Strengthening Motor Vehicle Safety for Canadians Act

An Act to amend the Motor Vehicle Safety Act and to make a consequential amendment to another Act

This bill is from the 42nd Parliament, 1st session, which ended in September 2019.

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament has also written a full legislative summary of the bill.

This enactment amends the Motor Vehicle Safety Act for the purpose of strengthening the enforcement and compliance regime to further protect the safety of Canadians and to provide additional flexibility to support advanced safety technologies and other vehicle innovations. It provides the Minister of Transport with the authority to order companies to correct a defect or non-compliance and establishes a tiered penalty structure for offences committed under the Act. The enactment also makes a consequential amendment to the Transportation Appeal Tribunal of Canada Act.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other S-2s:

S-2 (2021) An Act to amend the Parliament of Canada Act and to make consequential and related amendments to other Acts
S-2 (2020) An Act to amend the Chemical Weapons Convention Implementation Act
S-2 (2013) Law Incorporation by Reference in Regulations Act
S-2 (2011) Law Family Homes on Reserves and Matrimonial Interests or Rights Act
S-2 (2010) Law Protecting Victims From Sex Offenders Act
S-2 (2009) Law An Act to amend the Customs Act

Votes

Jan. 31, 2018 Passed 3rd reading and adoption of Bill S-2, An Act to amend the Motor Vehicle Safety Act and to make a consequential amendment to another Act

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:20 p.m.

NDP

Randall Garrison NDP Esquimalt—Saanich—Sooke, BC

Madam Speaker, in substance, I agree with the remarks of the member for Carlton Trail—Eagle Creek, although I always find it a little odd when the Conservatives start talking about the Liberals cutting budgets when the process was actually started under the Conservatives.

One of the questions I believe the member asked earlier of the parliamentary secretary is of concern to me. It is the responsibility for the financial losses for dealerships if a car is subject to recall becomes unsaleable and is stuck in the dealer's inventory. I believe the hon. parliamentary secretary said that she did not want to interfere in this commercial relationship, but I would submit that there is hardly any commercial relationship more unequal than car manufacturers and dealers.

Therefore, the amendment made by the Senate, which was taken out by the Liberals, seemed to be an important part of levelling the playing field for dealers so they would not be stuck with the cost of what was essentially the fault of the manufacturers. Does the hon. member share that opinion?

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:20 p.m.

Conservative

Kelly Block Conservative Carlton Trail—Eagle Creek, SK

Madam Speaker, we recognize that the bill before us was introduced in the Senate and that the Senate put forward an amendment that it believed would have addressed some concerns raised by dealerships across the country. At the time we were debating the bill, I believe there was support for that amendment.

As the bill was being debated, we understood there were discussions being held by members of the governing party with an association that represented the dealerships. Apparently, the amendment put forward by the governing party was amenable and acceptable to it. Therefore, when the committee was debating it, we certainly saw some merit to the amendment that had been put forward by the Senate.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:25 p.m.

Winnipeg North Manitoba

Liberal

Kevin Lamoureux LiberalParliamentary Secretary to the Leader of the Government in the House of Commons

Madam Speaker, what is encouraging, as the parliamentary secretary said earlier, is that we have very proactive, progressive legislation that is going to benefit the consumers of Canada. This is legislation that has been put together over a period of time, in which we are getting close to the final stages. I appreciate the comments of the member across the way. She seems to be of the opinion, as we definitely are on this side, that this is a step forward. As the Prime Minister says, there is always room to improve things. We can always make things better. No doubt the ministry will continue to look at ways in which we can continue to protect consumers.

I can appreciate some sensitivity in terms of amendments as we go through committees. I can recall the days being in opposition when Harper was the prime minister, and we saw zero amendments ever pass. A lot depends on the content of the amendments, and I am sure the member across the way can appreciate that fact. This is a government that has recognized good amendments brought forward by opposition members on many other pieces of legislation, and they were adopted.

At the very least, would she not recognize that in the passage of this particular piece of legislation we are protecting Canadian consumers? That is a positive thing.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:25 p.m.

Conservative

Kelly Block Conservative Carlton Trail—Eagle Creek, SK

Madam Speaker, I agree that when legislation is tabled, it certainly may not be in its perfect form. This bill is one that was introduced in the previous Parliament. Even members in the Senate and we, as Conservative members, brought forward amendments to a bill that very much resembled one that our own party introduced in the previous Parliament.

Yes, I understand there is always an opportunity to make a bill better. Ultimately, I think this is about ensuring that Canadians are safe when they are travelling on our roads. That is why we are committed to supporting this bill at third reading.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:25 p.m.

NDP

Jenny Kwan NDP Vancouver East, BC

Madam Speaker, it is interesting to note with this bill that the member for Winnipeg North just raised this issue around amendments and that it needs to be centred on consumer protection. To that end, I note that the NDP advanced 15 amendments to this bill. None of them were supported.

A particular one speaks to, I assume, consumer protection. That is, for the minister to be able to grant an exemption for any model of vehicle manufactured by the company from conformity with any prescribed standard if that exemption from the standard would, in the opinion of the minister, promote a technological development. That is what is in the bill. The NDP moved an amendment that would ensure that such an exemption would only be granted on the condition that the minister ensures the new vehicle model is based on safety standards equivalent to or superior to that prescribed by the regulations. That is for consumer protection, in the name of safety, yet that amendment was defeated at committee. It was not passed at committee.

I would like to ask this member about her comments around this amendment. Will she support this kind of amendment, and would that not be for the protection of the consumer?

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:25 p.m.

Conservative

Kelly Block Conservative Carlton Trail—Eagle Creek, SK

Madam Speaker, the safety of Canadians and everyone who uses our roads is of paramount importance to me and certainly my colleagues in this place. While not perfect, I believe that this bill does strike a reasonable balance. However, I would agree that the member from my colleague's party on our committee, the member for Trois-Rivières, proposed a number of amendments that would have increased transparency when an order was made under the powers provided for in this bill. My Conservative colleagues and I supported all the amendments, I believe, made by that member at committee. If I am wrong in that representation, I will certainly correct the record, but we were very supportive of that member's amendments to this bill.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:30 p.m.

NDP

Jenny Kwan NDP Vancouver East, BC

Mr. Speaker, just to follow up on this issue around safety, I think it is critical, and it is mystifying to me why the government would not actually support such an amendment. One would think that openness and transparency is the hallmark that the Prime Minister, himself, campaigned on and promised Canadians in this House of Commons.

On the issue around safety, related to regulations with manufacturers, why would the government not support this? This amendment was further justified, given that the Auditor General stated that the government was behind in coming in with regulations adapted to technological developments. Before using his power to issue exemptions, the minister should first address this problem.

Surely this would be the right thing to do, yet this is not the case. Again, I wonder if the member could shed some light on the rationale behind that.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:30 p.m.

The Deputy Speaker Bruce Stanton

We are at time, although I will allow the hon. member for Carlton Trail—Eagle Creek a brief moment to respond, 45 seconds, and then we will switch over.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:30 p.m.

Conservative

Kelly Block Conservative Carlton Trail—Eagle Creek, SK

Mr. Speaker, no, I cannot. That was the very question I asked of the parliamentary secretary.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 30th, 2018 / 5:30 p.m.

The Deputy Speaker Bruce Stanton

There will be one more minute remaining in the time for questions and comments when the House next resumes debate on the question.

It being 5:30 p.m., the House will now proceed to the consideration of private members' business as listed on today's Order Paper.

The House resumed from January 30 consideration of the motion that Bill S-2, An Act to amend the Motor Vehicle Safety Act and to make a consequential amendment to another Act, be read the third time and passed.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 31st, 2018 / 3:30 p.m.

NDP

Brian Masse NDP Windsor West, ON

Mr. Speaker, it is a pleasure to speak to the bill. I commend my colleague, the member for Trois-Rivières, who has not only done an excellent job on the bill, but has also been very constructive in his approach to it.

Bill S-2 is an act to amend the Motor Vehicle Safety Act and make consequential amendments to another act. However, most important is that it is about providing auto recall for Canadians.

The problem we are faced with is the fact that the bill is so underwhelmingly negligent in fixing the problem. It is nothing short of breathtaking, given the tragedies that have taken place and the historic recalls in auto manufacturing. Right now, the Takata airbag scandal has affected many motor vehicles, and Canada has had to beg for inclusion. We have no rights whatsoever with regard to consumer safety protection and the bill is such a weak response to this. I am rather shocked about that.

The member for Trois-Rivières proposed 15 amendments at committee and none of those amendments were accepted by the Liberals, which is shocking. The previous Conservative government tabled a bill for auto manufacturing recall prior to the last election. I believe it was Bill C-62. The Conservatives only had two amendments to this legislation. Therefore, this is a tweaking of Conservative legislation. It is not surprising that there were only a couple of amendments from the Conservatives.

However, during the election campaign, consumers told me that they wanted more consumer safety and environmental protections. This bill is a slap in the face. It also becomes a wider problem, given Volkswagen has an offence against it for auto manipulation and recall. This is not only being criminally investigated in the United States but in other places in the world. There is also the Takata airbag scandal. These are prime examples of current standards, which Canada does not get and will not get with this legislation. This is ironic. The legislation will marginally improve the situation of auto recall.

The first and foremost thing to recognize is that this is a significant consumer and environmental protection issue and all of us should be concerned about this and Canada's competitiveness.

This is even more important because of our diminished capacity under the new auto revolution taking place for manufacturing. We are becoming more dependent than ever on foreigners to produce vehicles necessary for a modern economy and for transportation use. This affects the air we breathe, our safety, and the way we are able to compete in the world. Because of successive Conservative and Liberal governments and their inaction on the auto file and trade practices, Canada has gone from number two in the world for auto assembly to 10. That means we are increasingly dependent upon foreign vehicles coming into our country. That should point us in a direction of having more accountability because the corporate board rooms in Beijing, New York, in Washington, and other places in Europe are almost exclusively making decisions that affect us and our families when it comes to safety, consumer selection, and environmental degradation related to the use of automobiles and other manufactured vehicles.

It is astounding that we would not want to be at the forefront of that. One only needs to look at the issues related to software and the manipulation of it, the difficulty of defining what the problems are, and the consequences of that. This should be motivation enough for us to be more proactive on this issue.

As noted by the member for Trois-Rivières, the legislation would give the power to the minister to recall, but it allows the backroom corridors and the dark halls to make the decisions, which will never even come to Parliament. It becomes an exclusive decision by the Minister of Transport and he can do side deals in private about which we will never know. That is something to think about.

I was very active on public safety issues with respect to the Toyota Prius and Volkswagen files in particular.

Regarding the Prius, it was the denial by Toyota. It said that software was causing a braking problem with its vehicles. This was causing accidents, costing people their lives, and a series of different things. It received such heightened activity in the United States. Its safety was considerably more advanced than in Canada. Sadly, this bill will not really improve that situation in Canada. In fact, it is so modest that we will not even see the same reciprocity that U.S. consumers and public safety advocates received in regard to this.

The CEOs of Toyota went to Washington, and in front of Congress and the Senate, they apologized. They never did the same in Canada. They knowingly and wilfully misled the people, those who bought their products and drove them on our city streets, going to soccer games, to schools, and to work. The United States took it far more seriously. What did it get out of it? It has more research and development as a result of the decision with Toyota. Its consumers received better treatment than those in Canada. There also was a higher degree of accountability and conviction than there was here. This will be a problem of accountability for Canada as the current law stands.

If we look at the Takata airbag issue, we cannot recall them as things currently stand. If we do under this bill, the minister can cut a backroom deal with the company and there will be no consequences. We will not know. It will never be published. It will never be tabled, as the member for Trois-Rivières wanted to do, once annually in the Parliament of Canada.

Why would the Liberals oppose that? Why would they oppose the mere fact that taxpayers expect the Minister of Transport to protect them and their families, their safety, and ensure there is accountability for the products they buy, especially given the amount money these products cost. Why would they not want to table annual reports in Parliament, at least identify the problems, show how the minister dealt with them, and show how he or she worked on behalf of Canadians, for safety, consumer protection, and accountability of the many foreign companies?

I will add this caveat to it. My father, who recently passed away, was a CEO at Chrysler for many years. We witnessed first-hand the erosion of the Canadian corporate boardroom as more and more decision-makers were moved from Canada to the United States. We used to have a Canadian president of Chrysler. One of the biggest champions was Yves Landry. We had successive ones after him. Eventually, we became a surrogate training ground for American CEO company presidents. A successive wave of them came here.

Things have changed in the auto industry for a series of different reasons. However, we now have a slanting of foreign decisions that will take place, which can influence and affect Canadian consumers. If members are interested, they can look at Volkswagen. There was a corporate, accountable, organized crime attempt to mislead not only the public but also transportation agencies in their investigations of its vehicles, which had emission devices that were designed to create different results so it could claim “clean diesel”. There are many documentaries and court cases with respect to this.

However, an entire manipulative corporate-run culture, which is not short of organized crime, misled consumers, government departments and agencies about the products it was putting on the streets, which were affecting our air quality. That is a reality. It is happening right now, and continues to happen.

The scenario being presented to Parliament right now is that the Minister of Transport could do a one-off agreement with companies, if he or she wanted to, and we would never know why. We would never know the decisions. We would never know how far it went back. That is unacceptable. The Minister of Transport should be the person to shield Canadians from the organized attempts of an industry that has a history of some of these practices. There are many out there that do not have that culture or prescribe to those things. However, when we go through recall lists of companies that have been involved in the auto industry over the generations, this is an unfortunate part of what has taken place.

When we have five tonnes of steel and glass that needs to be safe all the time, we need to ensure there is accountability for people. For heaven's sake, we would at least think from a consumer protection and disposable income perspective, there would be a genuine interest to ensure vehicles are safe, people will get what they have paid for, and it will define the terms and conditions agreed upon. This is being paid for over several years. It is not a decision that is made in the moment where people just pay for it, then have buyers' remorse later on. These are income purchases for a vehicles, which people put their babies in, take their loved ones to work, or to play, or use for business. It is one of the most expensive things a person will ever purchase where instantaneously its market value will erode significantly. People say they are investing in cars, but they are not. It is a cost, but they will never get their value out of it, unless they are luxury vehicles they hold on to for generations to come. As soon as they drive that vehicles off the lot, the value goes down.

My point is that there is an onus on the government to ensure the sustainability of that investment in that product. I am proud of the New Democratic caucus, which has supported me for numerous years to get the right to repair passed. I have fought for this. This shows one of the reasons we need more transparency. The right to repair was finally passed as a voluntary agreement, and it was supported in the House of Commons. It is like getting a field goal instead of a touchdown when we get a voluntary agreement. At least it has some elements to it, and that is what the industry wanted.

However, what happened was that automotive companies were treating Canada differently, especially compared to the United States, when it came to vehicle repairs. Not only did it affect the safety of the vehicle, but also its environmental emissions and our choice as a consumer. In Windsor, I could get my vehicle fixed in Detroit, Michigan by driving two kilometres and crossing over, but I could not get it fixed in Windsor even though it was an electronic program that literally cost cents to transmit to the business in Windsor. It was prevented from coming into Canada. This is because in the United States its environmental protection act requires companies to provide on a program, or piece of equipment, or tool or training that to the after market.

For example, Canadian Tire, small garages, medium-sized mom-and-pop shops, all of those different places were denied even the access to purchase the proper training, equipment, and software. It is becoming an issue again. They have blocked that out.

What does that mean? It means that vehicles in Canada were on the road longer, without their safety being approved or improved, in terms of maintenance. Their emissions were higher, and their performance was lower. The complications for fixing those things were heightened. Consumers had to pay more to take it to a dealership.

It is not like there is not an organized element related to dealing with an industry which at times has been stubborn. Many of those organizations and companies finally came to the table. I congratulate them. We had General Motors at that time. We had Ford, and eventually, Chrysler. However, it took a long time. It took two years out of my life just to get that moving in Canada.

Now we have some more problems. That is a story for another time, but it is very much germane to this. I believe when people make a purchase of this magnitude and it has such an influence on them as individuals and for their families, and for the safety of Canadians, the best thing the Minister of Transport could do is be transparent for all of Canada.

We look at some of the specifics of this bill and we have to wonder why. What has the minister done? He has limited some of the amendments that we had on recall and cost. In the bill the maximum and minimum for fines and penalties are very much non-existent in many respects. They are in the hundreds of thousands of dollars. It is unbelievable, given the cost of it, and having to repair it, and given the consequences of having improperly fixed vehicles, and the process and inconvenience of actually getting that done, that we actually fine at such a low amount.

Monetary penalties are capped at $4,000 for a person and $200,000 for a company. That is unbelievable. I would like to say it is like a slap on the hand, but it would not even be noticed. It would not be felt. We are talking about multi-billion dollar companies.

Again, there is a message being sent there. The message is that Canada is not serious about this. That is what we are telling them. The biggest issue related to that is the basic fact that an amendment was put forward on that by the member for Trois-Rivières. It was not only in line with the expectations of what consumers would want, but it was in line with what U.S. consumers get with regard to fines and penalties.

We talk about reciprocity in trade, elements related to that, and consumer goods going back and forth between Canada and the United States. I live near the border, and I can say that if we are going to be involved in a market system like this, the very least we should expect is what our neighbour gets. We always have to step up to American standards on many different products and services in the auto sector. It is excellent that we do so, because we have an integrated industry. The vehicles go back and forth across the border. However, at the very least we should expect that consumers would receive the same reciprocity. The sticker price is pretty well the same, if we are not paying a little more. However, we should be able to expect the same elements, the same bumper, the same terms and conditions for insurance, the same support for customers. That would be the reasonable approach if we are actually paying for it.

The minister has done none of that with regard to this bill. The minister has even put in the bill a limitation of two years for what he can do. He has unnecessarily handcuffed himself. We saw that with Volkswagen which became a decade of deceit with clean diesel. It is out there. It has been happening, and not only just for a short period of time but for a long period of time.

New Democrats are very concerned with the situation. It is not even a band-aid.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 31st, 2018 / 3:50 p.m.

Winnipeg North Manitoba

Liberal

Kevin Lamoureux LiberalParliamentary Secretary to the Leader of the Government in the House of Commons

Mr. Speaker, I am somewhat disappointed in the sense that we have before us today consumer-friendly legislation that would ultimately benefit car owners in every region of our country. This is a step forward, although one would never know it from listening to the member across the way.

Yes, there is always room for improvement. Amendments were brought forward at the committee stage and the member is right that no NDP amendments were accepted this time. On other pieces of legislation, there have been. Unlike the former government, if there are ways we can improve legislation, this government has demonstrated its willingness to accept amendments. Because the government did not accept the NDP amendments does not make the legislation bad. This is good legislation, and I am anticipating that all parties will support it, or at least I hope that is the case.

Would the member not, at the very least, recognize that the legislation we are debating today is a step forward? Maybe it is not as big a step as the member across the way would have liked, but at least we are moving forward on a very important issue for Canadians that deals with automobiles, which would make our roads safer, and would protect consumers that much more at the same time.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 31st, 2018 / 3:50 p.m.

NDP

Brian Masse NDP Windsor West, ON

Mr. Speaker, this bill originated in the Senate, the unelected chamber. The member, his government, and the cabinet should want to take this seriously and do what the people of Canada democratically elected us to do. They expect consumers to be protected and that public safety is number one. When transparency and accountability are on the floor of the House of Commons at least annually, then we will have a serious discussion.

Strengthening Motor Vehicle Safety for Canadians ActGovernment Orders

January 31st, 2018 / 3:50 p.m.

NDP

Jenny Kwan NDP Vancouver East, BC

Mr. Speaker, the member's comments are valuable. He is the dean of the NDP caucus and has a lot of institutional knowledge. For example, in his speech, he referenced some incidents that occurred when I was not in the House.

To that end, the big question is whether we can do better. I think Canadians expected better. This was, as I understand it, a piece of legislation which the Conservatives, almost in their dying days, brought to the floor. The government is now moving it forward from the Senate to this House.

The NDP put forward 15 amendments and the Conservatives, from what I understand, put forward a number of amendments, too. None of them were adopted. Is there one in particular that is good for consumers and good for public safety that the government should have moved forward on in a bipartisan way to make this legislation better? That is the question before us. How can we make it better for Canadians?