Bill C-300 (Historical)

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

An Act respecting Corporate Accountability for the Activities of Mining, Oil or Gas in Developing Countries

The purpose of this enactment is to promote environmental best practices and to ensure the protection and promotion of international human rights standards in respect of the mining, oil or gas activities of Canadian corporations in developing countries. It also gives the Minister of Foreign Affairs and Minister of International Trade the responsibility to issue guidelines that articulate corporate accountability standards for mining, oil or gas activities and it requires the Ministers to submit an annual report to both Houses of Parliament on the provisions and operation of this Act.

Bill C-377—Income Tax Act

[Tom Lukiwski, Conservative, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, I do appreciate the member's attempt at brevity but I must say that it reminded of that old classic movie, Airplane from 1980, penned by Jim Abrahams and David Zucker.

What I kept thinking of when I was listening to his brief presentation was those continuous scenes where Ted Striker, the ex-army pilot who was afraid to fly would continue to tell stories to the people in the seat next to him and they would end up attempting suicide. However, I do want to thank my friend for being at least a little more brief than the official opposition House leader. I will attempt to be even briefer than my friend from the Liberal Party.

I rise to respond to last Thursday's intervention by the hon. member for Rosemont—La Petite-Patrie and yesterday's intervention by the hon. member for Saint-Lambert concerning a royal recommendation for Bill C-377, An Act to amend the Income Tax Act (requirements for labour organizations).

Bill C-377 was introduced on December 5, 2011, by the member for South Surrey—White Rock—Cloverdale and has since been read the second time and referred to the Standing Committee on Finance. The bill would amend the Income Tax Act to require labour organizations to provide financial information for public disclosure.

I would note that this bill was not identified by the Speaker as an item of concern with respect to the financial prerogative of the Crown, nor has it been the subject of an intervention by a minister of the Crown or a parliamentary secretary on behalf of one.

The hon. member for Rosemont—La Petite-Patrie argued that the provisions of the bill requiring labour organizations to submit financial information and the requirement for the Canada Revenue Agency to publish the information on a website with search tools somehow represent new and distinct charges on the treasury which are not currently authorized.

The hon. member for Saint-Lambert then added the information provided to the finance committee by the Canada Revenue Agency which provided estimates on the expected incremental costs associated with implementation.

There are procedural authorities and precedents for cases where a new royal recommendation was not required for incremental modifications to expand the operation of provisions already authorized by a royal recommendation. The hon. member for Rosemont—La Petite-Patrie cited page 833 of the second edition of the House of Commons Procedure and Practice. The most relevant portion pertaining to amending bills, such as Bill C-377, is that a royal recommendation is required for:

...bills which authorize new charges for purposes not anticipated in the estimates. The charge imposed by the legislation must be “new and distinct”; in other words, not covered elsewhere by some more general authorization.

Section 220 of the Income Tax Act provides the minister with the authority to administer and enforce the provisions of the act. Indeed, this authority was cited in the same materials provided to the finance committee which the member for Saint-Lambert cited yesterday.

In particular, subsection 220(2) provides broadly and generally that:

Such officers, clerks and employees as are necessary to administer and enforce this Act shall be appointed or employed in the manner authorized by law.

Clearly, the authority to retain any necessary staff has already been addressed by Parliament.

It may also be useful to add here that subsection 5(1) of the Canada Revenue Agency Act provides that:

The Agency is responsible for

(a) supporting the administration and enforcement of the program legislation....

Program legislation is, in turn, defined in section 2 of that act as:

....any other Act of Parliament....

(a) that the Governor in Council or Parliament authorizes the Minister, the Agency, the Commissioner or an employee of the Agency to administer or enforce, including the....the Income Tax Act....

Indeed, this broad mandate already enjoyed by the Canada Revenue Agency is addressed in response to the Liberal question 1(a) in the finance committee materials the hon. member for Saint-Lambert cited, which asked how Bill C-377 aligns with the Canada Revenue Agency's mandate.

The agency replied:

A measure introduced by Parliament that is incorporated into the Income Tax Act and falls under the responsibility of the Minister of National Revenue will be administered by the CRA. Parliament determines if a measure will be incorporated into the Income Tax Act.

In other words, the Canada Revenue Agency has already been given a broad, sweeping mandate to administer and enforce federal taxation laws. Meanwhile, other existing provisions of the Income Tax Act allow the minister to require certain persons or entities to file information for the purposes of taxation.

Specifically, for example, subsection 149(14) dealing with qualified donors provides a requirement for public foundations to

—file with the Minister both an information return and a public information return for the year in prescribed form and containing prescribed information.

In other words, the act already requires information to be submitted to the minister in a prescribed form and containing prescribed information. Therefore, this does not constitute a new function, mandate or duty for the minister or the agency.

The hon. member for Rosemont—La Petite-Patrie also argued that making the information public represented a new and distinct activity that was not currently authorized.

First, the agency has a comprehensive website which publishes lots of information and materials, so that would not be a new responsibility for the agency.

As for making information public, I would note that the Income Tax Act provides provisions now to that effect. Subsection 149(15) relates to information that may be communicated in respect of charitable organizations. It states:

—the information contained in a public information return...shall be communicated or otherwise made available to the public by the Minister in such manner as the Minister deems appropriate...the Minister may make available to the public in any manner that the Minister considers appropriate...

In other words, the act provides the minister with the authority to publish in any manner the minister considers appropriate the content of a public information return. That other information would fall within an existing mandate and duty does not, I submit, require a royal recommendation.

Turning to some precedents, on February 10, 1998, at page 3647 of the Debates, Bill S-3, an act to amend the Pension Benefits Standards Act, 1985 and the Office of the Superintendent of Financial Institutions Act, was found not to require a royal recommendation. In his ruling, Mr. Speaker Parent said, in a case where powers were expanded yet no royal recommendation was needed, that:

It seems fairly evident that the powers of the superintendent would be extended by Bill S-3. It may well be that additional expenditures would be incurred because of those enhanced powers of the superintendent. Should an increase in resources be necessary as a result of these new powers, the necessary allocation of money would have to be sought by means of an appropriation bill because I was unable to find any provision for money in Bill S-3.

The hon. member for Rosemont—La Petite-Patrie made mention of the additional tasks which would fall to the employees of the agency as well as training which might be required for the new filings. Your immediate predecessor's ruling, Mr. Speaker, at page 7261 of the Debates for February 23, 2007 on Bill C-327, an act to amend the Broadcasting Act answers this point, states:

Bill C-327 may or may not result in a greater workload for the CRTC, but the activities being proposed are within its mandate. If additional staff or resources are required to perform these activities then they would be brought forward in a separate appropriation bill for Parliament’s consideration.

More recent, on October 26, 2010, Mr. Speaker Milliken ruled concerning the need for a royal recommendation for Bill C-300, an act respecting corporate accountability for the activities of mining, oil or gas in developing countries. The bill, among other things, required the Minister of Foreign Affairs to establish a process for the examination of complaints concerning possible contraventions of the guidelines. The Speaker ruled then:

—the Chair is of the view that the examination of such complaints is not a departure from or expansion of the current ministerial mandate under the Department of Foreign Affairs and International Trade Act...Bill C-300 may put forth more stringent requirements, but it does not expand the mandate per se.

It may be that a reorganization of resources or even additional funds would be required, however, it appears these would be operational in nature.

I submit that Bill C-377 is consistent with the precedents cited in that it does not authorize a new expenditure of public funds. Rather it deals with the operation of provisions already authorized by Parliament which were accompanied by a royal recommendation at the time these provisions were enacted.

The hon. member for Rosemont—La Petite-Patrie mentioned that there was nothing set out in the recently tabled supplementary estimates (B) for this fiscal year. The hon. member for Saint-Lambert also claimed that this was confirmed in the agency's answers to finance committee.

Let us be clear. The usual practice we can expect to see unfold would be that the agency would account for its operations under Bill C-377, should it become law, in its estimates after the bill becomes law. That is a common practice with respect to any proposed legislation that has not yet been enacted. The supplementary estimates argument advanced by those hon. members is really a red herring in this entire debate.

Should Bill C-377 become law, the authority to spend for the purposes set out in the bill will be under the general authority of existing broader provisions of the Income Tax Act as well as the agency's general authorities under the Canada Revenue Agency Act. Should additional funds be required, the government would seek them from Parliament as part of the supply cycle through an appropriations bill in the ordinary manner for operating expenses.

I respectively submit that Bill C-377 does not require a royal recommendation and is properly before the House.

Criminal Code

[Charmaine Borg, NDP, Terrebonne—Blainville, QC]

Mr. Speaker, I am pleased to rise in the House today to speak to Bill C-310, which would amend the Criminal Code to address the cruel and serious problem of human trafficking in Canada.

I congratulate the member who sponsored this bill for introducing a bill that will have the support of all parties in this House. This is the first time I have supported a government initiative and I congratulate her on it. I hope that in the future the opposition parties and the Conservative government will have many opportunities to work together.

This bill proposes two very important amendments to the Criminal Code that will make it easier to prosecute perpetrators of human trafficking. This heinous crime has destructive effects on the victims, which reminds us that in a not-too-distant past, slaves were treated similarly by Canadians and by our neighbours to the south. Unfortunately, at a time when human rights and individual freedoms should prevail and at a time when we would have thought our attitudes had evolved enough to eliminate this abominable crime, there are still people in this country who can deny their own humanity and sell people who are just as deserving of freedom as any other person.

Therefore, I believe that the House has the duty and the power to hold these individuals accountable by proposing and adopting a legal framework to eliminate this form of slavery and severely punish the perpetrators, so that we can set an example for the rest of the world.

This bill targets the real criminals—the traffickers. This bill would extend Canada's jurisdiction beyond our borders, which means we could go after traffickers with Canadian citizenship or residency regardless of where they are in the world. I would once again like to congratulate my colleague opposite for developing a bill that targets the real criminals and not the victims.

However, since there is a distinction made between human trafficking and human smuggling, I have to wonder about Bill C-4, which targets the migrants instead of the smugglers in cases of human smuggling in Canada. Migrants are the victims in this fraudulent scheme, and the real criminals are those who deceive these people by promising them a better future. I would have liked to see the government use Bill C-310 as an inspiration and to withdraw Bill C-4 from the Order Paper.

The first section of the bill amends the Criminal Code in order to apply Canadian extraterritorial jurisdiction to the offence of human trafficking. This will give the Canadian government the legal means to prosecute a Canadian or a permanent resident of Canada involved in human trafficking, regardless of where he or she works, lives or operates. Introducing extraterritorial jurisdiction using the nationality principle in international law is compatible with our international obligations under the United Nations Convention Against Transnational Organized Crime, the Palermo convention. Given the international nature of human trafficking, extraterritorial jurisdiction is crucial. We simply cannot allow Canadian traffickers to live a comfortable life without any fear of being held responsible for their crimes just because they can hide behind international borders.

Thus, I am convinced that our government has a responsibility to ensure that our legal system can prosecute those responsible for such crimes to the full extent of the law through this extraterritorial jurisdiction. We have the right to hold our citizens to a certain standard of behaviour, even those who are outside our borders.

In her introductory speech, the sponsor of the bill said that it would ensure justice in cases where the offence was committed in a country without strong anti-human trafficking laws. I agree with her completely, but I find it unfortunate that this government did not live up to this standard during the previous Parliament with regard to Bill C-300, An Act respecting Corporate Accountability for the Activities of Mining, Oil or Gas in Developing Countries. Once again, I hope the government will learn something from this private member's bill.

Coming back to Bill C-310, before 2005 the only legal action that could be taken against human traffickers was based on charges of kidnapping, threats or extortion. Section 118 of the Immigration and Refugee Protection Act prohibits anyone from bringing someone into Canada by means of abduction or fraud. In other words, human trafficking was not considered a criminal offence per se until 2005. Since then, only five people have been prosecuted on the basis of this new offence.

Crown prosecutors and experts blame the lack of prosecutions on the current definition of exploitation, which requires proof of a threat to safety. This proof is difficult to obtain, which results in traffickers being found not guilty.

This leads me to the second amendment to the Criminal Code proposed in this bill. The member sponsoring this bill has every reason to propose expanding the current legal definition of the word “exploitation”, which defines the conditions for a person to be considered a victim of human trafficking. The current legal definition of this word in the Criminal Code does not contain any precise examples of exploitation. Therefore, this second amendment would add evidentiary foundations to enable courts to give clear examples of exploitation, such as threats or use of violence, coercion and fraudulent manipulation. This would update the legal terminology and would give courts the legal tools they need to successfully prosecute these criminals.

Once again, I congratulate the member on her wise and well thought out bill.

I will conclude by talking about human trafficking in Canada. In Canada it is tragic to see that aboriginal women and girls are disproportionately more likely to be victims of human trafficking. This tragedy is the result of a number of factors, and to address this, our government will have to combat it from all sides. We absolutely must recognize that poverty, lack of housing and very difficult living conditions for aboriginal women and girls are factors that explain why they are disproportionately more likely to be victims of human trafficking.

I would like to point out a coincidence. Today, the Standing Committee on Status of Women will present its report on violence against aboriginal women. This report is the product of two years of study on a very serious issue and an unfortunate tragedy in our country. Over the course of this study, the committee heard from about a hundred aboriginal women and people working with victims and their families. I had the opportunity to listen to some of this testimony when I sat on this committee. It is clear that to fight violence against aboriginal women and girls, including human trafficking, we must acknowledge the poverty and economic marginalization they experience.

I truly hope that this report will lead to concrete recommendations for improving the economic conditions of these women and decreasing their vulnerability to violence and human trafficking. I strongly encourage all of my colleagues in the House and the general public to listen to the presentation of this report today. Once again, I thank my colleague for this wise and necessary bill.

Mining Industry

[Pat Martin, NDP, Winnipeg Centre, MB]

Mr. Speaker, I have today a petition to present from literally thousands of Canadians across Canada.

The petitioners point out that they are appalled by reports that Canadian mining and oil and gas companies are involved in human rights and environmental violations around the world. In particular, they are embarrassed at the Canadian government's lack of action against such violations in eastern Congo, leading to the use of the term “the iron fist of Canada” to describe the Canadian government's support of activities harmful to Congolese communities.

Therefore, the petitioners request that the House the Commons legislate the standards for Canadian mining companies operating outside of Canada to be the same as the standards they must reach operating inside of Canada. This would include, but not be limited to, making participation in corporate social responsibility review process, allowing the corporate social responsibility review to produce legally binding judgments to include the violation of human rights and other harm to communities as part of any legally binding accountability mechanism and to revitalize the spirit and the principle of Bill C-300 of the last Parliament to hold Canadian extractive companies to the standards of decency Canadians expect of their government—

Keeping Canada's Economy and Jobs Growing Act

[Kevin Sorenson, Conservative, Crowfoot, AB]

Mr. Speaker, it is a real honour to again stand in this House and speak on behalf of the constituents of Crowfoot to Bill C-13, Keeping Canada's Economy and Jobs Growing Act.

The legislation that we are debating today introduces our Minister of Finance's key elements of the next phase of Canada's economic plan, a low-tax plan for jobs and growth.

My constituents of Crowfoot know that our Conservative government is focused on creating jobs and promoting economic growth. Under the leadership of our Prime Minsiter, Canada has the strongest economy and the strongest job growth record in the G7. We have created nearly 600,000 net new jobs since July 2009.

The International Monetary Fund, IMF, projects that Canada will continue to be among the nations with the strongest economy and the strongest economic growth in the G7 over the next two years.

However, Canada is not immune to the global economic turbulence. Bill C-13 provides our government with the means to stay the course and implement the next phase of Canada's economic action plan.

One of the features of Bill C-13 is a temporary hiring tax credit for small business. It would make it easier for small businesses to hire workers or enhance wages. This is precisely the kind of measure that Canadian workers need at this time. This would create new jobs and help save the jobs presently had by the workers across this country.

Hard-working, tax-paying Canadians raising their families need stable and predictable employment to see them through this difficult economic time. The keeping Canada's economy and jobs growing act would help support Canada's economic recovery.

I just want to touch on a couple of highlights of Bill C-13.

First, it would expand tax support for clean energy generation to encourage green investments. According to what opposition members have said today, they will vote against that, the opportunity to enhance green investments and clean energy generation.

Second, the bill would extend the mineral exploration tax credit for flow-through share investors by one year to support Canada's mining sector.

I had the privilege in the past Parliament to chair the Standing Committee on Foreign Affairs and international Development. At that committee, we studied a number of bills, such as Bill C-300 and others. I know that the Canadian mining sector contributes over $300 billion to Canada's GDP each year and over 300,000 Canadians are employed in the mining industry.

The mining industry stimulates and supports economic growth, both in large urban centres and in remote rural communities, including numerous first nation communities across the country. However, again, the opposition members say that they will not support that.

Mining accounts for 19% of Canadian goods exports and $5.5 billion in taxes and royalties paid to the federal, provincial and territorial governments. The industry also generates considerable economic spin-off activity. There are more than 3,200 companies that provide the industry with services ranging from engineering consulting to drilling equipment. In addition, over half of the freight revenues of Canada's railroads are generated by mining.

Many Canadians are not aware of the large role that Canada's mining sector plays in our economy. However, it is important to nurture Canada's mining industry.

Bill C-13 also would simplify custom tariffs in order to facilitate trade and lower the administrative burden for all businesses.

Most Canadians do not know that Canada is a nation built by trade. We do more than $1 billion a day in trade flowing over the Canada-U.S. border. While many Canadians understand the important role of trade, they do not realize that trade just with the Americans amounts to $1.8 billion a day.

Since 2006, our Conservative government has been working diligently to boost Canada's access to markets, not just across the border with the neighbours closest to us, but all around the world, and we are having success.

I look in the House today and I see our agriculture minister who has been working hard at his desk here all afternoon. I commend him and our trade minister for the amount of work they have done around the world to open new markets and give, whether it is our agriculture sector or our manufacturing sector, the opportunity to market their goods in many of those countries. Yes, we are having success.

The agriculture producers, the farmers, who I represent work hard every day to take advantage of the opportunities that the Minister of Agriculture and the government are providing. We could feed the world from where I come from in Alberta and from the west, so we welcome all customers, and that includes the new customers. The more the merrier. We pledge to fill all the orders that our Minister of Agriculture and our Minister of International Trade can find for our agricultural sector.

The bill would extend the accelerated capital cost allowance treatment for investments in manufacturing and processing machinery and equipment for two years to support the manufacturing and processing sector. Bill C-13 would extend this well received measure from one of our previous budgets. Our Minister of Finance has been fighting the effects in Canada of the global economic recession since 2009. Canada's manufacturing and processing base has been using this measure to create and save jobs. They still want this accelerated capital cost allowance and our Conservative government is glad to give it and to be in a position where we can allow it to continue.

We are eliminating the mandatory retirement age for federally regulated employees in order to give older workers the option of staying in the workplace. We know that Canadians are healthier and they are living longer than ever before in our history. In economically difficult times, older workers sometimes want to choose to stay working for another year or two and make some extra money for their families or for themselves in their retirement. This contributes to economic growth. Older workers have a great deal to contribute and our government is giving them the go-ahead. However, it sounds like the opposition will be voting against it.

There is a very important initiative in Bill C-13 for the constituents in my riding. The government would provide a permanent annual investment of $2 billion in the gas tax fund to provide predictable, long term infrastructure funding for municipalities. Unlike the Liberal governments of the past, our government has returned gas tax revenues to jurisdictions where they were raised. We deliver these revenues to local jurisdictions earlier in the year than ever before so they can plan for the building in the summer season. This allows local governments to free up other funds in their budgets and get more accomplished through the calendar year.

In my riding of Crowfoot, we have many small county municipal governments and they rely on these funds. When I attend those council meetings, they let us know how much those funds are needed and appreciated. In some cases, the amounts of revenues in small villages or communities seem small but it makes projects possible and it allows small communities to grow when it spurs on local employment.

There are a number of other initiatives in Bill C-13 for creating and saving jobs and helping Canada's economy. Over the course of the debate on this bill, other speakers from this side of the House will detail some of these initiatives.

Bill C-13,, as already mentioned by the member for Souris—Moose Mountain, introduces the volunteer firefighters tax credit for volunteer firefighters. When the opposition talks about tax credits for those who do not need it, well we are talking about the volunteer firefighters of my constituency.

The bill would increase the ability of Canadians to give more with confidence to legitimate charities by introducing a package of integrity measures designed to help combat fraud and other forms of abuse. I know that the people in my riding are very charity minded. My constituents are generous and engaged in many charitable projects. They appreciate this initiative to ensure their efforts are not in vain.

Bill C-13 has help for families. It introduces the new family caregiver tax credit to assist caregivers of all types to help with dependent relatives.

This is a good bill. I appreciate the number of opposition members who have been here to listen to the debate today.

When we are in opposition, it is not always about opposing. It is about standing up and supporting families in tough times in the economy. We would appreciate members' support.

Government Accountability

[Pat Martin, NDP, Winnipeg Centre, MB]

Mr. Speaker, the Conservatives said they would clean up the revolving door between their government and lobbying firms. Yet Alanna Heath went directly from the finance minister's office to Barrick Gold as the director of government relations. Guess what her first job was? It was to kill Bill C-300, the corporate social responsibility bill for the mining industry. Then Rodney MacDonald left the Minister of Industry's office to become the director of government relations for Visa, the very file that his former boss was directly involved in.

What happened to those promises, what happened to the cooling-off period for connected political staff and what happened to the integrity of the government?

Canada-Panama Free Trade Act

[Wayne Marston, NDP, Hamilton East—Stoney Creek, ON]

Mr. Speaker, I am pleased to stand today to speak on behalf of my party to Bill C-46.

I commend the member for Hamilton Mountain on her intervention. It struck me, as she was answering questions, that the Liberal member stood in the House and basically said that it was trade at all costs. The reality for our country is that human rights and labour laws are the defining set of principles. To hear that kind of intervention from a party that proclaims human rights struck me as strange. It is not trade at all costs. As the member just indicated, our trade with Panama is around $100 million. That is an awfully cheap price to give up on the rights that Canadians believe so much in.

I want to go through a bit of the chronology on this bill. The Conservative government concluded the negotiations in August 2009. This agreement, by the way, as has been indicated by previous speakers, is very similar to the one with Colombia. We, of course, opposed the Colombia free trade agreement for weeks on end in the House because we felt that it was beneath Canada's dignity to be signing a free trade agreement with such a reprehensible government.

This agreement was signed May 14, 2010. On the same day, the government tabled side agreements in the House on Bill C-46. The NDP is opposing this bill for a number of reasons. In committee, compelling testimony was heard from witnesses regarding the tax haven situation in the Republic of Panama, as well as the poor record of labour relations in the country.

The previous speaker from the NDP, our labour critic, talked about the lack of labour rights in Panama. The member for Burnaby—New Westminster moved motions and amendments in committee that would have addressed some of the glaring failures in this agreement. Sadly, the record will show that they were opposed by the Conservatives and supported by the Liberals.

We do have issues with the free trade agreement. For example, despite requests from the Canadian government, Panama has refused to sign a tax information exchange agreement. This is very troubling considering the large amount of money that is being laundered in Panama, including money from drug trafficking, similar to Colombia. Panama's complete lack of taxation transparency has led the OECD to label the nation as a tax haven.

Just before the clause by clause review of Bill C-46, the member for Burnaby—Douglas proposed a motion to the committee that would have stopped the implementation of the Canada-Panama agreement until Panama agreed to sign a tax information exchange agreement. Again, his motion was defeated by the Conservatives and the Liberals who argued that the double taxation agreement Panama had agreed to was satisfactory. We do not agree. Unfortunately, the double taxation agreement only tracks legal income, while tax information exchange agreements will track all income, including money made through illegal means. That was as proposed by the member for Burnaby—New Westminster.

Considering Panama's history and reputation on such matters, it should be clear as to why such an agreement is necessary before signing the deal. Again, we hit a roadblock with both the Liberals and Conservatives on that point.

Subsequently, during the clause by clause review, the member for Burnaby—New Westminster proposed nothing less than 11 amendments that would have made progressive changes to the bill. These amendments included the addition of the crucial concepts of sustainable development and investment, a requirement for taxation transparency and provisions, and to corporate in the bill the protection of labour rights, including the right to free collective bargaining.

Other amendments would have required the Minister of International Trade to consult with labour and trade unions, as well as work with human rights experts and organizations in order to create impact assessments for the trade agreement. It is one thing to sign these agreements but it is quite another thing to follow up and see what the impacts have been on both the country we sign with and in our own industries and businesses that are part of the agreement.

A final amendment would have required Parliament to vote to extend the provisions of the act beyond the first year. All of these amendments, once again, hit that same wall and were voted down by the Conservatives with the help of the Liberals.

The committee heard testimony from Todd Tucker of the Public Citizens Global Trade Watch. Mr. Tucker made a very compelling case when he said that Panama was one of the world's worst tax havens and that the Panamanian government had intentionally allowed the nation to become that tax haven. Obviously there are benefits for a government seen in such a thing.

To summarize Mr. Tucker's testimony, he said that the tax haven situation in Panama was not improving under the current government nor under the conditions today in Panama. In addition, a trade agreement with Canada, in his opinion, would worsen the problem and could cause harm to both Panama and Canada.

Another major issue for myself as a former labour leader is the status of labour rights in Panama and the complete failure of this trade agreement because these are pending agreements. They are like letters of intent in a collective agreement that have no legal weight. These side agreements on labour rights fall far short of what is needed.

Two of the amendments put forth in committee by the member for Burnaby—New Westminster would have protected trade union workers in Panama. The member for Hamilton Mountain made a point a few minutes ago regarding Bill C-300, as well as labour rights. Why would we sign an agreement with a country and not demand, as part of that agreement, equal rights in that country to the rights we have here in Canada. As the principal representative of Canada on the joint Canada-Panama commission, the minister should have consulted on a regular basis with representatives of Canadian labour and from trade unions both here and in Panama.

Like all other amendments, those amendments were also defeated by the Conservatives with their friends the Liberals. Unfortunately, this creates a free trade zone that belittles the rights of labour, a serious problem that is already prevalent in Panama.

Teresa Healy of the Canadian Labour Congress spoke to the committee studying the bill regarding the agreement. She testified that while the ILO's, the International Labour Organization, core labour standards had been invoked in the agreement, the agreement was still weaker than it should be. As well, the current Panamanian government has been increasingly harsh on labour unions and workers in recent years.

In addition, two amendments regarding definitions were proposed by the member for Burnaby—New Westminster. By the end of the day, people will know the member for Burnaby—New Westminster who sits on this committee for our party.

The first amendment was with regard to sustainable development. The member for Nanaimo—Cowichan spoke a few moments ago in debate on this. The amendment would define sustainable development as development that meets the needs of the present without compromising the ability of future generations to meet their own needs, as set out in the Brundtland report, published by the World Commission on Environment and Development.

The second amendment was with regard to the definition of sustainable investment. The amendment would have defined sustainable investment as investment that seeks to maximize social good as well as financial return. Again, that is a principle in this country of Canada that we should be sharing with any other countries with which we have agreements, specifically in areas of environment, social justice and corporate governance, in accordance with the United Nations principles for responsible investment.

In addition to those issues with the Canada Panama free trade agreement specifically, there is also the fact that this agreement is just another step in the massively flawed Canada-U.S. strategy of pushing serial bilateralism in the form of NAFTA-style free trade agreements.

The NDP prefers a multilateral approach based on a fair and sustainable trade model. Bilateral trade deals amount to protectionist trade deals since they give preferential treatment to few partners and exclude the rest. This puts weaker countries in a position of inferiority vis-à-vis larger partners. A multilateral trade model avoids these issues while protecting human rights and the environment.

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

Mr. Speaker, it is a pity that even at this stage, after two years of debate on Bill C-300, the hon. member has not read or does not understand the implications of the bill.

Contrary to what he says, this actually would have been an opportunity for any company that he cited to have a full and fair grievance resolution process. However, he would rather take along with the mining companies their chances in the public media, and so our reputation continues to be degraded.

We continue to have to deal with this in a fashion that we bear the price. It has come to the point in some countries that it is not a good idea to identify oneself as Canadian. That has happened under the watch of this government and it is regrettable to the extreme.

[Dean Del Mastro, Conservative, Parliamentary Secretary to the Minister of Canadian Heritage]

Mr. Speaker, it is disappointing when we talk about establishing bilateral trade agreements that are so important for a trading nation like Canada that we have to descend into a discussion that once again impugns the good name of Canadian mining companies, companies like SGS operating in Lakefield in my riding, which work with mines around the world.

The member continues to talk about Bill C-300 which specifically targeted jobs not in other countries, but jobs in this country. He impugns the good name of Canadian mining companies and would limit their ability to compete around the world. Mining is one of the most important sectors in this entire country.

It is terrible that we cannot talk about a bilateral agreement, something important to Canada, without having a member stand up and impugn the good name of Canadian mining companies. I am disappointed.

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

Mr. Speaker, this is a pretty minor treaty. It is not a large bill by any means. The trade between Canada and Panama is fairly limited, some might even say “insignificant“. Certainly when compared with the daily trade between Canada and the U.S., it is not significant at all.

However, as a proposition, these treaties are important because they establish a legal framework, particularly with the reduction of tariffs and the freeing-up of trade. They are the beginning of the establishment of a legal framework for contractual relationships between countries and between corporations and persons. They are a small step in international law. However microscopic the steps might be, as a general proposition, it is a good idea to enter into these trade agreements. Members of the Bloc, my party and the NDP have rightly criticized the modesty of the agreement. That is what I wish to talk about while I have time in the House.

The side agreements with respect to labour and the environment are at least a step in the right direction. They are rather modest, hardly robust, but a step toward developing a legal framework between the two nations.

Last Wednesday I had the good fortune of listening to a lecture by Mr. Justice Ian Binnie at the University of Ottawa law school. His starting point was that if there is going to be an international economy, as there is, as nations trade more with each other and if they are to have economic relationships with each other, we must have and continue to develop our legal relationships with each other. In other words, at some point, somehow, somewhere, people who have grievances need to be able to redress them in some fashion or other, regardless of the merits. Frankly, I agree with Mr. Justice Ian Binnie, as I am sure you would, Mr. Speaker, that there is quite a gap between the development of economic relationships and the development of legal relationships.

A treaty is a modest step. As members may know, I was the sponsor of Bill C-300, which was a modest attempt to bring to Canadian corporations a degree of accountability with respect to their funding received from the government and the people of Canada.

It was ironic to me that the proponents of this Panama treaty were simultaneously very vigorously opposed to Bill C-300, when in fact all of this is the creation of a larger legal environment so that relations between people and corporations might be properly regulated. Had the government embraced Bill C-300 and, possibly, other forms of engendering corporate social responsibility, a treaty such as this might actually have been an easier pill to swallow for those who are opposed to treaties as a general proposition.

I want to quote Justice Binnie. He stated:

It is beyond question that companies have the ability to significantly influence human rights around the world for good or for ill. Sometimes influence implies obligation. In light of mounting evidence of “corporate complicity” in human rights abuses, there is, at the very least, an obligation upon the legal community—

—and I would add, upon the parliamentary community—

—to clarify the obligations of transnational companies as a matter of national and international civil and criminal law.

He then favourably cited John Ruggie and the work that he has been doing at the United Nations.

The big issue is access to justice. I do not profess to be an expert on Panamanian law, but as a general proposition I can say that the access to justice and the satisfaction one might receive from a court in a developing country is somewhat less than satisfactory.

It is quite clear that a lot of these courts are not robust, that corruption is rife, and that people seeking redress for very legitimate claims, be they regarding human rights abuses or forms of civil remedy, be they regarding environmental degradation or expropriation, do not receive satisfaction. From time to time it is Canadian corporations that are involved in these human rights abuses and there is no place for the individual to go.

If a Panamanian had a complaint with a Canadian company and wished to sue in a Canadian court, that individual would be precluded from doing so by the rule called forum non conveniens. It is a simple concept. Regardless of the merits of the individual's claim, regardless of how aggrieved the individual might be, regardless of the quantum of the individual's damages, that individual is cut off from access to Canadian courts by virtue of the fact that Canadian courts will say they are not the place in which the individual can sue for that particular grievance.

We do not have to reinvent the wheel. We could quite easily insert into a treaty such as this one the ability to modify in certain circumstances this rule of common law so that Panamanians in this particular instance would have access to Canadian courts so that they too could receive justice and redress from Canadian corporations.

I refer again to Mr. Justice Ian Binnie who said that a very practical level, domestic law reform is needed if domestic courts are to play a useful role in remedying international human rights abuses. He said:

For example, statutes of limitation are often unduly strict on their face or as interpreted and applied; statutory and common law obstacles to corporate veil-piercing exist and these may inappropriately shield parent companies from liability in respect of subsidiaries. There can be inordinate difficulty establishing...jurisdiction (especially where liberal use is made of the doctrine of forum non conveniens).

Justice Binnie said that in some cases there will be a good reason to limit or deny the possibility of civil recovery. However, as a general matter the state duty to protect means that a concerted effort be made to eliminate barriers to recovery that are unnecessary or arbitrary in their operation.

It is a pity that the government did not take this opportunity to open up a justice system on both sides which would allow Panamanians and Canadians access to a justice system which has some opportunity of receiving redress not only for states but for individuals and for corporations. The reason this is important is that not only does it affect the individual potential litigants, those who have been on the receiving end of human rights abuses, but it also affects us as Canadians and our reputation abroad.

I regret to say that our reputation in the last number of years has not been enhanced by the activities of some Canadian mining companies. I can literally take members on a world tour, from Mexico to Guatemala to Honduras to Peru to Venezuela to Colombia, over to various African countries, et cetera. In all of these instances people in those countries are alleged to have had some grievance with Canadian companies. There is no effective remedy for those grievances. For better or for worse, the Conservative government has cut those folks off from having access.

This could have been an opportunity to open up a legal system that is fair and just and one where there would be an opportunity for people to receive redress. Regrettably, the government chose not to do that and that is to our detriment and ultimately to the detriment of our national reputation which has been suffering around the world.

In conclusion, I see this as a minor treaty, but I also see it as an opportunity lost.

Opposition Motion--West Coast Oil Tanker Traffic

[David Anderson, Conservative, Cypress Hills—Grasslands, SK]

Madam Speaker, I do not think we need to take lectures from the members across the way about representing our constituents. I will bring a couple of illustrations into this. On Bill C-300, the mining bill that would be so damaging to Canadian industry, Canadian economy and Canadian jobs, and the NDP members fought against that.

The free trade agreements, particularly the one with Colombia, which our western Canadian farmers desperately needed for their special crops, the NDP members fought and fought against it and took as long as they could to see that stop.

The long gun registry is another example. Since coming here, I do not think I have ever seen anything that was handled as cynically as the NDP handled the long gun registry, allowing a few of their members to vote with us so the others could oppose it and ensure the bill was defeated.

Another example would be the economic action plan. Yesterday the leader of the NDP begged us to increase, improve, expand and continue our economic stimulus plan after he had opposed it at every turn.

When it comes to listening to Canadians, we will not take any lessons from the New Democratic Party. We have the environmental assessment process in place for these projects so everyone gets a chance to participate and government can make the best decision.

Opposition Motion—National Defence

[Claude Gravelle, NDP, Nickel Belt, ON]

Mr. Speaker, I would like to ask the hon. member for Markham—Unionville a question, but first I would like to make a statement.

We had a vote on Bill C-300, the mining accountability act, which was a Liberal private member's bill. We had the vote on Bill C-440 on war resisters, another private member's bill. We had the opposition day motion on maternal health. All were Liberal sponsored. However, the Liberals did not show up for a vote.

I want to know if they are going--

Opposition Motion--Foreign Takeovers

[Claude Gravelle, NDP, Nickel Belt, ON]

Mr. Speaker, generally speaking, the Liberal members have spoken in favour of this motion, maybe the member for Willowdale excluded, but we are not sure yet.

The Liberal Party has been known to speak in the House in favour of a certain bill and then not show up for the vote. Bill C-300 is a good example, where every Liberal member spoke in favour of the bill but when it came time for a vote, it was like entering a hunting camp in the fall and turning on the lights and the mice scatter all over the place.

Is that what the Liberals are going to do when it comes time to vote on this motion, scatter?

Opposition Motion—Foreign Takeovers

[Lynne Yelich, Conservative, Blackstrap, SK]

Yes, Madam Speaker. We always support the people of Saskatchewan. In fact, just last week we showed how well we support them.

Mining is important to Saskatchewan.

The opposition coalition is not transparent. Those members were not clear or transparent with their constituents. They talk about mining and how they support it, but Bill C-300 would have devastated the whole mining industry.

We are working hard to adhere to the law and to the act.

As for BHP and the government of Saskatchewan, the industry was aware of the concerns raised by the government of Saskatchewan, and those concerns were taken into consideration. It is important for the member to know that we support the government and the industry minister in his decision yesterday.

[Ralph Goodale, Liberal, Wascana, SK]

Mr. Speaker, it is hard to know if a question was actually buried there. It seemed to be more like a rhetorical statement.

The fact is that in the lifespan of the Investment Canada Act, going back to the mid-eighties, there has not been a proposed transaction in the resources sector in the order of magnitude as the Potash case. This is the first one that has been this big, and we have been very clear about our position on the case of Potash.

We have also indicated that the major takeovers of large chunks of Canadian natural resources, whether that was Inco, Falconbridge or Alcan, they have all occurred since 2006 under the watch of the present government, not the previous government. I think the hon. member should pay a little more attention to the timeframe and direct his criticism where it belongs.

The stripping away of Canada's ownership of its natural resources in terms of the control factor has all occurred since 2006. If Potash were to be added to the list of Inco, Alcan and Falconbridge, many in the Canadian business community would look over the horizon and ask, “What is left? It is all gone”. It is very clearly time to draw the line in the case of Potash.

On the issue of Bill C-300, I would point out to the hon. gentleman that in the course of that vote, every Liberal in the House voted in favour and there were members of Parliament missing from all political parties at the time that vote was taken.

[Jim Maloway, NDP, Elmwood—Transcona, MB]

Mr. Speaker, for a while I thought I was listening to an NDP member. The Liberals when in opposition can talk a great line and sound progressive but their history in government is something quite different. In fact, when they were in government they stopped absolutely zero in terms of foreign takeovers.

I want to take the member back to November 2, 1989, when Grant Devine was the Conservative premier of Saskatchewan. The Potash Corporation of Saskatchewan was privatized. For many years it had been government owned and very successful. It was privatized by a Conservative government at that time. Mulroney was the prime minister at the time and the Liberals were the official opposition but I do not recall the Liberal Party of Canada taking a strong position against that particular issue.

Bill C-300, the corporate social responsibility bill sponsored by a Liberal member, which was recently before the House, would have forced Canadian mining companies to act responsibly in foreign jurisdictions and treat workers and the environment fairly. The member's own party held out sufficient members when it came time to vote so his colleague lost his bill. That is the way the opposition acts. The Liberals sit on both sides of issues but particularly with Bill C-300.

While the member made a great speech, we have some questions about how solid the Liberals are in terms of following through if and when they ever get back into government.