Mr. Speaker, I am pleased to rise today to explain how the government's approach to corporate social responsibility, or CSR, is substantially better and ultimately would be more effective than what has been proposed by the opposition.
Let me first begin by thanking the dozens of Londoners who have written to me on this important issue. In London we are blessed with a great quality of life, but my constituents know this comes with responsibility. Our success cannot come at the expense of others. Their message to me on this has been heard loud and clear.
On March 26 the member for South Shore—St. Margaret's tabled in this House a new CSR strategy for the extractive sector that has placed Canada among the world's leaders in good CSR practice.
The opposition has tabled a variety of proposals in response to this complex issue seeking to ensure the behaviour of Canadian companies abroad is nothing short of exemplary. We share that goal, but I can assure members that the strategy we are implementing would be more comprehensive and more effective.
Our government's strategy encompasses many of the recommendations of the National Roundtables on Corporate Social Responsibility and the Canadian Extractive Sector in Developing Countries of 2006 and the report of the advisory group. It has been widely consulted and represents a balanced approach to the issues, taking into consideration the views of all stakeholders and the territorial limits of Canadian legislation.
Today I wish to elaborate on one of the most important aspects of the strategy and that will play a key role in encouraging Canadian companies overseas to implement CSR best practices. I am referring to the creation of the office of the extractive sector CSR counsellor.
I appreciate that Motion No. 283 being debated here today was tabled before the government announced its CSR strategy and that the hon. member for Pierrefonds—Dollard had the best intentions in its drafting. It is now clear, however, that this motion has become redundant. Allow me to explain.
This is not simply a question of whether “counsellor” or “ombudsman” is the right title for this role. In the government's strategy, the counsellor, upon receiving a complaint, would open channels of communication to all of the concerned parties, seeking to engage in an informal mediation process. If warranted, the counsellor may also engage in fact-finding activities, including travelling to any region specified in the complaint. Dispute resolution models must operate in a permissive environment on the principle of engagement; otherwise, the situation could become more aggravated, thus creating more conflict between the parties involved.
On the subject of parties to a dispute, the government's proposed course of action would not limit the scope of eligible requests for review by the counsellor to communities in developing countries. Requests for review may be submitted by anyone affected by the operations of a Canadian extractive company abroad or its legitimate representative.
It is important to note that the counsellor model proposed by the government would focus on dispute resolution and mediation between such parties; that is to say, the counsellor would endeavour to work with the company in question and those affected by its operations to make things better. Moreover, the counsellor's ability to focus on the issues themselves and not just the parties involved would enable a wider variety of complaints to be addressed.
While in some cases disputes arise as a result of the activities and policies of an extractive sector company operating in a particular location, it is frequently a lack of information and dialogue that prevents the resolution of the dispute. The extractive sector CSR counsellor proposed in the government's CSR strategy aims to address that fundamental problem.
By and large, Canadian companies have solid CSR reputations. The opposition has said as much, and I agree. Our companies recognize the benefits of early engagement with local communities, strong environmental assessments, good labour, health and safety protocols, and other forms of CSR best practice, including reporting. They know that this is the key to securing financing, access to sites and what is often called a social licence to operate. It makes good business sense and, to be clear, it is the right thing to do. When I was in Peru recently, I saw that firsthand, speaking to extractive companies in terms of their direction to make Peru better.
Nonetheless, we recognize through all of this that problems can occur. This is why the government has developed a comprehensive CSR strategy to help companies better anticipate and mitigate the risks associated with their operations abroad. Instead of abandoning a company in a crisis situation, the CSR counsellor will have the ability to approach that company and work with it to ensure that it has the necessary tools and information to either prevent or remedy the situation.
We are of the view that if a Canadian company is in difficulty, this is precisely the time when the Government of Canada can be most useful.
It may be the opposition's intent to simply make an example of our companies, but we believe that lasting resolutions require constructive engagement with all parties.
In the models proposed by the opposition, if one of the parties to the dispute refused to participate or failed to recognize the legitimacy of the proposed ombudsman, then there would be no dialogue. One can imagine that the problem would not only endure, but would worsen.
However, with the active engagement of all stakeholders, the CSR counsellor we have proposed would be able to ensure that the dialogue established is meaningful and that it contributes to the resolution of the dispute. It is this question of buy-in that is essential to any dispute resolution framework.
One model proposed by the opposition and recently referred to committee would actually do the opposite of what was recommended at the national round tables by embedding the dispute resolution function deep within the government. That particular model would certainly not contribute to the perceived neutrality of the process.
The CSR counsellor, on the other hand, would not be housed within the government but instead would operate at arm's length. To increase the transparency of the office, the CSR counsellor would publicly issue a statement after each complaint received, whether it proceeds to formal mediation or not, as well as table an annual report here in Parliament.
This kind of transparency can be a powerful force to compel co-operation and should not be underestimated. As a businessperson, this approach is prudent and effective.
Moreover, the CSR counsellor would be able to follow up with the parties to monitor progress in the adoption of any recommendations made.
In addition to the dispute resolution role I have just described, it is important to add that the counsellor as envisioned by this government can undertake research and be proactive in trying to resolve issues through informal discussions before any formal complaint has been laid. This goes back to the fact that the CSR counsellor would focus on resolving issues rather than simply deciding who is right and who is wrong, as if that were a simple decision to make.
The proactive nature of the government's proposed model also distinguishes it from other dispute resolution models as they remain, above all, reactive.
Last, the CSR counsellor we have put forward in our strategy would be more inclusive than any of the other models being proposed by the opposition. Engagement on the issue will be what counts.
In closing, it is clear that the CSR counsellor the government announced in its new CSR policy this past March is more effective, more transparent, more proactive and more inclusive as a tool for both the resolution of disputes and for the wider promotion and adoption of CSR best practices than anything yet to be proposed by the opposition.
The motion is now unnecessary, and I urge all my colleagues in the House to vote against it.