Bill C-377 Lobby kit Message from Ken Georgetti

Introduction and Summary of Bill C-377

Core messages and talking points

Bill C-377 and Privacy Rights

Bill C-377 and Solicitor Client Privilege

Private Business Beware! Bill C-377 and Commercial Contracts

Addressing Conservative Spin – Myths and Facts

Lobbying Fundamentals Kenneth V. Georgetti President / Président Hassan Yussuff Secretary-Treasurer / Secrétaire-trésorier Barbara Byers Executive Vice-President / Vice-présidente exécutive Marie Clarke Walker Executive Vice-President / Vice-présidente exécutive

Message from Ken Georgetti Introduction to Bill C-377 lobby kit

First I want to thank you for your valuable help in our work to defeat Bill C-377. This Bill, which seeks to fundamentally alter the balance of Canada's labour relations system through the back door – via the Income Tax Act – will be a treasure trove of information to special interest groups like the Retail Council of Canada, the Merit Contractors of Canada, and the Canadian Federation of Independent Business. All of whom have a vested interest in preventing workers from joining unions and exercising their collective bargaining rights. It also targets and seeks to hamper labour's advocacy for fair laws for working people, and our work to elect representatives who will work for the interests of working people.

There's simply no doubt about the real purpose of the Bill, yet this won't be an argument that will sway the fifteen to twenty Conservative caucus members who need to change their vote when this Bill comes back to the House of Commons sometime in late October or early November. We know many in the Conservative caucus like this Bill. But they might be swayed to vote no when they learn the details of the Bill that the sponsor, Russ Heibert, hasn't been honest about.

The information contained in this kit will give you the background and the key points to make when you meet with a Member of Parliament on this Bill. You want to leave that meeting knowing the MP realizes the true cost to government to set up the infrastructure to support this Bill could be in the hundreds of millions of dollars. That the Bill is discriminatory because it doesn't treat similar organizations the same. That the Bill violates the federal privacy law PIPEDA. That the Bill violates the basic legal principle of solicitor-client privilege. That the Bill turns over confidential private supplier contract information to their competitors. That the Bill would be very costly for unions to administer and for the local MP to know that the good works unions do in their communities – United Way fundraising drives, donations to local sports groups, and charitable work – all are jeopardized because of the onerous reporting requirements for union locals.

Thank you again for your help and don't forget to fill out and return your lobby report so we know where the votes stand with this Bill.

In solidarity,

Ken Georgetti President KVG:MP :nm*cope225 Tab1-MessageFromPresident

2841 Riverside Drive, Ottawa, Ontario K1V 8X7 2841, promenade Riverside, Ottawa (Ontario) K1V 8X7 Tel.: (613) 521-3400 Fax: (613) 521-4655 www.canadianlabour.ca Tél. : (613) 521-3400 Téléc. : (613) 521-4655 www.congresdutravail.ca Introduction Current Status of Bill C-377

Following voting at second reading, Bill C-377 was referred to the Standing Committee on Finance on March 14, 2012. Parliamentary rules required the Bill be sent back to the House of Commons for consideration by the Members of Parliament within sixty sitting days of the referral. The Bill was not reviewed by the Finance Committee before Parliament rose for the summer break. Therefore the Committee requested an extension of thirty sitting days from when Parliament is scheduled to reconvene in September to consider and review the Bill and to hear witnesses. The request was granted and this means Bill C-377 will not be voted on by the House of Commons any earlier than November.

Although a date has not yet been set, there will likely be a number of days set aside by the Finance Committee to hear witnesses in October.

In addition to these lobby meetings with Conservative Members of Parliament during the summer, the CLC plans to meet Members of Parliament again when Parliament returns in September, and after the Committee completes review and sends the Bill back to Parliament for final vote. CLC Summary of Bill C-377

Introduction

Bill C-377 – An Act to amend the Income Tax Act (Labour Organizations) was introduced as a Private Members Bill (PMB) on December 5, 2011 in the House of Commons. The Bill requires that the Income Tax Act be changed to make it mandatory for all labour organizations to make detailed annual financial filings covering salaries, revenues, and expenses. The information would be posted, on the Canada Revenue Agency (CRA) website, for anyone to read.

The framers of the Bill argue that workers get hundreds of millions of dollars in tax benefits through union and professional dues deductions. They point out that charities have to disclose how they spent their money on the CRA website because people get a tax benefit when they contribute to a charity. They argue that any organization that enjoys a tax exemption should be fully transparent so that taxpayers may assess the propriety of their actions and determine whether the tax exemption is being used for the intended purposes.

While the intent of the Bill seems simple enough, when you dig into the details, the Bill is onerous and labour intensive in its reporting requirements on unions, unfair in its segregation of labour organizations under the Income Tax Act, and completely discriminatory in its disclosure requirements. There seems little or no connection to the Bill’s filing and disclosure requirements over the internal affairs and expenditures of trade unions and the tax deduction and exemption rules under the federal tax authority.

The real crux of the Bill is political activity of labour organizations. Charities may engage in political activities that are ancillary or incidental to their charitable purposes, provided the charity devotes “substantially all” (generally 90% or more) of its resources to charitable activities or purposes. In no case, may the charity directly or indirectly support or oppose a particular candidate or Party. CRA monitors political activities of charities, in part, through the annual filings of the charity.

By contrast, the Lavigne Supreme Court decision (1991) affirms the rights of unions to engage in political activity without the restrictions that a charity is subject to. This allows us to question the necessity of disclosing information on political activity and lobbying to the tax authority, when the activity itself continues to be perfectly lawful and does not affect a labour organization’s tax status. Who is included? ─ Everyone!

Under the definitions of the Bill C-377, the Act defines a “labour organization” as follows:

“labour organization” includes a labour society and any organization formed for the purposes which include the regulation of relations between employers and employees and includes a duly organized group or federation, congress, labour council, joint council, conference, general committee, or joint board of such organizations.”

The definition of labour organization is quite broadly framed. Umbrella organizations that do not directly participate in negotiation and administration of collective agreements will be subject to the disclosure provisions of Bill C-377.

“Labour Trusts” have the same requirements under the Bill but there is no mention of union controlled non-profit corporations. If a non-profit corporation, for example, is considered excluded from the labour organization exemption and is structured to provide benefits to union members, it could be considered a taxable entity. This all depends on how CRA chooses to interpret the information obtained in their review of the public information returns.

What do we have to disclose?

Section 149.01 - Subsection 3 requires disclosure of financial statement to include:

• Individual transactions above $5,000 identifying the payee, payer, the purpose and description of the transaction with such transactions segregated based on accounts receivable, loans, asset sales, investments, accounts payable, and loans payable.

• Disbursements to officers, directors, and trustees must be identified in similar fashion to executive compensation disclosure in public companies, with the added disclosure of percentage of time dedicated to political and lobbying activities.

• Sub-statements disclosing disbursements to employees and contractors again with political and lobbying activities segregated and reported.

• Disbursements respecting labour relations activities, political activities, contributions, gifts and grants, administration, general overhead, organizing activities, collective bargaining activities, conferences and convention activities, education and training, legal, and categories yet to be prescribed. • International unions must disclose amounts allocated to the Canadian union or Trust and the expenditure of the labour organization or Trust both inside and outside Canada.

The drafters of this legislation are also seeking to find the proportion of salary paid to officers and employees and contrast the amount of resources dedicated to labour relations activities with political and lobbying activities.

Comparison with Charities

A Canadian charity can operate in only one of two ways: either it devotes its resources to carrying out its own charitable activities or it makes grants to qualified donees.

In contrast, the policies applied to labour organizations where it has been long recognized and accepted, that the only restriction on a labour organization’s activities in order for the tax exemption to apply, is that any commercial activities it engages in, are not the organization’s dominant purposes and that any commercial proceeds are generally used for labour organization activities.

In contrast to charities, the Supreme Court of Canada in the Lavigne case specifically recognized the importance and legitimacy of trade unions engaging in political and advocacy activities, as integrally related to collective bargaining and the broader aims of their members.

Furthermore, unlike a trade union’s activities, where decisions about which activities to engage in are part of the democratic decisions of the membership, the charity system is essentially a closed system.

Disclosure

Contrary to the general policy of the Income Tax Act that disclosure of taxation information is treated as confidential, this Bill would make all information openly accessible to the public and open to public scrutiny.

Under Bill C-377, the level of disclosure for labour organizations is far more onerous than for regular charities.

Bill C-377 requires labour organizations to make reports available to the public, through the minister, while charities have to make individualized reports, but they are not made available to the public.

There is a solid rationale for high level disclosure of governance and financial information for charities. Since charities publicly solicit donations in an open forum for the purpose of applying the donations to further charitable objects, small safeguards should be in place to ensure that the objectives communicated to potential donors are adhered to and that the money donated is dedicated to the purposes. This rationale does not extend to trade unions.

Labour organizations operate for the benefit of its members. The governance and transparency of the organization should be a matter of concern to the membership, not the general public. The nature of Bill C-377 would seem to go more to the regulation of labour organizations, a matter unrelated to fiscal enforcement or taxation. There simply does not appear to be an income tax enforcement basis for the disclosure entailed in Bill C-377.

In comparison to public and private corporations, there is nothing in the Income Tax Act that requires or leads to public disclosure of financial transactions or governance information for public and private corporations, including those that bargain with trade unions. There is nothing that singles out expenditures over $5,000 or various components of those expenditures or details of salary, political or lobbying expenditures for mandatory reporting by corporations, nor is there any required public disclosures.

Finally, there is no intention to change the existing assessment rules regarding tax exempt status and deductibility of dues. The sheer level of detail sought is not tied to assessment at all, leading one to question whether Bill C-377, as drafted, can be challenged as being outside of purposes of the Income Tax Act and beyond federal taxation authority. The purpose of the Bill appears to be to obtain information on who is engaging in, and how much money is spent on, lobbying and political activities.

The right-wing think tank, Canadian Centre for Policy Studies, claims that the “proposed changes go a long way toward restoring the right of workers to control how their dues are spent, but its only a first step. In the long run, this information will only matter if workers are allowed to opt-out of paying for non-bargaining activities with which they disagree.”

CA:sjf:nm cope225 File: 20103-01 2-Tab2 C-377 C-377

First Session, Forty-first Parliament, Première session, quarante et unième législature, 60 Elizabeth II, 2011 60 Elizabeth II, 2011

HOUSE OF COMMONS OF CANADA CHAMBRE DES COMMUNES DU CANADA

BILL C-377 PROJET DE LOI C-377

An Act to amend the Income Tax Act (requirements for labour Loi modifiant la Loi de l’impôt sur le revenu (exigences organizations) applicables aux organisations ouvrières)

FIRST READING, DECEMBER 5, 2011 PREMIÈRE LECTURE LE 5 DÉCEMBRE 2011

MR.HIEBERT M. HIEBERT

411479 SUMMARY SOMMAIRE

This enactment amends the Income Tax Act to require that labour Le texte modifie la Loi de l’impôt sur le revenu afin d’exiger que les organizations provide financial information to the Minister for public organisations ouvrières fournissent des renseignements financiers au ministre disclosure. afin qu’il puisse les rendre publics.

Also available on the Parliament of Canada Web Site at the following address: Aussi disponible sur le site Web du Parlement du Canada à l’adresse suivante : http://www.parl.gc.ca http://www.parl.gc.ca 1st Session, 41st Parliament, 1re session, 41e législature, 60 Elizabeth II, 2011 60 Elizabeth II, 2011

HOUSE OF COMMONS OF CANADA CHAMBRE DES COMMUNES DU CANADA

BILL C-377 PROJET DE LOI C-377

An Act to amend the Income Tax Act (require- Loi modifiant la Loi de l’impôt sur le revenu ments for labour organizations) (exigences applicables aux organisations ouvrières)

Her Majesty, by and with the advice and Sa Majesté, sur l’avis et avec le consentement consent of the Senate and House of Commons du Sénat et de la Chambre des communes du of Canada, enacts as follows: Canada, édicte :

R.S., c. 1 INCOME TAX ACT LOI DE L’IMPÔT SUR LE REVENU L.R., ch. 1 (5th Supp.) (5e suppl.)

1. The Income Tax Act is amended by 1. La Loi de l’impôt sur le revenu est adding the following after section 149: 5 modifiée par adjonction, après l’article 149, 5 de ce qui suit :

Definitions 149.01 (1) The following definitions apply 149.01 (1) Les définitions qui suivent s’ap- Définitions in section 149 and in this section. pliquent à l’article 149 et au présent article.

“labour “labour organization” includes a labour society « activités de relations de travail » Activités liées « activités de organization” and any organization formed for purposes which à la préparation de négociations collectives et à 10 relations de « organisation travail » ouvrière » include the regulation of relations between 10 la participation à celles-ci, ainsi qu’à l’adminis- “labour relations activities” employers and employees, and includes a duly tration et à l’application des conventions

organized group or federation, congress, labour collectives dont l’organisation ouvrière est

council, joint council, conference, general signataire.

committee or joint board of such organizations. « fiducie de syndicat » Fiducie ou fonds dans 15 « fiducie de syndicat » “labour relations “labour relations activities” means activities 15 lesquels une organisation ouvrière possède un “labour trust” activities” associated with the preparation for, and partici- intérêt juridique, bénéficiaire ou financier, ou « activités de relations de pation in, the negotiation of collective bargain- qui sont constitués et administrés en tout ou en travail » ing agreements and the administration and partie au bénéfice d’une organisation ouvrière,

enforcement of collective agreements to which de ses membres ou des personnes qu’elle 20

the labour organization is a signatory. 20 représente.

“labour trust” “labour trust” means a trust or fund in which a « organisation ouvrière » Association syndicale « organisation

« fiducie de labour organization has a legal, beneficial or ou autre organisation ayant notamment pour ouvrière » syndicat » “labour financial interest or that is established or objet de régir les relations entre les employeurs organization”

maintained in whole or in part for the benefit et les employés. Y sont assimilés les groupes ou 25

of a labour organization, its members or the 25 fédérations, congrès, conseils du travail,

persons it represents.

411479 2 Income Tax (requirements for labour organizations) 60 ELIZ. II conseils mixtes, assemblées, comités centraux et commissions mixtes dûment constitués sous l’égide d’une telle organisation.

Public (2) Every labour organization and every (2) Dans les six mois suivant la fin de chaque Déclaration information labour trust shall, within six months from the exercice, l’organisation ouvrière et la fiducie de 5 publique de return renseignements end of each fiscal period, file with the Minister a syndicat présentent au ministre, en la forme

public information return for the year, in the prescrite et contenant les renseignements pres-

prescribed form and containing the prescribed 5 crits, une déclaration publique de renseigne-

information. ments pour l’exercice.

Content of return (3) The public information return referred to (3) La déclaration publique de renseigne- 10 Contenu de la déclaration in subsection (2) shall include: ments comprend notamment :

(a) a set of financial statements for the fiscal a) les états financiers pour l’exercice, pré-

period, in such form and containing such 10 sentés en la forme prescrite et contenant les

particulars and other information as may be renseignements prescrits au sujet de la

prescribed relating to the financial position of situation financière de l’organisation ouvrière 15

the labour organization or labour trust, ou de la fiducie de syndicat, y compris :

including (i) le bilan dressé au dernier jour de

(i) a balance sheet showing the assets and 15 l’exercice,

liabilities of the labour organization or (ii) l’état des revenus et des dépenses; labour trust made up as of the last day of b) des états pour l’exercice indiquant le 20 the fiscal period, and montant total — ou la valeur comptable dans

(ii) a statement of income and expendi- le cas des investissements et des éléments

tures of the labour organization or labour 20 d’actif — des opérations et versements supé- trust for the fiscal period; rieurs à 5 000 $ et précisant pour chacun le

(b) a set of statements for the fiscal period nom et l’adresse du payeur et du bénéficiaire, 25

setting out the aggregate amount of all l’objet et la description de l’opération, ainsi

transactions and all disbursements — or book que le montant précis payé ou reçu, ou à

value in the case of investments and 25 payer ou à recevoir, y compris :

assets — over $5,000 shown as separate (i) l’état des comptes débiteurs,

entries along with the name and address of (ii) l’état des prêts en cours, y compris les 30 the payer and payee, the purpose and prêts supérieurs à 250 $ consentis à des description of the transaction and the specific cadres, à des employés, à des membres ou amount that has been paid or received, or that 30 à des entreprises, is to be paid or received, including

(iii) un état de la vente d’investissements (i) a statement of accounts receivable, et de biens immobilisés corporels indiquant 35

(ii) a statement of loans receivable, in- pour chacun la description, le coût, la

cluding all loans to officers, employees, valeur comptable et le prix de vente,

members or businesses exceeding $250, 35 (iv) un état de l’achat d’investissements et (iii) a statement showing the sale of de biens immobilisés corporels indiquant investments and fixed assets including a pour chacun la description, le coût, la 40 description, cost, book value, and sale valeur comptable et le prix d’achat,

price, (v) l’état des comptes créditeurs, (iv) a statement showing the purchase of 40

investments and fixed assets including a (vi) l’état des emprunts,

description, cost, book value, and price

paid,

2011 Impôt sur le revenu (exigences applicables aux organisations ouvrières) 3 (v) a statement of accounts payable, (vii) un état indiquant, d’une part, les versements effectués au bénéfice des (vi) a statement of loans payable,

cadres, des administrateurs et des fiduciai- (vii) a statement of disbursements to res, notamment le salaire brut, les alloca- officers, directors and trustees including tions, les paiements périodiques, les 5 gross salary, stipends, periodic payments, 5 avantages sociaux (y compris les obliga- benefits (including pension obligations), tions de prestations de retraite), les véhi- vehicles, bonuses, gifts, service credits, cules, les primes, les dons, les crédits de lump sum payments, other forms of service, les paiements forfaitaires, les remuneration and, without limiting the autres formes de rémunération et, sans 10 generality of the foregoing, any other 10 que soit limitée la portée générale de ce qui consideration provided, and a record of précède, toute autre rétribution versée et, the percentage of time dedicated to polit- d’autre part, le pourcentage du temps ical activities and to lobbying activities, consacré à la conduite d’activités politi-

(viii) a statement of disbursements to ques et d’activités de lobbying, respective- 15

employees and contractors including gross 15 ment,

salary, stipends, periodic payments, bene- (viii) un état indiquant, d’une part, les fits (including pension obligations), vehi- versements effectués au bénéfice des em- cles, bonuses, gifts, service credits, lump ployés et des entrepreneurs, notamment le sum payments, other forms of remunera- salaire brut, les allocations, les paiements 20 tion and, without limiting the generality of 20 périodiques, les avantages sociaux (y the foregoing, any other consideration compris les obligations de prestations de provided, and a record of the percentage retraite), les véhicules, les primes, les dons,

of time dedicated to political activities and les crédits de service, les paiements

to lobbying activities, forfaitaires, les autres formes de rémuné- 25

(ix) a statement of disbursements on 25 ration et, sans que soit limitée la portée

labour relations activities, générale de ce qui précède, toute autre

rétribution versée et, d’autre part, le pour- (x) a statement of disbursements on polit- centage du temps consacré à la conduite ical activities, d’activités politiques et d’activités de 30

(xi) a statement of disbursements on lobbying, respectivement,

lobbying activities, 30 (ix) l’état des déboursés relatifs aux acti-

(xii) a statement of contributions, gifts, vités de relations de travail,

and grants, (x) l’état des déboursés relatifs aux acti-

(xiii) a statement of disbursements on vités politiques, 35

administration, (xi) l’état des déboursés relatifs aux acti-

(xiv) a statement of disbursements on 35 vités de lobbying,

general overhead, (xii) l’état des contributions, dons et

(xv) a statement of disbursements on subventions,

organizing activities, (xiii) l’état des déboursés relatifs à l’admi- 40

nistration, (xvi) a statement of disbursements on

collective bargaining activities, 40 (xiv) l’état des déboursés relatifs au paie-

ment des coûts indirects, (xvii) a statement of disbursements on

conference and convention activities, (xv) l’état des déboursés relatifs à l’orga-

(xviii) a statement of disbursements on nisation d’activités, 45

education and training activities,

4 Income Tax (requirements for labour organizations) 60 ELIZ. II (xix) a statement of disbursements on (xvi) l’état des déboursés relatifs aux legal activities, and activités de négociations collectives,

(xx) any other prescribed statements; (xvii) l’état des déboursés relatifs aux

activités liées à des conférences et à des (c) a statement showing all labour relations assemblées, 5 expenditures, as set out in the statement 5

referred to in subparagraph (b)(ix), and all (xviii) l’état des déboursés relatifs aux

non-labour relations expenditures, as set out activités d’information et de formation,

in the statements referred to in subparagraphs (xix) l’état des débours judiciaires, (b)(x) to (xii), including the relative amounts (xx) tout autre état prescrit; of the salaries paid to officers and employees 10

as disclosed by the statements referred to in c) un état de l’ensemble des dépenses liées 10

subparagraphs (b)(vii) and (viii); and aux relations de travail indiquées dans l’état

visé au sous-alinéa b)(ix) et des dépenses non (d) in the case of a labour organization or liées aux relations de travail indiquées dans labour trust having its headquarters situated les états visés aux sous-alinéas b)(x) à (xii), y outside Canada, a statement in the prescribed 15 compris les montants relatifs des salaires 15 form and containing such particulars as may payés aux cadres et aux employés qui sont be prescribed showing exposés dans les états visés aux sous-alinéas

(i) amounts paid or credited to the labour b)(vii) et (viii);

organization or labour trust in the fiscal d) dans le cas d’une organisation ouvrière ou period by, on behalf of or in respect of 20 d’une fiducie de syndicat dont le siège est 20 taxpayers resident in Canada, and situé à l’étranger, un état présenté en la forme

(ii) expenditures made by the labour prescrite et contenant les renseignements

organization or labour trust in the fiscal prescrits, qui indique :

period inside or outside Canada and (i) les montants versés ou crédités à recorded separately in the accounts of the 25 l’organisation ouvrière ou à la fiducie de 25 labour organization or labour trust as being syndicat au cours de l’exercice par des directly related to its operations in Canada. contribuables résidant au Canada ou pour

le compte ou à l’égard de ceux-ci,

(ii) les dépenses engagées par l’organisa-

tion ouvrière ou la fiducie de syndicat au 30

cours de l’exercice, au Canada ou à

l’étranger, et inscrites séparément dans

ses comptes à titre de dépenses directement

liées à ses activités au Canada.

Information may (4) Despite section 241, the information (4) Malgré l’article 241, le ministre commu- 35 Communication be contained in the public information return nique au public les renseignements contenus de communicated renseignements referred to in subsection 149.01(2) shall be 30 dans la déclaration publique de renseignements

made available to the public by the Minister, visée au paragraphe 149.01(2), notamment en

including publication on the departmental les publiant sur le site Internet du ministère dans

Internet site in a format that allows for word un format permettant la recherche par mot et les 40

searches to be performed and for cross- renvois croisés entre les données.

referencing of data. 35

2. Section 239 of the Act is amended by 2. L’article 239 de la même loi est modifié

adding the following after subsection (2.3): par adjonction, après le paragraphe (2.3), de ce qui suit : 2011 Impôt sur le revenu (exigences applicables aux organisations ouvrières) 5

Offence: section (2.31) Every labour organization or labour (2.31) L’organisation ouvrière ou la fiducie Contravention : 149.01 trust that contravenes section 149.01 is guilty of de syndicat qui contrevient à l’article 149.01 article 149.01 an offence and liable on summary conviction to commet une infraction et encourt, sur déclara-

a fine of $1,000 for each day that it fails to tion de culpabilité par procédure sommaire, une

comply with that section. 5 amende de 1 000 $ pour chacun des jours où elle 5

omet de se conformer à cet article.

COMING INTO FORCE ENTRÉE EN VIGUEUR

Coming into 3. This Act comes into force six months 3. La présente loi entre en vigueur six Entrée en force after the day on which it receives royal mois après la date de sa sanction. vigueur assent.

Published under authority of the Speaker of the House of Commons Publié avec l’autorisation du président de la Chambre des communes Available from: Disponible auprès de : Publishing and Depository Services Les Éditions et Services de dépôt Public Works and Government Services Canada Travaux publics et Services gouvernementaux Canada Ottawa, Ontario K1A 0S5 Ottawa (Ontario) K1A 0S5 Telephone: 613-941-5995 or 1-800-635-7943 Téléphone : 613-941-5995 ou 1-800-635-7943 Fax: 613-954-5779 or 1-800-565-7757 Télécopieur : 613-954-5779 ou 1-800-565-7757 [email protected] [email protected] http://publications.gc.ca http://publications.gc.ca Bill C-377 Core Message and Talking Points

There are 6 core messages to deliver to Members of Parliament:

• The Bill is trying to solve a problem that doesn't exist as unions are transparent to their members and members have access to generally accepted financial statements. This Bill goes further than generally accepted accounting statements, creating onerous red tape reporting that won't apply to similar organizations.

• Bill C-377 will be very costly for the government to set up and administer. The complexity of the database could make the gun registry database look like a bargain. At a time of government restraint, why would they impose a burden on the taxpayer to provide complex information that will only benefit special interest groups who don't want to see their employees vote in favour of having a union?

• The Bill is discriminatory. It does not apply to similar professional organizations that require members to pay dues and as a result, receive a taxable benefit. Only unions are covered by this legislation.

• The Bill violates privacy laws – including the federal Personal Information Protection and Electronic Documents Act (PIPEDA) and according to the Multi- Employer Benefit Council of Canada, almost certainly the Ontario Health Information Act, 2004.

• The Bill violates a basic legal principle of solicitor-client privilege.

• The Bill is so flawed, no amendments to it could ever fix it. The Members of Parliament should vote no to C-377. 1. This is a Bill trying to solve a problem that doesn’t exist.

 Labour organizations are an example of organizations providing transparency to their members.

 Generally accepted financial statements are already open to all union members. Unions do this kind of reporting to their members because they are open and democratic organizations.

 Most provincial labour codes require unions to provide standard financial reporting to their members.

 A number of unions already distribute financial reports to their members on an annual basis.

2. This Bill will be very costly for the government to set up and administer, and it will therefore cost taxpayers a lot of money.

 There are 25,000 union organizations and internal divisions of union organizations in Canada that will have to file incredibly detailed reports under this Bill. All those reports will have to be processed.

 There will be a huge cost to government to develop all of the regulations needed to enact the legislation, to develop and prepare all of the forms and instruction booklets required, to develop the software programs to file, receive and process the information, and to develop an online searchable database. A conservative estimate is that this will generate additional costs in the hundreds of millions of dollars.

 The government will need to employ many full-time staff: auditors, accountants, lawyers and administrative workers to process those reports. In comparison, there are currently about 100 employees at Canada Revenue Agency (CRA) processing and auditing charities which have disclosure requirements not even close to the detailed reporting requirements that are proposed in this Bill.

 The Bill would serve no useful purpose and will only cause needless busy work for unions – but will benefit employers.

 This Bill would allow employers and anti-union groups to get extremely detailed information about everything a union spends money on, and how strong the union they are bargaining with is. This information which will be provided to these groups, at taxpayers' and union expense, can be used to threaten collective bargaining rights and organizing drives.  In the United States, a similar database is a gold mine of information for anti-union employers.

 The strongest supporters of this Bill in Canada are the Merit Shop Contractors and other open shop contractors (many of these contractors are resisting union efforts to use properly trained and qualified tradespeople), the Canadian Federation of Independent Business, and the Fraser Institute.

 Russ Hiebert stood in the Parliament and made statements that are completely false and designed to mislead people. Hansard, the official record of debates in Parliament reports that he stated, “unions already file detailed financial returns with CRA, providing much of this information.” That statement is simply untrue.

 He also said, “filing would not impose any additional outside expense on labour organizations.” Again, this is not true. The United States Office of Management and Budget estimates that in the US, completing the forms under their legislation, (which requires far less information than Bill C-377) requires over 550 hours of work each year – the equivalent of one person working for three months to complete the task.

 The Canadian legislation would apply to all national, international, and regional unions, components and local unions along with Federations of Labour and Labour Councils – approximately 25,000 organizations.

 Most of the local unions and many smaller national unions, which depend on volunteers to carry out their work, simply do not have the resources to do this themselves and if required to hire professional staff from outside, may need to reduce expenditures in other areas to offset the increased cost of compliance.

 Hard working women and men pay into their labour organizations to protect and advance their rights in the workplace and in society. The time and money allocated to do those reports will be money not spent by labour organizations to defend their members.

 The proposed Bill is an intrusion into the internal affairs of unions to provide information to employers and anti-union groups while penalizing unions with significantly increased costs.

3. The Bill is discriminatory.

 The Bill's discriminatory treatment of unions reveals a hidden agenda.

 This legislation does not apply to other organizations that also charge dues that are tax deductible by the members such as professional organizations like the Law Societies and the Canadian Medical Association.

 The fact that the proposed legislation only targets unions reveals a hidden agenda where taxpayers bear the cost of collecting and making detailed information available to big businesses who don't want their employees to exercise their right to join a union.

4. Privacy rights would be violated.

 This Bill violates the privacy rights of many individuals, companies, and organizations. It requires that all transactions and all disbursements over $5,000 be shown along with the name and address of the payer and the payee, the purpose and description of the transaction and the specific amount.

 This means every business or professional that does work for a union will have all of the information about what they are charging and what their contracts are, disclosed to the public, and therefore to their competitors. The effect would be bad for businesses that have contracts with union offices. Businesses like photocopier suppliers, telecommunications companies, and office supply companies would have their negotiated contracts publicly available for their competitors to see.

 Trusteed pension and health plans will have to disclose the details of all pension and health related expenditures over $5,000, which again violates individual privacy rights.

 The requirement that there be a report of all disbursements to employees means that everyone from the receptionist who answers the phone at a union office, to the president will have their names, salaries and benefits disclosed to the public. Yet the Prime Minister's Office says it cannot disclose the salaries of people working there because it would be an invasion of privacy. Sounds like a double standard.

5. Solicitor-client privilege would be violated.

• The Bill would also require labour organizations to disclose specific details of any invoice from a legal firm over $5,000. This is a gross violation of solicitor client privilege. No one should be required to disclose to the government and the public, the details of their relationship with their legal counsel. 6. The hidden agenda – interference in labour relations.

 This Bill is not at all about taxes, so it doesn’t belong in the Income Tax Act. It is clearly interference in the labour laws of this country, most of which are in provincial jurisdiction. It is an overt interference in the labour relations process designed to give significant advantages to employers, at taxpayers' expense.

MP:nm*cope225 Tab3 Bill C-377 and Privacy Rights

Bill C-377 requires labour organizations to file with the Canada Revenue Agency (CRA) a set of statements setting out all transactions and disbursements over $5,000 along with the name and address of the payee, the purpose and description of the transaction and the specific amount received.

This will include all payments of $5,000 or more to suppliers for wireless services, information technology services, photocopiers and printers, building maintenance, grounds keeping, legal services, payments to staff and elected officials, per capita payments to other organizations, charitable donations, or expense reimbursements to employees.

All of this, including the names and addresses of the recipients, will be available on the CRA website.

The Bill also covers “labour trusts” which is defined as a fund in which a labour organization has a “legal, beneficial or financial interest or that is established or maintained in whole or in part for the benefit of a labour organization, its members or the persons it represents.”

This very broad definition, according to a number of legal counsel who work on financial trusts, includes pension plans in which a union or its members have an interest, all trust funds including health and safety trusts, training trusts, health and welfare trusts and apprenticeship trusts.

This means that any payment that is $5,000 or more to any individual from a pension plan or trust fund with union members as beneficiaries will have to be reported to the CRA and published on their website.

Let's put this privacy concern into perspective. If a health plan trust reimburses a union member for prescription drugs or a medical procedure that is $5,000 or more, the member's name, address and what drugs or medical procedure was performed will have to be reported to the CRA, which will then go on a public website for anyone to see.

A recent article in the journal of the International Foundation of Employee Benefit plans by D. Cameron Hunter and Karen DeBortoli, and a letter to the Finance Minister from the Multi-Employer Benefit Plan Council of Canada both address this issue.

MP:nm*cope225 Tab4

Bill C-377 and Solicitor-client Privilege

Bill C-377 requires unions to disclose all payments over $5,000 to legal counsel and law firms including a description of the transaction and the specific amount that has been paid. A number of lawyers and law associations such as the Canadian Association of Labour Lawyers have expressed considerable concern at this significant intrusion into the principle of solicitor-client privilege. This issue and overall confidentiality of dealings with an organization’s legal counsel are fundamental to our legal system and the rule of law.

A specialist in tax and estate planning wrote an article for the Ottawa Business Journal in September expressing concerns on what he believes is an attack on our constitutionally protected right to confidentiality.

MP:nm*cope225 Tab5

Private Enterprise Beware!

An overlooked effect of Bill C-377 is the impact on private businesses that have contracts with unions. Businesses from hotels, to telecommunications firms, from printers to public relations firms should be concerned by the Bill's requirement for unions to report, for the public to view, disbursements over $5,000 – the payee, the payee's address, and the reason for the disbursement.

The service industry is highly competitive and once companies learn they can find out the details of their competitors’ contracts with unions on a public website paid for by the government, they will learn they can rely on this treasure trove of information to tailor their bids for contracts.

The Canadian Labour Congress has written to its suppliers to bring this Bill to their attention, as have many of our affiliates. People meeting with Members of Parliament may want to bring up the possibility of these unintended consequences for private enterprises – a potential vulnerable spot for Conservatives.

MP:nm*cope225 TAB6Intro March 1, 2012 File: 20105-04

Letter to suppliers

Dear

As one of your customers, we are writing to bring your attention to a Private Member’s Bill that has been introduced in Parliament that would amend the Income Tax Act, Bill C-377that may affect your business operations.

If this legislation passes, the Canadian Labour Congress (CLC) would be required, under a new Section 149.01 (3) (b) of the Income Tax Act, to submit to the Canada Revenue Agency (CRA) for publication on a public website, a detailed statement of all disbursements over $5,000. The statement would require the name and address of the payee, the purpose of the transaction, a detailed description of the transaction, and the specific amount paid. Additionally, another proposed amendment to the Income Tax Act would require that we provide a statement of disbursements to all contractors, including information on salaries and other forms of remuneration.

What this means is that we must provide to CRA a detailed description of any contractual arrangements we have with you and all financial transactions exceeding $5,000 paid to you, all of which will be posted on a public government website.

Therefore, significant information relating to our dealings with your company will be publicly available to your competitors if this Bill passes. It is my belief that this information should not be published on a government website and that this information should be retained on a confidential basis between the CLC and your company.

This Bill is currently at an early stage of proceedings in the House of Commons, with a debate scheduled for March 13th and a vote likely to occur the following week. If passed, the Bill would then be referred to the Parliamentary Finance Committee for consideration and potentially public hearings. .../2 – 2 –

If you find the Bill objectionable, in that your confidential business dealings with customers would be available to your competitors, you may wish to make your views known to the Finance Committee (see attached sheet for names and addresses), the Federal Finance Minister Jim Flaherty and Canada Revenue Agency Minister Gail Shea. You also may wish to consider appearing as a witness when hearings are called.

If you are interested in learning more about the implications of this Bill, we would be pleased to provide you with a briefing.

Yours truly,

Hassan Yussuff Secretary-Treasurer

Attachments cc:

HY:sjf/fhcope225 Tab6LetterSuppliers Addressing Conservative Spin – Myths and Facts

The Conservatives, along with their friends in the National Citizens Coalition, Canadian Federation of Independent Business, Labour Watch and the Merit Contractors, have made a number of statements justifying Bill C-377 that are either completely wrong or totally misleading.

For example, Russ Hiebert, when asked if he had received any complaints from union members saying they could not get any financial information from their union, said he had received not a single one. However, he did say he “received plenty of input concerning the statements that would best illustrate how unions use their public benefits to help their members.”

When asked by a reporter at the press conference if he had talked to other groups, the sponsor of the Bill replied, “Other stakeholders? Absolutely. Yeah, I’ve canvassed broadly people who would have an interest in this legislation, both union members, union leaders, business leaders, the public.” When the journalist said, “But you cannot give us names?” Mr. Hiebert replied, “Absolutely not.”

He also has said that “[the] government's document production cost will be minimal once the electronic production system, the database and the website are in place.” However, the cost of developing all of this could be more than it cost to develop the long gun registry database in which an individual only had to register a long gun once and it was only accessible to law enforcement officials. Under Bill C-377, the over 25,000 labour organizations in Canada must file complex information on an annual basis for publication on a website. The website is linked to a massive searchable database with cross-referencing capabilities. This will entail a significant cost to government.

In the United States, when similar legislation was introduced in 1992, then representative Newt Gingrich urged the adoption of extensive reporting requirements because it would “weaken our opponents and encourage our allies.”

Conservative activist Grover Norquist stated explicitly that “every dollar that is spent (by labour unions) on disclosure and reporting is a dollar that can’t be spent on other labour union activities.” Norquist stated candidly, “We’re going to crush labour as a political entity,” and eventually, “break unions.”

Read more for the facts! Addressing Russ Hiebert's Myths and Conservative Spin

Analyze Russ Hiebert's rationale for Bill C-377 and you'll find him either to be woefully uninformed about current laws regulating trade unions, or repeating unsubstantiated myths to bolster his arguments. Conservative Members of Parliament who've responded to union members' concerns about the bill also demonstrate how equally uninformed they are about existing laws and regulations concerning unions – sometimes contradicting themselves. Here are the facts!

Myth Fact Unions receive $400 million per year in Unions do not receive any public subsidy – public subsidies through the tax code. workers and their families receive this money back in income tax deductions, NOT unions. The tax treatment of these workers is exactly the same as that for members of the Law Society, Medical Association or employers who belong to a contractors’ association. Some provinces regulate union finances and Constitutionally, trade unions are regulated their disclosure, others do not. C-377 seeks by the Provinces, and some Provinces have to ensure that all union finances are opted not to regulate union finances because regulated. the transparency and accountability provided by the union by‐ laws and constitutions would be redundant and create unnecessary government bureaucracy. Union executives do not disclose their Most unions already disclose their salaries and benefits, nor do unions disclose executives’ salaries and benefits packages to their books. their members. All union members have access to union books and financial statements including expenditures. The right to access this information is clearly stipulated in local union by‐ laws and union Constitutions. Anyone who's been to a monthly local union meeting knows how detailed the treasurer's report is to the members. Unions are large, public entities, and should Unions are not publicly funded like crown be regulated the same way charities, crown corporations, nor do they receive special tax corporations, and politicians are. breaks like charities. Unions receive dues from members who elect to join and work in the industry. Members elect their leaders and do not re‐ elect those who fail to deal fairly with them. Union dues are paid for services provided to the member at work. Why all the fuss? Much of the information Unions do not pay direct income taxes under C-377 is asking for is already filed by the law so they do not file income tax organizations when they prepare their returns. income tax submissions. Myth Fact Alright then, unions should be required to Unions pay all other levies and sales taxes provide CRA with audited financial like the HST, but because of their status, statements. they don't get the tax credits businesses get for the payroll and sales taxes they pay. Union trust funds, pension funds, societies and other entities that fall into the not‐‐ for profit area as defined by CRA file the appropriate financial information with them yearly. Unions should disclose financial information The Income Tax Act does not govern trade to the public under the auspices of the unions nor does it regulate them. Unions do Income Tax Act. not receive special subsidies or public dollars. Only individual union members and their families qualify for tax deductions on the dues they pay. These members are treated the same way that a doctor, lawyer or accountant is in respect to their membership dues. The reporting requirements for unions under The information this bill requires unions to this bill are no different from the reporting report far exceeds the detail and amount requirements registered charities make to required by charities and even publicly the CRA each year. traded companies. The details that will be publicly available on websites are so intrusive that they violate Canada's privacy laws. The cost to comply with C-377 will be The costs to the unions, trust funds, pension negligible. funds and health benefit funds will be enormous. The ‘experts’ say it will add 20% to the current costs, and for some of the pension funds it will require them to file returns “….the size of a large city’s phone book.” For union headquarters alone, we estimate the costs of retooling their accounting structures and the additional staff required to administer the reporting requirements to be $400,000 annually for each national union. Who knows what the cost will be for the 25,000 union locals that exist in Canada who will also need to comply. For pension funds that are already highly regulated through other legislation and oversight bodies like the Office of the Superintendent of Financial Institutions, the additional administrative expense of Bill C-377 will take money from pension plan beneficiaries and transfer it to needless administrative expenses. Myth Fact Only when a union controls a pension fund Wrong. According to an analysis by the will it be required to comply with C-377. International Foundation of Employee Benefit Plans, the bill will apply to all plans that pay benefits to union members and they will need to make details of any pension and benefit payment exceeding $5,000 yearly publicly available. The Multi-Employer Benefit Plans Council of Canada has come to the same conclusion.

MP:nm*cope225 Tab7MythsFacts.odt LOBBY FUNDAMENTALS

LOBBYING WORKS!

Lobbying is the process of trying to influence decision makers so that they do what we want them to do. It is as old as politics itself, and just as legitimate. If you’ve ever doubted whether lobbying can make a difference, just look at what the labour movement has accomplished in the last two years on Parliament Hill. We’ve achieved the Wage Earners Protection Program in cases of bankruptcy, made improvements to federal regulations on Violence in the Workplace and on Ergonomic Issues. We have really kept the issues of child care, EI and anti-scab legislation prominently in the minds of the politicians through our labour council and affiliate lobbies.

Politicians often have little or no knowledge of the range of opinions on issues, or why we take the positions we do. This makes it crucial that our lobbying provide a counter-balance to the lobbying efforts of the corporate sector and the constant business-oriented media barrage that politicians are influenced by. Politicians must be given the opportunity to understand our views. They must come to respect the fact that union activists are not only representing the best interests of workers and speaking on their behalf, but that we are also taxpayers and consumers, we live in communities... and we vote.

As well, you don’t have to be an expert on national issues to lobby a politician. Concentrate more on the effect of the issue in your community. Stick to the community side of the issue, because that’s the area where you are the expert. Concentrate on the effect of the issue in your community.

MANY PEOPLE BELIEVE POLITICIANS KNOW MORE THAN THEY DO OR THEY WOULDN’T BE IN DECISION-MAKING POSITIONS. THEY THINK THEY AREN’T ARTICULATE ENOUGH OR THAT THEY’LL FREEZE UP WHEN THEY APPROACH THE POLITICIANS; MAYBE THEY’LL BE ASKED QUESTIONS THEY CAN’T ANSWER.

Often we forget that a politician’s job is to serve us. That’s why they were elected to office. We forget that it’s us, the voters, who hold the power.

Experienced lobbyists will tell us that once you start meeting the politicians you’ll see the mystique that surrounds them dissolve. They’re just ordinary people who come from a variety of backgrounds. And they’re always responsive to the voters – the people who can affect their future.

The key question is how do we get our members to talk to politicians about issues that affect them. The leadership of unions certainly can’t do it alone and the active membership has got to take a stake in our issues. Our opposition has the money and the media but we have the numbers to make a difference. YOUR LOBBY TEAM

YOU DON’T NEED TO GO ALONE. IT’S BETTER TO MEET WITH POLITICANS AS A TEAM. BEFORE YOU GO INTO THE LOBBY MEETING, MAKE SURE THE TEAM DECIDES:

• who will be the chief spokesperson;

• who will ask each of the questions; and

• who will be the Lobby Reporter.

The Lobby Reporter is responsible for filling out the Lobby Report and responsible for sending it back to the CLC Regional Office.

MEETING A POLITICAN

FOR SOME PEOPLE, MAKING THE PHONE CALL TO THE POLITICIAN’S OFFICE TO SET UP A MEETING IS NOT DIFFICULT. THE PERSON WHO IS RESPONSIBLE FOR SETTING UP THE MEETING IS THE ASSISTANT.

Sometimes when you phone for a meeting, the Assistant will ask a lot of questions, get into a debate about the issue and try to discourage you from asking for a meeting. Sometimes they will say they will schedule a meeting, but give you no firm commitment.

TRY A FEW OF THESE TIPS:

• As a constituent, ask for a meeting with your local representative.

• When asked the nature of the meeting, give a short answer such as:

“I wish to speak to the MP about retirement security and pensions. I represent many workers in this riding and would like to discuss some specific things with the MP.”

• If the Assistant tries to argue with you, discourage you, or even change your mind about asking for a meeting, do not engage in a debate or discussion.

• Advise the Assistant that you want to speak with your political representative – in person.

• If necessary, remind the Assistant that, as a voter, you have the right to meet with your elected representative.

• Press for a commitment on a date and time convenient to you. • Follow-up with the politican’s office staff to ensure that you get a meeting.

• Confirm the meeting a few days before you attend.

• If you cannot get a meeting, e-mail the politician directly or phone their other office.

Remember, if you are a constituent, you have a right to meet with your local politician at her/his office. That’s why it is always important to have one or more members who live in the riding to be part of the lobby you or your union local arranges. Once the Assistant confirms the meeting, say how many people will accompany you.

PLANNING THE MEETING

• ARRANGE A PRE-LOBBY MEETING

Members of the lobby delegation should have a prior meeting to discuss what you’re going to say. Decide what you want to discuss and the points you want to make. Practice making your pitch.

• KNOW YOUR AUDIENCE

Remind your representative that the retirement security crisis affects many of her/his constituents. Politicians will be genuinely interested; others will be preoccupied with their own interests. Try to stick to your subject! Your goal is to persuade others to support your position.

• KNOW YOUR SUBJECT

Speak about what you know and how it affects your co-workers and community. Anticipate questions and arguments and be prepared to respond. Don’t be afraid to say you don’t know the answer to some points – offer to get back with information and be sure you follow through.

• BE CLEAR AND CONCISE

Don’t try to cover too much ground. Confine your comments to specific issues. Explain your position and don’t assume everyone understands your point of view. Speak confidently and persuasively.

• BE A GOOD LISTENER

Try to determine areas of agreement. Avoid arguments and don’t lecture. If the politician favours your position, ask for help in identifying and persuading the government. • LEAVE THE DOOR OPEN

Try to prevent outright rejection of your position. Emphasize your areas of agreement, not your differences.

• DON’T BE DISCOURAGED BY FAILURE

Not everyone will be sympathetic or supportive. Don’t allow an early failure to stop you from continuing to lobby.

LOBBY DAY CHECK LIST

• BEFORE THE MEETING

1. Read the issue document and backgrounders.

2. Bring the “Leave Behind Kit” with you to the meeting.

3. Meet 15 minutes before appointment time at a location near the politician’s office.

4. Make sure you know who will take the lead and who will write the Lobby Report.

5. Establish when other lobby group members will add comments or answer questions.

• AT THE MEETING

1. Introduce yourself.

2. Make a statement of your position.

3. Discussion, clarification, response to questions.

4. Commitments to follow-up, if necessary.

5. Thank you and good-bye.

POINTERS FOR THE DISCUSSION

Talk from your own experience as a worker. Stick to what you know.

Always offer to follow-up if you’re asked a question you can’t answer. Then make sure you get back to the politician with the information.

Try to keep control of the meeting. Don’t get sidetracked; stick to the issue at hand. Know what you’re going to say and what you want from the politician. Review and practice the following speaker notes or put them in your own words.

Try to get a commitment from the politician at the end of the meeting. Ask her/him if they will support the policies you have outlined. Do you also want her/him to try to soften up other politicians?

• AFTER THE MEETING

1. Sit down and talk about what was said during the meeting and decide what, if any, follow-up action is required and who will do it, right away.

2. Fill out your Lobby Report, right away! Send it to the CLC Regional Office listed on the report.

3. Communicate with your membership about your meeting and expectations.

4. Encourage co-workers to phone the politician if you are not satisfied with the meeting.

• FOLLOW-UP

1. Send a thank you letter promptly to the politician. Include any additional information you may have promised and repeat your main requests.

2. Fill out your Lobby Report and return it to the CLC Regional Office.

3. Set up another meeting, if necessary.

cope225 Member of Parliament Lobby List

ATLANTIC Last Name First name Riding Prov The Honourable Penashue Peter Labrador (10004) NL Mr. Williamson John New Brunswick Southwest (13008) NB The Honourable Shea Gail Egmont (11003) PEI M. Goguen Robert Moncton--Riverview--Dieppe (13007) NB Mr. Weston Rodney Saint John (13009) NB Mr. Keddy Gerald South Shore--St. Margaret's (12009) NS Mr. Kerr Greg West Nova (12011) NS The Honourable MacKay Peter Gordon Central Nova (12002) NS

PRAIRIES Last Name First name Riding Prov Mr. Toet Lawrence Elmwood--Transcona (46005) MB Ms. Bateman Joyce South Centre (46014) MB Ms. Smith Joy Kildonan--St. Paul (46006) MB Mr. Komarnicki Ed Souris--Moose Mountain (47012) SK Mr. Lukiwski Tom Regina--Lumsden--Lake Centre (47007) SK The Honourable Scheer Andrew Regina--Qu'Appelle (47008) SK Mrs. Block Kelly Saskatoon--Rosetown--Biggar (47010) SK Mr. Boughen Ray Palliser (47005) SK Mr. Goldring Peter (48013) AB The Honourable Ambrose Rona Edmonton--Spruce Grove (48017) AB

PACIFIC Last Name First name Riding Prov Mr. Mayes Colin Okanagan--Shuswap (59018) BC Mr. Cannan Ronald Kelowna--Lake Country (59011) BC Mr. Harris Richard Cariboo--Prince George (59004) BC Mr. Wilks David Kootenay--Columbia (59012) BC The Honourable Fast Edward Abbotsford (59001) BC The Honourable Wong Alice Richmond (59023) BC The Honourable Duncan John Vancouver Island North (59031) BC Dr Lunney James Nanaimo--Alberni (59014) BC ONTARIO Last Name First name Riding Prov Mr. Brown Gordon Leeds--Grenville (35041) ON Mr. Norlock Rick Northumberland--Quinte West (35058) ON Mr. Stanton Bruce Simcoe North (35086) ON Mr. Van Kesteren David Chatham-Kent--Essex (35013) ON Ms. Davidson Patricia Sarnia--Lambton (35078) ON Mr. Devolin Barry Haliburton--Kawartha Lakes--Brock (35029) ON Mr. Dykstra Richard St. Catharines (35076) ON M. Galipeau Royal Ottawa--Orléans (35063) ON The Honourable Baird John Ottawa West--Nepean (35066) ON The Honourable Goodyear Gary Cambridge (35011) ON Mr. Lemieux Pierre Glengarry--Prescott--Russell (35025) ON Mr. Albrecht Harold Kitchener--Conestoga (35038) ON Mr. Allison Dean Niagara West--Glanbrook (35055) ON Mr. Woodworth Stephen Kitchener Centre (35037) ON Mr. Del Mastro Dean Peterborough (35071) ON Mr. Woodworth Stephen Kitchener Centre (35037) ON The Honourable Flaherty James Whitby--Oshawa (35099) ON Mr. Lauzon Guy Stormont--Dundas--South Glengarry (35087) ON Mr. MacKenzie Dave Oxford (35067) ON The Honourable O'Connor Gordon Carleton--Mississippi Mills (35012) ON Mr. Preston Joe Elgin--Middlesex--London (35020) ON The Honourable Raitt Lisa Halton (35030) ON Mr. Schellenberger Gary Perth--Wellington (35070) ON Mr. Woodworth Stephen Kitchener Centre (35037) ON Mr. Aspin Jay Nipissing--Timiskaming (35057) ON The Honourable Gosal Bal Bramalea--Gore--Malton (35006) ON Mr. Lizon Wladyslaw Mississauga East--Cooksville (35048) ON Mr. Chisu Corneliu Pickering--Scarborough East (35072) ON Ms. James Roxanne Scarborough Centre (35081) ON Ms. Truppe Susan London North Centre (35043) ON Mr. Hayes Bryan Sault Ste. Marie (35079) ON Mr. Butt Brad Mississauga--Streetsville (35051) ON Ms. Ambler Stella Mississauga South (35050) ON Mr. Rickford Greg Kenora (35035) ON Ms. Adams Eve Mississauga--Brampton South (35047) ON Mr. Seeback Kyle Brampton West (35008) ON Mr. Watson Jeff Essex (35021) ON Dr Carrie Colin Oshawa (35061) ON

cope225 Bill C-377 An Act to amend the Income Tax Act

MP Lobby Report

Date of Meeting:

MP’s Name:

Riding:

Place of Meeting:

Name of Executive Assistant:

Executive Assistant Email:

Phone:

Return to CLC Regional Office within two days of meeting the the MP

Atlantic Ontario Prairies Pacific 2282 Mountain Road 401-15 Gervais Drive 1888 Angus Street 201-5118 Joyce Street Moncton, NB E1G 1B4 Don Mills, ON M3C 1Y8 Regina, SK S4T 1Z4 Vancouver, BC V5R 4H1 [email protected] [email protected] [email protected] [email protected] Lobby Participant on behalf of the Canadian Labour Congress

First Name: ______Initials: Last Name:

Union & Local: ______

Position on:Local Union: ______

Address: ______

City: ______Province: Postal Code:

Phone: ______Fax:

E-mail: ______

1. Do you think that your MP understands the issue? Yes No

Comments:______

______

2. Did your MP commit to support the CLC’s position on the issue? Yes No

Do you think the MP will talk to their colleagues about support and endorsement of the CLC’s position on Bill C-377? Yes No Comments:______

______

3. Is there any immediate follow up required? (i.e. name & contact info) Yes No

Comments:______

______

4. Were there any particular response or comments made by the MP that should be noted?

Yes No

Comments:______

______Dear [insert name of your Member of Parliament],

I am writing concerning Bill C-377, An Act to Amend the Income Tax Act (Requirements for Labour Organizations). The Bill requires labour organizations to file with the Canada Revenue Agency (CRA) a set of statements setting out all transactions and disbursements over $5,000 along with the name and address of the payee, the purpose and description of the transaction and the specific amount received. The Bill would then require all of this, including names and addresses and the reason for the disbursement, to be made available on a CRA website.

[SELECT THE APPROPRIATE PARAGRAPH FOR YOUR LETTER, FEEL FREE TO PERSONALIZE THEM WHILE KEEPING THE MAIN POINTS]

OPTION PARAGRAPH A: My concern is the obvious risk this poses to my family’s privacy. Since the Bill also covers “labour trusts” broadly, it could mean that should I receive reimbursement from a health plan trust over $5,000 for an expensive drug for my child's illness, or expensive dental treatment, this information would be made public on the CRA website. I prefer to keep all of my personal information, including major medical information, completely private. Further, I would take offence to having this information made public, not only to my neighbours, but also to organizations around the world looking to gather this information. In fact, I think this Bill violates federal privacy laws.

OPTION PARGRAPH B: Our union local does business with a lot of local suppliers. They would be shocked to learn that the details of their dealings with my union local will be made available to their competitors on a website. They would be shocked to learn that their government is making it easy for their competitors to learn how much they charge for their services so that their competitors can tailor their bids to undercut them.

OPTION PARAGRAPH C: I am very concerned about the cost to the government to set up a database and administer this, at a time when you are cutting back on food safety inspectors, coast guard stations, and caring for our national parks and treasures. I doubt you are aware that there are over 25,000 union locals in Canada who would be required to submit these very detailed reports, more detailed than what charities have to currently report, and it seems to me setting up a database and administering this will cost in the hundreds of millions of dollars. The database set-up alone could make the gun registry database look like a bargain.

While the Bill may have been written in a manner of good intention, with the serious flaws outlined above, I am asking that you do not support this Bill going forward. Finally, as a member of a union, I already have access to all information concerning the finances or general business of my organization. I have requested this information in the past and to date I have never been denied.

Sincerely,

[include your address so the MP knows you are a constituent]