| NL Fisheries Minister Urges Continued Movement Toward Solutions for Fishing Industry |
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The restructuring process to fix the woes of the Newfoundland and Labrador fishery has hit a number of potholes along the way. Perhaps the most damaging one came recently when the processors declared they would no longer participate in any negotiations with fishermen as long the current price setting (arbitration) panel was in place. The Newfoundland government refused to remove the panel and now no one seems to know what will happen to the collective bargaining process. Some people wonder if the processors injected a poison pill that will spoil any chance of a positive outcome to the restructuring effort.
The Minister of Fisheries and Aquaculture and the Chair of the MOU Steering committee also seem concerned. On Friday, March 05, Clyde Jackman issued a press release with a plea for processors and fishermen to stick with it. Jackman asked that they proceed “with vigilance to find solutions for the long-term structural issues in the province are fishing industry.”
“The progress toward finding solutions to address the structural issues in the fishing industry has unfortunately been slower than we initially anticipated,” said Minister Jackman. “I have asked the chair of the MOU steering committee to convene a meeting by the middle of next week, at which time all reports and proposals will be presented. We are hopeful the process will be completed with solutions proposed and accepted by all parties over the next few months.”
Since the signing of the MOU, representatives from the FFAW and ASP have been providing input to the process through working groups and a steering committee. The Department of Fisheries and Aquaculture has received proposals for addressing the problems in the industry from both the harvesting and processing sector representatives this past January, with further information coming forward from the FFAW in February. These proposals are seeking a high level of financial support from the Provincial Government and present solutions that in the past have not proven to address the long-term structural issues in the industry. In addition, other submissions and correspondence have been reviewed from industry stakeholders.
As well, a financial analysis of the industry is being carried out by external consultants, with Grant Thornton completing the analysis of the processing sector and Deloitte completing the harvesting sector analysis. Minister Jackman stated today that he expects the financial analysis reports will be completed in the near future.
When the financial analysis reports are received, the working groups will be asked to consider the reports and the proposals submitted to date. They will develop recommendations for the steering committee, which will conduct its own analysis of the reports and proposals.
The steering committee is being chaired by Professor Tom Clift of the Memorial University’s Faculty of Business.
“This process has proven to be extensive and challenging,” said Professor Clift. “As chair, I now have to work with the parties to forge consensus on the programs and policies that can best achieve the objective of the MOU.”
Ultimately, the steering committee and proposals arising from its analysis will be presented to the Federal Government.
“While this process has taken a great deal of time, I understand that the parties to the MOU are dealing with very complex issues,” said Minister Jackman. “I look forward to hearing about their vision of the industry and the potential solutions that they will bring forward.”
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