Evidence of meeting #28 for Industry, Science and Technology in the 43rd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was employees.
A recording is available from Parliament.
3:45 p.m.
President and Chief Executive Officer, Metro inc.
No, we did not apply and did not receive. Although some of our subsidiaries could have applied for them, we chose not to.
3:45 p.m.
President and Chief Executive Officer, Empire Company Limited
I do not believe we did. I'd have to check if there's a franchisee somewhere who was impacted who did, because we have franchised stores, as well—they're not our employees—but I don't think so.
3:45 p.m.
President, Loblaw Companies Limited
I have the same answer. As an enterprise, it's no. There might be some independent businesses that are affiliated with us that could have if they had the right circumstance.
3:45 p.m.
NDP
Brian Masse NDP Windsor West, ON
Thank you for that.
With regard to paying employees, do you pay your employees differently based on your brands, like your frills versus No Frills banners?
Maybe I'll go backwards from Ms. Davis.
Do you pay your employees differently in the stores they operate being your...?
3:45 p.m.
President, Loblaw Companies Limited
We have multiple union agreements, so there are different pay scales between the different banners, yes.
3:50 p.m.
President and Chief Executive Officer, Empire Company Limited
Everyone starts out at the same pay in our discount and our full-service banners. Our discount banner is younger so there are not as many long-term service teammates, so it might end up being a little lower, but it wouldn't be that far off.
3:50 p.m.
President and Chief Executive Officer, Metro inc.
I have the same answer. Different collective bargaining agreements and different provinces have different rates. It's agreement by agreement.
3:50 p.m.
NDP
Brian Masse NDP Windsor West, ON
I represent an area that has some economic challenges and has some of the no-brand stores.
Does anyone have a comment about the fact that those workers are paid less, especially in geographic areas where there are economic challenges and diversity issues? How do you feel about that, being a CEO where you pay your workers differently based on where they are and the geography and their incomes coming in as a group?
3:50 p.m.
President and Chief Executive Officer, Metro inc.
We don't pay them according to where they are. We pay them according to the banner and the collective agreement they work under.
We have discount stores all over the provinces of Quebec and Ontario, in some areas that are more challenged than others, and the pay is the same whether it's a nice area or a more challenged area. Geography is not the factor.
3:50 p.m.
NDP
Brian Masse NDP Windsor West, ON
Thank you.
I see my time is up, Madam Chair.
Apparently, it's different when you're stocking a bottle of ketchup somewhere in an area that has a different socio-economic background, racial background or ethnic background than other places. That's the reality.
3:50 p.m.
Liberal
The Chair Liberal Sherry Romanado
Thank you, MP Masse.
Because we have a few more minutes remaining, we'll start the fourth round.
Our first five-minute round goes to MP Patzer.
3:50 p.m.
Conservative
Jeremy Patzer Conservative Cypress Hills—Grasslands, SK
Thank you, Madam Chair.
I'll be splitting my time with Mrs. Gray.
Ms. Davis, I'm going to go back to you.
You said this was appreciation pay for your employees, so why not make your level of appreciation higher than that of your competitors?
3:50 p.m.
President, Loblaw Companies Limited
We independently decided to up the two dollars per hour. It seemed like the appropriate amount. It's worth about 15%, so we thought that was an appropriate amount of premium pay for our colleagues.
3:50 p.m.
Conservative
Jeremy Patzer Conservative Cypress Hills—Grasslands, SK
Right, but then ultimately everybody has the same level of appreciation. If you really wanted to show your employees you value them, why not make it more than your competitors? Particularly if your company philosophically believes in a basic liveable income, why do you need to wait for the government to legislate around it?
3:50 p.m.
President, Loblaw Companies Limited
As I said before, the reason I'm saying we would want to do it in concert with the government and with the unions is that it can't be done by just one company, by just one industry. We're competing against large multinationals, large e-commerce companies, so it's just not feasible for one company to do it on its own. We need to do it together, as a group, with the government.
3:50 p.m.
Conservative
Jeremy Patzer Conservative Cypress Hills—Grasslands, SK
I'm thinking that you could really just lead the charge, though, take the bull by the horns and be that trailblazer, and just say, “Hey, you know what? We value our employees more than everybody else.”
On the two-dollar pay, or just the pay in general, why not be the trailblazer? Why not just be that one to be saying, “Yes, you know what? We are going to be the ones who set the bar higher than everybody else.” Again, I don't think you need to wait for the government to be the one to take that initiative. I think you guys could do that. Could you not?
3:50 p.m.
President, Loblaw Companies Limited
I think the key that we're talking about is that when you think about the grocery sector in general, we work and we exist on very, very low.... About 2% is the bottom line margin. When you think about a hundred dollars' worth of groceries, two cents falls to the bottom line, 98¢ goes to the cost of the product, to the running of the stores, to the colleagues' pay. It is within a very small margin. It would have an impact to be able to do that single-handedly without having the support of the government, and an impact on some of the U.S. competitors as well. It would be difficult to do.
3:50 p.m.
Conservative
Jeremy Patzer Conservative Cypress Hills—Grasslands, SK
Earlier this week, when Mr. Dias came on here, he said the big companies like yours, but also the small town grocers, like I have here in my riding—I have 120 small towns that all have their own stores—are all making money hand over fist. You're saying that's not the case.
3:50 p.m.
Conservative
3:50 p.m.
Conservative
Tracy Gray Conservative Kelowna—Lake Country, BC
Great. Thank you very much.
I have a couple of questions for Ms. Davis.
On your website, it states that you sell quite a number of products that aren't necessarily essential services, like apparel, clothing, office supplies, toys, games, hobbies, lawn and patio accessories and furniture, and a whole number of other products. Did your company continue to sell all of these products during the pandemic?