The Member of Parliament for Windsor West has signed on to a motion calling for a House committee to look into the use of artificial intelligence (AI) in raising and price-fixing rents.
Brian Masse joined several NDP colleagues in supporting the motion before the House Committee on Human Resources. It was tabled by British Columbia MP Bonita Zarrillo.
"New Democrats are focused on protecting Canadians from rent gouging," said Masse. "That’s why we want to hold these corporate landlords accountable and stop practices that are hurting Canadians."
Masse, along with Quebec MP Alexander Boulerice, sent a letter last month to the Competition Commissioner of Canada. It asked the Competition Bureau to investigate the YieldStar software used by Dream Unlimited, one of Canada's largest corporate landlords.
"Canadians deserve answers to how the use of algorithmic pricing tool is contributing to rent increases and how pervasive this practice is across the Canadian rental market," the letter wrote. "While families are increasingly making hard choices about paying rent or keeping food on the table, corporate landlords have been contributing to rising rents in Canada by buying up previously affordable apartments and jacking up rents to increase profits for investors. Allegations of price-fixing by corporate landlords in the rental market are deeply troubling."
In August, the U.S. Department of Justice filed a civil antitrust lawsuit against RealPage Inc. for using a similar program to set rent rates.
Dream Unlimited recently admitted using the software to calculate residential rent. An investigative report by The Breach found that the software is commonly used by as many as 13 companies in Canada, with more than $5 billion in revenue.
Responding to the letter sent by Masse and Boulerice, the Competition Bureau said it takes all complaints about anti-competitive behaviour seriously. While the bureau conducts any investigation confidentially, it has promised to take action if needed.
