Unifor says it has struck a tentative deal with General Motors that will see vehicle production return to Oshawa.
The union says the tentative $1.3 billion deal will create at least 2,000 jobs starting in 2021.
In a statement, GM said it plans to invest $1 billion to 1.3 billion in the plant, with the expected hiring of 1,400 to 1,700 hourly workers.
“Subject to ratification of our 2020 agreement with Unifor, General Motors plans to bring pickup production back to the Oshawa Assembly Plant while making additional investments at the St. Catharines Propulsion Plant and Woodstock Parts Distribution Centre,” GM Canada President Scott Bell a statement.
Unifor President Jerry Dias announced the deal at a news conference Thursday and called it a “home run.”
“This is an opportunity to restart Oshawa immediately,” Dias told CP24 in an interview a short time later. “It’s about reopening a community. It really is about putting a stake in the ground and moving forward.”
The company announced in 2018 that it would shutter vehicle assembly at the Oshawa plant as part of restructuring and vehicle assembly stopped there in December 2019, resulting in the loss of about 2,300 jobs.
Negotiations between the union and company remained ongoing and Unifor was able to obtain a commitment that the ability to assemble vehicles at the plant would remain intact even after production stopped there in 2019.
The retooled plant will assemble heavy and light duty trucks, such as the Chevrolet Silverado and the GMC Sierra.
Construction to facilitate the assembly will begin “immediately” at the plant and will include a new body shop and flexible assembly module, the company said.
Dias offered a slightly higher estimate than GM for the number of jobs that will be created at the plant, pegging it at somewhere between 2,000 and 2,500.
He told CP24 that while electric vehicle technology will eventually create more jobs in Ontario, the announcement that GM will resume production of vehicles in Oshawa provides a solution for the community “today.”
Dias said GM will start hiring workers back to the plant in August 2021. Production of the first vehicles is expected to begin in January 2022, GM said.
GM also announced Thursday that it will be investing $109 million in St. Catharines to support increased engine and transmission production and $500 million in operations at the Woodstock Parts Distribution Centre.
The deal announced Thursday did not include commitments from the federal and provincial governments, however GM said it plans to continue discussions with both and Dias said that they have both been actively engaged with the industry.
Timing of the announcement is good for the Ontario government. It comes the same day that Premier Doug Ford’s Progressive Conservative government is tabling a budget to chart a way forward through the economic challenges brought on by the COVID-19 pandemic.
A statement released by Ford and Minister of Economic Development Vic Fedeli said the deal is “good news for Ontario” and proof that the government is “on the right track.”
“Investments like these are a clear sign that the steps our government is taking to support Ontario’s auto sector, and the thousands of jobs that rely on it, are working,” the statement read “Today’s announcement is proof that Ontario’s automotive sector remains strong even in these difficult times.”
The statement pointed to the government’s “ten-year Driving Prosperity plan” but did not specify any commitments to the GM deal.
The new regulations will take effect in Bowen Island, Tofino, Pemberton and 14 other communities on Nov. 1
Published Apr 18, 2024 • Last updated 2 hours ago • 5 minute read
With less than two weeks before B.C.’s short-term rental restrictions take effect, visitors staying at an Airbnb, Vrbo or other short-term rental homes are told to check with their hosts to make sure they are not staying in illegal accommodations.
Guests should ask hosts if they are compliant with the new rules, said B.C.’s housing minister, even as he reassured guests they won’t be on the hook.
Advertisement 2
Article content
Article content
“The responsibility to comply with the rules fall with the hosts and the short-term rental platforms,” said Ravi Kahlon at a news conference with Premier David Eby in Langley on Thursday. “We encourage people to continue to explore beautiful British Columbia, and stay in legal short-term rental accommodations.”The new regulations set to take effect on May 1 would restrict short-term rentals to principal residences and either a secondary suite or a laneway home/garden suite on the property.
They apply to more than 60 B.C. communities with populations of more than 10,000 people, as well as 17 smaller communities, including Bowen Island, Tofino, Osoyoos, Pemberton, and Gabriola Island, which have decided to opt in. For these communities, the rules will take effect on Nov. 1.
The new legislation carries penalties of $500 to $5,000 a day per infraction for hosts and reach as high as $10,000 a day for platforms.
Eby said the province’s principal residence requirement is meant to crack down on speculators while allowing homeowners to rent out spaces in their principal residences if they choose to do so.
Sunrise
Article content
Advertisement 3
Article content
He acknowledged the restrictions could put some property owners’ investment and retirement plans into disarray, but made no apologies, saying people with money to invest should put their money elsewhere.
“Do not compete with individuals and families who are looking for place to live with your investment dollars,” Eby said, adding the government will “tilt the deck every single time toward that family.”
The government has set up a provincial enforcement unit, currently staffed by four people, to conduct investigations into alleged non-compliant units.
The enforcement will be largely done digitally and includes the use of a short-term rental data portal that’ll help local governments monitor and enforce regulations.
Municipalities with their own short-term rental restrictions can upload non-compliant properties to the portal, said Kahlon. Platforms will have five days to verify whether the units are on their sites. Local governments without short-term rental licensing can report properties they believe are not compliant.
The platforms will be required to remove non-compliant listings at the request of local or the provincial governments and provide the province with a monthly update of short-term listings on their sites, said Kahlon.
Advertisement 4
Article content
Companies such as Expedia and Booking.com are working to get ready for the new rules, and he’s hopeful other platforms will follow suit by May 1.
Airbnb said it has been in discussions with the provincial government for months and plans to comply with the new rules, but predicts they will harm the province’s tourism sector by taking extra income away from residents and limiting accommodation options for people, while doing little to improve the housing crunch for residents.
“They’re doing this because they say there’s going to be an impact on housing, that this will free up more housing for people,” said Nathan Rotman, Airbnb’s policy lead in Canada. “That is just not true.”
Despite several years of Airbnb restrictions in Vancouver, for example, rents have gone up while vacancies stayed low, he said.
Kahlon said the pending rules are already having a positive impact on housing availability with short-term rentals being converted to long-term use or being put up for sale.
In March, more than 19,000 entire homes in B.C. were listed as short-term rentals for most of the year, said the province. Even if half of those units are returned to the long-term market, that’ll make a “substantial difference” in communities, said Kahlon.
Advertisement 5
Article content
Eby said there has been a “massive upswing” in hotel construction in key tourist areas as an unintended result of the new policies.
Bowen Island, a small community of 4,200 whose council voted in March to opt into the province’s short-term rental regulations, has seen increased pressure from tourists and housing demand in recent years.
The decision was council’s way “to balance what is appropriate use in residentially-zoned neighbourhoods while still allowing property owners to still do what they want with their properties,” said Mayor Andrew Leonard.
The principal residence requirement still allows for Airbnb and other short-term rentals on the island, he pointed out. “The vast majority of short-term rental operations are unaffected. This just keeps it in the homes of homeowners instead of speculators.”
Some communities, including Parksville’s Resort Drive area, were granted an exemption last month under the province’s exemption for strata hotel or motels. The area was purpose-built as tourism accommodation more than two decades ago.
The new legislation is being challenged in B.C. Supreme Court by Victoria-based groups and the Westcoast Association for Property Rights, who are calling for a review of the new rules and compensation for financial losses.
Advertisement 6
Article content
According to Airbnb, Airbnb bookings and related spending generated around $2.5 billion in B.C. in 2023 and created 25,000 jobs.
The company says that for every $100 spent on an Airbnb booking, guests also spent about $229 on other travel spending.
More than three quarters of hosts polled by the company say they use their Airbnb earnings to cover rising costs of living, especially housing.
Recommended from Editorial
Bookmark our website and support our journalism: Don’t miss the news you need to know — add VancouverSun.com and TheProvince.com to your bookmarks and sign up for our newsletters here.
You can also support our journalism by becoming a digital subscriber: For just $14 a month, you can get unlimited access to The Vancouver Sun, The Province, National Post and 13 other Canadian news sites. Support us by subscribing today: The Vancouver Sun | The Province.
Article content
Short-term rental platforms that violate B.C.’s pending regulations can face administrative penalties of up to $10,000 per day, officials announced Thursday.
Investigations into non-compliant companies and individual hosts will be conducted by a provincial enforcement unit, which will launch once the new rules take effect on May 1.
The Ministry of Housing said daily penalties will range from $500 to $5,000 for hosts, depending on the infraction, and reach as high as $10,000 for corporations.
Speaking at a news conference in Langley, Premier David Eby reiterated that the purpose of the province’s regulations is to open up thousands of potential long-term housing units that are currently being offered year-round on apps such as Airbnb and VRBO.
“The commitment that we have as government is to ensure that the housing stock that we have – the homes that are actually built – are available for people who are looking for a place to live,” Eby said.
The premier acknowledged his family, like many others in the province, has benefited from the availability of short-term rentals, and stressed that those types of accommodations will not be banned outright next month.
But the government previously calculated there were 19,000 whole homes being used exclusively as short-term rentals last year.
“I can tell you there are 19,000 families and individual that are looking for a place to live … right now that are in competition with people who are looking to operate homes like hotels,” Eby said.
Under the new rules, hosts can still rent out their primary residence, as well as one “additional unit, secondary suite or laneway home” on the same property, according to the ministry.
Those rules apply in every B.C. community with more than 10,000 residents, and to any others that opt in – as several already have, including Tofino, Pemberton, Osoyoos and Bowen Island. The rules will take effect in those smaller communities in November.
And once the regulations take effect, Housing Minister Ravi Kahlon stressed that guests themselves “will not face any fines.”
“We encourage people to continue to explore beautiful British Columbia, and stay in legal short-term rental accommodations,” Kahlon said.
Officials have recommended anyone planning to stay in a short-term rental on or after May 1 reach out to the host to confirm that the unit will be in compliance.
It’s unclear which violations will potentially cost platforms $10,000 per day. The government has said companies will be required to share user data to help municipalities and the province conduct their own enforcement, as the regulations also give local bylaw officers the ability to impose fines of up to $3,000 per day on hosts.
Platforms will be expected to remove listings from non-compliant users under some circumstances as well.
The announcement from officials came hours after Airbnb shared an “economic analysis” estimating that the platform generated more than $2.5 billion in economic benefits across the province last year.
According to the company, for every $100 a guest spent on an Airbnb rental, they spent about $229 on other local goods and services.
“B.C.’s new short-term rental law is going to significantly impact the province’s tourism sector, just as peak tourism season arrives – taking extra income away from residents, limiting accommodation options for guests, and potentially putting at risk billions in tourism spending and economic impact,” Nathan Rotman, Canadian policy lead at Airbnb, said in a statement.
But officials have claimed the pending rules are already having a positive effect on housing availability – addressing a major crisis in the province – as former hosts choose to either become landlords or put their properties up for sale.
Kahlon said some companies, such as Expedia and Booking.com, have been “actively working to get ready for the coming changes,” and that he’s hopeful other platforms will follow suit by May 1.
New short-term rental rules that will deliver more homes for people are set to come into effect on May 1, 2024, as the Province releases additional information to guide hosts, platforms and visitors through the changes.
“The effect of short-term rental apps like Airbnb, VRBO and others has been the loss of thousands of long-term rental homes in the midst of a housing crisis, driving up the cost of housing for British Columbians,” said Premier David Eby. “That’s why our government has created balanced new rules to crack down on speculators who are effectively operating mini hotels, while also ensuring homeowners can still rent out spaces in their principal residence. As we’ve already seen, these new rules are turning short-term rentals back into homes for people who live and work in our communities.”
The new rules are aimed at reining in the growing short-term rental market that is taking homes off the market. Analysis from short-term rental data analytics company AirDNA, from March 2024, shows that more than 19,000 entire homes in B.C. are being listed as short-term rentals for the majority of a calendar year. Data from a McGill University professor about short-term rentals in B.C. also shows in June 2023 that the top 10% of hosts earn nearly half of all revenue.
“We are in a housing crisis that requires strong action to deliver more housing for the people who live and work in our communities,” said Ravi Kahlon, Minister of Housing. “The changes passed last fall to tackle the growing short-term rental challenges are already bringing more long-term homes back onto the market. As the rules for hosts and platforms come into effect, we are taking another strong step to deliver more long-term homes for people in communities throughout B.C.”
The new rules that will take effect May 1, 2024, are:
In addition to the short-term rental rules going into effect, 17 communities initially exempt from the legislation have requested to opt in to the Principal Residence Requirement. For those communities, the new short-term rental rules will take effect on Nov. 1, 2024. A full list is included in Backgrounder 2.
A first-of-its-kind in Canada, the short-term rental data portal has been created to support local governments with monitoring and enforcement of short-term rental regulations and will allow local governments to have the platform companies remove listings that do not comply.
The Provincial Short-Term Rental Compliance Enforcement Unit, which will be phased in beginning May 1, will also be able to conduct investigations into alleged non-compliance, which may result in administrative monetary penalties and compliance orders. Administrative penalties for hosts breaking the rules can range from $500 to $5,000 a day per infraction, and up to $10,000 per day for corporations, depending on the infraction. Visitors and guests will not face any fines. The unit will also facilitate data sharing and requests to platforms to remove listings.
Visitors with stays booked after May 1, 2024, at short-term rentals are encouraged to check with their host directly to confirm the host is complying with their local government regulations and with B.C.’s new short-term rental rules.
Full requirements for hosts and platforms to comply with the new rules have also been released and are available in Backgrounder 1 and here: https://www2.gov.bc.ca/gov/content/housing-tenancy/short-term-rentals
Turning more short-term rentals into long-term homes is part of the Province’s Homes for People action plan. Announced in spring 2023, it sets out further actions to deliver the homes people need faster, while creating more vibrant communities throughout B.C.
Quotes:
Walt Judas, CEO, Tourism Industry Association of British Columbia (TIABC) –
“TIABC applauds the government for listening to the tourism sector and introducing regulations that will address housing shortages in visitor-dependent communities and give municipalities the tools they need to manage short-term rentals. From our perspective, the Province has found the right balance to provide more permanent homes for workers in tourism and other sectors, while also ensuring a range of accommodation options for visitors.”
Ken Sim, mayor of Vancouver –
“These short-term rental rules are vital in tackling the housing crisis not just in Vancouver, but across British Columbia. We’re eager to implement these new tools and collaborate with platforms to ensure short-term rentals in Vancouver align with these regulations. These measures lay the groundwork for a more sustainable and equitable housing landscape where Vancouver residents can thrive.”
Learn More:
To learn more about the rules that take effect May 1, 2024, visit: www.gov.bc.ca/ShortTermRentals
To learn more about government’s Homes for People action plan, visit: https://news.gov.bc.ca/releases/2023HOUS0019-000436
To learn about the steps the Province is taking to tackle the housing crisis and deliver affordable homes for British Columbians, visit: https://strongerbc.gov.bc.ca/housing
Two backgrounders follow.
Jeremy Hansen – The Canadian Encyclopedia
Save $700 Off This 4K Projector at Amazon While You Still Can – CNET
UK Mulls New Curbs on Outbound Investment Over Security Risks – BNN Bloomberg
'Kingdom Come: Deliverance II' Revealed In Epic New Trailer And It Looks Incredible – Forbes
Auston Matthews denied 70th goal as depleted Leafs lose last regular-season game – Toronto Sun
Supervised consumption sites urgently needed, says study – Sudbury.com
Sick of Your Blue State? These Real Estate Agents Have Just the Place for You. – The New York Times
Giant, 82-foot lizard fish discovered on UK beach could be largest marine reptile ever found – Livescience.com
Comments