The House of Commons Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities met to study the use of section 107 of the Canada Labour Code and the definition of "labour" in the Code, hearing from Secretary of State for Labour John Zerucelli, departmental officials, and witnesses from labour and business groups.
Secretary of State John Zerucelli, accompanied by Deputy Minister Sandra Hassan and Senior Assistant Deputy Minister Colette Kaminsky, outlined the government's priorities, including investments in apprenticeship supports, the union training and innovation program, and labour mobility improvements. He defended the use of section 107 as a tool for exceptional circumstances where public interest is at risk, noting that 97% of federally regulated disputes are resolved without work stoppage. He faced repeated questions from Conservative members about whether the government's eight uses of section 107 in 14 months had damaged labour relations, but did not directly answer, instead emphasizing that the best deals are made at the bargaining table and that Minister Hajdu had ordered a probe into unpaid work at Air Canada.
Captain Tim Perry of ALPA Canada testified that the routine use of section 107 has eroded labour relations, as employers now expect government intervention and bargain in bad faith. He recommended removing section 107 from the Code and reforming the bargaining process, including establishing a four-to-six-month initial bargaining period followed by mandatory mediation, and reducing the conciliation period from 60 to 45 days. He disagreed with the suggestion that section 107 is the only tool available to a minority government, noting other mechanisms like compelling a membership vote or appointing a commission.
Jasmin Guénette and Christina Santini of the Canadian Federation of Independent Business argued that work stoppages in federally regulated sectors cause severe collateral damage to small businesses, citing a median cost of $10,000 per business from the previous year's disruptions. They recommended that federally regulated workplaces instrumental to the supply chain be designated essential services, and that a cost analysis study be required before a strike is allowed. They supported keeping section 107 as a tool for minority governments, disagreeing with witnesses who called for its removal.
Kevin Piper of the Halifax Longshoremen's Association testified that the repeated use of section 107 undermines collective bargaining by eroding trust and allowing employers to avoid good-faith negotiations, knowing the government will intervene. He noted that in Halifax, where decision-makers are at the table, there has been no labour dispute since 1970, unlike other ports where employers' associations lack authority. He supported removing section 107 from the Code.
The committee briefly debated a motion by Rosemarie Falk to invite the Minister of Housing and Infrastructure and the Minister of Jobs and Families to testify on Supplementary Estimates (B) before the December adjournment. After amendments were proposed and withdrawn, the motion was agreed to.
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