Continued Fiscal Discipline, Unity Push Key to Faster Economic and Job Growth, Business Leaders Tell Prime Minister

June 25, 1997

The Business Council on National Issues (BCNI) has told Prime Minister Jean ChrǸtien that while its member chief executives are pleased with Canada’s economic performance and prospects, “we believe that Canada can do much better — provided that your government stays the course on fiscal policy and that we deal decisively with the festering uncertainty over the political future of our country”.

In a memorandum sent to the Prime Minister this week, the BCNI’s Policy Committee lays out its recommendations for dealing with the “three scourges” of high unemployment, high public debt and high taxes. It urges the government to resist calls for renewed spending on short-term job creation; to set ambitious objectives for sustained debt reduction, including two-year rolling targets; and to develop a tax reduction strategy consistent with those debt targets in time for next year’s budget.

In addition, the memorandum continues, “we must state bluntly that Canadian unity is part of the jobs issue”. While supporting the government’s intentions, the BCNI’s member chief executives say its efforts to date are insufficient. They add that time is limited and the scale of change required must involve active leadership by the provinces in co-operation with the federal government.

The Business Council is a non-partisan and not-for-profit organization composed of the chief executive officers of 150 leading Canadian corporations. With about 1.5 million employees, member companies administer in excess of $1.6 trillion in assets and have an annual turnover of approximately $500 billion. The Council’s chairman is A. L. Flood, Chairman and Chief Executive Officer of CIBC, and its President and Chief Executive is Thomas d’Aquino. A list of the members of the Policy Committee is attached.