QUESTION PERIOD — Ministry of Labour
Rate of Taxes on Beer
February 9, 2023
Minister, last week the Canadian Union of Brewery and General Workers sent a letter to the Prime Minister and Minister Freeland regarding the 6.3% inflation-based increase in federal beer taxes scheduled to automatically go into effect on April 1. The letter reads, in part:
We are headed into a recession. The Federal Government must avoid making the situation worse. It cannot rigidly stick to policies that raise prices and fuels higher inflation, which is exactly what raising federal beer taxes by 6.3 per cent will do.
Minister, what do you have to say to the 350 unionized workers employed at the Molson-Coors brewery in Toronto who may be very nervous about the security of their jobs due to the Trudeau government’s high tax policies? How does a massive increase to this tax help Canadians working in the brewing and alcohol beverage sectors keep their jobs?
First of all, senator, with all respect, it is not my jurisdiction. I do not have a specific and ready answer for it, other than to say that nobody wants damage done to what I think is a very proud industry in this country, and one that is only increasing based upon the craft breweries that I see erupting all over my province. One of two things will happen — presumably, you see it — workers may be affected through streamlining or it is passed on to the consumer. Neither is particularly pleasant.
I do not have a ready answer for that, but I will check in with the office of the finance minister. I do know about that letter, though.
