Bill C-4 (Historical)

An Act to amend the Canada Labour Code, the Parliamentary Employment and Staff Relations Act, the Public Service Labour Relations Act and the Income Tax Act

This enactment amends the Canada Labour Code, the Parliamentary Employment and Staff Relations Act and the Public Service Labour Relations Act to restore the procedures for the certification and the revocation of certification of bargaining agents that existed before June 16, 2015.
It also amends the Income Tax Act to remove from that Act the requirement that labour organizations and labour trusts provide annually to the Minister of National Revenue certain information returns containing specific information that would be made available to the public.

[Dan Ruimy, Liberal, Pitt Meadows—Maple Ridge, BC]

Thank you.

When you spoke with stakeholders, how did they react to Bill C-377 when it was passed last year? Did you discuss proposed amendments in Bill C-4 with stakeholders, and what was their response?

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Thank you, Mr. Chairman.

Madam Minister, welcome to the committee.

Good afternoon, ladies and gentlemen.

Mr. Chair, today we are considering Bill C-4, whose objective is to undo two bills that had been adopted under our government. These bills were based on transparency and democracy, with a secret vote and accountability.

When you join a union, you get tax credits. If we subscribe to the principle that tax credits are public, in our opinion, accountability should be as well.

Since union fees receive a big tax break, we really think they should be made public, so the unions should be required to make them public, but when we look at some clauses of the bill, they say exactly the reverse. Let's talk about clause 12, which talks about the the organization's assets, liabilities, income, and expenditures.

I am wondering why the minister wants to keep those hidden. Why does she want to be sure that those assets and that information will not be made public?

[MaryAnn Mihychuk, Liberal, Minister of Employment]

Thank you very much. It's a real pleasure for me to be here with so many of my colleagues who are obviously interested in one of the most important areas of our work, the welfare of Canadians.

One of the relationships that's very important is our relationship with organized labour, and so we will be talking about Bill C-4 and exactly that, building a stronger relationship with our organized labour movements in Canada.

I'm proud to be here today to present for your consideration Bill C-4, an act to amend the Canada Labour Code, the Parliamentary Employment and Staff Relations Act, the Public Service Labour Relations Act and the Income Tax Act. This bill, if passed by Parliament, would repeal Bills C-377 and C-525, both of which have been a detriment to unions and labour organizations.

Bill C-4 helps deliver on our commitment to restore a fair and balanced approach to labour relations in this country, one that balances the rights of unions with the rights of employers. Bill C-377 and Bill C-525, two bills adopted during the last session of the 41st Parliament, upset that balance, and we believe must be repealed. These bills have serious ramifications for workers and unions in Canada. They put unions at a disadvantage. They also bypass the tripartite consultation process involving employers, unions, and governments, a process that has traditionally been used for federal labour relations law reform in Canada and which contributed to stable labour relations in the federal jurisdiction.

Fair, balanced, and evidence-based policies must be developed through real consultation and engagement. Our government believes this is essential for the prosperity of workers and employers, Canadian society, and the economy as a whole. When it comes to labour law reform in the future, we are firmly committed to meaningful engagement with unions, employers, other stakeholders, the provinces, the territories, and the Canadian public.

To make sure the federal labour policy works in the best interest of Canadians, we felt it was our duty to seek the repeal of Bill C-377 and Bill C-525. These bills were a solution in search of a problem. First let me explain what these bills do. I'll start with Bill C-377.

Bill C-377 amended the Income Tax Act to require all labour organizations and labour trusts, including those under provincial jurisdiction, to file detailed financial and other information with the Minister of National Revenue which would then be made publicly available on the CRA website.

This raises significant privacy concerns because it would include detailed information on organizations, assets, and general financial health as well as liabilities. This includes individual transactions over $5,000, the salaries of certain officers, directors, and trustees, as well as time spent by certain personnel on political or non-labour relations activities. Failure to comply with these reporting requirements could result in a fine of $1,000 for each day of non-compliance up to a maximum of $25,000 per year.

In addition, Bill C-377 creates unnecessary red tape for unions that are already financially accountable to their members. Section 110 of the Canada Labour Code requires unions as well as employer organizations to provide financial statements to their members upon request and free of charge. Most provinces have similar requirements in their labour laws, so Bill C-377 duplicates accountability measures that already exist. The bill also puts unions at a disadvantage during the collective bargaining process by giving employers access to key information about unions without being required to reciprocate.

Bill C-377 has tilted the playing field in favour of employers. For example, employers would know how much money the union has in a strike fund for a possible work stoppage and how long they could stay out if it came to a strike; so, the union's most important negotiating lever is undermined. There have also been concerns raised about the constitutionality of Bill C-377, because the objective of the bill could be seen not as taxation, but as the regulation of unions, which is in large part a matter of provincial jurisdiction. Seven provinces spoke out against Bill C-377 for that very reason. Bill C-377 is problematic for many reasons, but if it is inconsistent with the Constitution then that alone should be reason enough to repeal the legislative changes it made.

This brings me to Bill C-525. This bill changed the unions' certification and decertification systems under the Canada Labour Code, the Parliamentary Employment and Staff Relations Act, and the Public Service Labour Relations Act. The bill replaced the existing card check system with a mandatory vote system, despite the fact the old system worked well for decades and there was little pressure to change it. Bill C-525 makes it harder for a union to be certified as a collective bargaining agent, and makes it easier for a bargaining agent to be decertified. Previously, the Canada Labour Code required at least 35% support to trigger a union certification vote. If the organization could show they had the majority's support, they were automatically certified as a bargaining unit. Now under Bill C-525, a party seeking to become a certified bargaining agent faces more difficult odds. To be certified as a bargaining agent, they need to demonstrate the support of at least 40% of the employees and must proceed to a certification vote in all cases, even if majority support is expressed. Previously, decertification was possible if the party seeking the revocation of the unit certification demonstrated majority support. Now representation votes must be conducted in all cases when at least 40% support for decertification is demonstrated.

When we asked stakeholders what they thought of the new certification rules, many said the previous card check system not only was faster and more efficient, but it was also more likely to be free of employer interference. Some have suggested that moving away from the mandatory vote system and reverting to a card check system is undemocratic. Statistics show that from 2004 to 2014 the Canada Industrial Relations Board dealt with 23 cases involving allegations of intimidation or coercion during an organizing campaign, and only six were upheld. That's six cases in 10 years. Of these six cases, four involved intimidation and coercion by an employer. The other two were situations where two unions were competing to represent the same group of employees, and one union made allegations against the other. The card check system is a perfectly democratic way of gauging support as it ensures that an absolute majority of employees support the union, not just those who come out and vote. In addition, the Canada Industrial Relations Board and the Public Service Labour Relations and Employment Board can order a vote if there are doubts about employees' support for unionization. A union will not be certified unless the labour board is satisfied that there is support for it by a majority of employees.

By repealing Bill C-377 and Bill C-525, our government would restore a fair and balanced approach to labour relations in Canada. Successful collective bargaining and fairness in the employer-employee relationship are at the foundation of our economy. They provide stability and predictability in the labour force, two vital elements of a strong economy. To put it simply, good labour relations are good for everyone. The issue is simple: Bill C-377 and Bill C-525 diminish and weaken Canada's labour movement.

Bill C-4 would help return balance to labour relations and restore positive relations with provinces and territories. Our government strongly believes that Bill C-4 should be passed. I look forward to the committee's review of this important piece of legislation.

Thank you.

[Yves Robillard, Liberal, Marc-Aurèle-Fortin, QC]

Thank you, Mr. Chair. Good afternoon everyone.

The motion I am submitting reads as follows:

That, pursuant to the order of reference of Monday, March 7, 2016, the committee undertake a study of Bill C-4, An Act to amend the Canada Labour Code, the Parliamentary Employment and Staff Relations Act, the Public Service Labour Relations Act and the Income Tax Act, which should include the following:

That four meetings be scheduled for the consideration of the bill, including this meeting;

That this first meeting be devoted to a briefing from the Minister of Employment, Workforce Development and Labour, and department officials;

That the second and third meetings be devoted to hearing various panels of witnesses;

That the clause-by-clause consideration of the bill be scheduled for the fourth and last meeting; and that any amendment proposed by members of the committee be submitted to the clerk of the committee no later than 48 hours prior to the start of clause-by-clause consideration of the bill;

That each witness meeting consist of two panels of witnesses consisting of up to three witness organizations who shall be selected by the committee using the regular witness apportionment and selection formula based on House of Commons representation and that members of the committee submit their witnesses lists to the clerk by no later than 5:00 p.m., Friday, March 25, 2016;

That the study commence immediately following the passing of this motion, as legislative studies take precedence over other activities for the committee and because the minister is readily available;

That the clerk of the committee be directed to work with the chair to ensure witnesses are invited and ready for the start date for the study and subsequent meetings as identified by the chair.

Canada Labour Code

[The Deputy Speaker, Bruce Stanton]

Since no more members wish to speak, pursuant to order made Thursday, February 25, 2016, all questions necessary to dispose of the motion for second reading of Bill C-4 are deemed put, and a recorded division is deemed requested and deferred until Monday, March 7, 2016, at the ordinary hour of daily adjournment.

[Blaine Calkins, Conservative, Red Deer—Lacombe, AB]

Mr. Speaker, this is probably my last opportunity to speak on the bill at second reading, so I would like to ask my hon. colleague this. In his joy to undo my private member's bill, C-525, does he think that as a member of Parliament in the next federal election, if he chooses to run again, he should be able to go to the doorstep of a Canadian household, have the voters come out and be able to demand that they sign or vote or cast their ballot on that doorstep, right in front of him, right when he wants them to?

Does he think that is democracy, because that is exactly what Bill C-4 would do. He is going to undo the right to a secret ballot vote, which is what Bill C-525 enabled. Does he think that is an improvement to democracy, because that what he is advocating?

[François Choquette, NDP, Drummond, QC]

Mr. Speaker, I am pleased to participate in the debate on Bill C-4, which is an exciting first step towards restoring the balance of power between unionized workers and employers.

The bill would amend the Canada Labour Code, the Public Service Labour Relations Act, and the Income Tax Act. The NDP supports all stages of this bill, which will repeal the bad Bill C-377 and Bill C-525. By the way, I want to commend my colleague, the member for Saskatoon West, for her work on this bill. She demonstrated how important it is to repeal these two bad bills.

We had mentioned that these two Conservative bills were unconstitutional and constituted an invasion of privacy, among other things. Nevertheless, the Conservatives pushed these bills, which offered nothing good for Canadian workers.

Bill C-377 amended the Income Tax Act to require that labour organizations and labour trusts provide information returns to the minister for public disclosure. This bill required all union organizations to submit detailed annual financial reports on salaries, revenues, and spending.

The Privacy Commissioner, Daniel Therrien, said that Bill C-377 went too far and constituted an invasion of privacy. The Canadian Bar Association also questioned whether the bill was constitutional and even said that this bill would infringe on freedom of expression and freedom of association provisions. It was, therefore, a very bad bill. Unfortunately, the Conservatives continued to push this bill, even though almost everyone agreed that it was a very bad piece of legislation.

This reminds us of the need to protect collective bargaining and the right of unions to strike. We need to believe in the rights of unions and the important role they play in striking a balance of power between employers and workers. When unions are valued, workers have more rights and there is less pay disparity. A strong union presence has its benefits in a society.

That being said, the Conservatives introduced another bad bill, Bill C-525, which sought to amend the Canada Labour Code, the Parliamentary Employment and Staff Relations Act, and the Public Service Labour Relations Act. In short, this bad Conservative bill was based on bad American laws that are increasingly geared at doing away with unions.

Under the bill, workers in the same union would be allowed to be members without making a financial contribution to the union's activities and without losing the benefits afforded to them under the collective agreement. That does not make any sense. It goes against union promotion. If fewer people paid union dues, it would upset the balance of power that allows workers to assert their rights.

The purpose of these legislative initiatives is to limit unions' financial capacity by making it easier for workers to opt out of union membership while continuing to take advantage of the benefits afforded to them under their collective agreement. This was yet another bad decision by the Conservatives.

I am truly very happy because the NDP worked so hard that the Liberals followed its lead. I am very proud of my party and our leadership in that regard. I am pleased that the Liberals are on the same page.

In Drummond, I regularly meet people who belong to a union. I recently met two members of the Public Service Alliance of Canada. Many workers in my riding are protected by this union. These people told me that they were concerned about what we have seen in recent years, and that is the erosion of workers' rights. They also shared with me what they would like to see happen. For example, they would like workers to continue to have the right to collective bargaining. Unfortunately, the Conservatives imposed working conditions by passing legislation rather than by negotiating with workers.

I believe that the Liberals understand that it is important to negotiate instead. I will come back to that.

Occupational health and safety under the Canada Labour Code has been eroded. Workers are very concerned about occupational health and safety problems and would like to prevent them. We are very proud to see that the Liberals have begun to look at this issue. They are tackling Bill C-59, which was introduced by the Conservatives. We want to repeal the bill, and the Liberal government is going to submit a proposal to the union.

Bill C-59 contained a provision that would abolish employees' right to good faith bargaining by authorizing the employer to unilaterally establish all sick leave conditions. There was a problem related to sick leave, and instead of negotiating the Conservatives imposed a law. Fortunately, the Liberals will negotiate instead. However, they have unfortunately brought forward the same proposal the Conservatives did. We are somewhat disappointed with that.

I also attended several general annual meetings of the union representing workers at the Drummondville penitentiary. I salute all the workers of the Drummondville penitentiary, who do an excellent job. I had the opportunity to visit the institution a number of times. The penitentiary's needs in terms of the rehabilitation of inmates, who want to eventually leave and return to society, are incredible. I am sure that this is the case for all other penitentiaries in Canada. I visited a continuing education class and there were other initiatives as well. I was very pleased to be able to visit them, and I would like to thank them for welcoming me.

I would also like to remind my colleagues that the member for Rosemont—La Petite-Patrie worked very hard in committee in the last Parliament to fight Bill C-377. I think that it is very important to acknowledge his contribution, because he did an incredible job.

Of course we are pleased and delighted that Bill C-377 and Bill C-525 are being repealed. However, we in the NDP will continue to pressure the government to enhance the right to collective bargaining and make working conditions more equitable for all Canadians. We will continue to pressure the government to repeal division 20 of Bill C-59 on sick leave, reinstate the federal minimum wage, and pass the anti-scab legislation introduced yesterday by my colleague from Jonquière. That is a fantastic initiative, and we are all really proud of the collective work done by the NDP when it comes to protecting workers' rights.

I hope the bill passes unanimously in this Parliament, because it will restore the balance of power between workers and employers. I commend the NDP for the collective work it has done, which inspired the Liberal government, and I congratulate the Liberal government for moving in the right direction on this, although there is still work to be done.

[Jenny Kwan, NDP, Vancouver East, BC]

Mr. Speaker, throughout the past two decades there has been a steady attack on the rights of working people in Canada. Nowhere has this attack been more evident than on organized labour.

Having spent nearly a decade fighting the attack by the former Conservative government, the NDP welcomes the Liberal government's decision to repeal Bill C-377 and Bill C-525. Today, I am proud to stand in the House in support of Bill C-4, a bill that would restore unions' rights to represent their members and to ensure that labour relations are respected.

In the last Parliament, despite public warnings from Canada's Privacy Commissioner, constitutional experts, and the Canadian Bar Association that these bills were very likely to be found unconstitutional, Bill C-377 became law anyway. Bill C-377 placed onerous, redundant, privacy-violating reporting burdens on unions.

Unions were already required to make their financial information available to all their members. While pushed under the guise of transparency, this sweeping bill would have had far-reaching consequences.

For example, anyone who took on a temporary contract with a union and was paid more than $5,000 would see their name disclosed on this database. Likewise, any company engaging in work with a union, such as a small business providing snow removal services, would see their company and the contract details posted publicly, potentially undermining their ability to negotiate other contracts. Let me say that in Ottawa, it snows quite a lot.

By the way, this ideological attack on unions did not come without a price tag. The parliamentary budget officer estimated that the Canada Revenue Agency would need approximately $21 million to establish this electronic database over the first two years and approximately $2.1 million per year to keep the database up to date and to maintain after that. That means repealing Bill C-377 would save Canadian taxpayers and unions millions of dollars per year.

With the passage of Bill C-4, we now would have the opportunity to put that money to better use, to protect Canada's rights as well as access to government services.

Some of my constituents struggle daily to make ends meet, even with a full-time job, some of them with multiple jobs. Others would like to work, but cannot access the workforce for a variety of reasons including their inability to secure affordable, quality child care. The savings from this could fund a number of much needed programs such as social housing, services for seniors, and programs for the most vulnerable.

Like Bill C-377, Bill C-525 was designed to weaken unions in Canada. It was a bill that aimed to solve a problem that in my opinion, did not really exist.

Bill C-525 amended the Canada Labour Code, the Parliamentary Employee and Staff Relations Act, and the Public Service Labour Relations Act in order to make it more difficult to certify a union and much easier to decertify one.

Prior to this bill, in order to trigger a union certification vote within the workplace, between 35% and 50% of the employees would have to sign a card indicating that they wish to become members of the union. Bill C-525 would have seen this threshold raised to 40%. Let me make it very clear, prior to Bill C-525, if 35% of employees signed a card, it only triggered a workplace vote, it did not automatically certify a union.

In order to certify a union during the card signing process, more than 50% of employees would still need to have signed a card indicating that they wished to be a member of the union. Their rights were respected and the process was legitimate. For workplaces that were already unionized, Bill C-525 attempted to make decertification of a union easier.

Bill C-525 would lower the threshold required to trigger a decertification vote to 40%. With these measures, it is clear to me that the attempt here was to make it more difficult to trigger certification and for simply ideological reasons.

New Democrats have long supported Canadians' right to freedom of assembly, as protected under the charter, as well as defending the value of the labour movement to working Canadians. It is no coincidence that as unionized rates in Canada have fallen, good-paying, stable, full-time jobs have gone with them. Collective bargaining has played an important role throughout history in ensuring that workers' rights are protected, that workers work in a safe environment, and receive fair pay and benefits for the value they bring to the workforce.

As these stable, secure jobs have been eroded in the workplace, what remain in Canada now are precarious ones, temporary contracts, and part-time work, which often are without benefits and have lower pay. Those are becoming the norm in today's workplaces. Just last year it was found that 52%, or over half, of all workers in Toronto, a major city in Canada, are in these precarious employment situations. Across Canada, these precarious positions are also disproportionately held by visible minorities and new Canadians, adding another barrier to their moving up the socio-economic ladder and achieving financial security for themselves and their families.

For a growing number of precarious workers, making ends meet is becoming increasingly difficult as the cost of living continues to rise and their wages do not keep up. Statistics Canada found that the lowest-earning 20% of Canadian households are now spending over 51% of their take-home pay just to cover essentials. Housing costs alone are now taking up nearly one-third of 20% of Canadian households' paycheques.

The impact of precarious work goes beyond the chequebook. Workers in precarious jobs are nearly twice as likely to report worse mental health than those in secure positions. The impact on people not knowing when their next shift is, of being subject to last-minute scheduling, and not knowing if they will still have jobs next month can lead to acute stress, poor nutrition, and weight gain. Studies have also shown now that workers are becoming trapped in precarious situations instead of moving on to stable, permanent positions. It is increasingly evident that they are stuck, going from contract to contract.

Employment instability, lower wages, and the lack of benefits have far-reaching impacts on Canadians and the economy. Poverty among seniors hit a historic low of under 4% in 1995 and that figure has begun to reverse as workplace pension benefits are eroded and Canadians struggle to save for retirement.

In 2013, poverty rates among seniors increased slightly to 11%. Poverty among seniors disproportionately impacts women, who are now experiencing poverty at the unacceptable rate of 30%. However, do not take the NDP or labour's word for it. Unionization was a key driving force in the past in addressing these issues. Indeed, in a study released just last year, the International Monetary Fund signalled a significant shift in approach, acknowledging that the role unions have historically played in addressing income inequality in society around the globe has been understated.

Research bodies are now showing that declining unionization rates are a significant factor in increasing inequality, especially among developed nations, including Canada. The IMF has now stated that the declining presence of unions has not only weakened the earnings and earnings potential of low- and middle-income earners, but that this has directly led to the rapidly increasing income share of the very highest earners, in particular, corporate managers and shareholders. Unions in Canada play a key role in the financial security of working Canadians and this can no longer be denied.

The Liberal government's decision to repeal these ideological pieces of legislation that would further harm the Canadian labour movement and the financial security of working Canadians is a welcome first step, but there is more to be done. The NDP will continue to push the government to repeal division 20 of Bill C-59 on sick leave, to reinstate a federal minimum wage, and to enact anti-scab legislation and proactive pay equity legislation. New Democrats will push for the repeal of the former Bill C-4, instead of being satisfied with just the current promise to review it. This legislation is also likely to be found unconstitutional and was another example of ideologically driven legislation to undermine fair collective bargaining.

Canadians can be assured that the NDP will continue to fight for workplace rights and against growing income inequality in Canada. Reducing inequality and improving the financial security of everyday working Canadians needs to be a top priority for the government.

[Ziad Aboultaif, Conservative, Edmonton Manning, AB]

Mr. Speaker, a secret ballot is an act of democracy, and by removing it, we are giving a yield of comfort to union leaders, not to workers.

Does the member agree that Bill C-4 is the repealing of an act of transparency and accountability that we provided and introduced in the previous government?

[Blake Richards, Conservative, Banff—Airdrie, AB]

Mr. Speaker, I thought we were here talking about Bill C-4 today, so what I will do is talk about Bill C-4 and the government's priorities. That is what we are here to address. Clearly, its priorities are all wrong.

There are 100,000 Canadians who have lost their jobs in the last little while. We are seeing massive, ballooning deficits in just a few months under the government. It took it from a surplus to a massive deficit. Instead of trying to do something about that, it is talking about bringing in new carbon taxes. It is trying to create further uncertainty in our regulatory processes. The priority should be trying to deal with that, not trying to remove accountability and transparency from our unions.

[Blake Richards, Conservative, Banff—Airdrie, AB]

Mr. Speaker, it is a pleasure to rise today to speak to this bill.

As members of Parliament, it is important that we all have our finger on the pulse of the priorities of our constituents, and it is imperative that we set out to meet those needs on their behalf. For me, it has been the absolute honour of a lifetime to be able to serve the constituency of Wild Rose first and now Banff—Airdrie as member of Parliament. I want my constituents to know that I will always continue to fight for them and to stand up for their priorities and our great province of Alberta.

When I pursued public life, I did so because I wanted to give back to my community. My objective was to bring people together, whether in my riding or here in Ottawa, to help move great ideas from concepts into action, listen to Canadians, and deliver results. However, today I am here to talk about Bill C-4, one of the Liberal government's first priorities.

As an Alberta MP, my priority is to give a voice to a riding and a province that are severely impacted by falling oil prices, mass layoffs, and collapsing businesses. In addition to the Liberal mismanagement that we are seeing with a ballooning federal deficit, I was shocked to see the government put forward a bill, as one of its top priorities, aimed not at supporting workers or the more than 100,000 people who have lost their jobs as a result of the struggling oil and gas sector but, rather, a bill to please union bosses, which would reverse key transparency measures that our previous Conservative government put in place.

Specifically, the Liberal government is introducing, as one of its first priorities, legislation that seeks to reduce transparency for union bosses by removing a requirement that the leadership share how it spends its members' union dues and removing the secret ballot provision for trade union formation and abolition. I firmly believe that this bill is critically flawed. It is flawed in that it reduces the transparency that Canadians are demanding in all areas of public administration, and it does this at a time when the government should be focused on workers, not union bosses.

I would like to take this opportunity to share with the House what it is like at home in my riding and my province right now. We are living through one of the most significant downturns of our generation. More than 100,000 people have lost their jobs in Canada, with many now risking the loss of their homes and the lives they have worked so hard to build. Almost 40,000 of those job losses are in my province of Alberta. Alberta's unemployment rate has surged to 7.4%, surpassing the national average for the first time in nearly three decades. It is a very difficult time.

In the midst of this downturn, Albertans are feeling absolutely and utterly abandoned by the Liberal government. Instead of helping the people of my province, the government has, instead, turned to kneecapping the energy industry. The Liberals are adding further uncertainty to the energy industry through their new temporary, endless regulatory processes, raising the spectre of a new carbon tax, and imposing more and more obstacles for critical market access infrastructure that, I might add, would not cost the government a single dime.

Instead, the Liberal Party has taken the stance that, if it calls a sum of money “stimulus”, Albertans will keep quiet about the Liberals completely thumbing their noses at the energy industry with their new job-killing policies. I will say this: we are not going to stay quiet. I hear time and time again from my constituents and from the thousands of Albertans who work in the oil and gas sector that a plan for jobs and a strong economy is what we need right now, not a temporary, uncertain, and endless regulatory regime, and definitely not a new job-killing carbon tax.

The government should be focused on creating jobs. What we have seen from the Liberals so far is added uncertainty for pipeline development and certainly an unwillingness to stand up for our citizens who are in need of support. More taxes will not create jobs or help Albertans get back to work. Unfortunately, what we have seen, instead, from the Liberal government is that it is certainly a government that is fond of taking misguided approaches, which is what we are seeing demonstrated in Bill C-4.

The legislation is not focused on workers at all. In fact, it would do more harm to them. It is simply a step back for democracy, transparency, and accountability. There are so many reasons why it demonstrates how the government is going in exactly the wrong direction.

The legislation violates the fundamental principle of transparency. If the Liberals are truly trying to pride themselves on being more open, it boggles the mind as to why one of the first pieces of legislation they have introduced totally and absolutely contradicts that principle.

Bill C-377 saw the requirement for public disclosure of a non-profit organization. Requiring public disclosure by organizations receiving substantial public benefits is not a new concept. Canadian charities have been publicly reporting their spending for at least 35 years. Nonetheless, the legislation blocks the public from seeing how any benefits the government provides to unions are being leveraged. Why are the Liberals removing this level of transparency when public disclosure creates greater credibility and support for the legitimately representative work that unions do?

Bill C-4 would enable union bosses to direct their members' fees without having any accountability to their members. They would make decisions of advocacy and conscience under a shroud of secrecy without any accountability at all to their members.

If shielding the books from the membership, the actual workers, is not enough, with Bill C-4, the Liberals are also standing against a worker's right not to join a union.

The legislation would eliminate Bill C-525 and its provisions which support Canadians free choice of whether they want to be a part of a union free from intimidation. This is what Canadians should expect in our democracy. This legislation was put in place by our previous Conservative government to further support workers.

Bill C-525 also required union organizers to get expressions of support from a very reasonable 45% of workers in federally regulated sectors in order to force a vote on union certification. Bill C-525 also ensured that the subsequent vote would then be held by a secret ballot. If a majority of workers in that collective bargaining support joining a union, then certification would proceed. The same logical process would apply in reverse should workers seek to decertify a union.

We just came through a federal election. I would have been happier with a different result, but we again experienced one of the most surreal traditions of life in a democracy, a peaceful and orderly transition of power. We use a secret ballot in our democratic system. Although the government may be looking to change the electoral system, we surely do not hear it talking about changing the critical democratic piece of a secret ballot anywhere but in the labour movement. Five provinces already employ this method of union certification. Bill C-525 would simply apply it to federally regulated sectors. Abolishing the secret ballot would be an attack on the democratic process. All members of Parliament are elected by secret ballot, so why take that away from everyday workers?

Bill C-4 is a fatally flawed piece of legislation. If the Liberals really want to help workers and their families, they should consider some facts.

Commodity prices have contributed to massive layoffs across the country and our dollar continues to drop in value. In 2015, Canada's oil and gas industry lost $60 billion in revenue. That is equivalent to wiping out the Canadian auto sector in just one year. The IMF has downgraded its economic outlook for Canada. The household debt to income ratio of Canadians is now the highest in the G7. Canadians are suffering the consequences of these real challenges.

Unemployed Canadians are out there with no prospect of finding jobs. Working families are living with the fear every day that they will lose their jobs. Seniors are watching their retirement savings drop as the markets struggle.

These are the challenges that should shape and drive policy that we set here. Canadians expect their government to take action. We should be seeing initiatives to keep taxes lower so Canadians have more money in their pockets to make ends meet. Instead, we see a proposed carbon tax and we see measures to increase EI premiums and taxes, measures that would add further uncertainty on our natural resources regulatory processes, a ballooning deficit, and now we have a bill today focused on union bosses rather than their workers.

These are the priorities of the Liberal government and that just demonstrates that the government has its priorities all wrong.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Mr. Speaker, I agree, let us not talk just for the sake of talking. Let us get to the bottom of the issue.

I listened to the NDP member's remarks, and I want to salute and thank him. He said he supports Bill C-4 almost unconditionally.

Bill C-4 eliminates a secret ballot. Secret ballot voting is fundamental to democracy. That is how we, the members of the House of Commons, were elected. It is also a fact that we, the Conservatives, are not the only ones who think this way.

Here is what Robyn Benson of the Public Service Alliance of Canada had to say on February 11, 2013, and I would like to point out that there is no connection between that organization and the Conservative Party:

...PSAC has no issue with voting by secret ballot. We do it regularly to elect our officers, ratify collective agreements, and vote for strike action, as examples.

Why are the New Democrats, who were all elected by secret ballot, opposed to the secret ballot voting in our proposals?

[Pierre Nantel, NDP, Longueuil—Saint-Hubert, QC]

Mr. Speaker, I am pleased to rise to speak to Bill C-4. Of course it goes without saying that I will be supporting this bill at second reading.

We spent the last 10 years under constant attack from the previous Conservative government with respect to workers' rights. Obviously I will be talking about Bill C-377 and Bill C-525, which were introduced in the previous Parliament. I will come back to them later in my speech.

There have been flagrant examples in recent years. It was almost an obsession. I am talking about the Conservative Party's attitude towards the workers at Canada Post and the CBC, just to name a couple. I think some people, especially on this side over here, often forget the many benefits brought about by unionization.

For example, a unionized worker earns on average five dollars more an hour than a non-unionized worker. Among women, that gap is even wider at $6.65 an hour. This translates into greater purchasing power and more money going back into the economy. Basically, it is good for everyone. This is not rocket science. I would also remind the House that we do not hear stories about tax havens when it comes to these kinds of wages and workers.

The purpose of Bill C-4 is to repair the damage from the Conservatives' attacks against workers. First, it prevents legal challenges. According to our analysis and that of the Privacy Commissioner of Canada, Bill C-377 went against the Canadian Charter of Rights and Freedoms. The courts would no doubt have annulled that bill because it violated the right to the freedom of association and violated the privacy of those who work for a union.

I find it rather insulting that the previous government decided to introduce a bill that it knew was easily revocable by a court. Why do that? Was it out of ideology, or flagrant disregard for workers and our institutions, including our courts? Maybe it was a cheap fundraising stunt on the backs of its supporters. We know that the Conservatives have a penchant for that type of thing. Unfortunately, we will never know, but fortunately we are here to undo the previous government's dirty tricks.

The Conservatives may have claimed that they introduced the bill in the hallowed name of transparency, but what they failed to say is that unions were already required to report their financial information to their members. That is a rather important detail that we do not often hear the Conservatives talk about.

Bill C-377 imposed detailed and costly reports and requirements on the unions. The Conservatives pushed the bill through, despite general opposition from the public, including constitutional law experts, the NHL Players Association, the provinces, Conservative and Liberal senators, which takes some doing, privacy experts, the Canadian Bar Association, and so on. We are not the only ones who are pleased to see Bill C-4 before the House and to see it pass quickly.

According to the parliamentary budget officer's estimates, implementing Bill C-377 would have cost much more than the $2.4 million that the Conservatives planned to give the Canada Revenue Agency. The CRA would have spent almost $21 million in the first two years to create the electronic database required and approximately $2.1 million annually to maintain the system. I have not even touched on all the hours that the unions would spend to meet these requirements, which would be added to their workload, instead of protecting workers' rights.

Therefore, the repeal of Bill C-377 will save millions of dollars for both the government and the unions. I would like to quote the national president of the United Food and Commercial Workers union, which represents NDP employees:

UCFW is pleased to see the government tabling Bill C-4. Our union campaigned vigorously against the Conservative Government's Bill C-377 in the last parliament. The bill was undemocratic, and part of the Conservative government's campaign against workers and workplace democracy. It was also a major invasion of the privacy of individual union members and it infringed on provincial jurisdiction over labour issues. Repealing Bill C-377 is positive for all Canadians as this bill would have been expensive for the government to implement and monitor.

That is what I wanted to say about one-half of Bill C-4. As for Bill C-525 , it sought to make it harder for workers to organize, while making it easier to decertify unions. What struck me about the bill at the time was that it was completely unfounded.

The government made changes to the labour laws without even proving that the old union accreditation method was a problem. I will summarize the facts.

About 10% of workers currently fall under federal jurisdiction. They are represented by a number of unions, such as public service unions, Unifor, and trade and construction unions. Before, a union was automatically accredited when more than 50% of workers signed a card indicating that they wanted to unionize. When 35% to 50% of workers signed a membership card, an election was triggered to determine whether the workers truly wanted to unionize. Bill C-525 wanted to change the threshold for triggering an election for accreditation from 35% to 40%. Furthermore, it would have also banned the automatic card check certification system.

This is yet more evidence of the previous government's disdain for workers' rights. This backwards attitude ignores the fact that, for example, the wage increases negotiated by the union inject hundreds of millions of dollars into the Canadian economy every week.

I want to get back to what I was saying earlier. One of the advantages of unionization is that it injects more money into the economy. When people earn higher wages, they consume more. We are talking about regular people, not Bay Street CEOs, who earn astronomical salaries and then send that money to some faraway island.

I applaud this bill from my colleagues opposite, who made a good decision to start their term by repealing these two harmful bills. That is a good sign. However, we must remain cautious, because this is only a sign. In recent years, my colleagues opposite waxed on and on about standing up for the middle class, but I must say that their definition of the middle class, which they are using for the tax cuts they promised during the campaign, is flawed. The threshold they use is rather arbitrary.

I would now like to talk about this dangerous new bug that everyone in the current Liberal government seems to have contracted, and that is “consultitis”. That is all well and good, and I understand that some issues require a lot of discussion and consultation with experts. However, there are also some issues that have obvious answers. The government could save time on those rather than getting caught up in this constant consultation. That is what I mean by “consultitis”.

The government needs to protect the middle class by taking meaningful action, not by spouting rhetoric and launching public consultations left and right. We have heard enough about consultation since this government took office. Talk is all well and good, but it does not put food on people's tables.

I therefore urge the Liberals to do more, to take more meaningful action. The benefits of doing so are tangible and easily verifiable, so let us get started.

The NDP will continue to exert pressure on the government to reinstate the federal minimum wage and vote in favour of the anti-scab bill introduced by my colleague from Jonquière. It is a common sense initiative, as is pay equity, obviously.

I find it very frustrating that problems like the ones I mentioned, which were identified decades ago, are still wreaking such havoc. Canada is a progressive country, which is obvious from our general attitude on thorny issues such as physician-assisted dying. However, I find that we sometimes drag our feet for no apparent reason. Everyone here recognizes that women and men are equals, but that belief is not reflected in our economy, where we see wage disparities that make no sense.

In closing, I realize that there are a lot of messes to clean up. After a decade under the Conservative dinosaurs, there is a lot of work to be done. That decade put us on guard. The NDP will certainly not be giving the Liberals a blank cheque, since everyone knows that they have a tendency to signal left during the election and then turn right once they take office.

Unequal distribution of wealth is not just theoretical. It is a very real problem that is beyond comprehension in a country as wealthy as Canada. Decent working conditions and decent pay are good for everyone. We all know the harmful and devastating effects of poverty. I am proud to belong to a political party that understands these issues and refuses to compromise when it comes to implementing effective measures to truly eradicate poverty and poor working conditions, which have no place in a country like Canada.

The House resumed consideration of the motion that Bill C-4, An Act to amend the Canada Labour Code, the Parliamentary Employment and Staff Relations Act, the Public Service Labour Relations Act and the Income Tax Act, be read the second time and referred to a committee, and of the amendment.

[Arnold Viersen, Conservative, Peace River—Westlock, AB]

Mr. Speaker, as this is my first time to give a speech in the House, I would like to begin by thanking my wife and children for being a solid support behind me. I would also like to thank my campaign team, specifically, my parents and my siblings, who put in countless hours on my campaign, my best friend Dennis, who set up way too many signs and put about 6,000 kilometres on his pickup truck, driving around the vast riding of Peace River—Westlock, and my campaign manager John for helping me win this seat. It was a spirited campaign and I appreciate their help.

I stand today to address the issue of union transparency and employee voting rights. If left as it is, Bill C-4 would repeal two pieces of legislation that workers across Canada fought hard to achieve. Unions, employers and, most important, the employees have all expressed their belief that the certification and decertification of unions should be determined in a free and democratic manner. Our country was founded on this same principle, that those who are governed have the right to make their choice by secret ballot, a method that removes fear and ensures that workers are free from the threat of intimidation by both employers and unions.

The Liberal Party wants to reverse this. It is wilfully ignoring workers across Canada who have stated that they want the right to vote in secret. All of us in the House represent a group of constituents. We are here by their consent and by their vote, which was cast free of harassment and according to their conscience. How can the Liberal Party not allow workers across Canada this same right?

Before the Employees' Voting Rights Act came into force, union certification was heavily weighted in favour of unions. A trade union was automatically certified if a majority of the employees simply signed a membership card. This process lent itself to manipulation and abuse. Without a secret voting system in place, both employers and unions held a position of power over the employee.

The Employees' Voting Rights Act changed that. It put unions and workers on a level playing field. Union certification is now done according to the free and secret votes of a majority. Employees make their decisions through the privacy of a secret ballot and are less subject to intimidation.

Prior to the act, a 35% threshold was needed to create a union in a federal jurisdiction. Interestingly enough, a 50% threshold was needed to decertify a union. Under the Employees' Voting Rights Act, a 40% threshold was set to trigger a vote either way. The act successfully put equal weight on both the certification and decertification process, giving workers the right to determine whether their workplace should be unionized.

If the Liberal Party repeals this act, it will strip a democratic right away from our nation's workers. Clearly, the Liberals believe union demands take precedence over the rights of workers.

To expand on this topic, I have a number of concerns.

Many members of the House will agree that, historically around the world, positions of power can give rise to the abuse of power. Without checks and balances, the rights of workers are, without exception, open to abuse. This is the reason why democratic governments worldwide have legislation in place governing the certification of unions.

Preventing abuse of power is not a new concept. At the federal level, the United States uses secret ballot voting to determine union certification. The unions use secret ballot voting as a means of electing their union leaders. Polls among union and formerly unionized employees have consistently shown 83% to 89% support for secret ballot voting. This system is a widely accepted method of determining certification.

Why does the Liberal government want to repeal a law that keeps Canadian workers free from pressure, manipulation or intimidation from unions or employers?

It is interesting to note that five provinces already use secret ballots to determine certification. If the Liberal government repeals the Employees' Voting Rights Act, federally regulated workers will once again have fewer democratic rights than their provincial counterparts. Who wins in this scenario? Before the Employees' Voting Rights Act existed, union organizers and management held an unfair advantage over Canadian workers. If this law is repealed, it is the Canadian worker who loses. Any time a democratic right is repealed, our nation as a whole loses.

Bill C-4 poses another problem. It seeks to repeal a requirement for labour organizations to be financially transparent. Financial transparency is the bedrock of financial accountability. Why does the Liberal government seek to undermine worker and taxpayer rights to financial accountable unions? There is a public interest in this. Union fees reduce taxes and therefore affect all Canadians.

Union workers pay union dues, yet without this legislation in place, unions are not obligated to tell workers where and how this money was spent. Before and during the federal election, unions spent millions of dollars to fight the Conservative Party. Taking away financial transparency is nothing more than a Liberal measure to thank unions.

Again, who is the biggest loser if this law is repealed? The worker, the taxpayer, and our country. We are a nation that demands financial accountability of our federal, provincial and municipal governments, and our charities. Unions enjoy a wide range of tax benefits, and this special treatment impacts all Canadians.

I am sure each member of the House would stand by and proclaim the belief in the principles of transparence, accountability, and democracy. Yet, with the bill, the Liberal Party would do the exact opposite.

Let me be clear. This law does not regulate the activities of unions. Nor does it mandate how it spends their money. It does not violate any of the rights guaranteed by the Canadian Charter of Rights and Freedoms. What it does do is ask for limited disclosure of salary, benefits, and paid time spent on political activities. In short, it is the voice of the workers asking how the union is spending their money.

Financial transparency legislation for unions is not new. The United States, United Kingdom, Australia, Germany, and France all have this legislation in place. The Canadian labour organizations headquartered in the United States must already disclose financial information to the American government. Transparency is a deterrent. It is a means to keep abuse in check. It is a way to protect against corruption. Quite frankly, the fact that some unions and the Liberal Party wish to repeal this law leads me to question why. What are they hiding?

It may be in the interest of the House to know that in the United States, similar legislation led to more than 900 criminal convictions for inappropriate and fraudulent activity.

Unions in Canada receive public benefits. The taxpayers have a right to know how their money is spent. Union members have a right to know how their union dues are spent, and whether they are spent wisely and effectively. Currently this is the case. If Bill C-4 goes through as it is, Canadian workers and taxpayers will suddenly be left in the dark. Financial transparency is a good public policy. Secret ballot voting is a democratic right.

Bill C-4 is flawed. It seeks to repeal what Canadian workers and taxpayers have fought to put in place. Members of the House should remember that these same workers and taxpayers are the ones who chose them to represent them in the House.

I ask members to vote against the bill. When the rights are stripped away from Canadian workers, we all lose.