MPP: closed bidding driving up Pan Am costs

MPP and Pan Am games critic Rod Jackson says bidding for construction contracts related to the games is costing taxpayers more because it favours a small portion of the workforce.

This issue is coming to light as rumors swirl about the Pan Am games being over budget. So far Pan Am officials have denied any budget runs, but they have not released any figures.

Today critics are saying that taxpayers in the province can expect to pay 10 to 40 percent more on projects like the renovation of Ivor Wynne stadium.

At the press conference Jackson was joined by the director of the Progressive Contractors Association of Canada, Sean Reid. Reid is calling the bidding process unfair because Ontario labour laws restrict the number of contractors who can bid on a project because he says municipalities like Hamilton and Toronto are bound to the collective bargaining agreements of specific trade unions who represent only about 25 percent of the workforce. In turn, he is saying that the price will inevitably go up because the process is not open to all bidders.

Since 2005, only contractors who are part of the Carpenter’s union have been allowed to bid on city construction jobs. Reid said he brought this up two years ago, but was told by an aide to the labour minister, “in this process there are winners and losers, and the minister has no plans to re visit the issue.”

Video: Sean Leathong reports: