When times were good, the Liberal government argued there was no point raising the minimum wage. Now that the economy's tanking, Premier Gordon Campbell promised to keep B.C.'s lowest paid workers at $8 an hour.
Back in 2007, as the NDP and the B.C. Federation of Labour campaigned to raise the minimum wage to $10 an hour, the Tyee reported then labour minister Olga Illich said very few employees actually receive the minimum.
“It needs to be balanced with what we feel will help in the economy," she said at the time. "We don't want to see people exploited, but when we see what we have in the job market and the economy, we think we're doing quite well."
At the time Carole James asked, “If you don't do it now when the economy is strong . . . then when do you increase it? It's common sense that when our economy's strong you look at an increase in the minimum wage."
Fast forward to today's throne speech, which pledged to keep the minimum wage at $8 an hour. “Now is not the time to impose hundreds of millions in new costs on small businesses through an increased minimum wage that will mean more job losses, will depress job creation and will hurt those it purports to help.”
So, if it can't be done when times are good, and it can't be done when times are bad, when is a good time?
“We can't in this particular time add costs, government can't impose costs, on businesses,” said Campbell in a scrum with reporters in his office. “What we know across the board is that would cost over $400 million to small businesses in the province. We're saying clearly that's not a strategy we will pursue as a government.”
The government wants to make sure wages go up, he said. “Wages [on average] for young people are substantially higher than the minimum wage.” The province's record on job creation and youth employment shows it's the right strategy, he said.
“During the good times its not a good time to raise the minimum wage because we don't need it,” said NDP leader Carole James responding to the throne speech today. “During the tough times we shouldn't increase it? It's pretty clear this Premier doesn't believe that minimum wage workers deserve anything. Well, I do.”
"It's an ideological play," said BCFED president Jim Sinclair. "This is about keeping the bottom down."
Only PEI and New Brunswick now have lower minimum wages than B.C., he said. "Even Alberta's ahead of us now . . . That's what happens when you freeze it for eight years."
As it happens, raising the minimum wage is the exact opposite of lowering taxes. Campbell has presented reducing taxes as a strategy in both good times and bad.
Andrew MacLeod is The Tyee’s Legislative Bureau Chief in Victoria. Reach him here.
Weasel Words
But sure as shootin' can impose costs on average citizens......this premier is very good at weasel words.
How about (regarding the 'carbon' tax): “We can't in this particular time add costs, government can't impose costs....."?
An increase in the minimum wage is no different than (say) an increase in any cost of doing business -- it either gets absorbed by the business or it gets passed on to the consumer, or both.
Quote: "So, if it can't be
Quote:
"So, if it can't be done when times are good, and it can't be done when times are bad, when is a good time?"
For this government there is no good time to increase the minimum wage. However any time is a good time to give raises to themselves.
read....
we won't do it during good times and we won't do it during bad times. Why should we do it at all? Let's keep those lowly peasants where they deserve to be.
Seems to me that a person
Seems to me that a person making 8 or 9 bucks and hour will have a hard time paying for gas to get back and forth to work. Especially in Victoria where it's 99.9 a litre and has been for the last week. But that's just one of many costs for low paid workers. Frills like milk has risen, and so is bread. Groceries are needed by everyone. No wonder the food banks keep needing money to fed those who don't make enouigh to live on. Highest rate of chidlren in poverty but that doesn't bother Gordo on elittle bit.
DPL
SRFL:
I guess they must think they are "the brightest and the best"..........
Massacre at Glencoe
The government wants to make sure wages go up, he said. “Wages [on average] for young people are substantially higher than the minimum wage.”
Well, that's an interesting, if technically bogus "average". According to the CCPA, in 2005, 44% of young people were paid less than $8 an hour. They didn't say how many were paid more than $8 an hour, but I'm willing to bet it wasn't anywhere close to 56%....
http://www.policyalternatives.ca/documents/BC_Office_Pubs/bc_2005/child_youth_summary.pdf
Must be hard for the preem, living as he is in a world of MacDonalds, and only a few months left to wipe 'em all out...
The CCPA, "didn't say how
The CCPA, "didn't say how many were paid more". Well Zalm they wouldn't would they? That's not what they do. Their Mission Statement is just like the NDP, to oppose.
Anyway, Stats Canada tells us that consumer prices rose 1.2% in the 12 months to December 2008. There's no inflation. Why raise wages? The poor or the young with no savings are not affected by the stock market crash, it's the middle and upper classes that have been affected. That's where the relief is needed.
Don't forget that it was an independent group that recommended the raises to match industry rates and NDP took the raises too.
Naw, yer all wrong. $8.00
Naw, yer all wrong. $8.00 per hour is fantastic. It such a good deal for all concerned that the government should have every persons wage/salary chopped to that hourly rate. Business will flourish, every person would have a job, food prices will drop as would housing; it's a win-win for society in general. Why, there will so many jobs that'll people will have the opportunity of having 2 jobs if they wish. Taxes will drop which will suit this government just fine cuz they don't like 'big Government' anyway, which will give them the excuse to cut and slash on every Government program. All those corporate welfare bums will be out on their ear; they'll leave the province to some other jurisdiction to suck on that Government's tit.
Its the Greed Factor
As no company could survive unless it can make a profit why should someone be forced to work in slavery as if you can't make a living wage that is exactly what it is, Slavery.
1. Minimum wage was to be a livable wage when it was created, contrary to what is being said. If it wasn't as some conspiracy theorists suggest, it wouldn't have been continuously raised to keep pace with inflation. The reason it no longer is because it has failed to keep up with inflation as governments have failed to respond to the need to increase wage in order for it to be livable. Hence forth great disparity.
2. Historically, increases in minimum wage have NOT led to any abnormal inflation at all. Turns out, perfect, or near perfect competition in almost all industries, especially the service industry, forces retailers to cut other costs, or shrink their profit margin before raising prices.
And Lets not forget BC Government and Big Business has just been raking in the doe rae me and that rights nothing for thee as its the Greed Factor as these guys just got have it all.
And of course government has no problem putting a carbon tax on top of the cost of doing business along with increased real estate prices jacking up the cost of doing business so the little guy is the one to pay dearly as they are in the impossible position of being forced to labor while being forced to search out food banks.
Useless statistics
Those inflation figures are bogus - the CPI basket, especially for people in cities like Vancouver with high real estate and shelter costs, is next to useless.
The CPI weights major components in percentages as follows:
Shelter - 27.9%;
Food - 18%;
Alcoholic beverages and tobacco - 4.5%
Recreation, education and reading - 10.4%;
Health and personal care - 4.3%;
Transportation - 18.3%;
Clothing and footwear - 6.6%;
Household operations and furnishings - 10%.
We already know that a family with an average income would need to spend about 70% of it to purchase and pay for decent owned housing alone. The suggestion that the CPI really means anything and does more than provide work for numbercrunchers is quite silly.
There are, beieve it or not, dozens of studies from groups like the Fraser Institute which try to make the argument that the 'standard' basket actually overstates the effects of inflation to the detriment of their 'business' partners.
But why would THAT be surprising.
R'man
1.2% is "no inflation"? How about September? Is 3.4% also "no inflation"? And there's been "no inflation" since 2001 when the last minimum wage increase was "granted"?
Tell that to Translink, which has increased fares by 46% in the intervening years. I'm not sure how you think the minimum wage earners should be able to get to work in the $6-an-hour coffee shop you buy your latte in.
You can hold any opinion of the CCPA you want (after all, I hold some pretty disparaging opinions of the Fraser Institution for the Economically Insane, whose policies are exactly the same - to oppose) but if you're not exactly connected to reality, then there's nothing to talk about.
I'm disappointed in you. You can usually manage to put something together that's logical, but this is just a rant against those who support the least able in society, and not like you.
And I beg to differ with you. The middle class need no more or less help than anyone else. For the most part, they've already got theirs. There are other sources of unearned wealth to look at before we 'bind the mouths of the kine that tread the grain'. ..
An Interesting Test for the Carbon Tax Supporters
Several economists, both in academia and elsewhere, who celebrated Premier Gordon M. Campbell's carbon tax have also supported increases to the minimum wage to $10 and beyond. They were advocating those minimum wage increases two years ago:
http://www.policyalternatives.ca/documents/National_Office_Pubs/2007/minimum_wage_above_poverty_line.pdf
It will be an interesting test of what these economists think is the more important policy, raising the incomes of the low paid, or supporting a very marginal attempt to price carbon via consumer taxation, rather than taxing primary producers as in Scandanavia.
Your Right On G. West
Those stats are as bogus as the lot of them and it only confirms the Tories are up to their necks in it like the BC Liberals and an election no doubt is forth coming for the feds as we send the Liberals packing in just a few short months. As although the economy is expected to go down I got a feeling morale is going to go up considerably once the Liberals are out of here and often thats all its takes is a change for the better where citizens become the governments priority rather than a buncy CEO's. As much as all that crying about how the NDP would hurt the economy well take a second look because with the Liberals management of this province gives BC a failing grade no matter what article you pick up saying we are number one. We are number one when its come to having the worst crime scene in the world and the worst treatment of our children and the highest cost of living hardly bragging rights.