House of Assembly
Newfoundland and Labrador

Oral Questions
May 4, 2009

HomeIn the House | Question Period

MS JONES:

Thank you, Mr. Speaker.

In the weekend Telegram there was a full-page ad from the President of the Canadian Federation of Nurses’ Unions and the presidents of other provincial nursing associations across Canada. They all agreed that the market adjustment and extended earnings loss clauses proposed by the government opposite are unheard of in other nursing union contracts.

I ask the Premier: With such widespread condemnation of these two clauses, why are you unwilling to remove them from the negotiating table?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, both myself and the Minister of Finance have stated time and time again as to exactly what we have done for nurses. They wanted an increase in their wages and we gave them a significant increase in their wages which, on the template alone, is 21.5 per cent. They then wanted to deal with recruitment and we dealt with recruitment. For first-year nurses now it is over 30 per cent for the raise there. They wanted retention dealt with, and we dealt with retention as well, so now the senior nurses, of course, are going to be the highest paid east of Ontario. They asked for something to be done with standby fees and we dealt with that. We have now made them, as well, the second-highest if not the highest east of Ontario. Shift differential, we did the same thing. We cannot do any more.

The sad thing now is it looks like we are definitely going to a strike, if that strike vote gets a majority, and we are going to find that if these nurses are out for a month then, in fact, they are going to actually lose the 8 per cent that we have given them in the first year of the template, which is really an unfortunate circumstance.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.


It is certainly recognized that there has been a lot of headway made, both by government and by the union, in terms of trying to sort out a negotiation.

Mr. Speaker, the national nursing representatives are charging that this government wants the power, through the clause of market adjustment, to negotiate individually and not collectively. Obviously, a huge union concern.

I ask the government today, and I ask the Premier: Why would government want the power to be able to do that?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: Mr. Speaker, collective bargaining is a process of trying to reach a reasonable agreement which is fair to both sides. We commenced negotiations with the nurses first out of the gate, I think it was in January of last year, and negotiated for three months to no avail. We broke off. We asked them to come back to the table last June and they said no, that their negotiators were on holidays, and we tried again.

It is obvious that there is a national agenda here. It has become quite obvious to us right from the start that the national union is driving this. The whole intention of this is that they go to strike and, in fact, the Newfoundland and Labrador nurses will be punished for the benefit of the National Federation of Nurses right across the nation so that we can be taken into court and they can try and make a test case of the Newfoundland and Labrador situation.

That is what this is all about. We said it was a national initiative right from the start. We said there was going to be a strike right from the start, and the fact that we have stepped up and made our nurses the highest paid, or the second-best paid east of Ontario does not make any difference.


Ms Forward and her national counterparts have an agenda and they are going to see through it on the backs of the nurses of Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Mr. Speaker, the market adjustment and the extended earnings lost clauses do no not save the government money - they admitted that last week - and it is simply policy decisions.

I have to ask government today, and ask the Premier: Are these two policy decisions worth so much to government, that you get those concessions now, that you are willing to push this into a strike and cause further damage in our health care system in Newfoundland and Labrador?

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury Board.

SOME HON. MEMBERS: Hear, hear!

MR. KENNEDY: Thank you, Mr. Speaker.

Mr. Speaker, for the information of the Opposition Leader, market adjustments are used throughout this country. They are used in every province. In fact, it is what we have to do now to try to be competitive in recruiting and retaining nurses. In fact, Mr. Speaker, we have had in this particular Province health boards which are, in effect, competing with each other; so what we want to be able to do is to bring all of this under one roof, under Treasury Board, set a policy, and apply that policy so that it works towards what we have been told from day one is the nurses’ number one issue, which is recruitment and retention.

As for policy decisions, let me put it to you this way: Other unions had a problem with this market adjustment; however, Mr. Speaker, 30,000 public sector employees have signed off on these conditions.

Now, we have gone outside the template with our wages so how far do you go, I say to the people of Newfoundland and Labrador? We are doing everything we can to avoid a strike, Mr. Speaker. As the Premier said, there appears to be a different agenda at play.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

The reality is, the fact that 30,000 other people have signed on to it does not make it a good enough rationale that we could practically see our health care system in this Province closed down as a result of a strike.

I ask the minister again today: Will government not go to binding arbitration on two issues that are not monetary in nature but are strictly policy, to get an independent ruling so that this can get settled once and for all?

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury Board.

SOME HON. MEMBERS: Hear, hear!

MR. KENNEDY: Mr. Speaker, the Premier indicated last week that we would not be going to binding arbitration and I can indicate again today the answer is no.

What we have is a situation where we have bargained in good faith. We have done everything that the nurses asked us to do. Our number one concern is the patients of this Province. We were criticized for not going outside the template, the 21.5 per cent. We did that. We have increased significantly the shift differential and standby rates. We have made our nurses the highest paid east of Ontario, and the newer nurses the second-highest paid, so we have given everything that they have looked for. Mr. Speaker, we have not gotten anything back.

Unfortunately, we are at a standstill. It is in the nurses’ hands right now and they will make a decision as to whether or not they go to strike.

Again, as the Premier has indicated, it is unfortunate, Mr. Speaker, that the nurses, if they are out for four weeks –

MR. SPEAKER: Order, please!

The hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MS JONES: Thank you, Mr. Speaker.

Many provinces, including P.E.I. and New Brunswick, have made legislative changes to allow pharmacists to manage medications without actually writing prescriptions. It is often referred to as continuous care. This includes the ability to cover situations like providing a few pills to a patient until they can get a prescription filled by a doctor. This service has been provided by pharmacists in our Province for a number of years. However, the legislation that governs it has not been kept up and does not reflect the realities of how the service is conducted today.

I ask the minister: When will we see changes to the pharmacy act and some updates to allow for continuous care by pharmacists in Newfoundland and Labrador?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Mr. Speaker, in Newfoundland and Labrador we have made a number of enhancements to our Prescription Drug Program. We have made some enhancements to the contract that we have with the Pharmacy Association. In fact, in this sitting of the Legislature we will be making some further amendments to the legislation that will permit pharmacists to fill prescriptions written by physicians from out of the Province.

The process of enhancing, the process of improving and providing better quality care is an evolving process, Mr. Speaker. We have made some enhancements in the past; we have some more coming in this session. We have a regular dialogue with the Pharmacy Association and when it is appropriate, we will make further enhancements to improve the quality of care to the people of Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition

MS JONES: Thank you, Mr. Speaker.

The minister knows that the auditing process that is now in place for pharmacists has been there for a long time and that there are a number of concerns that are being expressed with that. Government legislation does not allow, right now, for any kind of professional discretion to be used when it comes to these pharmacists dispensing medications or drugs.

I ask the minister: In the meantime, will he commit to putting in place an improved interim auditing process until some new legislative changes can be made?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Mr. Speaker, audits are kind of a sensitive issue. Any time, whether you are audited by Revenue Canada or whether you are audited by any taxation body or whether you are audited by a regulatory body, there is always going to be, I say, Mr. Speaker, some degree of tension, sometimes healthy tension, some more times it is conflict between a regulatory body and an auditing body. Any time someone is subject to an audit when they have to either repay money or to change a practice of doing business there is always going to be differences of opinion, and the auditing of the Prescription Drug Program or the auditing of our MCP program are such programs or such auditing mechanisms. So I say, Mr. Speaker, by virtue of the nature of how audits are conducted there is always going to be a difference of opinion between those being audited and those who are doing the audits.

This coming Friday, we are meeting with the Pharmacy Association to discuss the auditing process and some of the issues that they want to raise with us. So audits are one of these things that there is always going to be questions and concerns about, but we will work with the association to ensure that it works beneficial for both parties.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

But what they are asking for is very fair. They are asking for some discretion in the process so that when there is an order broken, or a prescription order broken, that they are not laden with huge fines. They are one of the few places in the country that has to follow this kind of an auditing process without any discretion, Mr. Speaker.

I think, minister, I would ask you again today: In light of your meeting that is coming up, is it possible that you could have a look at this to see if there is a way that the process could be altered in the absence of any changes that are not coming forward to the legislation?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Mr. Speaker, I want to correct something. In the member’s preamble she said there are fines, and I want to point out, the audit process does not impose a fine. The audit process is around where – because pharmacists get paid automatically for the prescriptions that they fill. So the auditing process is a review of what has taken place, after the fact.

So therefore, if there was a prescription filled inappropriately, there is a recovery of money that has already been paid out, and that is very different than imposing a fine. So I want to clarify that particular point, because the member opposite would have us believe that this is a very punitive process, and if you did something wrong we are going to levy a penalty or a fine upon you.

Fundamentally, this is a process where if an audit discovers something that is inappropriate, it is a recovery of money that has already been paid out by government to someone that should not have necessarily received it. So that is the process, I say, Mr. Speaker.

The mere fact that I am meeting with members of the Pharmacy Association on Friday –

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MR. WISEMAN: Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Mr. Speaker, in January 2008, government announced changes to its provincial drug formulary so that the Province would only accept prices for generic drugs that do not exceed the lowest price in any province. There was a lot of concern raised at that time by the Pharmacy Association and government agreed to delay the changes until the completion of an independent review. That review was completed more than six months ago.

I ask the minister today: Can he update the pharmacists and the people of the Province on what generic drug formulary government is considering and when we will see these changes in effect?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Mr. Speaker, I really hate doing this, but if the member opposite does not get better researchers, I am going to have to always correct her.

Number one, I did not say we were going to do an independent audit. The Pharmacy Association did an independent audit themselves. What I had indicated was we would defer the implementation of the legislation until we had worked through an appropriate mechanism to have a pricing regime that was fair for generic drugs. We have still done that. We still have not enacted that legislation, because we still have not worked through a process that will see us having a fair and equitable pricing mechanism in this Province for generic drugs, one that is consistent with the spirit of the legislation but also one that is fair to the residents of Newfoundland and Labrador and fair to the pharmacists who provide the service to the people of Newfoundland and Labrador.

Until we are finished that process - in consultation, I might add, with the pharmacy association - we will not be making any changes to our current pricing regime.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

If the minister was listening, he would know I did not say government did the review. I said it was an independent review and it was asked for by the pharmacy association.

Mr. Speaker, the pending regulation changes will mean significant savings to government, and it will also mean that government will pay a much lower price for generic drugs; however, it will also mean a loss of revenue to pharmacists.

I ask the minister today: What would be those projected savings to government, if you were to implement that formula, and what would be your plan to offset the loss of revenue that would occur to pharmacists in the Province?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Mr. Speaker, I want to refer the member to my previous answer because there is a linkage here. I said earlier, in the second question she posed, is that we are not going to be implementing the changes that are proposed in the legislation, or enacting the legislation, until we have been able to work through an appropriate pricing regime.

So, to answer your question about how much money we will save, or how much money it will cost pharmacists, or what we will do to offset some of those costs, that is something that when we announce what it is we are doing we will be able to announce exactly what they will mean.

Until we have done the analysis, have worked through the process with the pharmacy association - because we will work through a process with them - and when we enact the legislation, then we will be able to inform the House the impact of the implementation of that legislation at that moment in time based on the national pricing for generic drugs.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

The minister must, at this stage, have some idea of what the cost savings would be to government to move in this particular formulary method, and I ask him if he could provide that information to the House.

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: Mr. Speaker, this is a fairly significant calculation the member opposite is asking. In fact, this is an issue that is not just unique to Newfoundland and Labrador. Every province in the country is facing a similar circumstance. In fact, a couple of weeks back, in meetings with my colleagues from the rest of Atlantic Canada - because they are facing the same circumstance. They have the exact same set of circumstances before them as we do here in this Province. As a result of those discussions we have agreed to work collectively to have that kind of financial analysis done for Atlantic Canada. Maybe working together, the four Atlantic Provinces may be able to come up with a pricing regime that would benefit all Atlantic Canadians.

The analysis that she is asking for, and the exact figure that she is asking for, is one that is not easy to answer, because there are many variables in that calculation and we need to better understand it ourselves before we implement it. That is why we have now extended our research and involvement with three other Atlantic Provinces to ensure that we are all best served by what we do.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: Thank you, Mr. Speaker.

This is a national policy and, as the minister knows, eventually we will have to fall under that regime within Newfoundland and Labrador.

I ask him today: Has he done any kind of analysis around what the value-added services are that pharmacists provide; and, if we were to move in this direction, how much that annual investment would be from government to pharmacies in the Province in order to maintain the appropriate levels of service?

MR. SPEAKER: The hon. the Minister of Health and Community Services.

SOME HON. MEMBERS: Hear, hear!

MR. WISEMAN: I do not know how many times I can say this. If you are asking for a cost of something, and you are asking now: What is the cost of the services and the value of the services provided by pharmacists that we would actually have to contribute, should we implement it? That is a pretty broad question.

Depending on the kind of services we are prepared to pay for, depending on what we pay for, that will determine some costs. Depending on the negotiations we have with the pharmacy association - because the member opposite would also recognize and would be fully aware that there is a contractual arrangement between the Province of Newfoundland and Labrador and the pharmacy association on a schedule of fees that we pay for services, and what those services will be.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MR. WISEMAN: Mr. Speaker, the outcome of these sorts of things comes about as a result of negotiation between ourselves as a government and the pharmacy association representing pharmacists in this Province.

When we have done that, I will tell the member opposite….

MR. SPEAKER: Order, please!

The hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MS JONES: Thank you, Mr. Speaker.

In November 2008 the Premier travelled to Brazil to meet with the mining giant CVRD, the owners of Vale Inco and Voisey’s Bay, to discuss, among other things, the possibility of establishing an aluminum smelter in the Province.

The Premier said at that time that discussions on the issue of aluminum smelters were also underway with other companies as well. Around the same time a local economist, known to do work for government in the Province, reported that he was very sure that an announcement was due any day.

My question today is: Can the Premier give us an update in the House as to the status of an aluminum smelter for Labrador, or has the recent decline in aluminum prices in the world market and the decline for service now caused government to cancel or scrap all plans for aluminum smelters?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: As the hon. member opposite is aware, a smelter has been a very, very important piece of possible development for Labrador adjacency with regard to the Lower Churchill. It is very, very important that we have a possible development for Labrador.

When we made the trip to Brazil, because of the nature of the business that Vale Inco are in, we discussed with them – because, besides being top iron ore producers and nickel producers in the world they are significant aluminum producers, so a discussion was commenced there about the possibility of an aluminum smelter in Labrador. Other discussions have been held with companies lie Rio Tinto and others.

It is all part of the Lower Churchill discussion and negotiation that power would come from the Lower Churchill Development. Those discussions are still being encouraged. Some drop on us, some fall off, some come on, but there is certainly no intense negotiation going on now, but it is considered to be a significant option of the future as commodity prices improve.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: I would like to ask the Premier as well: Has government, through Nalcor, completed any feasibility studies on the perspective aluminum smelters for the Province, and what were the results of these studies?

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: I personally am not aware of any feasibility studies that have been done, however I can certainly give the hon. member opposite the assurance that Nalcor and the officials at Nalcor and Newfoundland and Labrador Hydro would certainly have looked into the possibility of feasibility. Now, whether there is, in fact, a formal study undertaken that has been completed, I am not aware of that. I can certainly undertake to find out if there is, in fact, a study that has been completed.

I can tell you, that they would not even be entering into discussions unless they had some advanced form of knowledge and understanding of what the possible economic consequences were.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

MS JONES: It was recently reported that briefing papers for the federal Minister of Natural Resources mentioned that Rio Tinto was promoting an aluminum smelter project for this Province as well. The project was expected to enter the federal regulatory review system within six months of October 2008. That means the smelter should have been submitted for review by now, but we see no public announcements on that issue.

I ask the Premier if he can advise the House today as to the status of that project.

MR. SPEAKER: The hon. the Premier.

SOME HON. MEMBERS: Hear, hear!

PREMIER WILLIAMS: I can’t give you a formal answer. I would be guessing, quite frankly. I can tell you, to my knowledge right now - and again that can be checked with officials of Nalcor. As you are aware the minister is at the conference at Houston right now. I am not aware of any formal submission being made on any smelter, nor do I think there would be one being made.

As I have said, the smelter is a part of several options which are available for the Lower Churchill. We, as a government, and Nalcor and Newfoundland Hydro, are trying to keep all options open to make sure that we can obtain the best possible deal or the best possible alternative creating the most benefits and employment for Newfoundlanders and Labradorians, and as the hon. member opposite is aware, and our members in Labrador are aware, particularly for Labradorians.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Port de Grave.

MR. BUTLER: Thank you, Mr. Speaker.

Last week I asked the Minister of Environment and Conservation to update this House on the action her department is taking to curtail the decline of the Woodland Caribou in Newfoundland and Labrador. The minister stated according to Hansard, that extensive consultation had taken place with the outfitters. Mr. Speaker, according to our information there has been no consultation with the outfitters. Since government announced its caribou plan, the population of caribou has dropped by 5,000 from 37,000 down to 32,000 and there are only 1,235 licences issued, so clearly stating the hunters are not the main problem.

I ask the minister: How low do the caribou numbers have to go before your government will take action?

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

The hon. the Minister of Tourism, Culture and Recreation.

SOME HON. MEMBERS: Hear, hear!

MR. JACKMAN: Thank you, Mr. Speaker.

Mr. Speaker, one thing that can be assured, there have been discussions ongoing with the outfitters. Let that go to rest.

Mr. Speaker, we are in the process right now of compiling the final data and information to bring forward a plan for this year. Mr. Speaker, one thing about it, a $15 million commitment is no loose change.

SOME HON. MEMBERS: Hear, hear!

MR. JACKMAN: We are very serious about correcting and remedying, to the extent that we can, the decline in our caribou population.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Port de Grave.

MR. BUTLER: Mr. Speaker, I agree with the minister, that $15 million is no loose change but I can assure you, when your five year study is done you are going to get the same results that you have had in 2003,2004,2005,2006,2007.

I ask the minister, outfitters believe caribou will be placed as an endangered species list well before your $15 million is spent. You have to intervene with the predators, Mr. Minister. When will your government take action?

MR. SPEAKER: The hon. the Minister of Tourism, Culture and Recreation.

SOME HON. MEMBERS: Hear, hear!

MR. JACKMAN: Mr. Speaker, I can honestly say that we certainly do not think the situation is hopeless or we would not be investing the money that we are.

Secondly, that any plan that we bring forward is going to be based on science. This is not going to be something that is going to be just a simple measure where you decide that you are going to go out and kill animals. There is much more to it than that. We are conducting our science and there will be an intervention strategy, and when that is developed to the extent that we need to, we will submit that the hon. member and all the people of the Province, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Port de Grave.

MR. BUTLER: Mr. Speaker, the minister just stated that they are not going out and killing the animals. So much for the predators, but I guess he is not too concerned about the caribou.

Mr. Speaker, the outfitters were promised fourteen months ago that there would be a committee put in place so that they could sit down and consult with government. To date, no such committee has been put in place.

The outfitters and environmentalists also suggest that when caribou populations drastically decline it is a sure sign that the forest they inhabit if not fairing as well.

I ask the minister: Your department plans at looking at the issue of health of the caribou habitat, our forests, some time in the future, why is this not a focus of the strategy today?

MR. SPEAKER: The hon. the Minister of Tourism, Culture and Recreation.

SOME HON. MEMBERS: Hear, hear!

MR. JACKMAN: Mr. Speaker, I did not say that we would not be tackling and taking out some predators. That is all to be determined at this particular point, but I can tell you that under this study everything from forest management, to habitat, to food supply, to predators, all are being taken under consideration.

Mr. Speaker, with regard to the advisory committee, we certainly hope to have that committee all announced, probably within the next couple of weeks.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Signal Hill-Quidi Vidi.

MS MICHAEL: Thank you very much, Mr. Speaker.

Mr. Speaker, last Thursday the Premier promised that any cheque passed over to AbitibiBowater in compensation for the assets expropriated by government will have to take into consideration severance for workers. Mr. Speaker, there are 119 workers aged fifty-nine to sixty-four who did not receive their workforce reduction programs cheque this morning due to AbitibiBowater cutting off their payments. Mr. Speaker, the workforce reduction program was a plan worked out with AbitibiBowater in an effort to take older workers out of the workforce and allow younger people to remain.

Mr. Speaker, I ask the Premier: Will he extend to the 119 loggers that had this agreement with AbitibiBowater the same commitment he made regarding severances?

MR. SPEAKER: The hon. the Minister of Innovation, Trade and Rural Development.

SOME HON. MEMBERS: Hear, hear!

MR. SKINNER: Thank you very much, Mr. Speaker.

Mr. Speaker, as all members in this House know, the agreement with the workforce reduction program was three parties. It included the company, it included the union, and it included Service Canada. There were particular arrangements made that allowed some of the older workers to leave and allowed younger workers to stay. There was, as the hon. member has indicated, a payment made to those workers. The company now is in creditor protection, as we understand. They have made a decision to take those payments and stop making them. The union, as I understand it, is intervening on behalf of their employees, former employees and their pensioners, to ensure that those payments might be reinstated.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Signal Hill-Quidi Vidi.

MS MICHAEL: Thank you, Mr. Speaker.

I say to the Premier, that the reasons for the severance being stopped are the same reasons why the payments are not being made, and that is the bankruptcy protection.

So I ask again: Will the Premier make the same commitment to the loggers that was made to those who were getting severances?

MR. SPEAKER: The hon. the Minister of Innovation, Trade and Rural Development.

SOME HON. MEMBERS: Hear, hear!

MR. SKINNER: Mr. Speaker, I can only reiterate again, that the decisions that have been made by Abitibi are going to be, as I understand it, challenged by the union. There was some reference made from the opposite side that there was a decision today from the court that addressed that. That is not accurate.

The decision made today from the Quebec court is different than the one that the hon. member is referring to. As I have said many times in this House, the court process and all the other processes that are in place need to be followed and we need to see what the outcome of those court decisions will be before government decides whether or not any involvement is required of government.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Signal Hill-Quidi Vidi.

MS MICHAEL: Thank you, Mr. Speaker.

I do not think I made any reference to the court ruling. Anyway, my next question.

There are also forty-four seniors, thirty-one of which are widows, who also received letters last week informing them that their special retirement allowance will be cut off.

Is the Premier ready to extend his commitment to these forty-four seniors?

MR. SPEAKER: The hon. the Minister of Innovation, Trade and Rural Development.

SOME HON. MEMBERS: Hear, hear!

MR. SKINNER: Mr. Speaker, again, I can only say to you that the retirement allowances, the workforce reduction program, these were special arrangements that were negotiated by the company, by the union, with her workers, and in some cases involved a third party, such as Service Canada.

The company has arbitrarily made a decision not to continue with those payments, and as I have indicated already, it is my understanding – as recently as a couple of hours ago when I spoke to members of the union - that the union will be using the court process that is available to them to petition on behalf of the people whose payments have been stopped.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

The time allotted for questions and answers have expired.

HomeIn the House | Question Period