Ontario Saves $50 Million for Businesses by Reducing Red Tape
Province Streamlines Services, Helps Businesses Succeed and Grow
Ontario's strategic approach to cutting red tape has led to $50 million in savings and 2.4 million saved hours for businesses across the province in the last four years.
Released today, the Building a Better Business Climate for Ontario: 2015 Burden Reduction Report profiles strong action taken to reduce unnecessary regulatory and administrative processes that cost businesses time and money. The report features 28 initiatives across government that are modernizing services and making it easier for businesses to succeed, including:
- Creating a new online system for processing payments for the Ministry of Health and Long-term Care's Assistive Devices Program -- reducing wait times for payments and saving registered vendors $16.7 million and an estimated 500,000 hours over four years.
- A new, convenient online compliance check tool available to businesses with a good track record, as an alternative to full inspections under the Employment Standards Act,- saving these businesses an estimated $725,000 and 36,500 hours over two years.
- Streamlining regulations and processes with the Ministry of Transportation's simplified testing requirements for senior commercial drivers to renew their licences -- saving drivers $1.87 million and an estimated 57,000 hours over a year.
Ontario has set a target of reducing burdens to save business $100 million by the end of 2017. With $50 million of savings so far, our province is halfway to reaching its target. This is part of our government's broader strategy, aimed at reducing unnecessary burdens to businesses across Ontario. Since 2008, our government has eliminated more than one in six regulatory requirements - or 80,000 regulatory burdens, leading to more efficient, streamlined processes.
Streamlining regulation to help businesses grow and stay competitive is part of the government's economic plan to build Ontario up. The four-part plan includes investing in people's talents and skills, making the largest investment in public infrastructure in Ontario's history, creating a dynamic, innovative environment where business thrives, and building a secure retirement savings plan.
- The Canadian Federation of Independent Business (CFIB) ranked Ontario as one of the provinces making consistent progress in reducing regulatory burdens — with a B+ in the CFIB’s recent 2015 Red Tape Report Card.
- Ontario joined British Columbia and Saskatchewan as the only provinces with regulatory reform legislation when the Burden Reduction Reporting Act was passed in December 2014.
- The Building a Better Business Climate for Ontario: 2015 Burden Reduction Report features a total of $50 million in savings, building on the $6 million in cost savings to business from five burden reduction projects profiled in 2014, plus additional savings of $44 million from ministry initiatives profiled in this report.
- Ontario has formed a burden reduction working group with the City of Toronto to streamline regulatory activities and eliminate unnecessary duplication from municipal and provincial requirements.
- Industry Canada estimated complying with regulatory paperwork at all three levels of government cost small and medium-sized businesses in Ontario about $1.77 billion in 2011.
- Ontario’s Regulatory Policy was updated in 2014 to include a mandatory review to regularly revisit, and if necessary, revoke outdated, unnecessary or redundant regulations.
“Our government is working hard to break down barriers impacting Ontario’s business climate – but we know there is a significant amount of work left to do. The manner in which regulations are enforced can hinder the ability of the business community to compete globally, and thrive in the next generation economy. Today’s report highlights the progress made to date and outlines our strategy to continue streamlining regulatory and administrative processes, enabling Ontario businesses to grow and innovate, create jobs, and build stronger communities across the province.”