Simple Tax Fix Could Help Rescue Canada’s Ailing Newspaper Industry, Says Union Head

90 percent of the $5.6 billion spent by Canadian companies on digital ads went to foreign web platforms

Postmedia newspapers on display during the company's annual general meeting in Toronto on January 12, 2017. With the closure of more Postmedia papers announced last week, a union leader says updating an interpretation of a 1996 federal tax law could help struggling Canadian media outlets. The Canadian Press/Nathan Denette

With advertising dollars once spent in local newspapers being gobbled up by foreign tech giants Google and Facebook, the head of one of Canada’s largest unions says a change to federal income tax laws could be key in saving local newspapers.

Paul Morse, president of Unifor, the union that represents 2,000 media workers in Ontario, says the government could make simple policy changes that would help the media industry’s finances to the tune of millions.