

I would love it if the government would please take my bill.

(Motions deemed adopted, bill read the first time and printed)