Bill C-377 passed Tuesday by the House of Commons, unless it can be stopped in the Senate or through legal action, will require every labour organization [local, provincial and national] – whether unionized or not –to file the following detailed information annually. This information will be posted by the Canada Revenue Agency on a public web site in a searchable format:
“(a) a set of financial statements for the fiscal period, in such form and containing such particulars and other information as may be prescribed relating to the financial position of the labour organization or labour trust, including
(i) a balance sheet showing the assets and liabilities of the labour organization or labour trust made up as of the last day of the fiscal period, and
(ii) a statement of income and expenditures of the labour organization or labour trust for the fiscal period;
(b) a set of statements for the fiscal period setting out the aggregate amount of all transactions and all disbursements — or book value in the case of investments and assets — with all transactions and all disbursements, the cumulative value of which in respect of a particular payer or payee for the period is greater than $5,000, shown as separate entries along with the name of the payer and payee and setting out for each of those transactions and disbursements its purpose and description and the specific amount that has been paid or received, or that is to be paid or received, and including
(i) a statement of accounts receivable,
(ii) a statement of loans exceeding $250 receivable from officers, employees, members or businesses
(iii) a statement showing the sale of investments and fixed assets including a description, cost, book value, and sale price,
(iv) a statement showing the purchase of investments and fixed assets including a description, cost, book value, and price paid,
(v) a statement of accounts payable,
(vi) a statement of loans payable,
(vii) a statement of disbursements to officers, directors and trustees, to employees with compensation over $100,000 and to persons in positions of authority who would reasonably be expected to have, in the ordinary course, access to material information about the business, operations, assets or revenue of the labour organization or labour trust, including gross salary, stipends, periodic payments, benefits (including pension obligations), vehicles, bonuses, gifts, service credits, lump sum payments, other forms of remuneration and, without limiting the generality of the foregoing, any other consideration provided,
(vii.1) a statement with a reasonable estimate of the percentage of time dedicated by persons referred to in subparagraph
(vii) to each of political activities, lobbying activities and other non-labour relations activities,
(viii) a statement with the aggregate amount of disbursements to employees and contractors including gross salary, stipends, periodic payments, benefits (including pension obligations), vehicles, bonuses, gifts, service credits, lump sum payments, other forms of remuneration and, without limiting the generality of the foregoing, any other consideration provided,
(viii.1) a statement with a reasonable estimate of the percentage of time dedicated by persons referred to in subparagraph (viii) to each of political activities, lobbying activities and other non-labour relations activities,
(ix) a statement with the aggregate amount of disbursements on labour relations activities,
(x) a statement of disbursements on political activities,
(xi) a statement of disbursements on lobbying activities,
(xii) a statement of contributions, gifts, and grants,
(xiii) a statement with the aggregate amount of disbursements on administration,
(xiv) a statement with the aggregate amount of disbursements on general overhead,
(xv) a statement with the aggregate amount of disbursements on organizing activities,
(xvi) statement with the aggregate amount of disbursements on collective bargaining activities,
(xvii) a statement of disbursements on conference and convention activities,
(xviii) a statement of disbursements on education and training activities,(xix) a statement with the aggregate amount of disbursements on legal activities, excluding information protected by solicitor-client privilege,
(xix.1) a statement of disbursements (other than disbursements included in a statement referred to in any of subparagraphs (iv), (vii), (viii) and (ix) to (xix)) on all activities other than those that are primarily carried on for members of the labour organization or labour trust, excluding information protected by solicitor-client privilege, and any other prescribed statements;
(c) a statement for the fiscal period listing the sales of investments and fixed assets to, and the purchases of investments and fixed assets from, non-arm’s length parties, including for each property a description of the property and its cost, book value and sale price;
(d) a statement for the fiscal period listing all other transactions with non-arm’s length parties; and
(e) in the case of a labour organization or labour trust having its headquarters situated outside Canada, a statement in the prescribed form and containing such particulars as may be prescribed showing
(i) amounts paid or credited to the labour organization or labour trust in the fiscal period by, on behalf of or in respect of taxpayers resident in Canada, and
(ii) expenditures made by the labour organization or labour trust in the fiscal period inside or outside Canada and recorded separately in the accounts of the labour organization or labour trust as being directly related to its operations in Canada.”
There is no equivalent reporting requirement imposed on any other type of organizations in Canada – not private corporations, not public corporations, not non-profit corporations, not even charities. The anti-labour objective of the bill was apparent when the same Conservatives whose supported this bill, defeated an amendment that would have made the same reporting requirement obligatory for employer organizations.
Every effort will be made to defeat this bill in the Senate, and every legal angle for overturning it will be explored, should it pass the Senate too. If it is enacted, the Canada Revenue Agency estimates that it would not be operable until 2014.
In the meantime, CAUT, along with many labour and non-labour organizations will be lobbying aggressively in the Senate. We will be advising you what your association can do to help.
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Canadian Association of University Teachers / Association canadienne des professeures et professeurs d’université / 2705 promenade Queensview Drive, Ottawa, (Ontario) K2B 8K2
James L. Turk, Executive Director / Directeur Général
tel: (613) 726-5176
fax/téléc: (613) 820-7244
mobile (613) 277-0488
twitter: @jameslturk