26 - Sunday, June 21, 1998 - North Shore News Daniel Jarvis MLA 4- 1501 Lynn Valley Road, North Vancouver, BC, V7J 2B1 * Phone 984-2692 » Fax 775-1061 North Vancouver- Seymour alute to Smali Business S mall businesses say they are being overwhelmed by high taxes, heavy- handed regulations, bureaucratic run- around, and a made-in-BC recession. This means jobs are heing ‘+:.! -id new jobs are not being created. The impact is being felt in every corner of the province. Unemployment is higher in BC than anywhere west of Quebec. Youth unemployment is at a record level. People, businesses and investment are leaving BC for places like Alberta and Washington. “It’s tougher than ever to operate a busi- ness,” says John Blackett, who runs insur- ance offices in the northern Interior from Smithers to 100 Mile House. For exam- ple, he has to deal with the inflexible ‘rules and paperwork of the Employment Standards Act (ESA). This act alone is so complex that the government's ESA help- line receives 60,000 calls per month, “You need all sorts of outside profession- al help just to comply with govemment regulation. ‘The legal costs alone are huge,” says Mr. Blackett. “Asa msult, we haven't hired any addi- tional staff in the last year.” David Kanester, whose Richmond char- tered accounting firm employs 17 people, agrees. “There are too many regulations and too much ted tape. Every time you tum around there is another form to fill out and, in the last few years, it’s been two or three more forms at a time.” “I'ma chartered accountant and a trustee in bankruptcy. The number one reason I see people in bankruptcy is taxes,” says Mr. Kanester. all Business Ownex Richmond, BC: “People are working harder than ever but they have iess money in their pockets.” These stories are true cf smail businesses throughout British Columbia. High-tech companies can't afford to hire the expertise they need to compete glob- ally. According to the BC Technology Industries Association, this is mainly duc to BC's “reputation as the most highly taxed province in Canada, and a jurisdiction with an unattractive labour environment.” Restaurant owners can't afford to hire more people because of high WCB pre- miums and high income taxes, plus the burden of smal! business taxes, sales taxes, and countless otfier fees. The signs of struggle are evident in the closed stores, vacant warehouses, and shut-down mills around the province. For the first time, Alberta has overtaken BC in new business incorporations. Despite these challenges, small business- ¢s are still working day and night to keep their doors open and provide the jabs that so many families depend on. Let’s all work together to help them.” ISSUE: Small businesses say taxes are too - high. The recent provincial budget did little to help. According to economist George Pedersson, “the reductions in personal taxes are minuscule, The tax cuts to business ... are ineffective.” ACTION: We need to give British Columbians the lowest income tax rate in the country. We need to give small busi- nesses 4 real tax break. Heavy taxation kills investment and job creation. The more dis- posable income people have, the more jobs are created. ISSUE: According to the BC Chamber of Commerce, “the planned changes to the Labour Code will hurt the flexibility of individual enterprises and as a result, reduce our ability to create jobs, invest- ment, and a healthy BC economy.” ACTION: We musi give workers and employers more flexibility in the workplace by modernizing our labour laws and the Employment Standards Act. ISSUE: According to the Canadian Federation of Independent Business, inflex- ible Jaws like the Employment Standards Act have “been a nightmare for small com- panies trying to meet customer demands {and] remain competitive.” ACTION: Regulations and red tape drive up costs and reduce flexibility. This means fewer jobs and less investment. We will cut red tape by one-third in our first three years of government.