Bill C-6 (Historical)

Restoring Mail Delivery for Canadians Act

An Act to provide for the resumption and continuation of postal services

This enactment provides for the resumption and continuation of postal services and imposes a final offer selection process to resolve matters remaining in dispute between the parties.

Restoring Mail Delivery for Canadians Act

[The Acting Speaker, Conservative, Bruce Stanton]

It is really not a point of order, but to answer the member's question for the benefit of other members, there needs to be 20 members present in the chamber to maintain quorum.

[Steven Fletcher, Conservative, Charleswood—St. James—Assiniboia, MB]

Mr. Speaker, one Liberal member is half as many as there were in Manitoba before the last federal election. I think the hon. member will appreciate the significance of the number one.

It is a very serious issue when Canada Post has a work stoppage. There are, as I was saying, many iconic images about Canada Post and how it affects individuals. I want to take a moment, though, to reflect on the effect that Canada Post has on businesses.

Many industries still rely on traditional mail service to fulfill their commercial undertakings and to achieve profitable results. Although Canadian businesses are recovering from setbacks in the last recession, we only need to look around the world at the various challenges other countries are having such as sovereign debt crises, be it geopolitical. Many things could cause Canada a lot of grief.

Let us not create challenges within our own country. This is what we are trying to avoid when we bring forward back to work legislation. Our goal is to help Canadians achieve their full potential monetarily, individually and personally. As a result of the demands of the new world economy and efficiencies, Canada Post Corporation is implementing a major infrastructure renewal program.

The member for Winnipeg North, who intervened earlier, will know that one of these great new facilities is in Winnipeg, on the boundary of our ridings. These infrastructure renewal programs help Canada Post achieve efficiencies and become more competitive.

Infrastructure renewal projects are expected to bring around changes that will improve the corporation's efficiencies and its flexibility. The government expects that these changes will also result in benefits for Canadian businesses through more expedient mail delivery, as well as new types of services.

Businesses, especially small business, will continue to rely on traditional mail as an important channel of communication, marketing and delivery of parcels. In fact, Canadian mailers can depend on Canada Post to account for more than 500,000 jobs and Canada Post is the largest enabler of remote trade and commerce in the Canadian economy. Although parcels can be delivered by private courier companies, Canada Post is often engaged to provide the last-mile delivery outside the Montreal-Windsor corridor and other major urban centres.

The number of Canadian businesses that customers of Canada Post rely on is impressive. The corporation has reported that it has about 100,000 commercial customers, over 5,000 of which do more than $50,000 worth of business over a 12-month period, a statistic that clearly demonstrates the importance of Canada Post to small business and the corporate situation in Canada.

Canada Post has 60% of the market share of the business-to-customer market among businesses of less than 10 employees. This work stoppage is hurting these small businesses. In fact, a local small businessman in my riding contacted me today, requesting that this legislation be passed immediately because it is damaging his business.

As much as the postal service is important to businesses, it is equally, if not more, important to Canada's charitable sector. National charities like the Canadian Cancer Society, the Canadian Diabetes Association, the Heart and Stroke Foundation, the Alzheimer Society, just to name a few, rely on mail to receive more than $1 billion in donations each year.

The current work stoppage is having a material effect on this important segment of Canada's society because 25% of all fundraising is received in late spring or early summer.

We cannot let this interruption of businesses and charities continue.

Many businesses are turning to alternative modes of communication as a result of the present work stoppage. However, there are some for which there is no alternative. There are small businesses without the ability or technology to conduct their business online. Some small businesses are using other courier companies to deliver their packages but are finding that they have to pay more than when they used Canada Post. This is also affecting the corporation's own profitability and competitiveness.

Most small businesses and charities still rely on Canada Post for billing purposes and fundraising. This work stoppage is drying up their cashflow. These additional costs are hurting our own small businesses which, in turn, hurts the Canadian economy.

In short, mail is an important enabler of Canadian commerce and it is now being threatened by this work stoppage.

At this point, there is no one in this chamber who would not have preferred that Canada Post and the Canadian Union of Postal Workers had negotiated a collective agreement that each was comfortable with. But we must face facts: They are not able to resolve their differences. The impact on our country is mounting. Now the government must act. It must legislate the parties back to work. They cannot reach a negotiated agreement, so an arbitrator will be chosen for them.

As I said, there is a mounting impact on Canadian businesses, individuals and governments due to this mail stoppage. I am also concerned about the impact this will have on Canadian taxpayers.

First, the threat of strike action and the reality of rotating strikes raised significant uncertainty about the mail delivery in Canada, and now the situation is affecting individuals and every Canadian family. Couples wonder when their wedding invitations will make it to their loved ones. Grandmothers cannot send birthday greetings to their grandchildren. Students are waiting for course material and university acceptances. Canadians and their families want to share in the Canada Post experience. We all remember getting that handwritten letter from a loved one or that first letter from an employer or that first paycheque after a long couple of weeks of work.

The advancement of telecommunications has caused Canada Post to lose letter volume. This is true for postal services throughout the world. The combined loss of mail volume and growth of Canadian communities causes a great burden for Canada Post. There have been 200,000 new addresses added each year. Direct mail delivery has become more costly as a result. Add to that the mail customers that will never return to Canada Post as a result of this mail stoppage. I worry about Canada Post's ability to remain in the black.

Parliament established expectations for Canada Post through the Canada Post Corporation Act and the Financial Administration Act. Canada Post is to provide universal service at affordable rates while remaining financially self-sustaining. It is expected to earn a return on equity, to pay a dividend and to operate without reliance on government appropriations.

We are in a situation that is very serious. Canada Post is unable to deliver the mail. We can look at the months of negotiations and the tireless efforts of the labour minister to bring the two parties together. We can also look at individual families from coast to coast to coast, urban and rural, apartment dwellers, condo dwellers and homeowners. We can look at every corner of Canadian society. When we do, we see that Canada Post plays a role.

Our economy is in a fragile state of recovery. Canada Post's involvement in the Canadian economy involves hundreds of thousands of individuals and companies, and billions of dollars in transactions. The situation at Canada Post is unsustainable. The government must act in a timely and thorough manner. It is not the preferred course. Back to work legislation is the last resort but at this point it is the only resort.

I call on all members to stand up, not for Canada Post or the Canadian Union of Public Workers, but to stand up for Canadians so that Canadians can get their mail. The back to work legislation would allow that to happen and it would allow Canada to fight a good fight in the world economy and allow for economic recovery.

Together we can make this happen and we need to do it in a timely manner.

[Carol Hughes, NDP, Algoma—Manitoulin—Kapuskasing, ON]

Mr. Speaker, the minister talked about the serious situation. He talked Canada Post being profitable. We know it is profitable and it will be even more profitable. Given the technological changes that are going through, it will have a profit of an additional $250 million.

How serious is it that we are dealing with this issue today? It is very serious. I have a colleague from Newton—North Delta who will actually forego her 40th wedding anniversary and her husband's 60th birthday. I have another colleague who will be thanking all of her volunteers on this issue,. I can say that this it is very serious.

The minister talked about the economy. I have an email from a constituent of mine. Basically she talked about the economy, because she has not been able to get her vulnerable persons cheque from the RCMP, and she applied in March 2011. She is about to lose everything she owns. Why is the economy not important on this issue but only on the issues that the government wants it to be, like taking the rights away from workers?

[Steven Fletcher, Conservative, Charleswood—St. James—Assiniboia, MB]

Mr. Speaker, on the preamble to the member's question, I point out that Canada Post has assets of $7 billion or $8 billion, in that range. It is in the black, and the range, I think the member suggested a higher number than it actually is, but even if we used the member's numbers, the return on investment is not a very high number by any stretch of the imagination, and anything that is in the black at present is being reinvested in appropriations in the infrastructure that I have talked about.

That is now all in jeopardy because of this work stoppage. Canada Post has lost over $100 million since these rotating strikes began. Canada Post is in a very serious situation. The future of Canada Post is in jeopardy and that makes it very difficult for the very people who that member claims to support. If the NDP were really genuine about that situation, it would support the government's back to work legislation. It is very simple.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, I am glad the minister said that this was a work stoppage. Many of his caucus colleagues prefer to call it strike. The reality is that it is actually neither in the sense that it is a lockout, and there is a significant difference.

I believe that cabinet was aware of the lockout that Canada Post was putting into place. Does he believe that Canada Post did not tell the government about putting into place a lockout? Was the cabinet aware before Canada Post put it into place?

[Steven Fletcher, Conservative, Charleswood—St. James—Assiniboia, MB]

Mr. Speaker, all crown corporations are am's-length from government. They are run by a board of directors. They have a management team. The management team makes decisions regarding the day to day operations of any corporation. The government does not get involved. As minister responsible for Canada Post, I do not get involved in the day to day operations of the corporation.

[Pierre Lemieux, Conservative, Parliamentary Secretary to the Minister of Agriculture]

Mr. Speaker, I listened to the minister's speech and found him to be very reasonable and very convincing.

What I find very unreasonable is the NDP turning its backs on the tens of millions of Canadians across the country who are not at the bargaining table but who are suffering material damage because of this strike.

I do remind members of the NDP that these are the Canadians who elected them and yet they are turning their backs on them tonight.

I would ask the minister to please comment on this.

[Steven Fletcher, Conservative, Charleswood—St. James—Assiniboia, MB]

Mr. Speaker, that is a relevant question when we look at the situation. The NDP just had its national convention. There was an opportunity for the NDP to cut its ties with organized labour but it chose not to, which is fine as that is part of being a democracy.

However, it shows Canadians which party in this House is beholden to which stakeholder and, obviously, the NDP are beholden to organized labour, which is obviously involved in this dispute.

[Mathieu Ravignat, NDP, Pontiac, QC]

Mr. Speaker, I appreciate the minister's concern for the economy but the reality is that it is not only about the economy. This is about democracy. It is about how the checks and balances in our society function. We have to ask if there is such a thing as a right to strike when governments can make a simple call and lock out workers.

I will paint a picture. The government wants to privatize Canada Post so it creates a crisis, blames everything on union labour and prepares the ground to proceed to privatization.

Could the minister confirm that this is what the government actually wants to do?

[Steven Fletcher, Conservative, Charleswood—St. James—Assiniboia, MB]

Mr. Speaker, I really want to see the member's artistic ability because I think the painting that he would draw would have a lot of black helicopters circling around our country. I have no idea how the member could come up with such a preposterous notion.

Again I go back to my previous comment that crown corporations are arm's-length from government. The government represents the stakeholders in Canada who are the people of Canada. The people of Canada have recently elected a strong, stable, majority government.

[Ryan Leef, Conservative, Yukon, YT]

Mr. Speaker, a quick letter from a constituent tonight. It reads:

We operate an art business in the Yukon that ships art to over 50 galleries in North America. With the current postal strike, our shipping costs have become insane. Our business is not viable without Canada Post.

With most of our business occurring in the summer, we will soon be realizing significant financial losses that we will not be able to recover from.

Could the minister please assure Shadow Lynx Artworks that the Conservative government is standing up for all Canadians and small business across this country?

[Steven Fletcher, Conservative, Charleswood—St. James—Assiniboia, MB]

Mr. Speaker, I congratulate the member for Yukon on his arrival here in the House of Commons.

I think it is very apropos that a member from Yukon asks a question on this issue, because it is people in the north and in rural communities who will feel the work stoppage acutely because Canada Post is the only entity that can provide the service of mail delivery.

The sentiment of the business, if we take that and multiply it by a million times, we would have a sense of the magnitude of the situation.

The answer to the business and to all Canadians is that the government is absolutely committed to ensuring that mail service is provided so that businesses and individuals can get their mail and reach their full potential, be it as businesses or as individuals.

The Conservative government stands behind the people of Canada.

[The Acting Speaker, Conservative, Bruce Stanton]

We have one minute for a brief question and a brief answer.

The hon. member for Rosemont—La Petite-Patrie.

[Alexandre Boulerice, NDP, Rosemont—La Petite-Patrie, QC]

Mr. Speaker, I find it quite astounding that the Conservative government is claiming to stand behind Canadians and ordinary people who want to receive their mail, their letters, as well as behind SMEs that do not have access to all their mail. I would like to remind the Conservatives that they are the ones who caused this crisis. The Conservatives are the ones who imposed the lockout on workers.

Will the Conservatives lift the lockout and solve the problem?

[Steven Fletcher, Conservative, Minister of State (Transport)]

Mr. Speaker, again I am astounded by the lack of understanding of the relationship between the government and a crown corporation. The government cannot do what the member has suggested because the government does not play a role in the day to day operations of any crown corporation. It is an arm's-length organization.

What the government can do is help bring parties together. The labour minister has tried to do that over an eight-month period but t parties have not done so. There were rotating strikes that were causing huge problems for the corporation and costing hundreds of millions of dollars.

We are at the brink here. We need to bring forth back to work legislation, otherwise there will be a very difficult economic situation and a very difficult personal situation for millions of Canadians. There is no choice but to pass the back to work legislation. I wish the opposition parties would do this in a timely manner and save a whole lot of people a lot of grief.