CBAA Check Thrust Election 2021: What's Next?

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CBAA Check Thrust Election 2021: What's Next?
CBAA Check Thrust
Election 2021: What’s Next?

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CBAA Check Thrust Election 2021: What's Next?
1 2 3 4
Results +          Party              Assessing the   Staying on
Current State of   Performance,       Sector:         Government’s
Play               Priorities + Who   Headwinds +     Radar
                   to Watch           Tailwinds

                                                             2  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
Results +
Current State of Play

                        3  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
Electoral Results

                                                                       LPC           157
2019                                    LPC 157   2021
                    Liberal        157                   Liberal               159   121
                                    CPC 121
                    Conservative   121                   Conservative          119

                    BQ             32
                                         BQ 32           BQ                    32

                                                         NDP                   25
                    NDP            24   NDP 24
                    Greens          3                    Greens                 2
                                         GPC 3           Independent            1
                    Independent     1
                                                                       IDP
                                         IND 1

                                                              4  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
Current state of play: 6 weeks post-election
•       A slow start to the 44th parliament                                          ▪ A gender-balanced
                                                                                       cabinet has been
    • Ministerial offices are naming Chiefs of Staff and beginning to staff up         appointed.
    • The Speech From the Throne will occur on November 22 or 23                     ▪ The current cabinet has
                                                                                       38 ministers.
    • The House will be in operation for only four weeks before breaking until
      January 31, 2022                                                               ▪ New parliamentary
                                                                                       secretaries and
    • In those four weeks we have a Speech From the Throne, the possible               committee members to
      passage of a second budget implementation bill, a Fall Economic                  follow.
      Statement and the re-constitution of the Finance Committee
                                                                                     ▪ Critics for the CPC and
                                                                                       the NDP have been
• A more influential NDP?                                                              announced.
    ▪   With Liberals and the NDP in discussions for a sturdier and longer-lasting   ▪ New MPs, Ministers and
        agreement for the Liberals to govern, the NDP's influence on important         staff are being briefed.
        guiding documents like the Throne Speech will increase compared to
        more acrimonious minority parliaments of the past.                           ▪ Senior department
                                                                                       officials and PCO will act
                                                                                       as important advisors.

                                                                                                  5  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
What’s coming down the line

                                                Opening of Parliament,
                Cabinet Appointments            Speech from the Throne
                                                                                                                                             Budget 2022
                 October 26th, 2021               November 22nd, 2021
                                                                                                                                               Spring
                                                                           Fall Economic
                                                                             Statement
    Premiers Meeting                                                    Late November – Early
                                                                              December          Parliamentary Break
          October 5-7                                                                                December 20

                                                                                                                      Return of Parliament
                                                                                       Committee                        January 31, 2022
 Election Day                                                                         Constitution
 September 20                         MP Swearings-in, Parliamentary                   December
                                      Secretary & Critic Appointments
                                      End of October – Early November

                                                                             Introduction of Priority Legislation
                                                                                 Late November – December

                                                                                                                                                6  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
Political Performance,
Priorities, and Who to
Watch                    7  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
Liberal Party of Canada

The Liberals finished in a similar
position to 2019, shy of a majority. They       Government legislation that did not
will need the support of either the NDP         pass in the last Parliament will see
or the Bloc to move legislation forward.      rapid re-introduction. Bills on privacy,
                                                broadcasting and online harms will
                                                   be on the fall legislative agenda.
The tone set by Trudeau’s victory
speech and “clear mandate”
interpretation suggests he plans to
govern as though he has a majority,
securing confidence on a case-by-            Given the concentrated opposition of
case basis.                                     the West, the Liberals will have to
                                              emphasize balance of the economy
He does not intend to make any                              and the environment.
formal agreement with any party.

The next steps in ending the pandemic
will be the focus of the government in the   Given the financial readiness of many
near-term, both from a public health and      of the opposition parties, this minority
an economic perspective. Efforts to               government is expected to last the
increase vaccinations and to help            average 18-30 months before another
businesses weather a possible fourth                                         election.
wave this winter will occupy the
government.

                                                               8  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
Conservative Party of Canada
                                                            Mr. O’Toole’s legislative priorities will
                                                                      largely focus on job creation,
The Conservatives won the popular                          strengthening anti-corruption laws and
vote for the second election in a row –                         establishing strong mental health
nearly sweeping Alberta and                                    policies. He will remain one of the
Saskatchewan – but were unable to                           only and likely most vocal champions
make meaningful advances in Atlantic                           of Canada’s natural resources and
Canada, Ontario and Quebec.                               energy sectors in Parliament, hoping to
                                                             continue to earn the trust of Western
                                                                                        Canadians.

After coming up short of the Conservative's
2019 results, O'Toole will be positioning                  The Conservatives will control many
himself to hold on to the top job, while                     of the parliamentary committees in
insiders weigh the prospect of another                             the new session, giving them
leadership race and potential candidates                  increased influence on their agendas
begin to jockey for position.                                and opportunities to thwart or stall
                                                                           government priorities.
In his day after election day remarks,
O’Toole announced a formal review will be
launched to examine what needs to be done
differently in order to win in the next general
election.                                            Mr. O’Toole’s sales pitch to Conservative
                                                  members was that he would deliver the GTA.
At least 4 ridings across Ontario and in          His performance saw a drop of one 905 seat
Alberta would have likely elected a                   and no breakthrough in the 416. Insiders
Conservative MP if not for the PPC, and so         expect strong emphasis put on legislation to
Mr. O’Toole will feel a lot of pressure from          attract key demographics in these areas.
within to address this in a meaningful way.

                                                                             9  © Hill+Knowlton Strategies
CBAA Check Thrust Election 2021: What's Next?
NDP

The NDP picked up one seat total – with
25 seats, they hold enough to prop up
the government on a vote-by-vote basis
but won’t be making a formal agreement
with the Liberals.                                    The NDP still hold a balance of
                                                   power that will given them influence
                                                           on an issue-by-issue basis.
Will look to negotiate advances on:
▪ Implementing a wealth tax on the
   ultra-rich will be Singh’s number
   one priority
▪ Implementing national, universal                             Singh was successful in a
   pharmacare and dental coverage                        leadership review at the NDP’s
   for Canadians earning less than                           2021 convention and led all
   $90k                                              leaders in likeability throughout the
▪ Ending for-profit long-term care                      election. Despite not making big
▪ Affordable housing                                 gains, his leadership is safe for the
▪ Climate change                                                                 moment.
▪ Cell phone and internet prices

                                           Singh’s success will now be measured by his
                                            ability to move the NDP’s agenda forward +
                                                   extract concessions from the Liberals.
Expect the NDP to be largely
constructive during the next parliament,
but use what leverage they have to push
their progressive vision.

                                                                  10  © Hill+Knowlton Strategies
Bloc Québécois

                                                    The Bloc campaign gained unusual
The Bloc gained 2 additional seats,              momentum after the English language
will see Mr. Blanchet likely remain as           debate where Mr. Blanchet was asked
a Leader, and a continuation of 3rd           about certain laws in Quebec that some
party status..                                    consider discriminatory. This ignited a
                                               fleury of news stories and comments by
                                                     other politicians, including Premier
                                              Legault. It is likely this will remain part of
                                                  the discourse surrounding the Bloc.
The party’s single focus on promoting
Quebec interests was not enough to hold
the balance of power that Mr. Blanchet
spoke frequently of.
Blanchet has committed to cooperate on
any issue that is in the interest of Quebec         In 2019, Blanchet tried to position
and expects Parliament to work – though                the Bloc as an extension of the
it is not his party’s responsibility.                    CAQ Provincial Government.
                                                    Premier Legault’s endorsement of
                                                   the Conservative Party in Quebec,
                                                       came as a surprise to Blanchet
                                                      who was counting on his party’s
The clear mandate the Bloc received                 association with the popular CAQ.
means there will be no compromise on:
▪ Any plan to move oil across the province
▪ Language rights
▪ Quebec’s commitment to the secularism
  of public institutions
                                                                    11  © Hill+Knowlton Strategies
Expected Early Priorities

The minority Liberal government will look
to:
▪ Finish the fight against COVID-19 and address
  issues in the healthcare system.
▪ Reach childcare agreements with all
  provinces, increase federal paid sick days, and
  complete affordable housing projects.
▪ Reintroduce bills from the previous parliament that
  died when the election was called, including Bill C-
  10 and the Ban on Conversion Therapy.
▪ Implement their ambitious commitments to the
  environment and climate change. Including
  strengthening the Canadian Environmental
  Protection Act, putting emission reduction targets
  into legislation, and implementing the Just Transition
  Act.
▪ Follow through on promises pertaining to Indigenous
  reconciliation and racial justice, such as police
  practice reforms and the $14 billion in funding to
  various programs for Indigenous peoples and
  communities.

                                                           12  © Hill+Knowlton Strategies
Political Environment

▪ Political focus will remain on modest
  legislative agendas, strategic consensus
  building, greater co-operation with the
  provinces.
▪ While another federal election likely within
  one or two years, the NDP and Liberals may
  reach an agreement on support that is longer
  lasting.
▪ Regional divisions/polarities will remain a
  factor, specifically an increasingly distressed
  Alberta and Western Canada.
▪ Federal/provincial tensions are still
  heightened over health care transfers
  (funding).
▪ Ontario and Quebec will have elections in
  2022, meaning a surge in political activity
  and an emphasis on the importance of public
  opinion for Conservative and Liberal
  branding.
                                                    13  © Hill+Knowlton Strategies
Omar Alghabra – Minister of Transport

                                               Alghabra is passionate about
In a cabinet shuffle that was a big            empowering new Canadians
shake-up, leaving Alghabra at                  and this as an issue on which
Transport demonstrates the PM’s trust          you might find common ground
in him to execute on the file

                                               Transport holds many of the key
Representing Mississauga Centre –              policy levers alongside other
home to Pearson International –                departments, so collaboration will be
since 2015, Alghabra is familiar with          key
the aviation sector and topline
issues

Omar will keep his Chief of Staff, Mike
Maka and retain much of his other staff
creating continuity in the office. There
is much turnover across other offices,
so again, this demonstrates the trust
PMO has in Omar and his team
                                                            14  © Hill+Knowlton Strategies
Jean-Yves Duclos, Minister of Health
 Jean-Yves Duclos is brand new
 to the health portfolio. His most                      Related to his interest in policy,
 recent cabinet position was                            Duclos is numbers-driven and can
 President of the Treasury Board                        be persuaded by compelling data

A former economist, Jean-Yves
Duclos is known to be very policy-
minded – nicknamed "the professor"                Overseeing the Public Health
by his Cabinet colleagues, who                    Agency of Canada, Duclos will be
regard him highly                                 key to engage with on issues
                                                  related to airport re-opening

            It is yet TBD how Duclos will split
            responsibilities with Carolyn
            Bennett, the Associate Minister

                                                                        15  © Hill+Knowlton Strategies
Regional Development Agencies (RDAs)

Pascale St-Onge, Helena Jaczek,    Harjit Sajjan,   Ginette          Dan Vandal,   Patty Hajdu,
Quebec           Southern          Pacific          Petitpas Taylor, The North +   Northern
                 Ontario           Canada           Atlantic Canada Prairies       Ontario

 •   Key voices for regional economic development

 •   Will be responsible for programs such as the Regional Air Transportation
     Initiative + the Aerospace Regional Recovery Initiative

                                                                                    © Hill+Knowlton Strategies
                                                                                                             16
Melissa Lantsman – Shadow Minister for Transport

                                                          Despite being a rookie MP,
                                                          expect Melissa to make a
Representing Thornhill, Melissa is one of                 big impact and rise quickly
few Conservatives elected in the in the                   through the ranks.
metro-Toronto region.

                                                         As a former government relations
                                                        professional, expect Melissa to be
                                                        keen to engage with stakeholders,
                                                          but ensure you come prepared.
 Melissa is a former staffer with Joe
 Oliver and a former war roomer for
 Doug Ford.
                                                         If you’re looking to make an impact
                                                         with Melissa, know the issue
                                                         closest to her heart is mental
                                                         health.

Melissa is a former Vice President of Public
Affairs at H+K and a former political pundit.
                                                                      17  © Hill+Knowlton Strategies
Assessing the
Sector: Tailwinds +
Headwinds

                      18  © Hill+Knowlton Strategies
Assessing the aviation sector: Tailwinds

✓ Attention: The pandemic has shone a spotlight on how essential aviation is
  to Canada’s economy and the challenges the sector faces
✓ Alignment: Both government and the aviation sector are aligned on the need
  to take action on climate change – this presents significant opportunities for
  collaboration
✓ Funding: Government is delivering funds adjacent to aviation and that
  indirectly benefit the sector, like the Regional Air Transportation Initiative +
  the Aerospace Regional Recovery Initiative

                                                                          19  © Hill+Knowlton Strategies
Assessing the aviation sector: Headwinds

X Sector reputation
X The Luxury Tax
X International flights + regional airports
X Clarity on vaccine mandates + enforcement
X Falling off of government’s radar

                                              20  © Hill+Knowlton Strategies
Staying on
Government’s
Radar

               21  © Hill+Knowlton Strategies
Staying on government’s radar to advance sector issues

•       Leverage provincial and federal cooperation,
        particularly in Quebec
•       Leverage departmental champions – they are
        briefing ministers presently
•       Activate your local MPs – in a minority
        parliament MPs become much more powerful
•       Working with the opposition and with the
        Senate
•       Activate interested parliamentarians – H+K is
        currently scoping out the establishment of an
        aviation caucus
•       Build public support – cultivate a ‘halo effect’
    •     Sustainability | Contributions to vulnerable
          populations
    •     Policy initiatives that address the urban/rural
          divide (e.g. Nutrition North)

                                                            22  © Hill+Knowlton Strategies
23  © Hill+Knowlton Strategies
Appendix I:

Minority
Government
Opportunities

                24  © Hill+Knowlton Strategies
Working in a Minority Parliament
Power is at the centre, but the opposition wields significant influence.                              What that might mean in
                                                                                                      practice:
▪   Broad directions will still be set by ‘the Leadership’ – PMO, key advisors, key ministers – but
    minority parliaments offer more opportunity for legislation to be further shaped and              ▪ Building out relationships
    amended by the opposition.                                                                          wider, across parties, and
                                                                                                        across chambers.
Does one party hold a ‘balance of power?’                                                             ▪ Crafting targeted
                                                                                                        messaging that can
▪   In minority parliaments the Opposition is much more powerful and depending on the
    composition of seats and formal or informal coalitions, one party may hold the ‘balance of
                                                                                                        appeal to specific parties,
    power,’ wherein their support or opposition for legislation will be essential to its passing.       including opposition.
                                                                                                      ▪ More attention and
Committees take on an enhanced role.                                                                    investment of time in
                                                                                                        committees – monitoring,
▪   Committees are much more powerful in minority parliaments as their leadership (Chairs)              submitting briefs,
    and agendas are largely driven by the opposition. This allows them to invite Ministers and          appearing as witness,
    senior staff as witnesses, compel government documents, slow the progress of legislation
    and drive media narratives based on testimony.                                                      etc.
                                                                                                      ▪ Consider how individual
Individual MPs are more influential.                                                                    MPs can be activated, to
                                                                                                        either act as champions
▪   In minority parliaments, individual MPs become more influential, and the prospect of                for your issues, or to
    passing private members’ bills is enhanced.                                                         sponsor a private
                                                                                                        member’s bill.
An enhanced role for the Senate.
                                                                                                      ▪ Identifying and
▪   The Senate has been a key driver in the passing of legislation and will continue to be in a         leveraging cross-party
    minority context. Understanding the relationships that shape its power structures is crucial.       caucuses.
                                                                                                                  25  © Hill+Knowlton Strategies
Minority Opportunities
                                            ▪ Opposition can extract
                                              concessions from
                                              government as
Stakeholders will need to consider            conditions for support.
                                            ▪ Deals will be
relationships with opposition as equally      brokered. Opposition
important as those with government.           parties will partner on
                                              an issue-by-issue basis
                                              to obstruct government
                                              and the government
                                              will partner in select
Opposition could be a significant ally        circumstances,
(the reverse is equally true) – they will
                                              compromising to push
                                              legislation forward.
amend government legislation which is       ▪ Budget bills will
                                              continue to be omnibus
an important opportunity for                  which makes the pre-
                                              budget process that
stakeholders.                                 much more important.
                                            ▪ If the budget is
                                              defeated, so is the
                                              government.
                                                       26  © Hill+Knowlton Strategies
Parliamentary Committees
                           ▪ In a minority government,
                             there are more Opposition
                             than government MPs in
                             the House; the same will
                             apply in committees.

                           ▪ Opposition will control
                             many committees and will
                             influence the agenda.

                           ▪ Having effective control in
                             committee, the Opposition
                             can choose witnesses,
                             pass motions, introduce
                             subject matter studies and
                             amend legislation. It is also
                             worth noting that
                             committees can compel
                             government documents
                             (emails, briefing notes,
                             correspondence) as they
                             see fit.

                           ▪ Committee reports will
                             often be at odds with
                             government policy.

                                         27  © Hill+Knowlton Strategies
Private Member’s Bills
                         ▪ Many government MPs
                           are not eligible to
                           sponsor PMBs so the
                           Opposition has
                           mathematically 2-3x
                           opportunity to sponsor a
                           PMB than does a
                           government back-
                           bencher.
                         ▪ The right PMB can be
                           passed easily in a
                           minority government,
                           especially if it can do two
                           things:
                           – Pre-empt the
                             government’s own
                             legislation on the
                             same topic.
                           – Wedge the
                             government on an
                             issue they are
                             reluctant to act on.
                                     28  © Hill+Knowlton Strategies
Role of the Bureaucracy
                          ▪ Senior public officials
                            have already begun
                            working on interpreting
                            platform commitments
                            into government policy.
                          ▪ Departments need to
                            be prepared to respond
                            rapidly to Opposition
                            amendments and
                            requests for
                            documents from
                            committees.
                          ▪ Opposition will expect
                            to have increased
                            access to ministers,
                            staff and briefings on
                            issues of interest.
                          ▪ Continued readiness
                            for potential change in
                            government or
                            election.

                                     29  © Hill+Knowlton Strategies
Potential for Instability
                            ▪ Votes on the Speech
                              from the Thone,
                              Estimates, and the
                              Budget are inherently
                              votes of confidence.
                            ▪ For leaders, internal
                              party leadership
                              reviews will present
                              an opportunity for
                              disappointed party
                              members to organize
                              against their
                              continued role.

                                      30  © Hill+Knowlton Strategies
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