Debates of March 16, 2004 (day 1)

March
16
2004
Day
1
Speaker
David Krutko
Word
Members Present
ITEM 1: PRAYER
Assembly Members
Topics
Bill 1: Appropriation Act, 2004-2005
Member's Statement On Appreciation For Premier’s And Ministers’ Visits To Hay River
Member's Statement On Recognition Of Tu Nedhe Pages And Athletes
Member’s Statement On Changes In Nahendeh Constituency
Member’s Statement On Devolution Negotiations And Attaining Provincial Status
Member’s Statement On Importance Of Language And Culture
Member’s Statement On Recognition Of Hay River Athletes In Arctic Winter Games
Member’s Statement On Recognition Of Nunakput Athletes In Arctic Winter Games
Member’s Statement On Recognition Of Yellowknife Centre Athletes In Arctic Winter Games
Member’s Statement On Rising Crime Rate In Yellowknife
Member’s Statement On Small Business Challenges In The NWT
Minister’s Statement 1-15(3): Notice Of Budget Address
Minister’s Statement 2-15(3): First Nations Policing Funding
Motion 1-15(3): Appointment Of Deputy Chairpersons Of Committee Of The Whole
Motion 2-15(3): Setting Of Sitting Hours By Speaker
Question 1-15(3): Bill Of Intent To Seek Provincial Status
Question 10-15(3): Medical Travel Arrangements
Question 2-15(3): Trades And Apprenticeship Challenges
Question 3-15(3): Registry Of Sex Offenders
Question 4-15(3): Rising Crime Rate And Public Protection
Question 5-15(3): Plans To Divide RWED Department
Question 6-15(3): Bidding Process For The Arctic Winter Games
Question 7-15(3): Access To Aboriginal Language Services
Question 8-15(3): Rising WCB Assessment Rates
Question 9-15(3): NWT Housing Needs Survey
Written Question 1-15(3): Bill Of Intent To Seek Provincial Status
Written Question 2-15(3): Search For Missing Willow Lake River Resident
Statements

Member’s Statement On Small Business Challenges In The NWT

Thank you, Mr. Speaker. I know from personal experience that running a small business can be a very rewarding and a very satisfying occupation. It can also be very challenging and very risky. In the Northwest Territories, if you’re running a small business -- especially in the service sector -- I don’t think you can be blamed if you’re feeling just a little under siege these days.

Mr. Speaker, at the end of last year, this Assembly increased the minimum wage in the Northwest Territories from $6.50 to $8.25; almost a 30 percent increase. Housing shortages, especially in the Yellowknife area, Mr. Speaker, have made finding employees, especially in the service sector, a real challenge.

Now, Mr. Speaker, we’re advised that the Workers' Compensation Board is set to impose another round of increases on the coverage for workers. Four years ago, as I’m to understand, we had the lowest assessment rate in Canada at $1 per $100 of insurable earnings. Then by 2003 that skyrocketed -- those are the words of the Canadian Federation of Independent Business, Mr. Speaker -- to $1.65. Now we’re looking at an average assessment rate for 2004 that’s going to be $2.39, an increase of 2.5 times in four years. The impact of this on one fast food restaurant in Yellowknife looks like this: Last year, they paid $4,000; this year it’s going to be $6,747. The assessment rate in his sector is going from $1.30 per $100 to $1.90; a 46 percent increase.

Mr. Speaker, the impact of wages and housing and Workers' Compensation Board premiums all have their own merits, but the cumulative effect, the combined effect, even in a booming economy such as we have in Yellowknife, is one that’s putting the small business sector under pressure. The Canadian Federation of Independent Business said in a survey last year that 58 percent of NWT businesses who responded said that this government’s understanding of entrepreneurship was poor. I think we may have another demonstration of that coming up with these Workers' Compensation Board increases. Thank you, Mr. Speaker.

---applause