IMAGE EVALUATION TEST TARGET (MT-3) 1.0 I.I *- IIIIIM |S0 '"" ^" m ^ 1^ liM || Z2 i.8 1.25 U 11.6 % <^ /}. '^1 ■c^l '^ ''"> f^ommittee, the Chairman — realizing that in order to obtain the passage of legislation of the nature sought by us it is necessary io previously interview ministers of the Crown and explain to them the purpose of the proposed measures that they may give them due consideration prior to the busy Parliamentary season and arrive at a definite conclu- sion upon them — wro*^© to Sir John A, Macdonald, and arranged an interview with him at the Queen's Hotel, Toronto, on January 15. Accordingly, at the appointed time, we called upon the right honorable gentleman and had a lengthened interview; in the course of which we learned that he was in favor of some of the reforms asked for, while to others he thought a little further consideration might be given. He stated, however, that it was hardly likely the government would do much in the way of introducing new labor legislation until the report of the Royal Labor Commission had been presented and considered. This Commission had been employed at a cost of about $80,000 to inquire into the relations existing between labor and capital in the Dominion, and he believed they vrould present information of great value oa the general questions on which legislation was desired. &ir John extended to the com- mittee a coidial invitation to call upon him at any time we desired to do so, promising a hearing and due consideration to all matters we might wish to present. On January 29 we proceeded to Ottawa in order to be present at the opening, and that no time might be lost in getting our work started. The first week we employed in forming the acquaintance of ministers and members, and in receiving and present- ing petitions from difterent Assemblies on divers subjects. On assuming our duties in the Parliamentary lobby, your committee deemed it in the interests of those whom we were serving that we should recognize existing facts in our Parliamentary system rather than to set up for ourselves an ideal system, and, having arrived at that conclusion, we set to work in the most practical way that sug- gested itself to our minds. Partyism in Canada divides the statesmen ,nd politicians into two separate and distinct camps, both of which are ever on the alert to make capital for themselves by which they may strengthen their position with the electorate. There is never any difficulty in getting an opposition to support a measure in which a large number of people are interested, no matter by what name the party may be known. For the reason that they are anxious to obtain the votes of these people, and by that means improve their chances of getting hold of the reins of government and all that that implies, they are deeply interested in gaining the good-will of the promoters of the measure, and, having no governmental responsi- bility resting upon them, there is nothing to prevent them from following the course which their political interests dictate. The difficulty in Canada is always and almost of necessity with the party in power. Upon them devolves the responsibility for the enactment of laws and for the general well-being of the country, in so far as a Parlia- mentary majority or an administration may be able to control it. They, therefore, are slow to move. But if a majority of them can be induced to look favorably upon a labor measure, it is certain to carry, as the opposition dare not oppose ft for fear of lessening their chances at the following elections. Under these circumstances, and the opposition having already placed themselves on record as intending to vote for our measures, your committee thought it their duty to devote their energies to the Government or Liberal-Conservative party. But in doing so we studiously avoided doing anything that could give offense to the other political organization; the jealousy existing between them being so great that, were h\^U^ CANADIAN LEGISLATIVE COMMITTEE 8 REPORT. it suspected by the government supporters that any one asking their assistance was leagued with the opposition, his prospects of achieving anything very satisfactory would be destroyed; and, on the other hand, did the opposition suspect that the person sought to do them political injury, they would drop him equally as quick. Knowi'ig that this jealousy exists, the members of your committee scrupulously avo'ded attending any Liberal-Conservative caucuses in order that the grits might no take umbrage. So, also, did we avoid making the Liberal caucus-room our headquarters that the Tories might not be offended. THE COMBINES BILL. One of the first matters to which we devoted our attention was a measure known as the "Combines Bill." During the preceding session, Mr. N. C. Wallace, the member for the West Riding of York, had moved for the appointment ot a special committee of Parliament to inquire into the existence of alleged combinations in restraint of trade. Mr. Wallace had had his attention directed to this matter by complaints coming from Toronto, Hamilton, Ottawa and other 'arge cities regarding the operations of the coal rings in these places. Complaints were also common with regard to unfair combinations which were said to exist among the insurance companies and certain manufacturers and wholesale dealers. The special committee was to prosecute an inquiry in order to ascertain to what extent these coriblnations existed, and, also, to discover in what manner and to what extent they a fecte(i the interests of the general public. Mr. Wallace's motion prevailed and the committee was appointed, with that gentleman as Chairman. The inquiry, which was thorough and exhaustive, clearly established the existence of some of the combinations complai^ied of, notably among coal dealers, insurance companies and wholesale dealers in sujrar, the last being known as the "Wholesale Gr'^eers' Guilt'." When the committee concluded its investigations and had reported to Parliament, Mr. Wallace introduced a measure to suppress combines. It was then, however, too late in the session to expect the measure to become law, and he announced that he would reintroduce it, or a measure to the same purpose, when Parliament again met. Early in the late session Mr. Wr.llace accordingly introduced an "Act for the Prevention and Suppression of Combinations formed in Restraint of Trade." It need not be matter for surprise that such a measure should provoke active opporsition on the part of interested parties, Mr. Wallace and Mr. Guillet, who had actively and earnestly seconded his efforts, pressed the bill forward, being not a little encouraged and assisted by the expressions of sympathy and approval, forwarded through your committee, by various labor bodies. As an instance of the heartiness of the approval given to the bill by the labor organizations we give the following letter from D. A. 125, Toronto: Toronto, February 11, 1L89. R. R. Elliot, Esq., Chairman Canadian Legislative Committee, Knights of Labor: DuAR Sir akd Brother :— At a meeting of D. A. 125, hela at Toronto on the 8tb inst., the following resolution was passed, which explains itself: Resolved, That this District Assembly approves the principle of the bill Introduced by Mr. N. O. Wallace, M. P., for the suppression of trusts and combines, and hereby urges the Canadian Legisla- tive Oommittue of our Order to use its best endeavors to secure the passage of the said bill, with such amendments as may be necessary to improve its elllclency. With best wishes I am yours fraternally, K. GLOOKL.ING, [SKAL ] Secretary-Treasurer D. A. US. 8 CANADIAN LEOIBLATIVE COMMITTEE'S REPORT. Hand-in-liand Assembly, No. 5743, of Toronto, wrote congratulating Mr. Wallace upon the progress he had made in his purpose of suppressing combines. Secretary Gilmour of L. A. 2305, Toronto, sent a resolution indorsing, among others, the Com- bines Bill. Brother George Dower, Secretary of the Toronto Trades and Labor Council, also sent a resolution of that body in support of the bill. Many others were also received. On receipt of these communications your committee deemed themselves more than ever bound to do everything in their power to secure the enactment of the measure, and we continued our labors in its behalf throughout the entire session, with the result that very many members of the House were induced to support it who had previously been prejudiced against it. After the principle of the bill had been approved by the House, a motion was made to refer it to the Committee on Banking and Commerce. It was thought by many that such a reference would be equivalent to burking the measure — and there is little doubt that such was the intention — a belief in which its promoter evidently shared, as he vigorously protested against it, urging that as the bill was based on the report of the special committee, which had heard all the evidence that could possibly be presented before the Committee on Banking and Commerce, the proposed reference was unnecessary. In spite of Mr. Wallace's protest, the motion to refer prevailed. Your committee is desirous, wherever such a course is possible, in the faithful discharge of our duty, to avoid imputing improper motives to members, but wo cannot avoid saying here that it seemed only too evident that although a fear of the consequences to their political future deterred them from voting against a measure so evidently popular, yet a number of members would not have objected to allow the burking of the measure in such a way as to protect their own popularity. Although Mr. Wallace had good grounds to fear that the bill would either be emasculated by the Banking and Commerce Committee or so delayed as to make its passage before the clos'j of Parliament impossible, he did not relax his efforts, but actively championed his measure before the committee. • When referred to the Banking and Commerce Committee the bill read as follows: AN ACT for the Prevention and Suppression of Combinations formed in Restraint of Trade. WuKREAS, It is expedient to declare the law relating to conspiracies and combinations formed in restraint of trade, and to provide penalties for the violation of the same: Therefore Her Mujrjsty, by and with the advice and consent of the Senate and the House of Commons of Canada, declares and enacts as follows : 1. Every person who conspires, combines, e^rees or arranges with any other person, or with any railway, steamship, steamboat or transportation company, unlawfully : (a) To limit the facilities for transporting, producing, manufacturing, supplying, storing or deal- ing in any article or commodity which may be a subject of trade and commerce ; or (6) To restrain or Injure trade cr commerce \N LKOISLATIVE COMMITTKK's REPORT. 18 was outlay of upward of half a million dollai-H aniiuully for ordinary oxpt nHeH,- not to Hpfuk of thu damagoH to which wo hav» alluded. Thi> ininiHtc'r lioHitated to adopt ho i>x|K'nRivc a HyNtem and pointed out that ItH greatexpuUHe would alwayH he a weal< point and .suhjcct to attack from ItHeneniieH. We reconiniended that iuMpuctorH he ap])ointt!d for the Upper LakoH — tho voKselHof the niaritiniu ProvinceH hcing already imtvided with the British load line — to whom would he allotted dihttrictH, and within tiiose diHtrieta they Hhould inspect the IiuIIh and rigging of sailing vessels and place u line on their hulls in such a position as to allow of two and one-half inches of free-hoard for every foot of draft. Wo pointed out that this wouhl he an easy solution of the prohlcm and a simi»U) plan to carry out. The minister expressed his i>leasure at the sugjjes- tion, and, after consideration, said ho helieved his department already had power to provide such machinery, hut in the pressure of Parliamentary huBiness to which they were then compelled to devote their attention it would be impossible to investigate the matter fully at tliat time. lie prondsed that