SUBCOMMITTEE REPORT

INTENDED APPOINTMENTS / STEPHEN RAYMOND

HUGH NICHOL

CONTENTS

Wednesday 3 May 2000

Subcommittee report

Intended appointments
Mr Stephen Raymond
Mr Hugh Nichol

STANDING COMMITTEE ON GOVERNMENT AGENCIES

Chair / Président
Mr James J. Bradley (St Catharines L)

Vice-Chair / Vice-Président

Mr Bruce Crozier (Essex L)

Mr James J. Bradley (St Catharines L)
Mr Bruce Crozier (Essex L)
Mrs Leona Dombrowsky (Hastings-Frontenac-Lennox and Addington L)
Mr Bert Johnson (Perth-Middlesex PC)
Mr Morley Kells (Etobicoke-Lakeshore PC)
Mr Tony Martin (Sault Ste Marie ND)
Mr Joseph Spina (Brampton Centre / -Centre PC)
Mr Bob Wood (London West / -Ouest PC)

Clerk / Greffier

Mr Douglas Arnott

Staff / Personnel

Mr David Pond, research officer, Research and Information Services

The committee met at 1030 in room 228.

SUBCOMMITTEE REPORT

The Chair (Mr James J. Bradley): The three parties are represented here today. I'm going to call the meeting to order. Our first item of business is the report of the subcommittee on committee business dated Thursday, April 27:

"Your subcommittee considered on Thursday, April 27, 2000, the selection of intended appointments for committee review, and has agreed to recommend: that the following intended appointees from the certificate received on April 20, 2000, be selected for review:" In all three cases -- opposition, third party and government -- there were no selections.

Would someone like to move that report?

Mr Bob Wood (London West): So moved.

The Chair: Mr Wood moves the report. Any discussion?

If not, all in favour? Opposed, if any? The motion is carried.

INTENDED APPOINTMENTS / STEPHEN RAYMOND

Review of intended appointment, selected by official opposition party: Stephen Raymond, intended appointee as vice-chair, Ontario Labour Relations Board.

The Chair: Under appointments review, we will be beginning our half-hour review of intended appointments as follows. From the certificate received on April 12, 2000, the first person at 10:30 am will be Stephen Raymond. Mr Raymond, would you come forward please. Mr Raymond is an intended appointee as vice-chair of the Ontario Labour Relations Board.

I would say, first of all, Mr Raymond, that our procedure is that if you wish to make an initial statement, you're most welcome to do so. We welcome you to the committee today.

Mr Stephen Raymond: Thank you, Mr Chair. Good morning, members. Thank you for the opportunity to appear before you to speak about my intended appointment as a vice-chair of the Ontario Labour Relations Board. I'm aware that you have a copy of my resumé, but I'd like to spend a few moments providing some further information and highlighting some aspects that I think make me well-suited to assume this role.

Before I do that, I'd be terribly remiss if I did not thank a couple of people who have come to support me here today. First of all, Mr Rick MacDowell, chair of the Ontario Labour Relations Board, is here. I appreciate his support and his taking time out of his very busy work at the Ontario Labour Relations Board to be with me here today. As well, behind him is my wife, Natasha vandenHoven, the most important person in my life. Her support is very much appreciated. I'm very glad she could take time out of her busy work life to be with me here today.

I was born and raised in the city of Toronto, the fourth of five sons. My father is an Anglican minister who worked most of his career in the national office of that church as the director of program. My mother was a university professor and then stayed at home to be the primary caregiver to her children. She later was a school trustee and eventually chair of the Etobicoke Board of Education. They are now both retired and enjoying their retirement quite a bit. I learned from them the importance of community and the importance of public service. I think in large part I owe to my parents my interest in joining the public service.

My education was in Etobicoke's public schools and then I went to the University of Western Ontario where I pursued a degree in political science, and then the University of Western Ontario for my bachelor of laws. While I was in law school I determined I wanted to go into the practice of law and that I would like to be an advocate. I learned during the second year that labour law was an area with a great deal of advocacy and that the subject matter was more often dealing with people than with things. I've always enjoyed people more than things, so I pursued a summer job opportunity.

I was very fortunate to be offered a position by Hicks Morley Hamilton Stewart Storie, then and now the largest firm in the country specializing in labour and employment law. Following that summer, I was asked to be an articling student with the firm and hired as an associate in 1991. In January 1997, I had the privilege to be made a partner of the firm. All of my legal work has been as a labour and employment lawyer. I have appeared on numerous occasions before the Ontario Labour Relations Board, the courts, interests and rights arbitrators and boards, the Workplace Safety and Insurance Board, the Workplace Safety Insurance Appeals Tribunal and coroner's courts.

Specifically, at the Ontario Labour Relations Board, I have appeared on cases dealing with most of the major subject areas that that board concerns itself with: certifications, terminations, unfair labour practices, sale of the business, related employer, unfair representation complaints, health and safety and employment standards appeals. I believe I have the necessary background and expertise to assume this role.

Just on a further personal note, I still live in the city of Toronto. I am married, as I indicated, with one child, an 18-month-old boy named Clarke, who is the light and joy of my life and my wife's life. I look forward to your questions and thank you for your attention.

I understand from Mr MacDowell that he is prepared as well, if the committee wishes, to answer any questions you may have that relate directly to the board itself.

The Chair: Thank you very much. I'll begin with the official opposition.

Mr Bruce Crozier (Essex): Good morning, Mr Raymond. Welcome to the committee, and thank you for taking your time to come and appear before the committee.

As you've outlined, and then in the information that was given to us, we certainly believe you're eminently qualified for this position and we'll support it. But this hearing this morning gives us an opportunity, as you've pointed out, to ask some questions on how the board functions and how you see your role with the board.

For example, did you apply for this position? You mentioned civil service and so forth. Did you apply for this?

Mr Raymond: As a member of the labour relations bar, one becomes familiar with the Ontario Labour Relations Board, and I was generally aware that there were a number of people who were at the board. I think there are approximately 15 full-time vice-chairs. Last spring, I think it was, there were five new appointees to the board, but since that time a number of people had left the board, so I was vaguely aware they might be looking for someone. As a result, I contacted the chair of the board, Mr MacDowell, and expressed my interest in discussing with him the possibility of joining the board. He welcomed that and we then met on a number of occasions. That was the beginning of the process. So there was no request in a newspaper that I was responding to. I was just sort of loosely aware that they might be looking, so I expressed an interest to Mr MacDowell and he took it from there.

Mr Crozier: Sure. It's been outlined in your background that you've advised and represented employers. Of course the board, as I understand it, has both labour and management appointees to the board, and generally its hearings are held by three members of the board. Are you identified specifically as a management vice-chair of the board?

Mr Raymond: No. The role I will take up will be the neutral person. Some of the board hearings are tripartite with a representative from management and a representative from the trade union. Some of the hearings are solo vice-chair, acting as vice-chair by himself. I will be assuming the role of the neutral person, the unbiased person, hearing the facts, assessing the facts, applying and interpreting the law and making a decision.

Just for your reference, I understand from the chair that almost all of the current vice-chairs at the Ontario Labour Relations Board came from either the management or the union side prior to joining the board, and they all are now operating as neutral, unbiased people adjudicating matters.

Mr Crozier: Great. You've answered what would have been my next question. It is about the neutral member of the board as well. From a layman's point of view, in many cases it must be very difficult to be neutral, because that essentially is, I suppose, what it takes when two parties get to the point where they can't seem to get anything settled.

For my information, does the board intervene, or is the board always invited to review a situation and rule on it, or is there a mechanism by which it reaches the board?

Mr Raymond: Since I'm not there, I don't know the answer to that entirely, so I'll look for a nod from the chair if I get this wrong.

The Chair: I just point out that all you can have is a nod from the chair, because the standing rules do not permit anyone else to answer questions, but it's fine to get a nod from the chair.

1040

Mr Raymond: My understanding is that all the matters that come before the board are initiated by one party or the other starting an application or a complaint or an appeal. So in each and every case, as I understand it, one party or the other would initiate a process which would then involve the Ontario Labour Relations Board in trying to assist those parties in solving their problem. That's what I see is my role, as a neutral. Two parties are coming before me. They haven't been able to solve this problem and I'm there to help them solve it, if necessary in a formal, legal way, and if possible, not in a formal, legal way, because they have an ongoing relationship that is their relationship and I'm just there to help them at a particular difficult point in that relationship.

Mr Crozier: I certainly wish I could put you to work today. You and I could jump in a car and go down and settle the dispute on the Pelee Island ferry in my riding, but we'll see how that goes.

This would be, as is pointed out, a full-time position. It's like a five-days-a-week, eight-hours-a-day kind of thing. In other words, you wouldn't carry on your legal practice along with this position, is that correct?

Mr Raymond: No, I would not carry on a legal practice as a full-time position. If my appointment is confirmed, then I would be resigning from the partnership I'm presently a member of.

Mr Crozier: Mr Raymond, we wish you well. In a perfect world, I would wish that you have absolutely nothing to do, but we aren't in that perfect world so I certainly wish you success on the board.

Mr Raymond: Thank you, sir, I appreciate that.

The Chair: Ms Dombrowsky, do you have any questions?

Mrs Leona Dombrowsky (Hastings-Frontenac-Lennox and Addington): Not at this time.

The Chair: I'll move to the third party.

Mr Tony Martin (Sault Ste Marie): You're aware, I'm sure, that the role you will take on if you're given this appointment is to act as an arbitrator and to interpret, to some significant degree, some of the laws that are on the books where labour relations are concerned. There have been a significant number of changes over the last five or six years to various pieces of the Labour Relations Act and I'm wondering if you know of these, understand them, and how you see them either contributing to or taking away from the level playing field or fairness that needs to be in this area if all parties concerned are going to get a fair deal.

Mr Raymond: Thank you for the question. In my first five years of practice I was faced with three different labour relations acts. I first had the one that had been in place and was in place under the Liberal government; then the New Democratic government made significant changes to that piece of legislation and that was a significantly different act; then the Conservative government, when it came to power, made significant changes again. So in those first five years I faced three different labour relations acts and I think I understood them well. I understood what policy was behind those various governments in terms of what they were trying to do with the Labour Relations Act, so I think I understood them.

In terms of contributing to the level playing field, I see the role of vice-chair as one who is going to deal with a specific problem that's brought to them on a specific day by specific parties. I don't see the role of vice-chair as somebody who sets policy. I think the Legislature sets policy. The Legislature enacts the legislation to determine what the law is going to be and then it's the role and the function of the labour board to interpret and apply that law, whatever it might be.

If I'm at the Ontario Labour Relations Board, I will of course try to do that in as fair, equitable, reasonable and sensible way for the parties as possible. But I recognize that we're not the ones making the law. The Legislature makes the law. The Legislature determines the policy. We're there to interpret the law as it's given to us and to apply it to a particular fact situation that we are faced with.

Mr Martin: I understand all that. I guess I'm trying to get a handle, before I'm called today to make a decision on whether or not I can stand behind your approval, on where it is you stand on some of the changes that have happened in the Labour Relations Act over the last three or four years.

Mr Raymond: I think, as a neutral and someone who hopes to assume that role, that my personal views of those changes aren't important. What I want to do and what I would hope to do in the role is take the law as it exists on whatever day I am faced with it, interpret it and apply it to the facts and attempt to do that in a way that, to me, makes sense for the parties. I very much believe in the relationship between trade unions and employers. It's their relationship and something they have to manage, but when they come to the board, we would be there to help them in that relationship and I'd want to continue to help them in that relationship. My personal views on the legislative changes brought by the Conservative government or the NDP government or the Liberal government before that aren't things that I would be considering when I was faced with a specific question.

Mr Martin: Certainly from my perspective it will colour your interpretation. We all come to the jobs that we do from a set of circumstances, a background where we've been surrounded by certain people and are usually somewhat fixed in terms of what it is we want to accomplish in attaining certain positions and roles. When I went before the electorate in Sault Ste Marie, they knew I was a New Democrat, they knew of my involvement in the community in a lot of social justice types of things and they knew of my personal life, because that happens when you get into public office.

This is an appointment that will have significant ramifications on where we go as a province where labour relations are concerned. I, for one, anyway, around this table, would be more satisfied if you were a bit more forthcoming in terms of what your position is or was re some of the changes that have happened to the Labour Relations Act over the last few years, particularly given the fact -- and maybe you can respond to this; I'm not sure -- that most of your previous activity was on behalf of employers. Have you done any work at all on behalf of employees before the board?

Mr Raymond: No. My work has been exclusively on behalf of employers. The labour relations bar, among those who are regularly practising labour relations, is almost entirely split. You're either someone who represents trade unions and employees or you're someone who represents employers. So while there are large firms such as the one I come from that represent employers, there are large firms that represent trade unions and large firms that represent employees. As a young person moving into this field, you're forced to make a choice as to which side you're going to work on. I made the choice because I was given the opportunity to work in what I understood to be one of the most prestigious firms in the country in this area and I wanted to get that experience.

You can't come out of law school and apply to be a neutral, unbiased person somewhere. Everybody who moves into this role moves there from somewhere. In the most recent appointees, we had a partner from a union-side firm who was appointed by this government and I don't think people have raised any concern that he can't treat employers fairly. If, at the end of the day, I'm appointed by this government, I'd hope that there wouldn't be any concern that I'd treat trade unions fairly.

There are trade union counsel I've known for years who have called to congratulate me on my intended appointment and indicated that they thought I would make a good vice-chair and they were looking forward to appearing in front of me. In the community, it's understood that there's a split between the management side and the union side and that we are all representing our clients' views and our clients' interests, whatever our own may be, and that's the job we're asked to do.

1050

You won't find many people coming to the labour board who have represented both employers and employees; usually they have just represented one or the other. But when we go there we have to do the job of dealing with the particular facts on the particular day and interpreting the laws that may exist on that day.

Mr Martin: So you're not going to share with us, then, your view or opinion on the changes that have happened over the last four or five years.

Have you been or are you now a member of the Progressive Conservative Party in Ontario?

Mr Raymond: I have never been a member of any political party, including the Progressive Conservative Party of Ontario.

Mr Martin: Thank you.

The Chair: The government party?

Mr Wood: We'll waive our time.

The Chair: It appears that all of the questions have been asked from the members who wish to ask them, so I thank you very much for appearing before the committee.

Mr Raymond: Thank you very much, Mr Chairman.

HUGH NICHOL

Review of intended appointment, selected by the official opposition party: Hugh Nichol, intended appointee as member, board of directors, Ontario Lottery Corp/Ontario Casino Corp.

The Chair: The next intended appointee is Mr Hugh W. Nichol. This is scheduled for 11 am. Mr Nichol is here, so with his permission we'll have him come forward at this time.

I will first of all indicate to you, as I did previously, that you are welcome to make an initial statement, should you wish to do so, sir.

Mr Hugh Nichol: Yes, I would. Thank you.

First of all, I would like to thank the committee for asking me down here this morning to meet with you. I know you have my resumé, but I would like to take a few moments and just expand upon my educational, business and personal background to establish my credentials in terms of qualifications and experience to serve as a public appointee.

I was born and raised in Haliburton and I was educated in Haliburton. I then attended Wilfrid Laurier University in Waterloo and obtained a bachelor of business administration degree. I later articled in Ottawa with a firm that was then called Deloitte Haskins and Sells. It was considered one of the big eight firms. I understand now they are down to the big four or five firms. At that time I obtained my CA designation, chartered accountancy. While articling in Ottawa I obtained extensive exposure to audit work on crown corporations, the federal government, large international firms and of course some medium and small firms in the Ottawa area.

After tenure there with Deloitte, I moved home to Haliburton and worked in a public practice, and I'm now a partner in a public practice in the Haliburton area. Through that involvement I have gained extensive experience in dealing with small and medium-sized businesses, extensive experience in dealing with municipalities and boards of education, understanding how grants and government funding works very well with that. One of the great joys of my practice is being able to meet with individuals on a daily basis, and I've come to gain extensive knowledge and information in dealing with personal and individual taxation.

One of the great highlights of my life is really more on the personal basis. I am married to my wife, Stephanie, and I have two young boys, Curtis and Tom, who are aged 8 and 6. Through their support and my business background, I have been actively involved in many community and charitable activities. I am a member and past president of the Haliburton Rotary Club. What I think I have enjoyed most of all is that I have been a member of the Haliburton Highlands Health Services Corp, which is the health board, for six years. Of that, I was chair for three years.

I would like to expand upon that, because when I first became chair of the health services board in Haliburton, it was the first year that our region actually had a health board. Before then, we were under a department, as you would say, of St Joseph's General Hospital in Peterborough, which is an hour and 15 minutes away from our region. As chair, we had to establish the governance of our health services board and operate the health facilities. One of the main things we were trying to do was undertake a capital project of up to $20 million to renovate the acute care hospital to build and add new long-term-care facilities in our region.

Also, as part of that, while I was being chair of the health services board, we did not have a foundation. Through our support, my support and the health board's support, we created a Haliburton Highlands Health Services Foundation.

I'd like to talk briefly about this. In our region there's a very small population base, low income, and our mandate on our health project was to raise $5.5 million on a local share. I'm really proud to say that through our efforts and many people's efforts, our region has raised over $3 million out of the $5.5 million in two years. I enjoyed very much being on the health board and the experience that came with it. I feel these attributes will be most beneficial in serving on a corporation whose mandate, as I see it, should help promote business and tourist opportunities in a socially safe and responsible manner for the people of Ontario.

The Chair: Thank you very much. We'll begin with the New Democratic Party, the third party.

Mr Martin: This is an organization, of course, that has grown in leaps and bounds over the last few years in Ontario, and is more and more playing a very critical and significant role in the revenue generation of the province so that we have the dollars we need to pay for some of the things government delivers, given that government has given away a lot of the money they get by way of the tax system.

However, my concern is the role of the lottery corporation above and beyond that and the potential it has to be other things in the province besides just a source of revenue. You mentioned tourist attraction and bringing people in. At one point the government of Ontario decided it was a vehicle that could be used as well to stimulate economic development in an area, and the headquarters was moved to Sault Ste Marie. It was a good decision and it was ratified by the Bob Rae government that came into power in 1990 and it went ahead.

There was a beautiful building put up to house it and it was indeed doing all the things that it was expected would happen. There was spin-off activity and there was a ticket plant put up. The goods and services that were purchased from the region were significant. But now, under the leadership of the present government and the new chair -- by the way, I don't see him here. Does that mean he's not supporting you in your request, your application?

Mr Nichol: I would suppose you'd have to ask him yourself directly.

Mr Martin: In view of the decision that was made by the Liberal government of David Peterson and then ratified by the New Democrat government of Bob Rae to place the headquarters of the lottery corporation in Sault Ste Marie to assist in the diversification of the economy of that area, and now the reversal of that decision, what would your position be on that and what would your opinion be on that kind of thing re the lottery corporation?

Mr Nichol: Just to paraphrase, you're asking me, what is my position on the fact that the lottery corporation used to have its headquarters in Sault Ste Marie and they intend to move it back towards Toronto?

Mr Martin: It's already moved, with the amalgamation of the casino corporation and the lottery corporation -- I guess your view on using a vehicle like the lottery corporation as a stimulant to diversify an economy of a particular region. Is there justification in that?

Mr Nichol: I'll leave that first part. I really feel that in my experience in what I've seen and talking to a lot of individuals, there's a lot of disposable income out there and people are going to attend casinos, whether they're in Ontario or in some of the border states of the US. I think there are opportunities for economic development, but I think those decisions have to be made as very sound business decisions. I don't think you should put a casino necessarily in Haliburton because I think it would be great for Haliburton. There isn't a population base there.

I think, and I said in my statement, that there are opportunities for business and tourist attractions, and I think that's going to happen because people have income. In some cases they enjoy going to casinos or lottery corporations or things like that, for many reasons. I'd like to see it done on as responsible and safe a basis as we can. But where they are specifically located should be made on sound business decisions.

1100

Mr Martin: I agree with you there, but the question actually was about the headquarters of the whole corporation and its location. There was a decision made to move it out of the Toronto area into a part of the province that was struggling to diversify its economy and stimulate an economy that's still struggling. That decision was proven to be a correct decision in that in moving the lottery corporation headquarters to Sault Ste Marie it continued to generate significantly improved profit year over year every year it was there. There are a lot of people in my community who are very upset with the decision to move that headquarters back to Toronto, where it just becomes another corporation and doesn't have the potential to stimulate the kind of positive economic change that it did in our region of the province. What would your view of that kind of activity be?

Mr Nichol: I wasn't involved with the business decision of relocating the lottery corporation headquarters, but coming from an area that has low income, is heavily dependent on tourism, has some lumbering, I can empathize with your position and I can empathize with the people of Sault Ste Marie. It's very difficult to diversify your economy. I have sympathy for it, but I was not involved with the business decision and I was not involved with all the background information. In the long run you have to make decisions that are best on a business basis, but you have to take into account whenever you can these other factors you're talking about. I have empathy, but I wasn't a participant in those decisions.

Mr Martin: As long as you have empathy and you understand why it was done.

Mr Nichol: I come from a region that has the lowest income per capita probably in the province, the lowest number of people who have post-secondary education per capita. I have a lot of empathy for that. But I also know and I've seen, and we all have, that if you make business decisions, and continue to pour government grants and funding into those that have no long-term business rationale, they won't survive. I'm not sure that's best in the long term.

Mr Joseph Spina (Brampton Centre): Thank you, Mr Nichol, for bringing your name forward for this. Your background is fundamentally accounting. What area of accounting were you in? I realize you are in public practice.

Mr Nichol: Public practice, I describe to people, is in many regards like being a GP for a medical doctor: You're a jack of all trades. I do a lot of financial statements, estate planning, tax returns for individuals and corporations. I do some audit work on the municipal side. I'm a generalist. I'm not a tax specialist, and I don't deal in specialities in mergers and acquisitions. I have a business degree and a CA designation.

Mr Spina: Do you feel, then, that your role on the board could contribute substantially towards the financial decision-making process of the corporation, if and when you get that opportunity?

Mr Nichol: If and when I get that opportunity, I feel I have the background. I am very good at concepts, and I'm very good at relating concepts with financial numbers. The numbers are large, huge, but the concepts are always the same: You must make sound business decisions. I represent an area of Ontario that maybe doesn't have a lot of representation in something like this. I do feel I can add to it and be cognizant of other factors and the impact that some of the decisions we make will have on rural Ontario and smaller communities.

Mr Spina: Thank you, Mr Nichol. I wish you well.

The Chair: Any further questions from the government caucus?

Mr Wood: We'll waive the balance of our time.

The Chair: I will move to the official opposition.

Mrs Dombrowsky: I would like to indicate to Mr Nichol that we appreciate your coming and answering our questions this morning. I read with some interest the resumé that was provided to us and listened as you expanded upon that. When I read the responsibilities of the position for which you are intended, it indicated, "Board members will play a vital role in: strategic planning, establishment of good management practices" and would demonstrate "a thorough knowledge and understanding of the casino and gaming industry and best industry practices and standards." I really don't see anything in your resumé that would indicate that you have had any connection or experience with the casino and gaming industry, and I was wondering if you might be able to expand upon that for us this morning, please.

Mr Nichol: I believe you have read the resumé correctly. I do not have an extensive background or a background in casino and lottery corporations. I do have a sound background in business and business fundamentals. A board of directors is made up of, hopefully, not 12 accountants or 12 people who are in marketing. I'm going to be part of a team and sit on a board of directors. My background will be in business. They will obviously, or hopefully, have an audit committee. I hope to see myself being part of the audit committee and bringing my background to this industry. I know from my own personal experience that I'm a quick learner and can understand concepts really well.

Mrs Dombrowsky: I thank you very much for your honesty in that regard, because it was something I was looking for, I must say, with this type of an appointment. I am a member from a rural riding and in my riding I hear from constituents around, usually, issues relating to lottery regulations. There are very small communities in my riding that would very much appreciate the opportunity to participate in making available lottery tickets to people in their community. However, they are not able to meet an expectation in terms of dollars sold on a monthly basis.

You did indicate in your comments that you believe the lottery corporation should be instrumental in communities to promote business and tourist opportunities. I'm sure you can appreciate -- you've indicated that Haliburton is a rural community as well -- that these small hamlets in my riding, like Eldorado and Ivanhoe, have a lot of traffic in the summer, so they can meet those dollar sales expectations on a seasonal basis, but in the months of December, January and February it is certainly a challenge and so the opportunity for them to provide this service within their community has been taken away or has been denied.

I was just wondering what your position would be. Would you, in your role on the board, be open to some flexibility that would open up and provide for small rural communities better access for their people so that they don't have to drive 20 and 30 miles to buy lottery tickets? Because they live in a small town that can't sell $400 or $250 worth of lottery tickets in December or January, for example, their community does not have access to the tickets. I'd really like to understand what your position on that would be.

Mr Nichol: Obviously I don't know all of the detailed policies and practices of the lottery corporation and its business decisions. But I was expecting -- and perhaps this is a good opportunity -- a member to ask, "What would you bring to the table and why would you want to sit on it?"

A board of directors represents the shareholders, and the shareholders in this case are the people of Ontario. I'm from a rural small town like yourself who represents or sits in an area like that. I think I have enough confidence in myself to be vocal enough that if the opportunity came along, I would at least push for it because I come from a small area and I feel I'm going to represent rural Ontario. Nothing may change, but at least as opportunities come along -- as you say, the summer traffic is higher. You're right, December, January and February are not good months. I haven't seen the data on what it takes to sustain the lottery corporation's ticket sales but I think that's one of the things I bring to the table. I do represent rural Ontario in this matter and I have a good background in terms of business and my accountancy. I know how difficult it is for small businesses to survive in a rural area. I have a lot of empathy for that. As long as it makes sense I'd at least like to bring that discussion, if that opportunity came up, to the table.

1110

Mrs Dombrowsky: I appreciate that very much. Thank you. I would also ask if you have any political affiliations.

Mr Nichol: No, I do not. Specifically when you're asking about political affiliation -- am I a member of a political party?

Mrs Dombrowsky: Yes.

Mr Nichol: No, I'm not.

The Chair: Any further questions from the official opposition?

Mrs Dombrowsky: That would conclude my line of questioning.

The Chair: Mr Crozier, there's a brief supplementary that the NDP member wishes to ask. Does anybody here object to him asking this?

Interjection.

The Chair: Did you want to ask it of the person? It has to be with permission.

Mr Martin: I'll let the official opposition go, and then I'll --

Mr Crozier: Just a quick question. Did you apply for the position?

Mr Nichol: No sir, I did not. How it came about is, I had been on the health board for six years, three years as chair. I enjoyed very much the challenges that went with it. Last summer at a barbecue I had the opportunity to talk to our member of Parliament and said that if an opportunity came up to sit on a committee that could use my type of background, that obviously being in the business and finance area, I would like the opportunity to at least apply for it and see if I could get such a position. I enjoy the challenge and the personal growth that comes with it.

In January of this year, I was asked if I would be interested in sitting on the Ontario Lottery Corp and the gaming commission.

Mr Crozier: What was the barbecue that you attended?

Mr Nichol: It was a fundraiser for the Haliburton Highlands Health Services Foundation.

Mr Crozier: OK.

The Chair: Any objection to Mr Martin --

Interjections.

The Chair: Mr Kells says it's OK. It looks like everybody's agreed.

Mr Martin: Mr Kells, I appreciate it that if the Chair was actually over here and able to ask a question, it would probably be something like this: The growth of the gaming industry in the province has been quite dramatic over the last short while, even to the point where we're now seeing racetracks that were simply supposed to have slot machines turning into full-fledged casino operations without the attendant local referendum that was proposed by the government or supposed to be in place as a prerequisite to a casino going into any community. What's your view on the proliferation of gaming operations in the province and the seemingly growing dependence of government on the revenues that are generated by such?

Mr Nichol: It seems to be a two-part question. I think the second part --

Mr Morley Kells (Etobicoke-Lakeshore): You're only allowed one.

The Chair: It was one, with two parts.

Mr Kells: Oh, I see.

Mr Nichol: The second part, about the government's growing dependence on lottery revenues -- I'll leave that to the political side to answer. I think it's the mandate of all governments to responsibly collect taxes and spend them in a responsible manner. I'm not part of that process; I'll leave that.

I said in my opening remarks that this type of industry is growing very quickly. I have clientele who would shock you, the people that go to casinos, and it's an hour and fifteen minutes away. They enjoy it. They talk about how they enjoy doing it. It's going to happen. I'd like to see Ontario be part of the process. I said it should be done in a responsible manner that best represents all the people of Ontario.

As for slot machines at racetracks, why do people go to racetracks in the first place? Is it because they like horses or because they like to gamble? So on a personal basis I see that the two make sense, from a business point of view. People go to racetracks, Woodbine or whatever, across the province, because they like to place bets on horse racing. Is it because they like horse racing or do they just like to place the bets? I don't know. But that industry is going to continue to grow. It seems to me that's a natural place for it to grow. If you're going to go to horse racing to place bets, I don't see that as a huge conflict of interest.

The Chair: Thank you very much for permitting Mr Martin to have that question. His reference, by the way, Mr Nichol, is to the Chair of this committee. If you will remember Mr Drainville's opinions on gambling, mine are exactly the same as Mr Drainville's. That's why he is making reference to the Chair of the committee. There are days when it's an advantage and there are days when it's a disadvantage to be a Chair. It's always an advantage with the wonderful members we have on this committee, however.

Thank you very much, Mr Nichol, for being with us today and answering our questions.

Mr Crozier: Particularly, Chair, when they are all unanimous in wanting the opposition to have every opportunity to ask questions.

The Chair: We will now deal with intended appointments and I will entertain any motions.

Mr Wood: I move concurrence in the intended appointment of Mr Raymond.

The Chair: Is there any discussion?

Mr Martin: I won't be supporting the appointment of Mr Raymond. I found him to be evasive in terms of his position on some things I think are really important. Given the changes that are happening out there in the labour relations areas, this a board that is very critical and sensitive, and I think we need to know what people's views and opinions are on some of these issues and topics.

In my view, he comes from a very one-sided perspective on this. All his work and presentations before the board have been on behalf of employers. Given the atmosphere and environment that are out there right now where labour relations are concerned, we have to be completely and totally concerned and careful that we put people in place who are unbiased and balanced in their view and come with a background of experience that has them, from time to time, cognizant of and able to argue on behalf of both sides of the issue. In this instance, I don't think that's the case.

It's my view, and it's a personal view, that the movement that has taken place in labour relations in this province has been very pro-management. Some of the appointments to not only the Ontario Labour Relations Board but a whole host of boards and committees and commissions that oversee the labour relations aspect of the public business of this province have been taken very significantly out of the hands of organized labour and turned over, in many significant ways, to the will of management and this government and its supporters.

It's with that in my mind that this morning, on behalf of my caucus, I will not be able support the appointment of Mr Raymond to the Ontario Labour Relations Board.

Mr Spina: If one were to follow the logic of my colleague from Sault Ste Marie, we would presume that no defence attorney could ever become a crown attorney, and no defence attorney or crown attorney could ever become a judge. We are extremely satisfied that Mr Raymond demonstrated that he can make a great transition from one of being an advocate to one of the being an adjudicator. We are quite convinced that he will do a good job in the transition.

The Chair: Do any other members of the committee wish to engage in the discussion? If not, we will come to the point of decision. We have a motion before us from Mr Wood to concur in the appointment.

All in favour? Opposed? The motion is carried.

The second one we have is that of Mr Hugh W. Nichol, intended appointee as member, Ontario Lottery Corp board of directors and the Ontario Casino Corp board of directors.

Mr Wood: I move concurrence in the intended appointment of Mr Nichol.

The Chair: Any discussion?

Mr Martin: Even though I sense that the Chair would not have been real happy with the response to the question I asked in terms of the dramatic proliferation of gaming and gambling opportunities in the province, I am not as anxious about that as he.

Mr Spina: You have a casino and he doesn't.

The Chair: I don't want one.

Mr Martin: Given the empathy, though, and the understanding the member showed in terms of the different ways this particular corporation could be helpful in the stimulation and further development of economies and the economy of this province, and his understanding of how important it is for a vehicle like the corporation to have its headquarters in a place like Sault Ste Marie that's struggling to diversify its economy and get its feet under it in that way, because he comes from a place that is itself struggling in probably somewhat the same way, I will certainly be supporting his appointment this morning.

The Chair: Any other comment by any member of the committee before we come to a decision? If not, I will put the motion by Mr Wood.

All in favour? Opposed? The motion is carried.

Is there any other business before the committee? If not, I'll entertain a motion of adjournment.

Mr Wood: So moved.

The Chair: All in favour? The motion carries. Thank you, members of the committee.

The committee adjourned at 1121