hotlinearticleheader1

Hotline Summer 2010

Viewpoint from your Business Manager Doug McKay

RickDoug1109

The late Brother Rick Dowling, International Executive Council Member of the IBEW and long time Business Manager of Local 213, shown above on the right, was a speaker at Local 258’s Activists Seminar last November. He passed away suddenly in May and will be missed.

 

We received the news on Monday, May 31, 2010, that long time IBEW member and Business Manager of Local 213, Brother Rick Dowling, had suddenly passed away that morning. As we gathered in the union office to share our shock and grief, I was again reminded of how quickly someone can be taken from their family, their colleagues and the community.

Brother Dowling was a great trade unionist and a respected and trusted member of the labour family in British Columbia. His warm smile and easy manner complemented his toughness when it came to standing up for workers. He was a loyal, reliable and hardworking Scottish gentleman who will be missed by all of us in the trade union movement.

Through the Public Sector Employers Council, the Provincial government imposed a two-year wage freeze on all 250,000 public sector employees. Those affected, including Local 258 members working at BC Hydro, will see a roll back in their real wages over the next two years, as inflation outpaces stagnant incomes.

In early April, IBEW Local 258 signed a rollover agreement with BC Hydro. Local 258 is the latest union to either roll-over an existing agreement, or negotiate a “net-zero” renewal agreement with a public sector employer. A rollover means the existing collective agreement remains in force — i.e. all wages and benefits are in the deep freeze until 2012. “Net-zero” means that some actual bargaining took place between the parties, but with no overall cost to the employer. For example, the government might give a wage increase under “net-zero” negotiations but only if the cost could be funded through claw backs in other parts of the collective agreement.

The government says MLA’s are subject to a similar wage freeze for the next two years. This is a bogus comparison since those same MLA’s saw their salaries balloon by a heart-stopping 34% in 2007, jumping from $76,100 to $101,859 overnight. After that massive hand-out, who wouldn’t agree to a wage freeze.

But the bad news for the public, including pubic sector workers, just keeps coming. The HST is looming and there are recent hikes to ferry rates, camping fees and BC Hydro just raised its rates by 9%. I believe Local 258’s membership would support a hydro rate increase if the money were earmarked for infrastructure, the creation of home grown green technologies, or to improve the quality of service to rate payers. But it’s not. Nor will the 9% be used to off-set the impact of inflation on workers’ wages.

The 9% rate increase is undoubtedly destined for the public treasury. Over the years, billions of dollars from BC Hydro and ICBC are quietly siphoned off to the public purse. These crown corporations are supposed to operate at arm’s length from the government, but in practice these entities are annually required to cut the government a whopping 50%+ dividend from their net profits. BC Hydro and ICBC are effectively large cookie jars that are regularly hi-jacked to bolster sagging government revenues.

In reality the 9% rate hike at BC Hydro will just become a transfer payment from BC Hydro to the public treasury, and it is from that purse that those lucrative MLA pay increases will be paid. Moreover, the recent increase in the number of MLA’s (79 to 87) means their overall base salary cost grew from $6 million in 2007 to $8.9 million in 2009. Combined with the actual salary raises, that’s an overall base salary increase of 48%.

Whenever Finance Minister Colin Hansen speaks, all I can hear is self-serving, self-preserving, double talk.

There is no integrity.

Copyright © 2011. All Rights