Canadian Labour Reporter

December 7, 2015

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bribery, intimidation, assaults and even murder. Ultimately, the commission concluded that corruption had taken root not only in the prov- ince's political and professional spheres, but in the world of trade unions. Evidence of corruption was dis- covered in the Quebec Federation of Labour (FTQ), its construction wing and its real estate subsidiary. The commission found evidence that members of the union em- ployed illegal methods to ensure it was awarded major construction contracts. The FTQ was a target for or- ganized crime, the commission found, because of its coveted in- vestment funds. The 1,700-page final report contains 60 recommendations to detect and penalize corruption and to prevent further collusion. One key recommendation in- volved the establishment of an in- dependent committee to oversee the awarding of government con- tracts. Another recommendation would provide better protections for whistleblowers. Quebec's Liberal government pledged to analyze the recom- mendations and the Canadian La- bour Congress (CLC) lauded the proposed changes. Rebuilding trust "Labour unions, particularly in the public sector, have been vocal about the need for governments to set up mechanisms to prevent fraud and collusion at the expense of the public," said Emily Norgang, senior researcher for the CLC. "The extent to which the rec- ommendations of the Charbon- neau Commission will lead to greater protection for whistle- blowers will say a great deal about the seriousness of governments, both in Quebec and elsewhere. Far too often, whistleblowers face reprisal and suffer greatly, both personally and professionally." While Charbonneau and co- commissioner Renaud Lachance did not have the power to assign guilt or recommend criminal charges, they were able to assign "blame" to both organizations and individuals. The issues within Quebec's la- bour unions were deemed, how- ever, to be the result of the action of individuals rather than the re- sult of an organized system of col- lusion. In one example, evidence was presented that FTQ Local 791 representative Bernard "Rambo" Gauthier used intimidation and violence to control the granting of contracts and ensure the employ- ment of local workers. "The CEIC examined the con- struction unions in order to evalu- ate if they had been infiltrated by organized crime," the FTQ said in a statement provided to Cana- dian Labour Reporter. "The CEIC did not conclude there was such an infiltration within the unions. Instead, the commission signaled there were individuals present who had de- veloped personal ties with or- ganized crime or who had used their position to acquire personal benefits (not related to organized crime). No organization is 100 per cent immune to this kind of risk or abuse of trust." The union welcomed the com- mission's recommendations, saying they will have a positive impact on labour by reducing the potential for conflicts of interest or situations that could encour- age the infiltration of organized crime. Ultimately, the union believes the commission's final report will help repair its reputation with the public. "The negative impact on the reputation of construction unions and on the reputation of the FTQ is not a result of the commission, but of the embarrassing rev- elations about some of the union leaders in the construction sector," the union said. "The commission's conclusions on the absence of a systemic infil- tration of organized crime within unions are rather reassuring and should, in the medium- or long- term, restore the public's confi- dence." Opening the door Critics, however, argue the con- clusions and recommendations are not enough to spur significant change. Antonio Nicaso — an author and consultant who provided expert testimony on organized crime during the commission's inquiry — said the commission missed an opportunity to make a real impact. "My concern is that the Char- bonneau Commission, firstly, missed an opportunity to call to the stand the mobsters and to ask them questions," he said. "The commission wasn't able to compel key criminals to testify. The com- mission was, maybe, scared to learn more." Several mafia clans are consid- ered to be active in Canada, in- cluding the Calabrian mafia, the Sicilian mafia and the Camorra. What is crucial to understand, Nicaso said, is that what makes organized crime so powerful is its ability to infiltrate institutions and public administrations. "The mafia, without its rela- tions with power, would be just a bunch of hooligans," he said. "We have to be very careful in analyz- ing this type of connection be- tween mobsters, civil servants and labour unions. Corruption does not stop at the border." And while Nicaso said the com- mission's final report was short on blame, it should start a pub- lic dialogue about corruption in Canada. "Corruption is a cultural prob- lem," he said. "In this case, every- one is a victim of the mafia. It's all about accountability. It's all about diligence. You can't just blame the people who infiltrate your orga- nization. You also have to blame yourself, because you opened the door." 7 Canadian HR Reporter, a Thomson Reuters business 2015 CANADIAN LABOUR REPORTER NEWS < from pg. 1 Commission report will restore public trust: FTQ Photo: Christinne Muschi (Reuters) The Charbonneau Commission's final report, released on Nov. 24, relied on evidence from some 300 witnesses. Altogether, their testimony resulted in about 70,000 pages of transcription.

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