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PAGE 4, WEDNESDAY, FEBR UARY 14, 1979, WHITBY FREE PRESS whitbyi Volce of the County Town Michael lan Burgess, ITe only Whitby newspaper independently owned and operated by Whii I ThiriksmaillI byJimSmith Small Business Creates Jobs The prophets of doom have been busily spreading their messages via bold,black newspaper headlines. Em- ployment is falling, unem- ployment is rising and we're all in for hard, hard times - if you believe the doom- sayers. The Canadian Federation of Independent Business, a national organization- which speaks on behalf of-more than 53,000 small and medi- um-sized Canadian.owned firms, suspected that some- thing wasn't quite right in those disaster-filled stories, though. After all, with a la- bour force expanding'faster than the speed of light, Cana- da's -unemployment figures should have been astronomi- cal rather than merely un- comfortably high - unless some firms have been creat- ing new jobs. So the Federation began sifting through the figures provided by Statistics Canada in an attempt to discover which firms have been creat- ing new jobs. The results are surprising, especially for any- one who still believes that big business is the centre of eco- nomic action in this country. Specifically, small firms (those with fewer than 20 employees) have created nine out of every ten new priviate sector jobs in this country in 1977; and when the data on 1978 is published the record should be equally impressive. So what has happened in Canada to cause such enor- mous expansion of employ- ment in the small firms sec- tor at a time when larger firns have either stopped hiring or are cutting back in staff? Pat Johnston, the Fed- eration's Director of Policy & Research, suggests several interconnected causes. Since 1971, fer instance, the federal and provincial govemments have introduced many new tax measures de- signed to benefit the smaller firm. The incentives have caused expansion in the small business sector - and every new firm or every expanded firm means more jobs. Meaniwhile, governments and many bigger firms have increased the amount of work which they farm out to smaller firms. Subcon- tracting work is accepted practice in strong nations like Japan and the same bene- ficial effects are being fét in Canada. At the same time, many foreign-owned corporations have withdrawn from the Canadian'market, leaving be- hind a void which can be filled by new Canadian- owned firms. In addition, Canada has undergone several dramatic shifts in economie conditions during the 1970s. Small firms adapt more readily to these changes~than is possible for the larger firm. The rapid fall in the Canadian dollar, for example, makes Canadian goods and services more competitive at home and abroad and it has been the smallerfirm which has moved quickly to take advantage of the new opportunities. Energy costs, of course, batter the energy-intensive large firm but have less effect on the labour-intensive smal- ler firm, which explains some shift away from. large-scale production. Population has been shifting away from the large centres, back to small business-oriented under- developed regions. And, per- haps above all, small firms seem to weather .economiç cycles more easily than their larger counterparts. Job creation -just one of many ways in which small is beautiful. "Thinksmall" isaneditorial message from the Canadian Federation of Independent Business© Letters: Box 206, Whitby Ottawa Report By Norm Cafik, M.P. t has deal P--ubllshed every Wednesday by M.B.M. Publishing I and Photography Inc. Phone 668-6111 The Free Press Building Publisher - Managing Editor 131 Brock Street North, tby residents for Whitby residents. P.O. Box 206, Whitby, O 'economy and national unity and the future of our country. This week I though I might tell you about a few other matters which might be of interest to the people of Ontario Riding. As a Member of Parliaiment I am bombarded every day with a great deal of information about the activities of all the government departments and the suggestions of opposition members and changes they would like to make to government policy. Some of the information coming across my desk lately I want to pass on to you and I hope that you will not hesitate to write to me if there is a topic of concern that you might want to respond to as a result of my Ottawa Reports or because of any of your own activities in the community. The following are some items which you may find of interest: DEPARTMENT OF TRANSPORT SAFETY WATCH Perhaps you thought that only the Department of Consumer Affairs concerns itself with the public interest in respect to the quality and reliability of goods that we purchase. The fact is that many departments have ongoing checks on the worthiness of consumer items. The Department of Transport is no exception. In 1978 more than 600,000 tires were recalled in Canada for safety related defects. More than 1,200,000 cars were similarily recalled. And more than 11,500 snowmobiles were called back to correct problems in handlebar assemblies. This recalling of tires, cars and snowmobiles has been a great cost to the manufactures. It is important that we remember, however, that there is a constant check on what the manufacturers produce which is very much in the public interest. YEAR OF THE CHILD There are many dimensions to Canadian involvement in world affairs. For example, during International Womens Year, the Canadian Government supported many pro- grammes to accent the importance of the woman in the activities and future of our society. Now we are in the Year of the Child. Canadian contribution in this programme is of no less importance. Canada seconded the United Nations resolution creating 1979 as the International Year Of The Child. Last year more than 100 national voluntary organizations got together to form a Canadian commission for the International Year Of The Child. .The purpose of the group will be to advance the rights, interests and well-being of all'Canadian children. If you would like to know more about Canadian involvement in the Year Of The Child, please do not hesitate to write to me. I would be happy to help you get associated with the worthwhile activities of the Canadian Commission for the International Year Of 'lie Child. TORONTO CABINET MEETING As you know I have long been an advocate of participatory democracy. It is important that citizens become more involved in proposals and programmes being created now which will have an effect on the future of our country. with The Government'is constantly seeking means to becone the closer to the people. In Keeping with this principle there will be g, tnt. Community Bdîtor -Brian Winter Contribuflflg Edifor -Jim QUait Production Manaqei -Marj Burgess Print & Promotional -Robin Lyon Manager classified Ad -Leesa Menard Mailing Permit No. 460 Member oftfe: Better Business Bureau 0f Torontb Whitby Chamber of Commerce full Cabinet Meeting in Toronto on February 22. Groups and organizations from the Toronto area will be making represen- tations to the government at that time. In 1978 there were similar Regional Cabinet meetings in Vancouver, Regina, Montreal, and Bathurst, N.B. Since my Riding is so close to Toronto I view this Cabinet Meeting to be of particular importance. Decisions made in response to representations from organizations at that time will have an impact on our entire area. If you would like to attend this Meeting in Toronto on February 22, pfease do not hesitate to let my office know of your interest. AUTO TRADE DEFICIT Canada's auto trade deficit with the United States showed an improvement of $400 million, or 40 per cent during the first eleven months of 1978. The improvement in the auto trade deficit is of great importance to the citizens of Ontario Riding. Many industries in this area who help to support the production lines for the automotive plant in Oshawa will feel the positive effect of the growth in the Canadian automotive business. The improvement is the result of a large increase in the number of motor vehicles shipped to the U.S. from this country, particularly heavy-duty trucks. FEEDING THE COUNTRY A lot of people complain about the risé in food prices. Of course, many people don't realize that a substantial portion in the rise of prices is due to items which we bring in from the United States such as citrus fruits and vegetables. Whenever there is bad weather, we are likely to have a rise in the price of specific items depending on the season. I think it's time that we recognized, however, the great strides made in the agricul- tural industry and in terms of world prices, the price of our. food is comparitively low. Personally, I don't think that any sector of our economy has done more to increase productivity than the farming community. Back in 1940 one farmer in Canada produced enough food to feed il people. Now one farmer produces enough food to feed 53. This great increase in the farmer's ability to produce is the result of our agricultural research activities. There have been many new crop varieties and of course the ongoing solutions to disease problems. AGRICULTURAL JOBS Citizens of my Riding who live in Pickering, Whitby and Ajax perhaps often do not realize that almost one-half my Riding is rural and agricultural. Creating jobs in this area is fundamental to the overall prosperity in my Riding. Did you know that Canada Manpower Centres placed more than 100,000 Canadians inagricultural jobs in 1978? In 1979 there will be even greater efforts to encourage more Canadians to accept employment in agriculture. Some people complain that workers from the Caribbean and Mexico take work from Canadians at harvest time. It just isn't so! In 1978 only five percent of the temporary harvest workers were hot Canadians. VA t /r'.1><, cv ~wo6,70 ~fA/Z i rO- pu