Media Release: Hamilton Chamber strongly concerned about potential labour and employment standards reforms: Changes would discourage investment, eliminate jobs and diminish economic opportunities in Ontario, especially among small business owners

· by Huzaifa Saeed

Hamilton, Monday, May 15, 2017: The Hamilton Chamber of Commerce, in partnership with the Ontario Chamber of Commerce (OCC) has sent a letter to Premier Kathleen Wynne warning against potential changes to Ontario’s Labour Relations Act (LRA) and the Employment Standards Act (ESA), including the introduction of a $15 minimum wage. The letter is cautioning that these proposed reforms may have unintended consequences impacting job creation and competitiveness, as well discouraging investment in the province.

The potential reforms are coming at a time when costs for consumers and the cost of doing business is high and putting Ontario at a competitive disadvantage. Ontario has experienced slower growth in GDP and job creation than in the past and drastic reforms to labour and employment run the risk of causing serious damage to the future prosperity of the province.

“These sweeping changes could adversely impact job creation and the health of our local economy in Hamilton” said Keanin Loomis, President & CEO, Hamilton Chamber of Commerce. “These proposed changes have not been adequately vetted and we worry about the direct and unintended impacts on business investment and jobs in Ontario. Politics cannot drive decision-making, evidence must” added Loomis.

Statistics Canada data shows that part-time work has risen 22 percent since 2003, down from the 36 percent increase in the previous 12-year period. Recent studies also show that 76 percent of part-time workers voluntarily choose part-time work to better accommodate schooling or personal life.

“We are urging Premier Wynne to complete and publish an economic impact analysis of the proposed reforms to limit potential consequences that could seriously jeopardize our future growth,” said Richard Koroscil, Interim-President and CEO, Ontario Chamber of Commerce. “We support reform where and when it is needed, but we caution against change for change’s sake.”

The OCC’s letter reminds the Premier that Ontario’s employer community is doing its part to create better jobs and working conditions in the province. Budget 2017 points out that 98% of all new jobs created since the recession have been full-time, and 78% have been above-average wage for their respective industries.

The letter notes that the goals of economic growth and improved employee rights are not mutually exclusive. We believe that what supports the competitiveness of Ontario’s economy can also help enhance quality of work. Increased education and enforcement may assist with compliance to Government regulations and can improve worker environments. Regulatory reform that raises costs for business, only to reduce the ability of business to invest in and grow the labour force is counterproductive. The Hamilton Chamber also supports the study of innovative solutions like the Basic Income Pilot as an alternative tool to address income stability.

Read our Letter to Premier Kathleen Wynne

-30-


For more information please contact:

Huzaifa Saeed | Policy & Research Analyst | Hamilton Chamber of Commerce | t: 905-522-1151 ext: 230 | e: h.saeed@hamiltonchamber.ca