CUPE SECTOR CONFERENCE 2022 – OTTAWA

Highlights

 

  • Indigenous Blanket ceremony

 

  • Safer Spaces Stronger Unions Training

 

  • CUPE Anti-Racism strategy 2021-2027

 

  • Presentation: “Fighting inflation without weakening workers”

Julie Posca, Institute for Socioeconomic Research and Information (IRIS)

 

  • Vigil: “Sisters in Spirit” Oct 4. Held at Parliament Hill honouring the lives of missing and murdered Indigenous women, girls, two spirit, and gender-diverse people. CUPE members from across Canada joined the Families, and other community members in providing support to those who have lost a loved one and to raise awareness of the issue.

 

  • Panel: “CUPE members resist the threat of privatization”

Patrick Hallé                       CUPE 3247 Grievance Officer, Quebec

Sherry Hillier                      National General Vice-President, East region

Thi Vu                                   HEU Communications Officer, British Columbia

 

  • Presentation: “Fighting water and wastewater privatization in your local community”

Tamanna Kohi                   Wellington Water Watchers

 

  • Presentation: “The Light Rails fail: Ottawa LRT debacle and big problems with P3’s”

Joel Harden                        Member of Provincial Parliament, Ottawa-Centre

 

  • Workshop: “Using your power during Elections”

Danika Brisson                   Senior Officer, Union Education

Alejandro Pachon            Senior Officer, Political Action

 

Sector: Municipal

Overview

 

  • 170,000 members representing over 1100 municipal bargaining units across Canada
  • includes workers in water, roads, parks, planning, public health, childcare and more
  • one-third of local government staff work in casual, part-time or auxiliary jobs

 

Issues

 

  • Municipalities are replacing full-time jobs with part-time temporary jobs that lack access to benefits and pensions

 

  • Employers are using the retirement of the Baby-Boomers to reduce the workforce by leaving jobs unfilled or replace good jobs with precarious jobs

 

  • Services such as sanitation, snow removal, water, transportation, and parks maintenance are being contracted out and privatized. (ie. Moncton –Veolia [France] operates their drinking water system, with lots of reports of blue green algae problems and gaps in maintenance)

 

  • Federal Government still encouraging Public Private Partnerships (P3’s) for infrastructure projects via the Canada Infrastructure Bank and the new Canada Growth Fund. Very little funds have actually been spent on replacing the aging infrastructure.  Municipalities need direct low- cost funding which history has shown is the fastest and most cost efficient to build strong, safe, inclusive communities

 

  • Municipalities need a fair share of Provincial and Federal tax revenues to address infrastructure deficit, growing responsibilities and to pay for proper operations and maintenance

 

  • Department core reviews which typically can recommend unnecessary cuts to important services just to save a little money

 

  • Two-tiered contracts that benefit current employees but create imbalanced compensation packages for new workers which is unfair and damages worker solidarity

 

  • Municipal Pension Plans funding investments including the Canada Infrastructure bank that is providing capital towards the privatization of infrastructure jobs (P3’s- Light Rail in Montreal funded by Quebec Pension Plan funds)

 

 

Fighting Inflation without weakening workers – Julie Posca

 

Canadian Labour Overview

 

  • Historically low unemployment rate in Canada (5.4% in August-lowest in 40 years)

 

  • Job vacancies are up due to aging population and retirement

 

  • Wages have increased on average (5%) but not necessarily through bargaining. Many people are changing jobs and giving up benefits for an increase in pay

 

Root causes of Inflation

 

  • Temporary shutdown of workforce puts pressure on supply chain

-Manufacturing and Transportation costs increase

 

  • Weather events caused by climate change have damaged crops

-Price of fruit, vegetables, grains, and other foods rise

 

  • Speculation investment in Housing with very little to no regulation

-Results in the financialization of a basic necessity

 

  • War in Ukraine causing resources to be shuffled based on economic sanctions

-gas/energy costs Up 22% year over year with Russian crude and petroleum ban

-North American oil + gas companies taking advantage of supply/demand curve

-food resources grown in Ukraine cannot be exported globally

 

  • Rise in Corporate Profits (Record 18% in GDP in Q2 of 2022)

-increase in people purchasing their goods and services through large companies and corporations.  Prices of goods increase but their labour costs often remained the same or decreased based on health and safety protocols and simply not replacing the workers when restrictions lifted

-Bank profits increase as interest rates rise making them more profitable while

people struggle to pay off debts

 

Who Fights Inflation?

 

  • Financial/Corporate Sector/Government

-Bank of Canada tasked to contain inflation between 1-3%

-Raise of overnight (policy) rate has a trickle-down effect

-encourages households to spend less with higher rates

 

Results of Inflation

 

  • Loss of Buying Power

-Set income for retiree or welfare recipient (value of accumulated savings decreases)

 

  • Value of Personal Investments and Loans drop

-High cost to borrow diminishes profit margin

 

  • Rising rates can lead to job loss (lay-offs, hiring freeze)

-economic slowdown due to push back on investments

 

  • Interest rate increase creates revenue for the Financial sector

 

  • Government has lower revenue in the event of a recession

-wage freezes, no hiring, budget cuts

 

How to combat Inflation beyond a rate increase

 

  • In order to tolerate higher rates, salaries/wages need to keep pace (BARGAINING)
  • Rental, transit, energy, day-care price freeze/caps to increase buying power elsewhere
  • Windfall profits tax (Canada had during WW2 so that companies wouldn’t profit off war), Annual wealth tax (Spain and Italy have)
  • Government support for domestic agriculture
  • Invest in better public services- transit, healthcare, childcare
  • Density functionality of communities that have a positive effect on the environment
  • Housing units sheltered from speculation (social housing, co-ops, workforce housing)
  • Inflation adjustment benefits (like social assistance) -preserve living standards for all