These developments have advanced — and accelerated — in 2021 in distinct stages.
In February 2021, the House of Commons Standing Committee on Industry, Science and Technology (INDU) resolved to study competitiveness in Canada. In a series of meetings, and with the benefit of submissions and testimony from key stakeholders including the Canadian Bar Association, businesses and individual experts, INDU debated the extent to which the Competition Act remains fit for purpose. Much of INDU's focus centred on the extent to which wage-fixing (and buy-side agreements between competitors more generally) should be subject to potential criminal, rather than civil prosecution. INDU's interest stretches back to June 2020, when it summoned executives from major Canadian grocery retailers to answer questions relating to their almost-simultaneous decisions to cut COVID-19 pay premiums for workers.
While INDU's work putatively considered all aspects of Canada's regime, its June 2021 report focused on wage-fixing, recommending the amendment of s. 45 of the Competition Act to prohibit (once again) cartel-like practices between competitors related to the purchase of goods and services, including wage-fixing agreements. INDU also advocated the distribution of greater resources to the Bureau to enable more effective enforcement.
To view the original article click here
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
