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Quebec election: Legault says language law ‘balanced’ amid criticism from businesses

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MONT-SAINT-GRÉGOIRE, Que. — Coalition Avenir Québec Leader François Legault remained undeterred Wednesday amid renewed criticism of his language law reform by business leaders who say the legislation will make it harder to recruit talent and will cause enormous damage to the economy.

On Day 4 of Quebec’s election campaign, the CAQ leader said that the government must balance economic growth with the protection of Quebecers’ language and culture.

“I think (it’s) a balanced bill and it’s important to have a balanced bill; it’s important to protect French, and French will always be vulnerable in North America,” Legault told reporters Wednesday during a campaign stop in Mont-St-Grégoire, Que., southeast of Montreal.

Nearly 160 CEOs and other top executives at Quebec companies signed an open letter calling for the implementation of Bill 96 to be suspended. Published by the Council of Canadian Innovators, the letter said the law “imposes an unrealistic deadline” on new immigrants to learn French and creates an additional regulatory burden for small companies.

Pierre-Philippe Lortie, with the Council of Canadian Innovators, said the law may push people who are interested in Quebec to look for work in other parts of the country at a time when the province already faces a shortage of technology workers.

Bill 96, he said, risks leading fast-growing technology companies to delay investments, expand offices in other provinces or hire remote workers. “I don’t think that’s to the benefit of Quebec if we only hire outside and don’t have human presence in Quebec to tackle the new challenges we have, so it could potentially do enormous damage,” he said in an interview Wednesday.

The law, adopted by Legault’s government in late May, extends certain provisions of Quebec’s language charter to businesses of 25 or more employees. Those provisions had only applied to businesses with 50 or more employees. The bill also requires new immigrants to communicate with the government exclusively in French after they’ve been in the province for six months.

Legault said most governments provide information to newcomers in the local language, adding that immigrants can get help with translation if they need it.

For businesses, Legault said, there will be a three-year transition period. “They’ll have the time to adjust,” he added. “It’s important to have the two objectives: yes, create wealth, but yes, also protect French.”

First published in June with 37 signatures, the letter by the Council of Canadian Innovators has since been signed by 122 additional executives. Signatories include Louis Têtu, CEO of Quebec City-based software company Coveo, which employs more than 700 people; Eric Boyko, CEO of Stingray, which owns several music television channels and more than 100 radio stations; and Antoine Amiel, CEO of glasses retailer New Look.

Lortie said the CEOs support the goal of promoting the French language and want to work with the government on language education programs.

Dominique Samson, vice-president of external affairs at financial data company Flinks, whose CEO signed the letter, said the bill is a “massive hurdle” for recruitment.

“Montreal is competing globally for talent, for investors, for everything,” he said in an interview Wednesday, adding that Bill 96 is “isolationist.”

Samson said his company, which employs around 200 people, has 35 open positions, adding that knowledge of software languages is more important than what languages the candidates speak. Because the company was already subject to Quebec’s existing language law, and is largely francophone, Samson said the additional compliance requirements won’t be significant for Flinks. He said he worries, however, about the effect it will have on smaller companies.

During the stop in Mont-St-Grégoire, Legault promised to cap increases in government-set hydro rates, daycare fees and university tuition at three per cent a year. The town is in the electoral district of Iberville — a riding the party won in 2018 but then lost after its member joined the Conservatives.

Claire Samson, who was booted from the CAQ in June 2021 after it learned she had donated $100 to the Conservatives under leader Éric Duhaime, gave the Conservatives their only seat in the legislature.

Meanwhile, the Parti Québécois on Wednesday promised to help Quebecers fight inflation with a temporary and targeted allowance of $1,200 for people making less than $50,000 and of $750 for people making between $50,000 and $80,000.

The left-of-centre Québec solidaire party promised an additional $5.3 billion for public transit projects in the Quebec City region, while Liberal Leader Dominique Anglade, during a stop in St-Agapit, Que., south of Quebec City, encouraged people who say they were the victims of sexual misconduct by Win Butler, the leader of Montreal-based band Arcade Fire, to make formal complaints.

This report by The Canadian Press was first published Aug. 31, 2022.

 

Jacob Serebrin, The Canadian Press

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Netflix’s subscriber growth slows as gains from password-sharing crackdown subside

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Netflix on Thursday reported that its subscriber growth slowed dramatically during the summer, a sign the huge gains from the video-streaming service’s crackdown on freeloading viewers is tapering off.

The 5.1 million subscribers that Netflix added during the July-September period represented a 42% decline from the total gained during the same time last year. Even so, the company’s revenue and profit rose at a faster pace than analysts had projected, according to FactSet Research.

Netflix ended September with 282.7 million worldwide subscribers — far more than any other streaming service.

The Los Gatos, California, company earned $2.36 billion, or $5.40 per share, a 41% increase from the same time last year. Revenue climbed 15% from a year ago to $9.82 billion. Netflix management predicted the company’s revenue will rise at the same 15% year-over-year pace during the October-December period, slightly than better than analysts have been expecting.

The strong financial performance in the past quarter coupled with the upbeat forecast eclipsed any worries about slowing subscriber growth. Netflix’s stock price surged nearly 4% in extended trading after the numbers came out, building upon a more than 40% increase in the company’s shares so far this year.

The past quarter’s subscriber gains were the lowest posted in any three-month period since the beginning of last year. That drop-off indicates Netflix is shifting to a new phase after reaping the benefits from a ban on the once-rampant practice of sharing account passwords that enabled an estimated 100 million people watch its popular service without paying for it.

The crackdown, triggered by a rare loss of subscribers coming out of the pandemic in 2022, helped Netflix add 57 million subscribers from June 2022 through this June — an average of more than 7 million per quarter, while many of its industry rivals have been struggling as households curbed their discretionary spending.

Netflix’s gains also were propelled by a low-priced version of its service that included commercials for the first time in its history. The company still is only getting a small fraction of its revenue from the 2-year-old advertising push, but Netflix is intensifying its focus on that segment of its business to help boost its profits.

In a letter to shareholder, Netflix reiterated previous cautionary notes about its expansion into advertising, though the low-priced option including commercials has become its fastest growing segment.

“We have much more work to do improving our offering for advertisers, which will be a priority over the next few years,” Netflix management wrote in the letter.

As part of its evolution, Netflix has been increasingly supplementing its lineup of scripted TV series and movies with live programming, such as a Labor Day spectacle featuring renowned glutton Joey Chestnut setting a world record for gorging on hot dogs in a showdown with his longtime nemesis Takeru Kobayashi.

Netflix will be trying to attract more viewer during the current quarter with a Nov. 15 fight pitting former heavyweight champion Mike Tyson against Jake Paul, a YouTube sensation turned boxer, and two National Football League games on Christmas Day.

The Canadian Press. All rights reserved.

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