Mr. Speaker, I am happy to take part in this debate today on report stage of Bill C-19, specifically Group No. 6 amendments.
Unfortunately I am not happy about the way this is proceeding. In the last five years since I have been involved we have seen all too much of this in the House of Commons, that is, the use of closure to shut down debate on very important issues. It is very ironic. The Liberal government across the way was very critical of the Mulroney government for the use of closure and time allocation when the Liberals sat in opposition, but this is the 40th occasion where it has been used in the last five years.
It is a misuse of power by the government to use it in this manner. There is a very important principle involved, which is that all members should have the right to debate these important issues. This is the first opportunity I have had for a 10 minute debate on Bill C-19, the changes to Canada's labour code.
The area I would like to discuss stems from my role as critic for international trade. It deals with the Vancouver terminals, specifically section 87.7 under Motions Nos. 22 and 23 being proposed by my Reform colleague, the member for Wetaskiwin.
I am concerned that if the principle of allowing movement of grain for 72 hours after a strike or lockout notice has been given is such a good principle, why it is not applied to all commodities.
As recently as Wednesday last week, I had a meeting with the hon. Pat Nelson, the minister of economic development for the province of Alberta. She wanted me to bring the point to the floor of the House of Commons that it is very important to ensure we have good movement of our commodities through the terminals, through the port facilities, so we can continue to have good service and enjoy a good reputation worldwide. I am concerned that our reputation for delivery is not as good as it should be.
It is important also to note that Canada had the most time lost to labour-management strikes and lockouts of any industrial country except for Italy in the last 10 years. It is a deplorable state for a big country like Canada which relies on exports, on international trade to supply the world.
I am aware that the member from Regina, the former minister of agriculture, accompanied a group to Japan a year ago. They were trying to reassure the Japanese of Canada's ability to deliver in a timely manner products through our ports both in Vancouver and in Prince Rupert.
My concern has to do with grain itself. The Minister of Labour and others in the government are trying to win support from grain farmers across Canada by saying that if something happens and there is a strike or lockout at the Vancouver port, they will continue to load grain into an ocean-going vessel for 72 hours. This is true. However, it does not deal with any of the problems originating from the farm gate to the terminal. It does not deal with any problems in the railway system. There are something like 20 different labour-management units along the way that can disrupt the flow of grain during that time. It does not deal with things that my colleague from Prince George—Peace River, the critic for agriculture talked about.
When it says grains, the grains identified do not include alfalfa pellets. In my riding of Peace River, we have the world's biggest alfalfa pelletizing plant, Falher Alfalfa. It is very concerned that this section does not deal with Neptune terminals. It does not deal with Vancouver wharf. There is a $25 million operation that can be shut down.
If this principle is the sound principle the government is putting forward, why would it not extend it to things like specialty crops, like alfalfa, peas, lentils and all the other grains?
There is a real problem here and we have an opportunity to correct that problem. My colleague from Wetaskiwin has said that this is the first time the Canada Labour Act has been opened up in 25 years and it probably will not be opened up again for some time.
We are looking for this opportunity to make substantial changes now when the debate is happening. We encourage members in the Liberal government to listen to some of the reasoned amendments we are putting forward with a view to trying to improve Canada's delivery out of our port system.
A lot of other products are being handled in Vancouver. In Prince Rupert there is coal. We have sulphur. One of my colleagues has already mentioned that lumber is one of our biggest ones. Chemical potash and various other products are being exported worldwide. This legislation does not deal with that.
Our party thinks a more reasoned approach to this would be to go to final offer arbitration. What it does is it allows for the parties to negotiate for some time before the labour-management contract is finished. I would think negotiations should start if it is a three year contract a year ahead to see if they can come to some kind of an agreement. If they cannot, having a strike or lockout and withdrawing services has the effect of shutting down the terminal and in some cases shutting down the port.
As a grain farmer myself in the Peace River country I know the devastating effects of having some 20 ships sitting in English Bay harbour at Vancouver and paying demurrage of about $60,000 a day for each ship. It is a very big bill, millions of dollars. Last year it was approximately $60 million that grain farmers had to pay because of the ships that were waiting for product because there was a strike lockout situation at the Vancouver terminals.
We have to correct that. Canada has a reputation that has to be enhanced otherwise we are going to be bypassed. Products will be bought from the United States. I suggest we look at final offer arbitration as one way of resolving this.
Final offer arbitration needs to be explained a little. In a labour-management contract quite often when the contract is being negotiated the two parties will start a long way apart. If a labour union wants a 5% increase quite often it will ask for 7% or 8% knowing it will probably be negotiated down and it will be settled somewhere in the range of 5%. On the other hand the company quite often starts at a position recognizing that it is going to be a 5% settlement and starts negotiating at 3%. This goes on for months and months before they finally come to some kind of a settlement. Often there is time lost in that bargaining unit where labour is withdrawn or there is a lockout. This has a very devastating effect on the Canadian economy.
Final offer arbitration is a reasonable way to approach this. Approximately one month prior to the contract expiring if a settlement had not been reached by negotiations, each party would have to submit a reasonable final offer. I suggest reasonable. They would not have to submit a reasonable one but an independent third party looking at it would choose the more reasonable of the two. It would be in their best interests to submit a reasonable final offer. The arbitrator would decide which one looks more reasonable than the other and would choose that one and the parties would have to live with it.
In the event that did not happen, if one party put in a very unreasonable final offer and the other party did not, we know what would happen. The effect of that would be to have the two parties put in a reasonable offer at the start. It would prevent a lot of the problems we have in the labour-management area. Canada could enhance its reputation as being a reliable supplier.
If we miss this opportunity I think we are missing an opportunity that is going to cost future jobs. Canada relies on our exports for about one-third of our gross domestic product. That means 40% of the jobs of every Canadian family, every community rely on our ability to export. We know that some of our exports go through the United States but some go through our port cities as well.
This is an opportunity we want to seize. The government should look at these as reasonable amendments and adopt them.