Cabinet ministers oppose law’s grain exemption

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Published: April 30, 1998

A split has developed in the federal Liberal government over whether to exempt west coast grain movement from the threat of disruption because of third-party labor disputes.

Last week, there were Parliament Hill reports five cabinet ministers – four from British Columbia and possibly transport minister David Collenette – are urging the proposal be dropped from suggested changes to the Canada Labor Code being studied by a House of Commons committee.

Although none publicly confirmed the letters, sources said they agree with west coast business lobbyists that removing grain as an affected commodity will make it more difficult to settle west coast labor disputes.

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To grain industry lobbyists, it was just the latest challenge to a grain protection policy they have promoted for years.

At Prairie Pools Inc., Patti Townsend said the opposition of the B.C. ministers has been clear for some time.

She said PPI has been urging labor minister Lawrence MacAulay to stick to his guns and to support the proposal that is in his Canada Labor Code amendments.

“Our view is that cabinet approved it,” she said. “We now hope they don’t go back on it.”

An aide to MacAulay last week insisted the minister remains committed to the grain exemption.

Kristin BrulŽ, the minister’s press secretary, said April 23 the policy position has not changed.

“The minister is fully moving along on the plan. He has no plans to change the bill.”

She noted MacAulay has committed the government to reviewing the provision in 1999, once it has been in effect for a year.

The proposal to exempt grain from the effects of third-party labor disputes came from a 1996 report on labor relations at west coast ports.

The government accepted the argument that non-grain employers and unions have used grain as a “hostage” in contract disputes, assuming that if there is a work stoppage and grain movement stalls, political pressure from farmers will force the government to end the dispute with back-to-work legislation.

It has happened 10 times in the past quarter century.

“The minister still believes in the objective of making sure Parliament is not the fall-back for settling their disputes,” said BrulŽ.

However, west coast business lobbyists have mounted a fierce campaign against the grain exemption, arguing no commodity should be singled out.

The B.C. ministers, including fisheries minister David Anderson, say removing grain could make it more difficult to secure labor peace on the waterfront.

The apparent split left Reform labor critic Dale Johnston wondering where the government is going on the issue.

He has been arguing that the grain exemption should be replaced with a “final offer arbitration” system which would end strikes and hold-ups for all commodities.

Johnston said the cabinet split will put pressure on Ralph Goodale, who represents grain interests in cabinet but also other commodities whose lobbyists have been fighting the grain exemption.

About the author

Barry Wilson

Barry Wilson is a former Ottawa correspondent for The Western Producer.

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