OFL President Sid Ryan asks: “Is Finance Minister Dwight Duncan asking low - and modest-income Ontarians to subsidize corporate coffers?"
(TORONTO) -- Ontario Federation of Labour president Sid Ryan has concerns that Finance Minister Dwight Duncan’s plan to freeze public sector wages is more about asking low- and modest-income Ontarians to subsidize the corporate bottom line than it is about improving the economy or protecting public services. Ryan made these remarks after participating in a meeting with Minister Duncan and Ontario labour leaders to discuss the government’s plan to balance the provincial budget.
“Today, Ontario labour leaders asked Minister Duncan to elaborate on his plan. Is it fair to all people? Will it safeguard our public services? Will it actually grow Ontario’s economy?” Ryan asked. “Unfortunately, we’re not convinced the plan meets any of these basic criteria.”
“How can Minister Duncan square the circle of giving a corporate tax cut that will equal $4.6 billion and then telling workers to accept less pay?” asked Fred Hahn, president of the Canadian Union of Public Employees-Ontario.
Ryan noted that Minister Duncan’s proposal for wage restraint very clearly included the for-profit sector. “When we asked Minister Duncan how increasing the profit margin of a private, for-profit company at the expense of its employees would benefit the public purse, he had no answer,” said Ryan.
Ryan questioned the effectiveness of the Minister’s strategy. “Public sector workers stimulate the economy. They spend every disposable penny that they’ve got in their local community. Why would the government reduce this stimulus and put a break on economic growth?” Ryan asked.
“Lower wages means lower tax revenue for government. This fact, combined with the more than $4 billion tax give-away to corporations, makes us very concerned that Ontario may well be compromising its fiscal capacity to protect public services—and slowing down the pace of deficit reduction,” said Ryan.
“At today’s meeting, Minister Duncan asserted the government intends to respect its legal obligation to collectively and freely bargain,” said Ryan. “But statements we heard today suggest that key aspects of these legal rights may be compromised. I want the Minister to understand that free collective bargaining includes all current contract negotiations as well as current and pending arbitrations.”
“Just because [Minister Duncan] wants something,” said Warren (Smokey) Thomas, president of the Ontario Public Service Employees Union, “doesn’t mean he’s going to get it. It’s not a social contract. He can propose [a wage freeze] but he has to bargain it.”
“Minister Duncan says he is committed to dialogue and discussion,” said Ryan. “So we do expect answers to the questions we raised today. And we sincerely hope that he demonstrates a bigger and better vision for Ontario than that of reducing living standards, squandering tax revenue and threatening the long-term health of Ontario’s public services and communities.”
cope343
“Today, Ontario labour leaders asked Minister Duncan to elaborate on his plan. Is it fair to all people? Will it safeguard our public services? Will it actually grow Ontario’s economy?” Ryan asked. “Unfortunately, we’re not convinced the plan meets any of these basic criteria.”
“How can Minister Duncan square the circle of giving a corporate tax cut that will equal $4.6 billion and then telling workers to accept less pay?” asked Fred Hahn, president of the Canadian Union of Public Employees-Ontario.
Ryan noted that Minister Duncan’s proposal for wage restraint very clearly included the for-profit sector. “When we asked Minister Duncan how increasing the profit margin of a private, for-profit company at the expense of its employees would benefit the public purse, he had no answer,” said Ryan.
Ryan questioned the effectiveness of the Minister’s strategy. “Public sector workers stimulate the economy. They spend every disposable penny that they’ve got in their local community. Why would the government reduce this stimulus and put a break on economic growth?” Ryan asked.
“Lower wages means lower tax revenue for government. This fact, combined with the more than $4 billion tax give-away to corporations, makes us very concerned that Ontario may well be compromising its fiscal capacity to protect public services—and slowing down the pace of deficit reduction,” said Ryan.
“At today’s meeting, Minister Duncan asserted the government intends to respect its legal obligation to collectively and freely bargain,” said Ryan. “But statements we heard today suggest that key aspects of these legal rights may be compromised. I want the Minister to understand that free collective bargaining includes all current contract negotiations as well as current and pending arbitrations.”
“Just because [Minister Duncan] wants something,” said Warren (Smokey) Thomas, president of the Ontario Public Service Employees Union, “doesn’t mean he’s going to get it. It’s not a social contract. He can propose [a wage freeze] but he has to bargain it.”
“Minister Duncan says he is committed to dialogue and discussion,” said Ryan. “So we do expect answers to the questions we raised today. And we sincerely hope that he demonstrates a bigger and better vision for Ontario than that of reducing living standards, squandering tax revenue and threatening the long-term health of Ontario’s public services and communities.”
For More Information:
Patrick (Sid) Ryan, President
p: 416.441.2731 | m: 416.209.0066 | f: 416.441.0722
Toll-free: 1-800-668-9138
Pam Frache
OFL Communications, p: 416.578.3472 (mobile)
cope343
View a printable version of this item
Email this item to yourself or a colleague
