On May 17th, Jagmeet Singh, federal leader of the New Democratic Party (NDP), sent a letter to Prime Minister Justin Trudeau to inform the country’s leader that he intended to force the House of Commons to debate and vote on their grocery store excess profits tax.
This excess profits tax is targeting big grocery store chains, and it isn’t the first of its kind.
In the past, a similar tax was imposed upon Canada’s biggest banks and insurance firms as a way to deter them from price gouging their customers.
Given that many Canadians are struggling with the cost of food and living in general while last year Canada’s biggest grocery CEOs made $6 billion in profits, Victoria NDP MP Laurel Collins says that her party wants to take action in regulating this country-wide issue.
“The government’s job is to protect Canadians, to stand up for Canadians… It is essential that our government actually address corporate greed and how it is making people’s food bills higher,” Collins told Victoria Buzz.
When asked how this tax would benefit consumers rather than just pushing grocery store CEOs to bump their prices even more, Collins explained that this isn’t the only iron in the fire the NDP have in their fight for affordability.
“Jagmeet put forward a bill on strengthening our competition laws that would impact this, we were able to secure amendments to the fall economic statements to strengthen the Competition Act and strengthen the Liberals approach to what they’re doing,” she said.
“So there’s a whole bunch of other ways in which we’re tackling corporate greed and this issue.”
Thus far, the Liberals and Conservatives have been much quieter when grocery store profits come up and this debate will end up forcing a vote in the House by May 31st.
Collins says that up until now, the Liberals have opted to request grocery store CEOs to follow a voluntary code of conduct to regulate food prices. She also noted that many Conservative MPs are active or former grocery industry, big pharma or oil and gas lobbyists.
“They are the corporate controlled Conservatives, they are in no way interested in putting in place an excess profits tax, or holding large grocery companies to account,” said Collins.
In lieu of some way for grocery stores to have food priced more affordably, many people throughout Canada have chosen to boycott some of the bigger companies such as Loblaws, who have gotten in trouble before for price fixing.
“Canadians are either boycotting or they’re aware of the boycott but I think Canadians see clearly that corporate greed is having a detrimental impact on grocery bills,” Collins told Victoria Buzz.
The debate has already begun in the House and will continue until a vote is called. At that point the excess profits tax will either take the next steps towards becoming legislation, or it will be squashed.
Collins also specified that if this excess profits tax is to be voted through and implemented, the NDP want to see the taxes be put towards endeavours like the National School Food Program, food security initiatives as well as putting money back in Canadians’ pockets.
To see what Collins has contributed to the House of Commons debate thus far, click here.
