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FEDERAL GOVERNMENT TO CHANGE AD PRACTICES

The Government of Canada announced changes to the way it manages its advertising activities yesterday. The announcement was made by Ralph Goodale, Minister of Public Works and Government Services and the minister responsible for Communication Canada. The government will establish an 80% Canadian content requirement for its suppliers, meaning 80% of the goods and services provided by a supplier must by Canadian. Also, the number of suppliers will be increased and the government will seek to use labour-based hourly remuneration instead of commission-based remuneration. An annual report on the government's advertising activities will be issued and the new system will undergo an audit in 2005. The changes will be phased in over the next year to 18 months.

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