New labour rules pay people to 'sit on the couch,' says Alberta businessman

A northernAlberta businessman is criticizing the NDP government's new rules around statutory holiday pay, sayingthe new regulations hurt businesses and employees.

Marty Gilesrecorded avideo rant and posted it on social media. In the eight-minute video, he outlines how thenew labour ruleswill hurt his vehicle dealerships in Fort McMurray, Calgary, Cochrane and Fort McKay.

Gilessaid he's against the new standards for general holiday pay because they mean some of his dealershipswill run at a significant deficit on those days due to higher labour costs, he said.

"I can't understand, for the love of Pete, why our provincial government has made these changes to general holiday pay," Giles said in the video.

In an interview withCBCon Wednesday, Giles said he made the video to get the attention of politicians in Edmonton.

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The new labour rules, which took effectDec. 31, changed holiday pay, overtime, vacation and other rules.

NDP Labour Minister Christina Gary said the the new rules protect jobs and prevent workers from being exploited.

Paying workers who aren't scheduled

The issue for Giles is that his car dealership, Northstar Ford, which operates in Calgary, Cochrane and three locations in the Fort McMurray region, now has to pay workers whether they are scheduled to work on a holiday or not.

Giles said that means he'spaying peopleto "sit on the couch."

That is a particular concern for one of the dealership's Fort McMurray locations, he said, because it is open seven days a week, includingholidays.

Before the changes were introduced, Giles didn't have to pay workers if a holiday fell on their day off. Now he has topay around 200 staff their regular hourly wage even if they are not scheduled to work on a holiday, he said.

The employees scheduled to work on a holiday will earn their regularwage plus time and a half.

Giles estimateshis car detailing department alone would lose $103 an hour on statutory holidays because of the new rules.

Giles saidhisemployees who want to earn more money working as many holidays as possible will likely take a hit because his dealership is considering cuttingshifts to avoid losses.

And when workers earn less, the government takes in a smaller amount of tax revenue, he said.

"So now, not only have you reduced what I pay you in tax, you've actually taken the middle class [and]you've reduced theamount of moneythey can pay in tax," Giles said.

'Unfortunate,' says chamber

Fort McMurrayChamber of Commerce President Bryce Kumka said the NDP government's holiday-pay change has real implications for businesses that rely on shift work.

An increasing number of shift workers will qualify for holiday pay, and the labour costs will trickle down to either workers or consumers, said Kumka.

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"It's unfortunate that this is happening," Kumka said. "Because it's difficult economically given all the additional costs that have been loaded on businesses over the last couple of years."

Labour laws needed update, NDP says

The United Conservative Party has heard many complaints from employers about the new rules, spokesperson Annie Dormuth said in an emailed statement.

"We obviously support workers being paid holiday pay for days wherethey would normally be working," Dormuth said. "But being forced to pay an employee for a day he or she would never be working makes little sense."

Labour Minister Christina Gray wasn't availableWednesday but her office saidin an emailed statement that Alberta's employment standards code hadn't been updated for almost 30 years. "Many of our standards were far behind those in other parts of the country," the statement said.

Gray said the government defends workers but it is also listening to business owners to ensure their concerns are being addressed.

Follow David Thurton, CBC'sFort McMurraycorrespondent, onFacebookandTwitter, email him atdavid.thurton@cbc.ca