Status of Women Canada pushing government to support female entrepreneurs through procurement


According to a memo obtained by the Canadian Press, the Liberal government is thinking about using its massive purchasing power to support women in business.

The November 2016 memo was written for Patty Hajdu, who was the minister for the status of women at the time.

“Inclusive federal procurement is a potential avenue through which the Government of Canada can demonstrate leadership and support for women’s entrepreneurship,” stated the memo. “The Treasury Board of Canada is currently looking at opportunities to better link federal procurement practices with the broader socio-economic objectives of the Government,” said the memo. “It is recognized that women and other under-represented groups should be considered in a renewed federal approach to procurement.”

The memo was released alongside a report requested by Status of Women Canada last year. They asked the Conference Board of Canada to make the case for why using more diverse suppliers — defined as businesses that are majority-owned, operated and controlled by women, visible minorities, Indigenous Peoples, members of the LGBTQ community or others facing discrimination — makes good economic sense.

According to a draft of the report, benefits can include higher profits, greater employee retention and even access to new markets, including the U.S., which has had supplier diversity policies at the municipal, state and federal level since the 1960s.

The report also pointed out that while many businesses had adopted such policies, the government and other public institutions were behind the curve.

“Corporations with an effective supplier diversity program do not compromise on the quality or the cost of the services or products they supply, nor do they change the service requirements for all suppliers,” said the report. “The program is simply a market access opportunity for both the corporation and the diverse supplier.”

The memo urged Hajdu to use the report to convince her fellow cabinet ministers to enact such a policy for the roughly $15 billion to $20 billion in annual federal procurement spending.

The 2017 federal budget released in March seemed to be hinting that the Liberal government is leaning in that direction, even saying that it would “encourage procurement from companies led by women and other underrepresented groups” for its new $50-million program aimed at supporting innovation.

Philippe Charlebois, a spokesman for Status of Women Minister Maryam Monsef, said department officials are examining key issues and potential strategies to “advance the participation of women-owned enterprises in the federal procurement process.”


Photo via Sean Kilpatrick, Associated Press

Share10
Tweet
+1
Share10
20 Shares
Categories

+ There are no comments

Add yours