Thank you, Mr. Chairman. I am pleased, Mr. Chairman, to make a few opening remarks with regard to this particular legislation amending the Safety Act.
In revising our structure of maximum fines, we have taken into consideration the trend of increasing fines elsewhere in Canada, because we did not wish employers, especially employers from outside the Northwest Territories who are working here, to think that a markedly lower system of fines here is an open invitation to defy territorial legislation.
As we know somewhat from the complaints voiced by the business community on our WCB rates, sometimes contractors from the south ignore NWT safety standards and end up with accident rates which result in across the board higher premiums being assessed for the industry which are paid for by NWT companies.
Mr. Chairman, under the current Safety Act in the Northwest Territories, there are three levels of offences: First, offences committed by employers; second, offences committed by employees or persons connected with an operation; and third, offences committed by individuals who condoned other offences.
For the first type of offence, where employers have committed offenses, the present maximum fine is $10,000. In this bill, we propose to increase the maximum to $500,000.
For the second type of offence, where offences are committed by employees or persons connected with an operation, the present maximum fine is $1,000, and we propose to increase that to $50,000.
For the third type of offence, where offences are condoned by others, we propose to increase the present maximum fine from $500 to $25,000.
Mr. Chairman, the levels of fines created by legislation will not be the highest in Canada, nor the lowest. We have looked long and hard at the types of occupational health and safety offences that are committed in the Northwest Territories and are pleased that our vigorous compliance program usually result in offenders being caught and corrected before we have to use our last resort, and that is prosecution. By increasing the maximum levels of fines, we will add one more very significant tool to encourage compliance with our occupational health and safety legislation. The increases to the maximum fines which can be levied for offences under the Safety Act and regulations will also support the initiatives of the Workers' Compensation Board aimed at encouraging the prevention of accidents. Many groups have expressed concerns to the Workers' Compensation Board that fines under the Safety Act are too low to be an effective deterrent.
Mr. Chairman, I would be happy to answer any questions that you and the committee Members might have. Thank you.