Provincial budget hurts front-line services as government blames workers

Edmonton – Alberta’s 2015 budget shows that the government has public services in the crosshairs.

The budget, tabled on Thursday, March 26, will eliminate 2,000 public sector jobs – mostly in health care – and will increase fees for services. The government’s budget documents also included promises to undermine public-sector wages. In all, the budget promises to cut $1.9 billion overall from the services Albertans need.

“Prentice is more interested in maintaining low taxes for his corporate buddies than maintaining quality front-line services in health care and education for everyone else,” Alberta Federation of Labour president Gil McGowan said. “This isn't a balanced approach, it isn’t a ‘hold-the-line budget.’ This is a budget that will hurt everyday Albertans, and it doesn’t spread the burden by increasing corporate taxes.”

On the chopping block in the budget are 1,700 health care employees and 244 education employees.

“You can’t cut 1,700 jobs from health care without having an impact on front-line services. Everyone will see fewer public services – especially health care – in the next few years,” McGowan said. “It’s galling to think that they’ve brought back a health care levy while taking an axe to the health care system. Albertans are going to start paying more for their health care, while getting a lot less.”

Despite clear public support for proposed revenue measures the budget did not include any changes to corporate taxes or to royalty rates on the province’s natural resources.

“The government is not listening to its citizens,” McGowan said. “Albertans want to be paid fairly for their resources. They want large and profitable corporations to pay a fair tax rate – something closer to what we had under Lougheed.”

MEDIA CONTACT:

Olav Rokne, Communications Director, Alberta Federation of Labour at 780.218.4351 (cell)
or via e-mail [email protected]

Urgent Action

Sign the Better Way Alberta petition

The Better Way Alberta coalition is urging the government to fix the province’s broken revenue system. And we’re asking you to sign our petition. Join the thousands of Albertans who have already signed, and help be part of the solution.

The Petition

We the undersigned residents of Alberta, petition the Legislative Assembly to ensure there is enough money to pay for necessary public services like education and health care by introducing tax and royalty reforms that include the following measures:

• increasing the tax on corporate profits to a rate that is closer to the national average;
• replacing Alberta’s flat income tax with a progressive tax that requires high-income earners to pay higher tax rates than middle and low-income earners;
• and introducing royalty changes that ensure Albertans receive a fair share from the sale of their resources.
•  

You can sign the petition online at www.BetterWayAlberta.ca or in person at the Alberta Federation of Labour offices (Parkington Plaza, #300, 10408 – 124 Street NW, Edmonton, AB T5N 1R5).

News

Better Way Alberta campaign turns a mirror on Tory mismanagement

Over the next few weeks, voters will be hearing from the Better Way Alberta campaign, showing them that there are sensible, moderate measures that can help ensure the long-term financial stability of the province.

The province-wide campaign will consist of a central website and petition; a radio and online advertising campaign; a direct-mail campaign to every household in Alberta; and a door-to-door campaign in which canvassers will have face-to-face conversations with Albertans about the Better Way Alberta campaign.

 “Who created the current budget mess? It’s time for Premier Prentice and the Tories to look in the mirror,” says Alberta Federation of Labour President Gil McGowan. “We’re not facing a budget crunch because of anything individual Albertans did. The real problem is that successive PC governments have blown holes in the revenue base we need to fund education, health care and other services that Albertans rely on.”

According to the government’s own numbers, Alberta could increase the amount it gets from taxes by $11.6 billion a year and still have the lowest taxes in Canada. Most of that $11.6 billion that is going uncollected by Alberta’s inequitable tax code is being left in the pockets of the province’s richest individuals and most profitable corporations.

“If we’re all in this together, as Premier Prentice says, why should corporations and the wealthy get a free pass?” McGowan said. “And why should ordinary Albertans pay for the mistakes of politicians again?”

The campaign was created by a coalition of the Alberta Federation of Labour, United Nurses of Alberta, the Health Sciences Association of Alberta and the Canadian Union of Public Employees (Alberta Division). Visit www.betterwayalberta.ca for more information about the campaign, or to sign the petition calling on the government to reform its revenue system.

Looming Temporary Foreign Worker deportations highlight inhumanity of program

Thousands of vulnerable Temporary Foreign Workers (TFWs) are facing deportation.

On April 1^st, thousands of work permits will expire, and the workers who hold those permits will be forced to leave. They and their employers were not allowed to renew those work permits because the government tightened the rules on the Temporary Foreign Worker program.

“The Temporary Foreign Worker program needs to be reined in, but without affecting the workers who are already here,” AFL president Gil McGowan said. “There should not be any more TFW permits for low-wage employers, but the workers who are already here should have been allowed to stay.”

There are more than 70,000 Temporary Foreign Workers in Alberta. The province has the highest percentage of its workforce composed of Temporary Foreign Workers of any jurisdiction in the country. In particular, it is in Alberta where low-wage employers have made the most aggressive use of the program in an attempt to drive down wages.

Did you know…

• Even before the price of oil crashed, revenue generated from Alberta’s shrunken taxes on personal income and corporate profits covered only about 40 per cent of the cost of public services, compared to about 60 per cent in other provinces.

• Women working full-time only earned 63 per cent of the annual average salary their male counterparts earned in Alberta.

• Alberta’s spending is $9,786 per person on public services — $434 less than the national average, despite the fact that cost-of-living is higher here.

Events

• March 21:  International Day for the Elimination of Racism

• April 16-19: AFL Convention “Dream No Little Dreams”

• April 28: International Day of Mourning for Workers Injured or Killed on the Job

The Tories have put out numbers claiming that Alberta’s per-capita spending is above the national average – but inflated Alberta’s figures by including $3.55 billion in flood relief funding, and drove down the national average by ignoring standard methods of comparison.

“This goes beyond spin, which we expect from politicians. They have deliberately and deceptively overstated how much Alberta spends on a per-capita basis, and deliberately and deceptively understated how much other provinces spend on a per-capita basis,” Alberta Federation of Labour president Gil McGowan said. “And they’re using these distortions to justify cuts on important public services like health care and education.”

When comparing on a province-to-province level, one should find the provincial per-capita spending levels, add them together, and divide by the number of provinces. The government didn't do that. Instead, it took all provincial spending divided by the population. This method drives down the average because some larger provinces, benefitting from what economists call ‘economies of scale, have lower numbers than Alberta.

“They’re playing games with numbers because to them winning is more important than the truth. But this isn’t a game. Public services, and the quality of life for Albertans, are at stake,” McGowan said. “In any other province, a government that engaged in this kind of blatant and deliberate deception – on top of years of arrogance and incompetence – would fall.”

Up-to-date and accurate figures from RBC Economics show that – when the government isn’t paying for flood recovery – Alberta’s per-capita spending is below the national average. Figures from the 2014-15 budget year show Alberta’s spending is $9,786 per person -- $434 less than the national average.

“They use old data, inflated by flood spending, to support their argument that Alberta overspends. The reality is quite different,” McGowan said. “How to deal with Alberta’s budget crunch is a crucial debate for the province. The public deserves to have that debate informed by accurate, fair, and reliable numbers. Albertans deserve better than Tory distortions.”

AFL Backgrounder: How the Government Fudged Per-Capita Spending Figures

MEDIA CONTACT:

Olav Rokne, Communications Director, Alberta Federation of Labour at 780.218.4351 (cell)
or via e-mail [email protected]

2015 Backgrounder: How the Government Fudged Per-Capita Spending Figures

Backgrounder issued with New Release: Mar 11: Misleading numbers undermine Tory credibility

Cuts would weaken public services and deliver a significant blow to the provincial economy

Edmonton – Proposed nine per cent cuts to government spending will drop Alberta to near the back of the pack among Canadian provinces in terms of per-capita spending on public services.

If the cuts proposed yesterday by Premier Jim Prentice are enacted, Alberta will move down to eighth-place amongst Canada’s ten provinces in terms of per-capita spending on health care, education and other public services. At present, the province is in sixth place.

“Premier Prentice’s plan to lop nine per cent off the province’s spending on public services is wildly irresponsible,” Alberta Federation of Labour president Gil McGowan said. “What the so-called Klein revolution taught us is that deep cuts don’t end recessions, they make them deeper and longer.”

According to figures published by the Royal Bank of Canada, Alberta currently spends about $9,786 per person on public services, slightly less than the average for other provinces. If the proposed cuts are enacted, this would be reduced to $8,905, ahead of only Ontario and Quebec, whose more urbanized populations allow them to deliver services more cheaply.

“Obviously, the declining price of oil is a big concern. But the effect of low-priced oil on the provincial budget has been magnified by irresponsible choices made by successive PC governments. Specifically, things like the flat tax, corporate tax cuts and royalty cuts have blown a hole in the revenue base that we need to fund important public services like education and health care,” McGowan said. “The solution is to fix the holes, not sacrifice the services that our growing population needs.”

The RBC figures also show that no other province spends less on public services as a proportion of its economy than Alberta. In Alberta, the government spends only 11.3 percent of the provincial economy on public services, while the Canadian average is 18.7 percent. The next-lowest spending province is Saskatchewan, where they use 16.1 percent of their economy to fund public services.

“Premier Prentice wants to leave the impression that we have no choice but to cut spending, even on core services like health care and education,” McGowan said. “But the truth is that we have many options. If we collected revenue at a rate that was closer to the national average we’d be able to weather this storm more easily. The Tories themselves admit that we could raise taxes by $11 billion a year and still be the lowest tax jurisdiction in the country. And it’s important to remember that we still have no debt. The point is that cuts are not the only alternative.”

MEDIA CONTACT:

Olav Rokne, Communications Director, Alberta Federation of Labour at 780.218.4351 (cell)
or via e-mail [email protected]

Cuts would weaken public services and deliver a significant blow to the provincial economy

Edmonton – Proposed nine per cent cuts to government spending will drop Alberta to near the back of the pack among Canadian provinces in terms of per-capita spending on public services.

If the cuts proposed yesterday by Premier Jim Prentice are enacted, Alberta will move down to eighth-place amongst Canada’s ten provinces in terms of per-capita spending on health care, education and other public services. At present, the province is in sixth place.

“Premier Prentice’s plan to lop nine per cent off the province’s spending on public services is wildly irresponsible,” Alberta Federation of Labour president Gil McGowan said. “What the so-called Klein revolution taught us is that deep cuts don’t end recessions, they make them deeper and longer.”

According to figures published by the Royal Bank of Canada, Alberta currently spends about $9,786 per person on public services, slightly less than the average for other provinces. If the proposed cuts are enacted, this would be reduced to $8,905, ahead of only Ontario and Quebec, whose more urbanized populations allow them to deliver services more cheaply.

“Obviously, the declining price of oil is a big concern. But the effect of low-priced oil on the provincial budget has been magnified by irresponsible choices made by successive PC governments. Specifically, things like the flat tax, corporate tax cuts and royalty cuts have blown a hole in the revenue base that we need to fund important public services like education and health care,” McGowan said. “The solution is to fix the holes, not sacrifice the services that our growing population needs.”

The RBC figures also show that no other province spends less on public services as a proportion of its economy than Alberta. In Alberta, the government spends only 11.3 percent of the provincial economy on public services, while the Canadian average is 18.7 percent. The next-lowest spending province is Saskatchewan, where they use 16.1 percent of their economy to fund public services.

“Premier Prentice wants to leave the impression that we have no choice but to cut spending, even on core services like health care and education,” McGowan said. “But the truth is that we have many options. If we collected revenue at a rate that was closer to the national average we’d be able to weather this storm more easily. The Tories themselves admit that we could raise taxes by $11 billion a year and still be the lowest tax jurisdiction in the country. And it’s important to remember that we still have no debt. The point is that cuts are not the only alternative.”

MEDIA CONTACT:

Olav Rokne, Communications Director, Alberta Federation of Labour at 780.218.4351 (cell)
or via e-mail [email protected]

Project flagged Alberta’s failing grade on early childhood education

Edmonton – The government’s decision not to continue the Early Childhood Mapping Project will hurt children and families.

Using international standards for establishing Alberta’s early education baseline, the Early Childhood Mapping Project (ECMap) found that 29 per cent of Alberta’s young children experience developmental difficulties. These findings helped forge an emerging national consensus of early childhood learning, education and care.

“The ECMap Project did world-class work on a measly budget of $5-million a year.  The project’s major report was up on the ECMap website for two days, before the government asked that it be taken down,” Alberta Federation of Labour president Gil McGowan said. “Instead of being proud of the good work of this project, and instead of making their report widely available, the Government of Alberta has instead chosen to shut it down.”

The program found that investing in public, non-profit learning and care environments for children under the age of five is essential to ending child poverty. Such programs prepare children for the demands of Grade One, and improve health and social outcomes throughout the children’s lives.

“The decision to axe this program flies in the face of Tory promises to end child poverty in Alberta,” McGowan said. “The Government’s actions show that early childhood education and care aren’t a priority for them.”

The Alberta Federation of Labour is advocating for concrete action to be taken by government on child poverty and on early childhood programs. At the Federation’s convention in 2013, hundreds of delegates unanimously passed motions calling for public child care. Rank-and-file members, elected union representatives and staff have actively lobbied MLAs for more funding of public child care.

“Some MLAs in the PC caucus do seem to understand the need for public investment in early learning and high-quality child care,” McGowan said. “Just last week, Edmonton Southwest MLA Matt Jeneroux had a motion passed in the Legislature that urged the Government to review child care policies to ensure that accessible, high-quality, and affordable child care is available for all Albertans. Unfortunately, the government has not taken concrete action.”

 “This is an issue that matters deeply to our membership. Alberta’s union movement is now 54 per cent women. While this is an issue that affects all workers and their families, it’s an important area of social policy for women workers in particular. The AFL is committed to making sure the government hears the will of our membership loud and clear,” McGowan said.

For more information on the Early Childhood Mapping Project, see:

http://lethbridgeherald.com/commentary/opinions/2014/12/03/funding-cut-a-blow-to-albertas-children/

For the full text of MLA Matt Jeneroux’s motion, see:

http://www.assembly.ab.ca/ISYS/LADDAR_files/docs/houserecords/vp/legislature_28/session_3/20141208_1200_01_vp.pdf

MEDIA CONTACT:

Olav Rokne, Communications Director, Alberta Federation of Labour at 780.218.4351 (cell)
or via e-mail [email protected]

More students, less money is a recipe for trouble

Edmonton –A coalition of school employees is warning Albertans that the quality of our public education system is at risk. Frontline education workers opened the first day of the new legislative session by speaking out on their concerns. Support staff from a number of school board regions including Edmonton Public, Edmonton Catholic and Calgary Public gathered in the legislature to highlight the need for increased funding.

On behalf of their students, a province-wide coalition of staff working in primary education is calling on government to restore 14.5 million that was cut from Alberta’s school budgets. Kids Not Cuts Alberta says ongoing education cuts are undermining the ability of schools to provide safe, productive learning environments for Alberta’s K-12 Students.

“Premier Redford should be paying close attention to what this coalition is saying. These are facility operators, special needs teaching assistants, library technicians, and custodial staff that are at the front lines of making sure our K-12 schools work. They have an insider perspective on what needless cuts to school board budgets do to a student’s ability to learn and excel,” Co-Chair of the 10,000-member coalition Don Boucher said.

The coalition notes that according to the Government’s own calculations student populations are projected to increase in the coming years, but budget cuts mean that schools are getting cleaned less often, that students with special needs are getting less attention, libraries have fewer staff to keep them running, and the lack of support staff means teachers can’t focus on delivering the curriculum.

“Many of us are simply fed up with what we see happening in our schools,” CUPE 30 President Mike Scott said. “It’s a shame that in one of the wealthiest jurisdictions in North America, we can’t seem to make funding our children’s schools a priority. We have 11,000 more students in our system this year alone. The government’s 14.5 million in cuts don’t make sense. We must restore these shameful cuts and ensure adequate funding for next year.”

“The legislature is back in session and planning for Budget 2014 is underway,” Boucher said. “Alberta’s students and parents cannot afford to have a repeat of last year’s budget catastrophe. Parents deserve to know their kids are in a safe, clean environment. Students deserve to have the resources they need to learn.”

Kids Not Cuts Alberta is a group of employees who have taken a stand for Alberta's kids through participation in their unions – the Canadian Union of Public Employees (CUPE) and Unifor. Students, parent groups, our amazing teacher colleagues, as well as everyday Albertans are allies in our coalition.

The Coalition was joined by New Democrat Education critic Deron Bilous. “This PC government can’t be trusted to stand up for kids or our public schools,” said Bilous. “They promised long-term, stable and predictable funding and then broke their promise, instead delivering cutbacks that mean that too many kids are in overcrowded classrooms without the staff supports they need.”

Kids Not Cuts Fact Sheet: Facts on Growing Schools and Decreasing Funding

MEDIA CONTACT:
Olav Rokne, Communications Director, Alberta Federation of Labour at 780.289.6528 (cell) or via e-mail [email protected]

Kids Not Cuts Fact Sheet: Facts on Growing Schools and Decreasing Funding

October 28, 2013

Coalition stands up for the educational needs of our children

On Monday, October 28 the Kids Not Cuts Alberta coalition will hold a press conference in Edmonton. Monday marks the opening of the Alberta Legislature and Kids Not Cuts Alberta will use the occasion to highlight the negative impacts of cuts and to urge provincial politicians of all parties to make improved education funding an immediate priority.

When:                       Monday, October 28, 11:00 a.m.

Where:                     Alberta Legislature Press Room

Who:                          Don Boucher, Kids Not Cuts Alberta Co-Chair

                                    Mike Scott, president CUPE Local 30

                                    Members from the Kids Not Cuts Coalition

MEDIA CONTACT:
Olav Rokne, AFL Communications Director at 780-289-6528 (cell) or via e-mail [email protected].