Millwright Regional Council – Canada and MPP Michael Gravelle, Thunder Bay-Superior North

Published On: April 12, 2021Categories: Press Release

‘Discuss Tax Fraud and the Underground Economy’

Toronto, ON. – The Millwright Regional Council – Canada met with MPP Michael Gravelle for Thunder Bay-Superior North on Friday, April 9 to discuss tax fraud and the underground economy in Ontario’s construction industry, and ways to partner together on this issue.

The underground economy in Ontario’s construction industry undermines the province’s fiscal position and hurts legitimate contractors. A study commissioned by the Ontario Construction Secretariat, estimates that annual revenue losses due to underground activity have increased by 30% over the past decade.

According to Tim Sadler, MRCO Business Representative Millwright Local 1151 Thunder Bay, “Construction industry tax fraud negatively affects economic growth in Ontario and reduces tax revenues for all levels of government, putting pressure on the government’s ability to provide the services and benefits that Canadians enjoy and expect.”

MPP Gravelle’s efforts have spurred job growth and economic diversity through tough economic times, and is committed about making sure new opportunities like the Ring of Fire will benefit the people of Thunder BaySuperior North. To maximize these efforts, corrupt contractors need to pay their fair share.

Between 2013 and 2017, the Province of Ontario and Federal Government lost between $1.8 billion and $3.1 billion annually as a result of contractors operating in the underground economy. This represents an increase of 30% since OCS last study in 2009 when annual revenue losses were in the order of $1.4-$2.4 billion.

MPP Gravelle’s vision of four-laning the Trans-Canada Highway from Thunder Bay to Nipigon is becoming reality and has played a major role in improving education – including full-day kindergarten, a brand-new high school, the new Faculty of Law and the Northern Ontario School of Medicine at Lakehead University, all which require funding.

We are encouraged by MPP Gravelle’s support to end construction industry tax fraud and working together towards solutions that reign in the underground economy.

The UBC Tax Fraud Days of Action is taking place across Canada and the United States April 14-17, 2021 to bring awareness to the issues of tax fraud and the underground economy. Learn more

About the Millwright Regional Council – Canada (MRC)

The Millwright Regional Council – Canada (MRC) is composed of eight affiliated Local Unions of the United Brotherhood of Carpenters and Joiners of America (UBC) across the Province of Ontario. We represent thousands of woman and men working as progressive cross-trained construction and maintenance professionals with exceptional skills to install, maintain, diagnose, and repair precision machinery, UBC millwrights are vital partners in industries as diverse as energy, automotive, aerospace, food processing, pharmaceuticals and more.

For media inquiries, please contact Duncan McIntosh, Director of Communications,