Saturday, October 21, 2023

 

Exploding Kittens founder on his board game philosophy

What if the goal of a board game wasn’t entertainment? What if, instead, it was about making the people around you entertaining?

That is the mission Exploding Kittens Inc. has been on since it was founded in 2015.

Elan Lee is leading the charge. The co-founder and CEO of the game maker is an experienced game designer who spent time at Microsoft and Xbox before founding a few of his own companies.

Exploding Kittens, his most recent venture, began as a record-breaking Kickstarter campaign. It has now sold more than 25 million games globally. 
“We don’t work so hard to make our games entertaining. We make sure they are toolsets so that you are entertained by your family,” Lee told BNN Bloomberg in an interview last week.

Exploding Kittens is best known for its game of the same name. According to the game’s Kickstarter page, which has since closed, the game is a “highly strategic kitty-powered version of Russian Roulette. The game’s combination of graphics and buzzwords are meant to appeal to players’ sense of humour.

CHILDHOOD EXPERIENCE

Lee’s journey in the board game business was inspired by his own childhood experiences. He recalled sitting around a table with his siblings, laughing, cheating and forging secret alliances as they would play board games.

Those positive childhood memories weren’t special because of the specific games Lee and his family were playing, but about the interactions they shared, he explained. That feeling was one of the driving forces behind Exploding Kittens.

Lee was on the original Xbox team in the late 1990s. He became chief design officer at Xbox Entertainment Studios in 2013 before he had a realization. 

“I think I’m part of the problem,” said Lee. “I am putting screens in front of kids for a living, all day, every day.”

That was when he made the jump from digital to board games.

FAMILY BUSINESS

In the early days of Exploding Kittens, Lee said he and co-founder Matthew Inman raised US$9 million through crowdfunding in just 30 days.

These days, the company is still creating new games. This summer it released a new line of “Kitten Games” created for children aged four and up. 

The game design process was particularly interesting for Lee, who stumbled upon a new collaborator: his then-four-year-old daughter, Avalon. 

Lee said Avalon saw his frustration about games that overlook kids’ abilities, and she said they should fix it. 

“That was a world-changing moment for me,” said Lee. 

The duo created 12 games over the next 18 months and four went to market: “Hurry Up Chicken Butt,” “I Want My Teeth Back,” “My Parents Might Be Martians” and “The Best Worst Ice Cream.”

Lee said he and his daughter ended up with games that satisfied both players.

“I didn’t have to cheat to lose, I didn’t have to let her win,” said Lee. “Instead we’re both playing, we’re both having fun.”

That goes back to Lee’s mission to play games that put the spotlight on people.

“We are the greatest source of entertainment,” he said. “These games can just be toolsets to enable that every day that we invite them into our

Economics prof on how interest rates affect age groups differently

A University of Calgary economics professor says decades-high interest rates have disproportionate affects on different demographics, with younger Canadians hurt the most.

Trevor Tombe, professor and research fellow at the university’s School of Public Policy, told BNN Bloomberg that in higher interest rate environments, younger people tend to struggle while many older people thrive.

“There's clear winners and losers here,” he said in a television interview on Friday.

“When rates change, it's a pretty large redistribution, if you will, from younger to older households that's taking place.”

Tombe referenced the latest data from Statistics Canada that show interest payments have gone up about $300 per month for people under 35 compared to last year. Meanwhile, many older Canadians with savings have seen their incomes rise, he noted.

“Higher interest rates also mean higher income for those with savings,” Tombe explained. “That’s up nearly $400 per month for those over the age of 65.”

POLICIES HAVE ‘TILTED THE SCALES’

In recent years, many governments have made it a priority to ensure that older Canadians are more financially secure, Tombe said, making them more resilient during time of economic uncertainty.

“There's been a lot of policies that have really tilted the scales in favour of older individuals,” Tombe said.

“The only group of households in Canada who are saving more now per month are those over the age of 65, everyone else is saving less because prices are rising more than incomes.”

Older Canadians also vote in larger numbers than younger ones do, Tombe said. This may be another reason why government policies have often been made with them in mind, he said, though he argued that the economic security of young Canadians should also be a priority.

“As interest rates strain government finances, some potentially difficult fiscal decisions might be ahead,” he said.

“We need to take care to ensure that young people are not the ones that are unfairly saddled with the heaviest burdens while older Canadians are spared.”

Tombe said he believes older Canadians should still be able to benefit from the income gained as interest on their savings, but added that the policies governments enact going forward shouldn’t “exacerbate this windfall to older Canadians.”

“We need to make sensible fiscal choices here recognizing which are the groups of Canadians that are having the most difficult time right now,” he said.

 

Indigenous ownership of Trans Mountain must be 'material', prospective bidder says

As the federal government begins its efforts to sell the Trans Mountain pipeline, the director of one of the groups seeking to buy a stake says nothing less than "material" ownership by Indigenous people is acceptable if Ottawa is serious about reconciliation.

“It’s got to be a minimum of 30 per cent in my view, period. Because anything less than that doesn’t really (represent) that place at the table," said Stephen Mason, managing director of Project Reconciliation, in a recent interview. 

"There’s no reason, in my opinion, why it can’t be 100 per cent owned by Indigenous people."

The Trans Mountain pipeline is Canada's only pipeline system that transports oil from Alberta to the West Coast. It is currently owned by the federal government, which bought the pipeline in 2018 to help ensure a planned expansion would be completed after previous owner Kinder Morgan Canada Inc. threatened to scrap the project.

However, Ottawa has been clear from the start that it does not wish to be the long-term owner of the pipeline. With the expansion project now nearing completion, the federal government has launched the first phase of what is expected to be a two-part divestment process. 

The first phase involves talks — which have already begun — with more than 120 Western Canadian Indigenous communities whose lands are located along the pipeline route, to find out if any of them are interested in acquiring an equity stake. 

While it's not clear what size of stake is available during this first phase of negotiations, Mason — whose group is not participating in the first round — said he has heard that number could fall between 20 and 40 per cent, and that the federal government will support Indigenous communities with the purchase by helping them to access capital.

The second phase of the divestment process will involve the consideration of commercial offers for the remaining stake in the pipeline. 

Mason's Project Reconciliation, an initiative that has lined up its own financing for a Trans Mountain bid in an effort to secure Indigenous economic participation in the pipeline, intends to participate at that stage.

Another group, a partnership formed by Western Indigenous Pipeline Group and its industry partner, Pembina Pipeline Corp., has also expressed interest in the commercial phase of negotiations, but did not respond to an interview request.

Groups with Indigenous involvement are very welcome to participate in the second phase, said a federal source with knowledge of the plan, speaking on condition of anonymity. That won't preclude any major pipeline or infrastructure company from making an offer, though.

But Mason said this must not be a situation where corporate interests acquire the bulk of the pipeline equity and Indigenous people are left with the scraps.

"Can there be room for another partner in this, like another big pipeline company or another major asset management company? Well, sure. This project is big enough," he said.

"The key point is, (Indigenous ownership) needs to be material. And in this case, 30 per cent is too small."

Project Reconciliation's aim is not to own a stake in Trans Mountain directly, but to facilitate the transaction for Indigenous communities and assist in the financial and technical administration of the ownership partnerships.

Once the transaction is completed, Project Reconciliation will operate essentially like a portfolio manager, charging annual management and administrative fees based on the pipeline's projected earnings.

Indigenous communities would also have a governance position through Trans Mountain Corp.'s board of directors, under the Project Reconciliation proposal.

Mason declined to speculate publicly on what the present value of the Trans Mountain pipeline actually is. Though bought by the federal government for $4.5 billion, the capital costs of the pipeline's expansion project have ballooned to more than $30 billion due to construction-related challenges.

Mason said any prospective buyer will only offer a price that can be supported by the pipeline tolls — the fees oil shippers pay to move oil on the pipeline. Those tolls are the way the pipeline earns revenue, and are currently being negotiated with oil companies. 

But Mason said regardless of how the numbers settle out, the sale of Trans Mountain will be one of the largest commercial transactions in Canadian history.

It may also become the largest Indigenous equity ownership purchase this country has ever seen, in financial terms. Currently, a $1.1 billion deal signed last fall that saw Enbridge Inc. sell an 11.57 per cent interest in seven northern Alberta pipelines to 23 First Nation communities holds the record as Canada's largest energy-related partnership between a private company and Indigenous people.

"This is not a conversation, in my view, where the Indigenous ownership (in Trans Mountain) is going to be just 10 per cent," Mason said.

"This is going to be transformative." 

This report by The Canadian Press was first published Oct. 20, 2023.

 

Trans Mountain oil pipeline faces new construction issue months before start

Canada’s government-owned $31-billion oil pipeline to the Pacific Coast is facing a new construction challenge just a few months before its scheduled opening.

Trans Mountain is facing a “very challenging” task of drilling through hard rock in the Fraser Valley in British Columbia as it builds a pipeline to almost triple oil shipments from Alberta. The company has proposed a contingency plan to use a 30-inch pipeline instead of the planned 48-inch conduit should the difficulties persist into next month, according to a letter filed with the Canada Energy Regulator. 

The project that has faced years of delays and a quadrupling of costs is scheduled to start operation by the end of the first quarter of 2024. In September, the company won regulatory approval to alter a section of the route because of similar drilling challenges. 

That alteration was opposed by a local indigenous community called the Stk’emlúpsemc te Secwépemc Nation, which said the change posed a threat to culturally significant land. In an explanation made public Friday, the regulator said failing to alter the route would have caused a 10-month delay and result in a $2 billion loss of revenue for the company.

Trans Mountain has developed contingency plans to mitigate construction challenges in areas along the pipeline corridor, including the current drilling issue, the company said in an emailed statement. The project is more than 95 per cent complete. Filling the pipeline will require about 4.5 million barrels of oil and take six to seven weeks to complete.


Prime Minister Justin Trudeau’s government bought the project from Kinder Morgan Inc. in 2018 after the company threatened to pull the plug amid fierce opposition in British Columbia.

CRTC might ease Corus' Canadian content spending requirements after profit plunge

 CUT THE BOSSES SALARY AND STOCK OPTIONS

Canada's telecommunications regulator is looking to ease some Canadian content spending requirements for Corus Entertainment Inc. as the company says labour unrest in the U.S. entertainment industry and high inflation have hurt its bottom line.

An application from the company last week asked the regulator to "urgently" change some conditions for its English-language television stations and discretionary services. 

CRTC secretary-general Marc Morin replied Thursday, saying the commission is in favour of granting the company's request but will first hold a consultation on the proposals.

He said approving the relief sought "would recognize the urgency of the situation and provide short term flexibility."

"Given the urgency of the situation, the Commission determines that it is appropriate to give immediate consideration to Corus’ application on an exceptional basis." Morin wrote.

The company said in a filing that its financial situation is increasingly dire.

In the application to the CRTC on Oct. 11, Corus vice-president and associate general counsel Matt Thompson requested the regulator lower the company's obligation to spend 8.5 per cent of revenues on programs of national interest for its English-language stations to five per cent. 

Corus also asked the regulator to extend the repayment deadline for under-expenditures of Canadian programming requirements.

Corus cited a 22 per cent drop in third-quarter profits this year compared with the same period in 2022.

It noted profits for the quarter had fallen by a wider amount when comparing with five years ago, as it has seen a 43 per cent drop in that time.

"These figures are indicative of a company whose financial capacity is severely constrained," Thompson said.

The company said it is facing multiple challenges, including recent strikes by the Writer’s Guild of America and the Screen Actors Guild in the U.S. that have affected its TV lineup, along with ongoing high inflation that has raised programming costs while reducing advertising demand.

RBC Capital Markets analyst Drew McReynolds said he expects the CRTC to grant relief but that the move would be "somewhat bittersweet at this juncture."

"Receiving such near-term relief should help Corus navigate an exceptionally challenging operating environment characterized by cyclical headwinds, an unlevel playing field versus the large foreign digital media companies and the disruptive impacts of U.S. guild strikes," he wrote in a note to clients.

Still, McReynolds said, "this relief comes after years (and decades) of structural change that has meaningfully impacted Canadian broadcasting profitability."

Parties can submit feedback on the proposed relief until Nov. 3. Corus will then have five days to file its replies to the CRTC and other groups.

In June, Bell Canada also submitted two applications to the CRTC, which have yet to be ruled upon, asking the regulator to waive local news and Canadian programming requirements for its television stations amid financial strain.

BCE is the parent company of BNN Bloomberg through its Bell Media division.

This report by The Canadian Press was first published Oct. 20, 2023.

General Motors raises offer to autoworkers union ahead of UAW bargaining update

United Auto Workers President Shawn Fain is to update members Friday afternoon on progress in contract talks with Detroit's three automakers as General Motors increased its offer to the union in an effort to end a strike.

In a statement, GM said it made an offer Friday with “substantial movement in all key areas in an effort to reach a final agreement with the UAW and get our people back to work.”

The company says the offer raises pay for most of the work force to US$40.39 per hour, or about $84,000 per year by the end of a four-year contract. That's a 23 per cent increase over the $32.32 per hour that most factory workers make. Compounded annually it's 25 per cent.

The company also said it reinstated cost of living raises for many employees in the first year of the contract, boosting the pay increase to over 30 per cent by September of 2027. Workers gave up the inflation-fighting raises in 2007 when the companies were in financial trouble.

GM previously had offered to contribute eight per cent of a worker's salary into 401(k) defined contribution plans.

The UAW had no immediate comment on the increased offer, but it had been seeking 36 per cent raises over the four years. GM's wage offer was similar to one made earlier by Ford.

The union said in a statement that Fain's update comes after “a week of intensive negotiations” with the companies.

Stephen McCray, one of the striking GM workers at a factory in Wentzville, Missouri near St. Louis, said the company's latest offer seems to be good, but he is suspicious that GM will wait a year to give cost of living increases.

A former temporary worker, he's concerned that part-time temps won't be converted to full time in the deal. That said, McCray thinks workers will ratify the contract because of the raises, cost of living pay, and other benefits, if Fain tells workers this is the best deal he could get.

“If this is what he's going to bring to the table, after everything that has been going on since September, I believe it will be ratified,” McCray said. “This might be the best that they might bring out.”

But Adrian Mitchell, a striking worker at GM's parts warehouse in Van Buren Township, Michigan, said increases in the 401(k) payment and for retirement health care aren't big enough. He doesn't think there's enough yet for a tentative agreement. “I think he should maybe fight a little more at the table to try to get a few more things,” Mitchell said.

Tony Totty, a local union president at a GM transmission plant in Toledo, Ohio, said workers are concerned that a five per cent increase in pensions for traditional workers isn't enough. “Everybody I talk to, that's dead on arrival,” he said.

Yet Marick Masters, a business professor at Wayne State University in Detroit, said the GM offer has the potential to be a breakthrough that could bring agreements to end the union's 5-week-old strikes against GM, Ford and Jeep maker Stellantis.

“That moves them closer, and I think that it may not take much from that point” to reach a deal, he said.

Fain is scheduled to do a live video appearance Friday afternoon to update workers on the bargaining. He could call on more workers to strike and join the 34,000 already off the job at six vehicle assembly plants and 38 parts distribution warehouses.

Fain will add more plants to the strikes depending on how much progress each company has made, Masters said. But he expects that GM will be spared this round due to its offer.

Masters said in order to settle with all three, Ford and Stellantis will have to join GM in agreeing to include future electric vehicle battery factories in the UAW national agreement. That would essentially ensure that the factories of the future would be represented by the union, a key point for the UAW.

Last week, before GM agreed to the battery plant provisions, the union had threatened to close a GM factory in Arlington, Texas, which makes highly profitable large SUVs.

The union's strikes at targeted plants at each company began on Sept. 15 and are nearing the start of their sixth week.

GM was to meet with the union on Friday. There also were meetings on Thursday with Jeep maker Stellantis.

The UAW also is seeking restoration of defined benefit pensions that workers gave up in the Great Recession, pension increases for retirees, an end to varying tiers of wages for workers and other items. GM's offer appears to end the tiers in the last year of the new contract.

GM said Thursday that it can't give Fain everything he wants because it needs profits to invest in future vehicles and factories. Ford and Stellantis have made similar comments, with Ford saying it has reached the limit on how much it can spend to settle the strike.

The union, however, says labour expenses are only about five per cent of a vehicle's costs, and the companies can divert money from profits and stock buybacks to pay for raises that cover inflation and make up for years of contracts without significant increases.

The strikes started with one assembly plant from each company, and the union later added the parts warehouses, then one assembly plant each from Ford and GM. Last week the union made a surprise move, escalating the strikes by adding a huge Ford pickup truck and SUV plant in Louisville, Kentucky.

About 23 per cent of the union's 146,000 members employed by the three automakers are on strike.

Quebec eyes construction industry shakeup to boost housing, infrastructure projects

How many workers does it take to shift a wall in Quebec? Too many, says Isabelle Rinfret of construction and real estate management company Arvisais, based roughly 95 kilometres northeast of Montreal, in Louiseville, Que.

During a recent project, her company had to move a wall one metre. But to comply with the rules, she had to hire an interior systems installer to move the partition, a plasterer to smooth out the surface, and a third person to paint the wall.

All of the "minor" work, she said, "could have been done by a single experienced carpenter."

Provincial regulation certifies 25 construction trades in Quebec, and divisions between them are rigid — a tradesperson can't do a stitch of work outside their distinct area of practice, leading to situations where several people may be required to complete seemingly simple work, like moving a wall, that involves multiple steps or skills.

But the province is toying with the idea of relaxing some of those barriers. Amid an affordable housing crunch and push to update public infrastructure, Quebec Labour Minister Jean Boulet says allowing workers to carry out select, related tasks across trades could help accelerate construction projects.

The proposal has set up a clash between economic development goals and labour interests in the province, where union influence runs deep and construction accounted for 6.6 per cent of economic output as of 2022, according to Statistics Canada.

"We have needs that are growing in Quebec: housing, hospitals, roads, infrastructure, industrial projects," Boulet said in an interview. "We need to help our capacity to build to meet these needs, and that happens by meeting two challenges: first, a larger workforce and second, more productivity."

Versatility between trades, the minister continued, "is one of the elements we're working on to cut lead times, possibly reduce costs, and thus increase our capacity to build to meet the needs of Quebec society.”

Those needs are staggering. In March, Quebec earmarked $150 billion for public construction, renovation and maintenance projects through 2033, an increase of $7.5 billion from the 2022 10-year plan. The government intends to spend most of that money, $81 billion, to maintain existing infrastructure.

The Canadian Housing and Mortgage Corporation, meanwhile, estimates the province will need to build more than 1.1 million additional housing units by 2030 in order for housing to be as affordable to average income households as it was in 2004, the corporation said in a September report.

A persistent labour shortage is compounding construction challenges. Statistics Canada counted more than 12,200 vacant construction industry jobs in Quebec in the second quarter of 2023. 

Rinfret agrees more versatility between trades for qualified workers would be a boon for the industry. "I totally agree that decompartmentalizing certain trades would enable us to gain in productivity," she said in an email. "With additional training or experience, a single person who could, for example, do carpentry and plastering work could … be part of the solution to the labour shortage."

Her stance echoes that of the Association provinciale des constructeurs d'habitations du Québec, a network of 20,000 residential construction industry employers. Association vice-president Isabelle Demers said more flexibility in the industry would not only simplify site management but also help with worker retention.

"This will enable us to mobilize workers," Demers said in a phone interview. "You can imagine few workers want to do the same thing for 20, 30, 40 years. So if we want to … motivate people to stay in the industry, offering them greater versatility to develop is an advantage."

However, Boulet's proposal has drawn criticism from CSD Construction, a union that represents almost 25,000 Quebec construction workers. It argues greater versatility between trades would place an unfair burden on labourers while threatening work site safety and construction quality.

"Versatility should never be at the expense of expertise," union president Carl Dufour said in a statement this month. "What the government wants to do by reforming (construction industry regulations) is to cut corners, because it can't deliver the seniors' homes, hospitals, schools and roads promised during the election."

Pier-Luc Bilodeau, a Université Laval industrial relations professor who studies the construction industry, also questioned the government's eagerness to streamline the trades, saying he has yet to see reliable studies that show the measure would increase productivity.

"I think that the government and a lot of people right now in this debate are acting on the basis of common sense: that if people can do more things, we would need to bring in fewer people," Bilodeau said. But, he cautioned, "common sense doesn't always do justice to the complexity of real-life situations."

Flexibility between trades is one part of what Boulet called his push to modernize the construction industry, which he said also includes a focus on increasing access to the field for women, immigrants and Indigenous people. He said consultations with employers and unions are ongoing to identify opportunities to streamline construction projects without compromising safety or quality.

The minister plans to introduce his construction industry modernization bill by the end of November.

This report by The Canadian Press was first published Oct. 20, 2023

ENVIRO MINISTER COPS OUT

Banning plastic waste exports won't solve the world's plastic trash woes: Guilbeault

FAILS TO MENTION BURMA

The mountains of trash from foreign countries seen piling up around homes and temples in Myanmar are renewing calls for Canada and other wealthy countries to deal with their own plastic garbage at home, instead of exporting waste — and the problem — to the developing world.

While there is some local trash in the heaps of plastic waste all over the township of Shwepyithar, in the north of Yangon, there is clear evidence of plastic packaging from foreign brands there too, including from Canada.

Kathleen Ruff, a human rights advocate from British Columbia, said more than 100 countries have now agreed to ban the export of plastic waste entirely. Canada has not.

"Why would Canada fight for the right to be able to export, (to) dump waste in developing countries?" asked Ruff. "It makes no sense."

Earlier this year, journalists from Frontier Myanmar, an English-language magazine published in Yangon, made several visits to Shwepyithar to document the trash problem.

Reporters Allegra Mendelson and Rachel Moon shared their observations and images with The Canadian Press as part of a partnership with investigative newsroom Lighthouse Reports, and media outlets in Thailand, Poland, the United Kingdom and Belgium.

Among the plastic remnants they can identify were Canadian brands of pasta and yogurt. On another pile they found a plastic bag that once held PVC plumbing parts, labelled as being made in Canada at a factory in Milverton, Ont.

None of the brands are sold in Myanmar itself.

Myanmar, a country of about 54 million, is bearing a bigger brunt of foreign trash in recent years as other countries in Asia, including neighbouring China and Thailand, ban or severely limit any imported plastic waste.

Myanmar has also banned most of it, but a 2021 military coup in that country has meant limited enforcement of that ban. The military rule has also left local citizens powerless to prevent the trash from being dumped on their doorsteps.

The trash in some places in Shwepyithar is so tall it reaches the top of single-storey homes. It lines ponds and covers empty lots that were supposed to become parks and playgrounds. It fills alleyways behind homes in an informal settlement, where small structures with fabric walls sit atop bamboo poles to keep them out of the standing water below.

One photo shown to The Canadian Press shows small children in that settlement wading through knee-deep water that is lined on either side with faded grey bits of plastic, remnants of what appear to be rubber strips and a few bright pops of colour from plastic that once held together cans from a foreign brand of soda, or the wrapper of a chocolate bar.

Last year, Canada exported 183 million kilograms of plastic waste. On paper, 90 per cent of it went to the United States, and about 4,800 kilograms went to Myanmar. But Canada does not track most of it and cannot say what happened once the plastic left its shores.

Ruff is among those demanding Canada agree to an amendment to the Basel Convention on hazardous waste that would ban outright the exporting of hazardous trash to developing countries. This would include most plastics, even those intended for recycling.

Canada has never agreed to the amendment, and still has no intention of doing so.

Environment Minister Steven Guilbeault said in a recent interview that reducing plastic waste requires creating a circular economy for its recycling and reuse. He said banning exports would harm that.

"If we want to have a circular economy which would include plastic, it doesn't make a lot of sense to put trade barriers or physical barriers to the movement of this good," he said. "But I do think we need to do a better job when it comes to ensuring that what is being shipped around is plastics that can be recycled."

The Basel Convention, named for the Swiss city where it was first negotiated, was developed in the 1980s following several high-profile cases of rich countries off-loading their hazardous waste onto poorer countries, including a ship that attempted to dump incinerator ash from Philadelphia onto a beach in Haiti. It currently has 193 member countries.

Canada ratified the convention in 1992. Under Basel, OECD member nations must get prior informed consent from developing countries before shipping hazardous waste to them. The United States, which has never joined the convention, is the notable exception.

In 2021, Canada agreed to an amendment that added some plastic waste to the list of products requiring prior and informed consent. But that does not include plastic that is claimed to be clean, sorted and intended for recycling. And Canada's plastic exports have gone up more than 30 per cent in the last four years.

In 2019, Canada exported about 140 million kilograms. That rose to 150 million kilograms in 2020, 170 million in 2021 and 183 million kilograms in 2022.

New Democrat MP Gord Johns, who successfully pushed a motion in Parliament five years ago calling for a national strategy to address plastic pollution, said it is appalling that Canada is not among the 103 Basel countries that agreed to stop exporting plastic waste entirely.

"We need to be a global leader instead of creating plastic slums where children are playing," Johns said. "That's absolutely unethical and it needs to stop, full stop."

Johns said a major problem with the Basel Convention is there is simply nobody enforcing it.

Just before Canada agreed to add plastic waste to the treaty, it signed a new arrangement with the United States, outlining how the two countries can export plastic waste to each other. Now more than 90 per cent of Canada's plastic exports — 167 million kilograms in 2022 alone — goes to the United States. Canada cannot say what happened to any of it.

Johns and Ruff both consider the U.S. agreement to be a loophole that should be considered illegal under the international environment treaty.

Ruff said Canada's refusal to ban plastic waste exports entirely is extremely disappointing. She said Canada should not claim that it is sending waste only to places that can handle it better than it can. How can a rich country like Canada argue that developing countries can handle our waste, when we can't, she asked.

"It's ridiculous," she said. "It's ludicrous. It's obviously untrue."

Canada has a very limited recycling industry. A 2019 report documented fewer than a dozen domestic recycling companies, and that less than one-tenth of plastic waste produced in Canada is ultimately recycled. Most often, recycling costs more than making new plastics, particularly for packaging, and the market for using recycled plastic is limited.

Canada is trying to change that by introducing new standards requiring minimum amounts of recycled content in packaging that will create a bigger market. But Ruff said if Canada could not export its trash problem, it would have already found a way to handle it better here.

"When you deal with your own waste, it's a real incentive to cut back on your waste, right? Because it doesn't disappear in the middle of the night on some ship off to some other developing country so we can just forget about it," she said.

Ruff has been pushing Canada to stop exporting plastic waste for years, after having been pulled in by environment groups in the Philippines nearly a decade ago. They were seeking help to get Canada to take back dozens of shipping containers of Canadian trash, falsely labelled as plastics for recycling, that had been sent to their country.

That incident, which took more than six years to resolve, led to an international diplomatic row that saw Manila temporarily recall its ambassador from Canada. That prompted the federal government in 2016 to change its regulations requiring permits for the export of some plastic waste. Those regulations were updated again in 2021, when Canada agreed to add plastic waste to the Basel Convention.

But Canada's agreement and regulations on plastic waste extend only so far. If the waste is considered to be clean and sorted, destined for a recycling factory overseas, no export permits are required, and it is not tracked to see if it is actually recycled on the other end.

It is not clear exactly how Canadian plastic waste came to end up in the mountains of garbage polluting the streets of Shwepyithar. Canada has issued no export permits to send waste to Myanmar, or to Thailand, from where much of the foreign waste in Myanmar is imported.

Trade data does show Canada exported almost 80,000 kilograms of plastic waste to Myanmar between 2020 and 2022 and nearly 2.7 million kilograms to Thailand. Without permits, none of that waste would be tracked to see what happened to it.

Guilbeault also acknowledges that claims about plastic being clean and sorted for recycling are not always accurate.

"I think that, by and large, companies in Canada are responsible from that point of view and if they say they're exporting plastics that are recyclable that's true," he said. "But we've seen, unfortunately, instances where it's not and I think we need we need to do a better job of enforcing those rules in Canada. And the department and I are looking at ways to do that."

Guilbeault said more than a year ago he was disturbed by Canada's lack of a way to track waste exports to ensure proper disposal or recycling at the other end. He said in the recent interview that the Liberal government has still not figured out how to fix that, but said it could come in another update to the Canadian Environmental Protection Act.

That law was updated earlier this year for the first time in two decades. Canada also recently updated CEPA to include plastic as one of the substances considered to be toxic, and is using that designation to ban some single-use plastics such as straws, grocery bags and takeout containers. Canada's goal is to produce no plastic that isn't reused or recycled by 2030.

A ban on exports might not be the only solution. The European Union has agreed to the amendment that would phase in a full ban and yet much of the foreign plastic waste discovered in Myanmar appears to have originated there.

Interpol has documented a significant rise in the illegal trade of plastic waste, because the lack of enforcement to inspect shipping containers allows a lot of waste to sneak through undetected.

Guilbeault, who was an environmental activist before becoming a Liberal MP in 2019, is personally trying to play a leadership role, alongside Canada, to negotiate a new global plastics treaty that, in part, would cut down on plastic waste by encouraging or even requiring recycling and reuse.

Some, including French President Emmanuel Macron, are advocating for it to include a reduction in plastic production, though Guilbeault has expressed reservations at that.

Canada is hosting the next round of talks in June.

Guilbeault does not think signs of Canadian waste in Myanmar undermine his government's leadership on the plastics issue, though he acknowledged that "the optics aren't great."

"Of course we need to get our house in order in Canada," he said.

"But I think it just shows the necessity of having this international plastic treaty we're working on to ensure that everyone around the world is doing what they need to do to prevent and eliminate this plastic pollution from happening," he said.

"We know it won't happen overnight, but we have some pretty ambitious collective goals and I think by working together we can do this."

This report by The Canadian Press was first published Oct. 20, 2023.

Le Devoir latest Quebec media outlet to get registered journalism organization status

 

Montreal daily newspaper Le Devoir has become the latest Quebec media outlet to transform into a registered journalism organization — which can issue tax receipts for donations.

The publication said Thursday it had obtained "qualified donee" status under a tax measure from 2020 introduced by the federal government to support Canadian journalism. With the new designation, Le Devoir will benefit from tax advantages, including the ability to issue donation receipts, to be exempt from income tax, and to receive donations from registered charities.

Until now, the newspaper had relied on philanthropic revenues from a donor base but could not issue tax receipts. The 113-year-old Le Devoir said obtaining the status was the result of many years of talks with Canadian government departments and agencies.

"These new prospects for philanthropic revenue growth will complement Le Devoir's staunchly defended paid subscription model for both its print and digital editions," the newspaper said in a statement.


"In a context of perpetual digital evolution and imposing challenges in the information sector, obtaining this status is an essential recognition to ensure the continuity of Le Devoir."

Le Devoir had to change its complex legal structure to be eligible, including by converting institutional and private shareholder shares into loans equivalent to their initial contributions. Shareholders, which include the newspaper's unionized employees, will retain voting rights on the board of directors.

The daily newspaper was founded in 1910 by Henri Bourassa, a journalist and politician, and per his wishes, the newspaper has retained its independence and is not owned by any group.

Le Devoir is the sixth media outlet in Quebec to obtain RJO status, following others such as La Presse.

This report by The Canadian Press was first published Oct. 19, 2023.


 

Escalating theft and violence aside, London Drugs not considering closures: president

London Drugs president and chief operating officer Clint Mahlman has seen a lot in his nearly 40 years with the company, but he says the company has no plans to close stores due to escalating violence and theft, though the issue has reached a "crisis point" for Canadian retailers.

Mahlman told The Canadian Press in an interview Wednesday that the company was disappointed to learn that a Vancouver city councillor said on social media that London Drugs was considering closing one of its main stores in the city, at the intersection of Granville and Georgia streets, due to crime. 

"We've invested significant resources to ensure it remains a safe place to shop and work for our staff," he said. 

Mahlman said there's no truth to the statement and it needlessly worried staff and customers. 

"The key issue in all of this is the escalating violence, vandalism and economic loss," he said. "We are at a crisis point in retail, but nothing is close to being decided on any store closures." 

Mahlman said closing any locations would be a last resort, and a matter between London Drugs and its landlords and employees, not the media and local politicians.  

Retail theft and escalating violence has been an issue for many years, and working with police and government to combat the rise in organized theft remains a large concern, Mahlman said. 

"Frankly, we need all levels of government, including the City of Vancouver, to act now," he said. "Citizens, customers talk all the time about being afraid to walk the streets, particularly in the downtowns. It's not just a Vancouver issue. We hear this throughout the province." 

Mahlman said there's been no decisions made about closing stores due to crime, but it's not out of the question if nothing changes, and policymakers need to take heed of the toll on businesses caused by theft and violence. 

Mahlman said it's sad that repeat offenders have targeted retailers "seemingly without consequence." 

"It's giving them licence to come back more often and create more crime," he said. "This isn't petty theft. This is organized retail crime."

He said London Drugs staff have had to deal with "horrible" acts of violence, and the company has had to train people to de-escalate dangerous situations to avoid violence. 

"We've had staff hit with hatchets, stabbed, threats of knives, threats of needles, bear-sprayed, physical assault," he said. 

He said London Drugs is a private company and couldn't release exact numbers about the toll of theft on the company's operations, but said it's in the ballpark of "tens of millions" each year. 

"That doesn't include the replacement of broken windows and vandalism or the human toll of leaves of absence," he said. 

Mahlman said there's no truth to reports of the company potentially closing its downtown Vancouver stores, but he said "all options have to be on the table if we can't get government help to deal with this." 

"That includes the potential of closing stores in the future if nothing changes due to this escalating violence and vandalism and the economic loss," he said. "But at the end of the day, it's about protecting our people from the repeat violent offenders."

This report by The Canadian Press was first published Oct. 18, 2023.