New Ontario Government Bill to save businesses millions of dollars - Retail Council of Canada
Finance & Taxation | Food & Grocery | Supply Chain & Logistics

New Ontario Government Bill to save businesses millions of dollars

October 28, 2019

More operational flexibility in food labelling and transportation of goods will benefit customers through better prices.

Retail Council of Canada (RCC) applauds Associate Minister’s Prabmeet Singh Sarkaria’s introduction of the Better for People, Smarter for Business Act, 2019.  This initiative clearly demonstrates the Ontario Government’s continued commitment to reducing unnecessary red tape – and costs – for businesses. With this new bill, in combination with past legislation, the Ontario Government will save businesses in Ontario an estimated $338 million.

Two key changes will impact retailers: 1) how grocers need to label food, and 2) how companies transport products.

Revised regulation under the Ontario’s Healthy Menu Choices Act, 2015

Since enacted, Ontario-specific rules on calorie counts in the grocery sector have been problematic. With the changes announced today, provincial and federal rules on food labelling will be harmonized.  This will save grocers in Ontario $25.6 million in unnecessary operational costs, while ensuring that consumers will remain well informed on nutrition.

Expanded time of day travel for Long-Combination Vehicles (LCVs)

LCVs have faced highway travel restrictions, which today’s bill relaxes or removes, allowing business to choose more efficient and safer ways to transport goods.

The Ontario Trucking Association has reported that LCVs can transport two traditional tractor loads using 30% less fuel.  LCVs save on gas, making them both economical and good for the environment. LCVs, with their enhanced braking systems and more tires to grip the road, also boast a better highway safety record than single-trailer trucks.

“Today’s announcement will remove and prevent significant compliance costs that have burdened retailers in Ontario,” said Sebastian Prins, Director of Public Relations, Ontario, Retail Council of Canada. “Streamlining process and expanding business choice will pass on savings to consumers.”

About Retail Council of Canada

Retail is Canada’s largest employer with 2.1 million Canadians working in our industry. The sector annually generates over $76 billion in wages and employee benefits. Core retail sales (excluding vehicles and gasoline) were $377 billion in 2018. Retail Council of Canada (RCC) members represent more than two thirds of retail sales in the country. RCC is a not-for-profit, industry-funded association that represents small, medium and large retail businesses in every community across the country. As the Voice of Retail™ in Canada, we proudly represent more than 45,000 storefronts in all retail formats, including department, grocery, specialty, discount, independent retailers and online merchants.