Of my 18 years here in this House representing the people of Simcoe-Grey, and prior to that Simcoe West-we get a lot of correspondence, but the most correspondence, and you've heard me say this many times, that I've had from constituents and concerned Ontarians was when the German shepherd was dragged behind a pickup truck a couple of years ago and again when a dog in Toronto was hurt when his ears were cut to make him look more vicious; I think it was last year or two years ago also. But this is number three, especially hearing from the small business community, in terms of the numbers of e-mails I have been receiving over the last two weeks. Now the letters are starting to come in. On the weekend we were in Port Hope listening to the folks at a town hall meeting. Many, many small business people were there and they wanted to know what this bill was about.

The Canadian Federation of Independent Business has done a good job of sending out a newsletter informing their membership of some 47,000 small businesses, I think; I'm not sure of the exact number. Clearly, those small business people are figuring out that for the first time ever they may have to pay premiums-or they will have to pay premiums-that on average will be up to $11,000 for small businesses. For many of those small business people that $11,000 will come out of the owner's salary or take-home pay because there's nowhere else to take the money from.

I'll read some e-mails here this morning, actual e-mails from my constituents that have asked me to bring their points to the government's attention in the hope that the government will listen. At the very least, they would like this bill to go to committee so that they will have more time to bring representation.

I just say to the government at the beginning, who wants this bill? Obviously, it's a tax grab at a time when, once again, Mr. McGuinty said he wouldn't raise taxes. It's the worst possible time in our economic history, of modern times in Ontario and Canada and North America, and indeed the world, to bring forward a tax grab like this.

Nobody wants it in the small business community. Absolutely no one that actually owns, or derives their income primarily from, a small business has said they want this. I mean, employees are already covered with the mandatory workers' compensation, or WSIB, premiums. Even if your company doesn't pay and then you get hurt on the job, the way the system works in Ontario is that you will receive insurance coverage anyway, and those benefits that you require to get you back on your feet or that you require to live.

Most small business operators, owners-corporate officers, as they are called-have had, just out of common sense, private insurance that gives them 24/7 coverage, 365 days a year, which is more coverage than they'll get when they pay the new WSIB premiums. And the private sector coverage is better coverage and less expensive.

So this totally is devoid of common sense and support. Again, I can't help but wonder why the government's doing it. I know the big unions and some of the big, big businesses like it, and I would hope that they're not just doing it for them, because it doesn't affect them; it affects the mom-and-pop shops, the electrical shop and the construction shop, where often it's a father and son or a family business.

The bill also imposes a requirement to obtain a clearance certificate. You pretty well always had to do that in the past. For those at home who don't know what that is, it's a proof that the companies you're dealing with, your subcontractors, have WSIB registration and they're complying with all their orders and paying their premiums. You have to get this certificate from your subcontractors before construction begins and you retain the certificate for three years in case of an audit.

0910

Now, one good thing about this bill, I guess-because they really would be subject to the wrath of Ontarians if this bill were to apply to homeowners who retained contractors to do home renovation work, but so far they're exempt, but Big Brother is creeping in. I just moved seven houses, from one end of my subdivision in Wasaga Beach to the other end, and I've been trying to get electricians and carpenters and various people in. So far I don't have to pay their premiums, but you never know the way this government goes.

You're getting people where the most damage that's going to happen to them is paper cuts, because they are white-collar workers for the most part, the owners. As we see in a lot of the e-mails, site management is done by site managers and not often by the owners in these cases. You're requiring these people who already have insurance coverage to pay up to an $11,000 tax.

There are also very, very severe penalties for anyone who doesn't pay their $11,000-a-year tax to the government. They're dramatic new penalties that we hadn't seen before.

The government says that the reason they want the bill is to crack down on the underground economy. This will create a bigger underground economy. You're not going to pop your head up and pay anything or register for anything now that premiums have gone through the roof-unnecessary premiums. That just defies common sense. We've seen this happen before when governments got too tax-greedy; that's what created the underground economy in the first place. There's no way you're going to pop your head up under this new system. Your employees will be covered anyway. You'll let the big businesses, who think the bill is going to do them some good and take the pressure off them-it's going to put more pressure on them. Where I come from, people usually offer you cash as it is now to build your deck or renovate your house. It'� ll just get worse. Why pop your head up? You'll be subject to inspections and audits and all kinds of things, and you won't make a living anyway, so you might as well take your chances in the underground economy. That's exactly what will happen.

According to the Canadian Federation of Independent Business, as I said, the average tax hike on small and medium-sized businesses caused by this bill will be $11,000 annually. They question why the government would do this, in this type of economy especially. The WSIB already has significant tools in the legislation to crack down on the underground economy in a legitimate way. If my party were in government, we'd encourage them, as we always did, to continue to do that the best they can. But bringing in a new tax will drive things in the opposite direction.

I'll just start to read some of the e-mails in the time I have left, just to emphasize how truly unpopular this bill is in my riding, and I suspect it's equally unpopular in Liberal members' ridings. In fact, in those Liberal-held ridings, constituents must be in complete bewilderment, because I'm sure you didn't talk about bringing in an $11,000 tax during the all-candidates' meetings in the election last year. I'm sure people wouldn't have voted for you if they had known this was exactly what you were going to do, especially after having two elections where Mr. McGuinty has clearly broken his promises and brought in new taxes after each election. Here's another one. This time it happens to be in one of the government agencies-which is the government; the government controls the WSIB, sets all the rules and appoints the board and chairman. This is the government.

From Simcoe-Grey, the first e-mail I have is from Rick Fess of Doner-Hosley Insurance, which is located on Victoria Street, the main street of Alliston. Rick writes:

"Hi, Jim. Please do whatever you can to stop the current WSIB legislation now in second reading from going any further. This is just a disguised tax grab for the WSIB to further hurt small businesses. Ask the Liberals if they don't think enough jobs have been lost in Ontario already without this legislation taking money directly out of the pockets of small businesses. Thank you."

Maybe during the questions and comments part after my remarks, one of the Liberal members could answer Rick's question.

The next e-mail is from John McFarland, a master electrician at Nu-Tek Electric in Alliston, and I think he was president of our Rotary Club for quite some time.

"Hi Jim,

"I've been following the tactics for the Liberal government, especially Labour Minister Fonseca and how he has no regard for input in the matter of mandatory WSIB coverage from independent small business. All he can listen to is the large unions who fund their agendas.

"I urge you, Jim, to do all you can as opposition party and my MPP to stop the ramming of this bill down small businesses' throats. Send this bill to committee hearings to be fair.

"I have included a copy of CFIB's latest letter to its membership.

"Thank you for your consideration,

"John McFarland-Nu-Tek Electric, Alliston."

I've got another e-mail here, this time from Collingwood. It's from Madeline Quinn; she sent this to all MPPs in the Ontario Legislature.

"To members of provincial Parliament:

"I would include 'honourable' but what you are doing has no honour in it.

"The WSIB mandatory coverage legislation is by far the most detrimental, least-thought-out, ill-conceived proposed bill aimed at independent operators and companies in construction. The additional cost (approximately $11,000 each) to owners, officers and directors of a small business may very well be enough to drive a lot of businesses further underground and/or out of business. What part of this do the Liberals not get?

"The state of the economy, currently being very volatile and shaky has people cutting back and rethinking what they will spend and how many persons they can employ going forward. What we definitely don't need is more pressure and costs to small business which would also add to unemployment if this bill goes through. WSIB, if anything, needs to be better regulated and not a self-governed monopoly. Perhaps you should spend more time checking the internal problems of WSIB and less time mandating small businesses with additional costs.

"I am a member of CFIB and thank God they are there to lobby on behalf of small business and not as is clearly the case of this proposed bill, by the Liberals that support big business and unions. This bill receiving first and second reading in two days smells really rotten. If you think no one is paying attention, think again.

"Madeline Quinn

"Assante Financial Management

"Branch manager

"Collingwood, Ontario."

I was careful to ask all of these people in my response to their e-mails whether I could bring up their e-mails and overwhelmingly everybody said yes; nobody said no. They wanted their e-mails read into the record and they want the government to listen.

I have another e-mail, from Don McLaren of Phelpston. He sent this e-mail to my colleague from Simcoe North, Garfield Dunlop, and me.

"Honourable members, please review again this letter from Judith Andrew, VP Ontario, CFIB, to Peter Fonseca.

"We don't need additional dues and red tape from WSIB in any sector in Ontario.

"As owners we have carried personal coverage for years and need to continue doing so for 24-hour coverage.

"Thanks

"Don McLaren

"McLaren Equipment Ltd.

"Horseshoe Valley Road

"Barrie (Phelpston) Ontario."

That's not all; I have more. This e-mail comes from a chartered accountant in Tottenham:

"Dear Mr. Wilson:

"I am writing to you as my MPP to ask you to address the matter of the WSIB mandatory coverage legislation that is presently being tabled by Honourable Peter Fonseca. The added financial burden of this legislation will make it increasingly difficult for small and medium-sized businesses to remain in business-especially in these (potentially) recessionary times."

That's Marino Vereecke from Tottenham, chartered accountant.

I have another e-mail here, from the Beild House Country Inn and Spa-a beautiful spot-in Collingwood. It says:

"Hello Jim:

"I have been urged by the Ontario Accommodation Association to contact my MPP with regards to current legislation before the Legislature regarding the extension of WSIB payments on behalf of owners and directors in the construction industry.

"While, of course, this would not cover our business now, it would over time no doubt expand to tourism. As you know, the tourism industry is hurting badly in this province at the same time that government is reducing funding in this area. This, in combination with the added costs that have been associated with the changes in government regulation with regards to fire codes, would be an additional burden our industry can ill-afford.

"I urge you to speak out loudly that this additional cost to business at this time is ill advised. I think we are overregulated as it is and do not wish to see more.

"Kindest regards,

"Bill Barclay

"Beild House Country Inn and Spa

"Collingwood, Ontario."

Just the last one for this morning, and I hope many more, if this bill goes to committee on the next reading. This particular e-mail is from Elmvale. It says:

"Dear Honourable Jim Wilson:

"As local business owners in your constituency, I would like to draw attention to the proposed reforms brought by the Ministry of Labour relating to workplace insurance. Our specific concern related to mandatory coverage through WSIB as small business owners. This directly affects our ability to continue to operate our businesses as it would require us to pay an estimated $22,000 every year. We operate a successful new home construction business in your constituency, and we already are seeing a decline in business as a result of the economy. We already fully report and submit premiums for all of our employees to ensure that they are fully covered. We feel this proposed mandated legislation unfairly punishes those of us who operate our business completely aboveboard, reporting and remitting all of our payroll, income and sales taxes, where those who continue to evade their taxes in our industry still won't contribute their share under this legislation. This legislation doesn't consider that we already cover ourselves with private insurance, with much better coverage and lower premiums than WSIB is offering. We also don't believe we would benefit from any mandatory coverage under the current system as we most likely wouldn't qualify for payouts as employers. If this legislation truly was for the safety and insurance purposes, they should allow owners to show proof of private insurance. Please consider carefully these proposed changes that would require us to have mandatory WSIB coverage as owners.

"Thank you for your attention to this important matter;

"Kerry and Brent Langman

"Advantage Homes

"Elmvale, Ontario"

0920

If this bill is going to hurt small business so much, as we see from the letters I've just read from small business operators, who on earth benefits from this legislation? Well, it's not small business. The only people to benefit are big business and big unions, as I've said. We all know who the big unions are in this province. They're the ones who make up the infamous Working Families Coalition.

For those who don't recall, the WFC, the Working Families Coalition, was formed in 2003 with the primary purpose of defeating the then-incumbent PC government. It's an Ontario non-share capital corporation with a stated purpose of running a multimedia election advertising campaign, including television advertising, using the catchphrase in 2003, "Not this time, Ernie." Then, in 2007, the coalition grew to include 10 unions and once again attacked the PC Party, and this time the NDP, using an aggressive advertising campaign with the catchphrase, "You decide." This group's activities are an unprecedented third party intervention into Ontario politics.

Which unions make up the Working Families Coalition? In 2003, it comprised the Ontario building trades council, the Ontario English Catholic Teachers' Association and the Ontario Nurses' Association. In the lead-up to the 2007 election, it grew and included the Ontario English Catholic Teachers' Association; the Canadian Auto Workers; the Ontario Secondary School Teachers' Federation; the International Brotherhood of Boilermakers, Local 128; the International Brotherhood of Electrical Workers; Millwrights; the International Union of Operating Engineers, Local 793; Painters District Council 46; the Ontario Pipe Trades Council; the International Brotherhood of Electrical Workers-about five different locals there, and joined again in late 2007 for the campaign-the International Union of Elevator Constructors; along with the International Association of Bridge, Structural Ornamental and Reinforcing Iron Workers; the Ontario Pipe Trades Council; and there are about four more on the list.

The point being, these are the unions that will benefit from this. The people who will pay the $11,000-and in one case, in my riding, as the e-mail said, $22,000, because there are two business owners who will have to pay the new premiums-don't get additional coverage; they get worse coverage than they do under private insurance. They'll be paying two insurances. They're not even sure, under this legislation, whether, as employers, they'll ever be able to claim under the insurance. The only ones who seem to be benefiting are those who opposed the PCs and the NDP-the PCs in the 2003 election and the PCs and the NDP.

The Working Families Coalition-a nice, catchy title for a bunch of people who hate the PCs and the NDP, and who seem to be more often than not receiving legislation and regulations, especially the journeymen-to-apprentice ratio that I keep bringing up and my colleagues keep bringing up on this side of the House that needs to be changed in order to create jobs and apprentice positions for young people in this province. They're the ones, the Working Families Coalition, that benefit from the status quo. They raised $5 million for the Liberals in 2007, and they are sure making sure that they're getting payback at this time.

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