2012’s best and worst developments in small biz

This year there were numerous developments for small businesses. The Canadian Federation of Independent Business (CFIB) shares its list of the best and worst ones.

Best of 2012

1. Red tape action (Fed., ON, QC, NB): Federal plans include assessing new regulations through a small business lens, a 1-for-1 rule, and service improvement goals. Ontario, Quebec and New Brunswick also made major red tape announcements.

2. Improving tax administration (Fed.): The CRA now accepts online questions via My Business Account and will honour written responses even if advice is wrong.

Read: 4 ways to help small biz clients

3. Municipal Accountability (BC): BC appointed a municipal Auditor General to oversee local government spending.

4. Labour law changes (SK): The Saskatchewan Employment Act modernizes, simplifies and amalgamates labour legislation and adds flexibility to the traditional 40-hour work week.

5. Public Sector Pensions (Fed.): The federal government started to get MP and civil service pensions in line with the private sector. This included raising employee contributions to 50 per cent and requiring new hires to work until 65.

6. Pooled Registered Pension Plans (Fed.): The federal government passed legislation that paves the way for small business owners to provide employees with access to simple, low-cost pensions. Provincial legislation is now needed.

Read: Small biz owners need you

7. Immigration Changes for Trades (Fed.): With a growing labour shortage, the government announced important changes to make it easier to bring permanent skilled trades people into Canada.

8. WCB rate cuts (AB, SK, QC, NB, PEI, YK): Average rates in these provinces and territories will come down in 2013, helping small businesses manage costs and encouraging job creation.

Worst of 2012

1. Plan to raise CPP premiums (most provinces): Led by Ontario, provincial finance ministers recently met and are pushing a plan to expand the Canada Pension Plan. Leadership to push back is needed by Ottawa.

2. Credit card fee hikes (Visa Canada): In October, Visa Canada announced major fee hikes and a plan for a new “uber-premium” card with even higher rates.

Read: Small biz owners want advisors they know

3. Workplace Safety and Insurance Board (WSIB) expansion (ON): Despite CFIB’s strong objections, the Ontario government moved ahead with implementing Bill 119, expanding mandatory WSIB coverage to previously-exempt employers in construction.

4. More municipal taxes (AB): The province has committed to negotiating new municipal charters with city governments in Calgary and Edmonton. This could significantly expand municipal taxation powers.

5. Eliminating secret ballots (NL): The provincial government eliminated secret ballot voting for union certification with no consultation.

6. Minimum wage increases (most provinces and territories): All provinces and territories except Ontario, Northwest Territories, Nunavut and Newfoundland & Labrador increased their minimum wages in 2012.

Read: Welcome to the small biz nation

7. PST expansion (MB): In addition to breaking its balanced budget legislation, the Manitoba government announced a significant expansion to the province’s sales tax.

8. Canada Small Business Financing Program (Fed.): The federal government announced changes to its main small business financing program which could require up to 100% personal guarantees and higher interest rates.