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By Deborah Stienstra for FAFIA 

January 1999

Across the world, women contribute to their economies through their work especially in services, agriculture and industry. Yet the majority of women continue to earn on average only 50%-80% of what men earn. As well, much of women’s work is unpaid and ignored in our calculations of economic strength or growth.

As the 1995 Human Development Report notes “In virtually every country of the world, women work longer hours than men, yet share less in the economic rewards.” A popular statistic in the 1980s notes: While women contribute 66% of the hours worked each day, they earn only 10% of the world’s income and own only 1% of the world’s property.” Indeed, today we know that the majority of the world’s poor are women.

Women’s lives are shaped by the economy. Their ability to earn money influences their economic independence, freedom from violence, access to education and good health. When women have economic autonomy they are more likely to make decisions about their own lives and the directions they want to take for themselves and their families with greater freedom.

We are told by the media, by economists, by our politicians that the economy is driven by the “invisible hand” of the market, by forces out of our control, by transnational businesses and by globalisation. This encourages us to leave decisions about the economy to the “experts”, to those who understand the economy and to those who supposedly make a difference in economic terms. The reality that women around the world still strive for pay equity in workplaces and control only a small portion of the world’s economy already indicates that the world’s economy is not gender-neutral.

This paper will map where commitments have been made by the Canadian governments on gender and the economy and who is responsible for policies related to them. This will identify some of the ways in which women in Canada can become aware of who makes decisions about the global economy, hold them accountable for these decisions and ensure that women’s situations and perspectives are part of all decision-making about the economy.

Who Makes Economic Decisions and How Can We Shape Them?

The economy is that part of our society that has to do with wealth - who has it, how to get more, who needs it, why and what do we do with it? Most of our society is involved in the economy in one way or another. Workers provide their skills, time and energy to produce things or provide services.

Businesses use workers, provide money or capital for building companies and industries, and ensure that their shareholders receive profit on their investments. Consumers use their wealth to buy things or services. In our current economic system, governments are supposed to do as little as possible in relation to the economy. They provide some regulation for businesses especially in terms of working conditions and preventing domination of essential services by one company, and they provide an overall framework for responding to the actions of businesses.

Most economic decisions are made by businesses and governments. Each is accountable to a different group within society. Businesses are accountable to their shareholders - those who own stocks or shares in the companies. Those with the greatest number of shares have the largest voice in company decision-making. Their ‘bottom line’ is to get the largest amount of profit for their shareholders. In most companies, anyone who can afford to buy shares can be a shareholder. However, for most women, owning shares in a company is not financially possible. Thus they cannot be involved in decision-making within the context of businesses.

Governments also are involved in economic decision-making. Governments are accountable to the people of Canada and women can hold their government responsible for keeping their commitments. Women need to know what commitments have been made, who, within government is responsible for implementing them, and what actions have been taken.

As part of gaining more or better control and knowledge of our economic environment, it is important for women to understand the roles that our government plays in the economy.

In Canada, the federal government is responsible for setting overall economic policy, but many federal institutions are involved in different aspects of economic policy-making.

1: Policy definition

Public policy, in a general sense, is the body of laws, regulations, guidelines, and other practices of governments, courts, and various public agencies. More specifically, public policy is a course of action or inaction chosen by public authorities to address a given problem. Women’s public policy is the result of applying a gender-based analysis to public policy. (Source: www.unb.ca/PAR-L/policy0.htm )

Taxation — The federal department of National Revenue collects taxes from Canadians and Canadian companies.

Budgets — A country’s budget is a financial reflection of the priorities and value system of the government and, to some extent, the society of the day. Using taxes along with other sources of revenue, the federal Minister of Finance gives an annual budget where he or she outlines where the government will spend or cut money and where its priorities are. Many use the budget as a measurement of the overall direction the government will take and evaluate the economic performance of the government on the basis of the budget. Others, including the Canadian Centre on Policy Alternatives, have created alternative budgets which show how the priorities of governments could be changed.

Monetary policy — The Bank of Canada, Canada’s central bank, sets out policies in relation to the Canadian dollar, its supply within Canada, its value in relation to the other currencies of other countries and short-term interest rates.

Trade policy — Canada’s selling of its goods to other countries and buying goods from other countries is the trade policy. This is regulated by the Minister for International Trade and is affected by many trade agreements with countries.

Regulating financial institutions — The Office of the Superintendent of Financial Institutions regulates all financial institutions within Canada, such as banks and trust companies, and all employer-employee pension plans under federal jurisdiction.

Labour and employment standards — The federal Minister of Labour and the department of Human Resources Development Canada (HRDC) regulates the minimum wages, working conditions and workplace health and safety for employers and employees under federal jurisdiction.

Buying government business — The federal government also provides business opportunities for many companies by hiring them to provide goods or services. In fact, the Minister of Public Works and Government Services purchases more than $8 billion a year in goods and services, manages tens of thousands of contract opportunities covering virtually every sector of the economy, and contracts out over $2 billion of work in providing government services every year.

2: Jurisdictions

Federally-regulated industries are:

1. employers and employees in aircraft operations and aerodromes; banks; radio and television broadcasting (including cablevision); grain elevators; uranium mining and processing; and undertakings concerned with the protection and preservation of fisheries as a natural resource.


2. industries involved in the following activities that connect one province to another or extend beyond the limit of a province, are also covered: railways; highway transport; telephone, telegraph and cable systems; pipelines; marine shipping and shipping services; air transport; canals; and ferries, tunnels and bridges.

(Source:info.load-otea.hrdc-drhc.gc.ca/ labour_standards/cover.htm)

Investment policy — The federal government works to attract foreign businesses to invest in Canada and helps Canadian businesses when they want to invest abroad. For Canadians who wish to invest abroad, the federal government’s Canadian International Business Strategies organizes opportunities for businesses such as the well-known Team Canada visits to various parts of the world.

Economic Development — Inside Canada, the federal Business Development Bank provides loans and assistance to small businesses to encourage them to work towards economic growth. As well, specific regional economic development funds, like the Western Diversification Fund, assist in providing support for the economic development of specific regions of the country.

Support and implementation — The Department of Finance provides support and analysis to the Minister of Finance related to economic and financial decisions and implements many of the economic policies that are introduced.

Provincial governments also play a role in economic and financial decisions. The provincial and territorial governments collect revenue through taxation and allocate their spending according to their own priorities. They also provide opportunities for businesses to undertake government contracts or provide goods or services. Provincial governments regulate working conditions, labour standards and workplace health and safety for all workplaces not regulated by the federal government. The provinces also undertake stimulating their economies through economic development initiatives which encourage investment, job creation and economic growth.

What Have The Governments Said On Gender and The Economy?

While the Canadian governments have been actively involved in establishing their economic policies, they have only made limited links between gender and the economy, primarily around providing more information. The key government bodies related to gender are actually those on women. These are often called national machinery on the status of women. At the federal level, there is a Secretary of State (Status of Women), with her supporting department - Status of Women Canada. They house the Women’s Program — a funding body for women’s equality groups and the Policy Research Fund on Women. At the federal level, there are several additional organizations which focus on women: Health Canada’s Women’s Health Bureau, Labour Canada’s Women’s Bureau, the Canadian International Development Agency’s (CIDA), Women in Development and Gender Equality Division and Foreign Affairs and International Trade’s International Women’s Equality section. Most, but not all, the provinces and territories also have a Minister for women and a supporting department. While these organizations have the primary responsibility for focusing government attention on gender, they often do not have sufficient resources or authority to do this work. The federal, provincial and territorial Ministers responsible for the status of women and their officials meet annually to work on issues of common concern. There is support for non-governmental responses primarily through the federal Women’s Program and its funding to women’s groups. The budget of the Women’s Program has been cut substantially over the past decade and its funding mandate has shifted from supporting the on-going operations of women’s groups to providing funding only on a project-by-project basis.

Women and the economy have been an issue for discussion by the federal, provincial and territorial Ministers responsible for the status of women for the past two decades. In 1992, they adopted the Yukon Declaration on Economic Equality of Women and followed up with an economic equality workshop in 1994. In 1992, Status of Women Canada developed a paper on Economic Restructuring in Canada which promoted using gender based analysis for understanding the impact of changes in the economy on women. More recently, the federal, provincial and territorial governments developed Economic Gender Equality indicators which help to identify the differences in the economic situations of women and men using traditional economic indicators like income together with more social measurements like involvement in unpaid work , education and job-related training. The Policy Research Fund has published a few papers on women and global economic policy including: Unpaid Work And Macroeconomics: New Discussions, New Tools for Action by Isabella Bakker; and Women and the Economy: Long-term Policy Research Issues by Monica Townson.

These initiatives indicate that the status of women parts of the government are interested in the links between women and the global economy. Yet the Federal Plan for Gender Equality, which is the framework for all federal government action on women, illustrates that these commitments may not be widely shared by all Ministries. The Plan gives only vague commitments to working for women’s economic equality. The Department of Finance gives no serious attention to these issues in the Federal Plan or in its own work. As well, none of the commitments made by the governments at any level have to do with global economic policies. One obvious measure the Minister of Finance would use would be to make a gender-impact analysis a pre-requisite for all Ministers submitting budgets on an annual basis.

The federal government has also made commitments related to women and the economy at several international meetings. Most recently, at the fourth World Conference on Women, the Beijing Platform for Action noted that one of the 12 critical areas of concern was women and the economy. Canada joined the consensus on this set of commitments. Progress on implementing these commitments will be reviewed by the United Nations in June 2000.

Some of the specific commitments that are related to global economic policies include:

• integrating a gender perspective into all economic restructuring policies and designing programs for women who are affected by them;


• ensuring all multinational businesses observe national social security, labour, environment, consumer, health and safety laws, especially those that affect women;


• ensuring that all national policies on international trade agreements do not hurt women’s economic activities;


• creating investment funds for women’s businesses; and providing capital and support for low-income, small-scale women’s businesses.

3: Gender-impact analysis

Gender-impact analysis or gender-based analysis is research which examines how women and men are differently affected by policies, laws or programs. Status of Women Canada’s guide to gender based analysis for policy-makers says that gender-based policy analysis “makes it possible for policy to be undertaken with an appreciation of gender differences, of the nature of relationships between women and men and of their different social realities, life expectations and economic circumstances. It is a tool for understanding social processes and for responding with informed and equitable options.”

Other international commitments made by Canada related to this are found in the International Covenant on Economic, Social and Cultural Rights and the Social Summit Declaration.

The International Covenant, which Canada joined in 1976 and will provide a fourth report on by June 2000, includes the following commitments:

• the right of everyone to the enjoyment of just and favourable conditions of work, including equal pay for work of equal value;


• the right to maternity leave and social security;


• the right to form and join trade unions and the right to strike.

The Social Summit was held in Copenhagen in 1995 and Canada joined in the consensus on the final Copenhagen Declaration on Social Development. The United Nations will evaluate how well governments have kept their commitments at a meeting in June 2000. The Declaration includes the following commitments:

• develop programs and policies which allow women and those who are poor to participate fully in the economy;


• work to ensure that international agreements relating to trade, investment, technology, debt and official development assistance are implemented in a manner that promotes social development;


• promote women’s access to employment and pay equity and protect their jobs;


• integrate a gender perspective in the design and implementation of economic and social policies;


• use gender impact assessments to reviewstructural adjustment policies and correct their negative effects;


• and ensure that women do not bear an unequal burden for the effects of globalisation

4: Structural adjustment programs

Structural adjustment or economic restructuring programs (SAPs) have been forcibly introduced in many countries as a way of ensuring that countries join the global economy and thus solve their economic problems. These policies have been adopted voluntarily in Canada. The International Monetary Fund (IMF) has forced many Third World countries to adopt them before they can get loans. Most SAPs include:

• cuts to health and social spending


• privatization of government corporations


• shift in economy to producing goods for export


• eliminating government deficits and reducing spending


• making changes to monetary policies

Why Should We Worry About What Happens At The International Level?

An increasing part of economic decision-making is taking place outside of Canada, and having a direct impact on what decisions we can and cannot take. Globalisation is changing the nature of Canadian society and economy. Lloyd Axworthy, Canada’s Minister of Foreign Affairs suggests that “The most powerful and active trends in the world today are those relating to the phenomenon of globalisation, which denotes the emergence of a truly international economic system marked by the internationalization of the goods, services and factor markets, by private sector marketing, investment and production strategies the world over, and by the communications revolution.” This international system will result in more decisions being made in international organizations like the International Monetary Fund or the World Trade Organization. Lou Gerstner, Chief Executive Office of IBM suggests that: “Because the new world of networked transactions is by its very nature global, agreement on the critical policy issues will take this issue of cooperation to a new level - global public policy.”

Globalisation will have, and already has had, profound effects on the lives of women in Canada and around the world. We have already seen a shift in protection for workers in some industries. Twenty years ago, the majority of garment workers were unionized. Today less than 20 percent have unions protecting them. The lack of protection is even more true in some Third World countries where governments negotiate away labour protections in order to bring business in to the country. In Canada, most women who work in the garment industry (who are often recent immigrant women) are paid below minimum wage on the basis of piece work or are forced to work long hours for little or no money.

The Canadian governments are making decisions that ensure that Canada is trapped in the directions set at the international level. Increasingly, our economic decisions, especially in the areas of trade, monetary and investment policies are constrained by the agreements our country has signed. At times, the economic treaties are at the expense of other international commitments we have made to women’s equality or human rights.

The federal government has the exclusive responsibility to enter into international agreements or make international commitments. But provincial governments are bound by the agreements made by the federal government; opting out is not a choice. All levels of government are accountable for the international commitments made by Canada. Because some of the areas of responsibility fall under provincial jurisdiction (like health, education, social services etc), the federal government usually consults with the provinces to ensure they are supportive before entering an international agreement.

Provincial government representatives are usually included on the Canadian delegation to international meetings, especially when agreements are signed. As well, when Canada is asked to report on its implementation of an international agreement, the federal government has the primary responsibility for developing a reply. The federal government usually asks the provinces if they would like to contribute anything to an international report. The government of Quebec has been somewhat more active in international affairs than other provinces. Over the past two decades, they have had trade missions located in different countries and have explored individual relations with countries. These missions have been cut back substantially as the Quebec government has attempted to cut its deficit by cutting government spending.

Non-Governmental Action On Women and The Global Economy

Many women’s groups and other non-governmental organizations (NGO) have presented an alternative picture of the world economy and ideas for alternative ways to develop a global economy which is accountable to the people, working to eliminate poverty, ensuring equality of resources across the world and being truly sustainable. At the Beijing Women’s Conference in 1995, NGOs adopted their own Declaration which included a substantial description of what alternative values and actions were needed to address women’s concerns. There has also been an international NGO campaign and declaration against the Multilateral Agreement on Investment organized in part through the International Forum on Globalization. Several international women’s groups have begun to organize around gender and the global economy including: Women take on the World Trade Organization (WTO2) and the Feminist Global Alliance on Economic and Social Justice. Development Alternatives for Women for a New Era (DAWN), a group of women from Southern countries, has been on the forefront of researching the effects of globalisation on women in developing countries. Others, like Women’s Environment and Development Organization (WEDO) and Social Watch, are monitoring government actions on international commitments made at the Beijing Women’s Conference and the Social Summit. Some more informal international coalitions have organized days of protest and non-governmental forums around the APEC Leaders’ Summits and the G-8 meetings.

General International Economic Organizations

In this section, we will look at some of the key international economic organizations and agreements that the Canadian governments have entered, and some of the key events in the next two years. In the next section, suggestions will be given for how women’s groups can use this information. 

G-8

The group of 8 is a annual meeting of the leaders of the eight strongest economies, including Canada. The 1998 meeting was from May 15 - 17, 1998 in Birmingham, England. The next meeting will take place in Köln, Germany, from June 18-20, 1999. The leaders identify areas in where they want to work together for change and adopt a communiqué at the end of each meeting which outlines their priorities for activities in the coming year, including activities that they will push for in other international organizations like the World Trade Organization or the IMF. Canada’s Prime Minister usually attends these summits. Non-governmental groups have organized alternative people’s summits in the same city in parallel with many of the leaders’ summits.

Organization for Economic Cooperation and Development (OECD)

The Organization for Economic Cooperation and Development (OECD) is a group of 29 rich, Northern countries primarily in Europe and North America. It sets policies related to development assistance, economic cooperation, finance and investment, labour and many other areas. It has looked at the role of women in the economy, and especially women’s employment. The OECD primarily works through committees, but its Council meets once a year. The most recent meeting was April 27 -28, 1998. This could be a good place to push for greater attention to women and macro-economic policies. There is a meeting of the OECD Council at the Ministerial Level May 26 - 27, 1999. The Minister of Finance usually attends these meetings.

The OECD has structured arrangements with some non-governmental groups, especially business and labour through the Business and Industry Advisory Council (BIAC) and Trade Union Advisory Council (TUAC). Other non-governmental organizations are approached as necessary.

Women’s groups in Canada could lobby our Ministers of Trade, Finance and the Secretary of State (Status of Women) to ensure that all discussions of OECD committees and the Ministerial Council include gender impact assessments on issues related to women in the global economy. Too often OECD discussions on women have been limited to the “women’s committee” and to issues related to employment. They have not included gender analysis in the work on trade or investment. Groups can remind the Canadian governments of the commitments that were made in Beijing and at the Social Summit.

Asia - Pacific Economic Cooperation (APEC)

The Asia-Pacific Economic Cooperation (APEC) Forum is the major international organization which promotes trade and economic cooperation between 21 countries which border the Pacific Ocean. It began in 1989 with a rather limited focus on trade policy and has expanded to include much broader economic issues such as support for small businesses, tourism, energy and fisheries. APEC held a first Ministerial meeting on women from October 15-16, 1998. They agreed to discuss the links between gender and trade liberalization and the integration of gender into all the APEC areas.

The most recent meeting of the leaders of APEC took place November 14 -15, 1998 in Malaysia. The next leaders meeting will take place September 9 - 10, 1999 in Auckland, New Zealand. APEC established the APEC Business Advisory Council in 1995 to make sure that the voice and advice of business would always be available. Other organizations would have to apply to participate in a particular working group of APEC through the Secretariat.

Women’s groups in the APEC region together with other activists have organized a Day of Protest and non-governmental workshops to parallel the APEC Leaders meetings. Activists have raised substantial concerns with the poor human rights records of many APEC countries, and the attacks on the environment, labour rights, women, and the poor as a result of the push towards free trade through APEC.

United Nations Conference on Trade and Development (UNCTAD)

UNCTAD is the poor cousin of the other international economic organizations. It was set up in 1964 by the United Nations to be its main organization on trade and development. Its primary focus is to help developing countries use as best as possible their trade, investment and development opportunities, and to help them face challenges arising from globalisation and integrate into the world economy equitably.

UNCTAD has 188 member countries and meets as a conference every four years at the Ministerial level to set priorities. UNCTAD X is scheduled to be held early in the year 2000, in Thailand. In between Conferences, the Trade and Development Board, made of 144 countries, manages the work. It meets every year. Four commissions undertake more detailed work on: trade in goods, services and commodities, investment and technology, enterprise and business development, and science and technology. UNCTAD has limited contact with non-governmental organizations, primarily business and academics, and contact them as they are needed.

Trilateral Commission

The Trilateral Commission, established in 1973 by David Rockefeller, is a by-invitation-only non-governmental group of about 335 elite from North America, Japan and Europe helping to set the direction for the world economy. There are 15 members from Canada, including Yves Fortier, former Canadian ambassador to the United Nations, and Allen Gotlieb. They meet and write reports that have policy implications. Given that the members are very important business people (almost exclusively men), their comments are very influential in setting global priorities. Their work is organized inthree year cycles; the current cycle will end in 2000.

Women’ groups may want to get some of their publications and contact the Canadian members and inform them of the Canadian government commitments on gender and the economy.

World Economic Forum
The World Economic Forum, formed in 1971, is a non-governmental organization primarily driven by business and provides advice on economic matters. The Forum includes an annual meeting of approximately 2000 world economic, political, academic, media and cultural leaders around a specific theme. Their meeting from January 28 - Feb 3, 1999 in Switzerland, will focus on the theme of “Responsible globality: Managing the impact of globalisation.” The Forum is run by a Council made of 40 global business leaders. The Forum annually publishes the Global Competitiveness Report. The Forum has had standing as a non-governmental organization at the United Nations since 1995. Women’ groups may want to get some of their publications and contact the Canadian members and inform them of the Canadian government commitments on gender and the economy.
Trade policy organizations and agreements

Since the mid-1980s and the adoption of the Canada-US Free Trade Agreement, Canadians have become more aware of the implications, benefits and costs of free trade to Canada. At present, Canada has become involved in the following trade agreements. North America Free Trade Agreement - between United States, Canada and Mexico - as of January 1, 1994.
What is it? NAFTA was to give each other “national treatment” when trading and to eliminate barriers to trade. National treatment means treating goods from the other countries as if they were from within Canada. This includes not charging duty when goods cross borders, not limiting the number of goods from the other country that can come into the country and making it possible for business people to work easily in each other’s country.

Pro and Con:
NAFTA was hailed by those in favour as a new era for trade in North America which would create many jobs, increase wages in Mexico, provide shared standards in the areas of labour and the environment. They agree that there could be some short term pain in local markets, while inefficient and non-competitive businesses are closed, and those that can compete in these larger markets get stronger. In the long run, it is argued, Canada has to make these kinds of trade agreements to ensure that we can continue to have a strong economy and be part of the global economy.

Critics argue that NAFTA has led to a restructuring of the Canadian economy that has meant the loss of jobs, especially high-waged manufacturing jobs, in Canada (and the United States), reducing of health and environmental standards on imported goods, no increase in income for farmers even with larger markets, no new, high-waged jobs for Mexicans. We have seen the closing of many Canadian businesses with a significant loss of jobs for Canadians, especially Canadian women who are primarily recent immigrant women working in the clothing and other manufacturing areas. As well, when tariffs (taxes on goods and services traded) are removed to provide free trade, this provides less tax revenue for the government to spend on public programs like health, education and social services.

Who is responsible for it?
The Free Trade Commission is the central organization responsible for the agreement. It has Cabinet-level representatives from each government. Canada’s current representative to it is: Sergio Marchi, Minister of International Trade. As well there are over 30 working groups and committees working on specific aspects of the treaty and its implementation. None of them is specifically about the effects of the treaty on women. A list of Canada’s representatives with their phone numbers are found on the Internet at: www.infoexport.gc.ca

As well, the National Secretariat’s of the Commission are responsible for panel reviews when a dispute under NAFTA needs to be resolved.

How can women’s groups be involved? Women’s groups can monitor the effects of NAFTA in their own communities and make the results known to the Minister of International Trade. This is one of the reasons access to information and resources are essential for women’s civil society participation on these important issues. Some excellent groups already undertake regular monitoring of NAFTA. See, for example, Public Citizen’s
Global Trade Watch web page on NAFTA: www.citizen.org/pctrade/nafta/naftapg.html
See also www.tradewatch.org

World Trade Organization
What is it?
The World Trade Organization is the largest and potentially most important global economic decision-making organization in the world. It currently has 133 members, including Canada. It began in 1995, taking over from the General Agreement on Tarriffs and Trade (GATT). GATT had been the major international trade treaty since World War II, and provided an ad-hoc opportunity for countries to get together to agree to remove trade barriers. The WTO is a more formal organization and has more power than GATT, but it takes on much of what GATT used to do. Its primary purposes are to regulate and monitor the international trading system so that there will be fewer barriers to free trade in the future. It regularly reviews every member country’s trade policies in light of the treaties and tells them where they could do better. It provides for dispute resolution panels when there are disagreements. And it helps to develop and negotiate new trade agreements.

Pro and Con:
Supporters argue that the WTO finally provides a framework for global trade policies and with it the possibility for much increased free trade across the world. Even countries of the South see some hope in this organization because it offers every country an equal vote and works on the basis of consensus.

Opponents argue that the WTO will take away more power from individual nations, forcing them to work on the basis of globally written trade rules, rather than responding to their own individual country’s needs. As well, critics suggest that the open style of governance is really just a disguise for much more informal decision-making by the same old dominating countries, but more importantly by the major multinational corporations. Non-governmental organizations have no clear place in the decision-making processes. This is a major drawback in particular for generally under-resourced women’s groups globally. None of the their documents show any sensitivity to gender analysis or the effects trade policies may have on women and men.
Who is responsible for it?

The WTO is guided by a Ministerial Conference, which meets at least once every two years and is open to representatives of all WTO members. The first Ministerial conference was held in Singapore in December, 1996 and the second one was held in Geneva in May, 1998. The Ministers adopt a communiqué in their meetings which sets their future work priorities. The General Council, also open to all members, supervises the work of the organization’s various councils and committees, and sits as both the Dispute Settlement Body and the Trade Policy Review Body. The WTO Secretariat is based in Geneva. Canada’s Minister for International Trade is our representative to the Ministerial Conference. The General Trade Policy Bureau of DFAIT is responsible for this area.

Key events
The WTO negotiated a new permanent Agreement on Financial Services which will come into effect on March 1, 1999. It will be an appendix to the existing General Agreement on Trade in Services (GATS). For Canada, this agreement means that foreign financial service providers must be treatedthe same as Canadian and foreign banks will be allowed to establish direct branches in Canada.

While no formal decision has been announced, it is expected that the WTO will host further negotiations on the Multilateral Agreement on Investment (MAI) (see below for details).

How can women’s groups be involved?
Women’s groups can work with other Canadian and international non-governmental organizations like the Council of Canadians or Women Take on the World Trade Organization (WTO2), to keep informed about the state of the WTO work especially around the MAI. As well, groups can pressure the federal Minister of Trade to ensure women’s groups representatives are part of all Canadian WTO delegations. Women’s groups need to press the Ministers of Finance and Trade to identify the gender-based analysis done in relation to the WTO, and to address the commitments made in the Beijing Platform for Action on international trade. As well, it is important to call the Ministers of Trade and Finance to keep the possible negotiations processes around new trade agreements, including the Multilateral Agreement on Investment, more open and accountable to the people of Canada. Canadian delegations to the WTO should include at least two non-governmental women’s representatives who are accountable to equality-seeking women’s groups. The Canadian government should also be encouraged to work towards creating status for non-governmental organizations within the WTO structure. Groups can also request funding from DFAIT to attend and observe these meetings.

Bilateral (country-to-country) agreements

Canada -Chile trade, environment and labour agreements
The free trade, environment and labour agreements came into force in July 1997 and are modelled after the NAFTA agreements. The free trade agreement is maintained by the Canada-Chile Free Trade Agreement Commission which first met in January 1998. The environment agreement is maintained by the Canada-Chile Commission for Environmental Cooperation and supported by a national secretariat in each country. The labour cooperation agreement is maintained by the Canada-Chile Commission for Labour Cooperation and supported by national secretariats. Responsibility for the labour agreement rests with Human Resources Development Canada’s Strategic Policy and Partnerships branch.

Canada-Israel trade agreement
Canada entered a free trade agreement with Israel in 1996. The final duties will be removed on goods as of July 1, 1999.

Canada- EFTA trade agreement
The government of Canada is currently negotiating a free trade agreement with the European Free Trade Association which includes the countries of Norway, Switzerland, Iceland and Liechtenstein. It is expected the agreement will be concluded in mid-1999.

Canada - Palestine trade agreement
Canada is currently negotiating a trade agreement with Palestine. It is expected to be completed in early 1999 and will be as similar as possible to the Canada - Israel free trade agreement.
Investment policy agreements
There have been many agreements on investment adopted since the United Nations began. These provide guidelines for transnational corporations actions in countries that they invest in. Most have been regional agreements or those drafted by non-governmental organizations such as the International Chambers of Commerce. But there have been at least twelve agreements made by international organizations which have been binding, including parts of the North American Free Trade Agreement and at least 14 which were non-binding. The non-binding agreements have been adopted by the World Trade Organization, the OECD, APEC and the World Bank. The most recent investment agreements were the 1997 WTO General Agreement on financial services and the 1997 OECD Convention on bribing foreign officials in international business transactions. The United Nations Conference on Trade and Development (UNCTAD) has been monitoring investment agreements to help developing countries use these when multinational corporations want to invest in their countries. UNCTAD’s Commission on Investment, Technology and other related financial matters held an expert group meeting on investment agreements in April 1998.

Monetary policy organizations and agreements
International Monetary Fund
The International Monetary Fund (IMF) was established just after World War II to ensure that there would be a sound international financial system in place around the world. It is responsible for helping countries when they are having troubles meeting their financial obligations, as a lender of last resort, and regulating international currency flows. The IMF has 182 members, including Canada, and is governed by a Board of Governors. Members sign on to the Articles of Agreement which in effect give guidelines for their country’s economic policies. The IMF monitors the exchange rate policies of all members and does a thorough review of individual countries’ monetary policies every second year under Article IV. Canada is currently under going its 1999 Article IV consultations. The Board of Governors meets annually. The most recent meeting was in October-November 1998.

Tax policy agreements
OECD Tax policy recommendations
The OECD argues that some tax guidelines are crucial in a time of globalisation because they want to make sure that businesses are not being doubly taxed, that tax havens are ended and that governments do not use reduced taxes to attract businesses. The OECD Committee on Fiscal Affairs developed and the Ministers of Finance adopted Guidelines on Harmful Preferential Tax Regimes in April 1998. In addition, an OECD Forum on Harmful Tax Practices will be created to implement the recommendations.

International Agreements on the Horizon
Free Trade Agreement of the Americas (FTAA)
This agreement is currently under negotiations with the 34 countries which make up the FTAA and completion is expected by 2004. Canada is currently the Chair of the FTAA and the chair of its Trade Negotiation Committee until Oct. 31, 1999. Canada will host the meeting of Ministers of Trade of the FTAA in Toronto, November 1-2, 1999. A special invitation has been made to civil society groups to express their views to the Committee of Government Representatives on Civil Society Participation. All submissions must be made no later than March 31, 1999.

Contact the committee chairperson at:
c/o Tripartite Committee (Ref. Civil Society)
United Nations Economic Commission for Latin America and the Caribbean (ECLAC)
1825 K St. NW, Suite 1120
Washington, DC 20006
Fax: (202) 296-0826
E-Mail: eclac@tmn.com
For further information on the FTAA agreement, see:
www.dfait-maeci.gc.ca/english/news/statements

Multilateral Agreement on Investment
The Multilateral Agreement on Investment is intended to be a bill of rights for investors, primarily multinational businesses. It will require that governments treat foreign businesses the same as local businesses and remove any restrictions to their work within a country. It will allow free movement for business across the world and allow business to sue governments which fail to provide this. It has been under secret discussion at the OECD for the past two years. In the fall of 1998, France withdrew from the discussions and OECD negotiations have ended. Negotiations will likely move to the World Trade Organization, possibly in the Working Group on the relationship between trade and investment. Critics have argued that the MAI will change the international system as we know it, giving the same rights to businesses as to states, without any accountability to the people of the world. The MAI will also promote low-wage, limited protection jobs, undermine community development programs and hurt the environment.
APEC Free Trade agreements
The leaders of the Asia-Pacific Economic Cooperation (APEC) countries have agreed to work towards free trade agreements with their countries. The goal is to have agreements for ‘developed’ countries (including Canada) by 2010 and for ‘developing’ countries by 2020.

Now We Know, Where Do We Go?
To take part in economic decision-making, women need to be informed, stay informed and act on the basis of their knowledge about the economy. (Unless of course you win the lottery and get a chance to join by becoming a stockholder!!) Women’s groups can put the knowledge they have gained about the global economy to good use within their own communities.
EXAMINE how globalisation has changed or is changing your community.

Do you see the effects of globalisation in the loss of jobs for women, in the rise of part-time or piece work jobs? Do you see in the loss of bank branches in your community? Do you see it in the takeover of small Canadian companies by large multinational corporations? Do you see it in the loss of unionized jobs in your communities? Do you see health care services like home care or food to hospitals being privatized in the name of “global competition”? Spend some time on exploring where you see globalisation taking a hold in your community. Are its effects all bad or all good? How have they (or could they) potentially benefit your community? Where are there real potential losses?

GATHER INFORMATION about those changes from those involved in your community
Which companies, unions, or banks are involved in these changes? See if you can meet with their representatives in your community. Ask to speak with them about how they see these changes affecting life in your community. Talk to the workers affected and find out what they know about the changes. Make sure you ask if you may share their stories with the broader public. Look at your local newspaper and see how it has covered the stories of these changes.

COMPARE the changes with the commitments made by governments
Become familiar with the commitments made by our governments to women’s equality, human rights, the elimination of poverty and discussed in part above. Compare how these commitments have been kept, where the spirit of them has been violated or where the commitments have been broken.

CONFRONT the government with its record on keeping its commitments.
Identify which part of government is responsible for the economic changes. Write, meet or telephone the Ministers responsible as well as your local representative and tell them what you think about these changes. Remind them of their commitments and tell them what you think of their actions.

MAKE IT PUBLIC
Share the information you have gathered, including any responses you may have had from governments, with sympathetic media representatives. If you can’t find one, offer to write an op-ed piece for your local newspaper or write a letter to the editor. The best way to pitch a story to the press is to include a local, human-interest angle. This is where you use the stories of those affected by the changes and contrast them with the record of the governments in keeping their commitments. Your story will be more successful if you link it to an event like the signing of a new trade deal or a meeting of country leaders for an international organization. You can also organize a local event to protest these international events and their effects in your community.

MAKE LINKS with other groups
Make links with other groups in your area, province, nationally or internationally. Find out from other groups how their communities are being affected. See what actions they have taken. See if you can find common areas for action. Share your success stories as well as your challenges.
MONITOR the on-going commitments and their effects.
Monitor what is happening on the international stage. This includes where governments have made new trade or investment agreements or joined new international economic organizations. Read the Globe and Mail or the National Post. They regularly report on what new agreements are being negotiated and who is taking over whom. Ask the Ministers of Trade, Finance and Foreign Affairs to report on the work they are doing in these areas.
Stay informed about what the government has committed on women’s equality, poverty elimination, social development or human rights. This information is harder to get through the media and you may have to get on the mailing list of the Minister responsible for women or check the PAR-L website on the Internet. The URL is: www.unb.ca/PAR-L
Important Canadian Addresses
You can write all Members of Parliament postage-free at the House of Commons, Ottawa, ON, K1A 1C3.
Herb Dahliwal, Minister of National Revenue
Telephone: (613) 995-7052
Fax: (613) 995-2962
Paul Martin, Minister of Finance
Telephone: (613) 992-4284
Fax: (613) 992-4291
Email: Martin.P@parl.gc.ca
Budget statements are available from: Finance Canada
Telephone: 613-995-2855
Fax 613-996-0518
Website: www.fin.gc.ca/access/budinfoe.html
Canadian Centre for Policy Alternatives, Suite 804, 251 Laurier Ave. W., Ottawa, ON, K1P 5J6
Telephone: 613-563-1341
Fax: 613-233-1458
Email: ccpa@policyalternatives.ca
Website for alternative budget: www.policyalternatives.ca
Finance Canada 140 O’Connor St., Ottawa, ON K1A 0G5
Telephone: 613-992-1573
Bank of Canada 234 Wellington, Ottawa, ON, K1A 0G9
Telephone: 1-800-303-1282
Fax: (613) 782-7713
E-mail: paffairs@bank-banque-canada.ca
Sergio Marchi, Minister of International Trade
Telephone: (613) 947-4177
Fax: (613) 947-4452
Email: Marchi.S@parl.gc.ca
Office of the Superintendent of Financial Institutions 255 Albert Street, Ottawa, Ontario K1A 0H2
Telephone. 1-800-385-8647
Email: extcomm@osfi-bsif.gc.ca
Claudette Bradshaw, Minister of Labour
Human Resources Development Canada
Ottawa, Canada KlA 0J2
(819) 994-6313 (information number)
Alfonso Gagliano, Minster of Public Works and Government Services
Telephone: (613) 995-9415
Fax: (613) 992-8523
Email: Gagliano.A@parl.gc.ca
Business Development Bank, 280 Albert St. 3rd Floor, Ottawa, ON KlP 5G8
Telephone: 1 888 INFO BDC
Email: bus-service-center@bdc.x400.gc.ca
Canadian International Business Strategy Working Group
Telephone: (613) 944-1817
Fax: (613) 996-9265
Email: strategy.cib@extott16.x400.gc.ca
Website: strategis.ic.gc.ca
NAFTA Secretariat (Canada)
Tel: (613) 992-9385
Fax: (613) 992-9392