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Government costs put thousands out of work in forestry: Kelowna Chamber of Commerce

The Kelowna Chamber is 91Ƶextremely concerned91Ƶ about rising costs within the forestry industry
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The Tolko mill in Kelowna announced its 91Ƶindeterminate91Ƶ closure on Sept. 12, 2019. (File)

The Kelowna Chamber of Commerce has stated that it is 91Ƶextremely concerned91Ƶ about increased government costs causing a 91Ƶdramatic downturn91Ƶ in the forestry industry.

On Sept. 13, the chamber released a statement in which it said all levels of government need to 91Ƶwork together to halt the slide into negative numbers and closures being experienced across wide swaths of the forest industry in B.C.91Ƶ

91ƵThe cumulative impact of increased costs at every level is colliding with decisions around mill closures,91Ƶ said Nikki Csek, president of the Kelowna Chamber.

91ƵInstead of allowing these cost increases, from the employer health tax by to increased property tax, each level of government should be working together to lower costs as a means of assisting the forest industry in order to save jobs and help BC91Ƶs economy.91Ƶ

The chamber said that in the past year we have seen:

  • Increased stumpage costs (July 2019)
  • Increase in carbon taxes
  • Property tax increases
  • Employer Health Tax 91Ƶ new, high taxes for any firm with a payroll over $500,000
  • Federal corporate tax changes and increases
  • Continued failure to cement a new softwood lumber agreement

The Kelowna Chamber also said workers are beginning to cross the border into both the United States and Alberta to find stable work.

READ MORE: Man shot by RCMP in Bear Creek Provincial Park; police watchdog investigating

READ MORE: 91ƵA real shame91Ƶ: Kelowna MLA says factors behind Tolko mill closing should have been caught



michael.rodriguez@kelownacapnews.com

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