April
28, 2004
Health
and the Working Poor
The working
poor die sooner and have a higher incidence of virtually
every disease compared to middle and upper income families.
The Campbell government will turn more hospital workers into
the working poor.
There
is something profane about paying for high income tax cuts
by reducing wages for cooks and cleaners to $10 an hour. At
$10 an hour, under $20,000 per year, a worker needs to visit
the food bank. Food banks report that a substantial number
of their clients are the working poor. Campbell MLAs make
$68,500 per year plus bonuses of as much as $9,000 per year
for serving in various positions such as caucus chair or whip;
cabinet ministers get an extra $39,000 on top of their MLA
pay. Maybe they would have more empathy for the working poor
if their perks and salary were closer to the people who elect
them.
The Campbell
government constantly complains about hospital cleaners and
kitchen staff being paid more than their counterparts in other
provinces and in the private sector. The contracting out that
has already occurred shows that they are prepared to drive
wages far below the national average for comparable work.
It isn't a question of what constitutes a fair wage, but rather
a question of how low can the wages be driven. The Health
Employers' Association website
shows that a cleaner makes $2,949 per month, $35,388 per year.
The reason wages rose so that hospitals didn't depend on the
working poor is because of years of low wage redress and pay
equity. Part of having a healthy society is seeing that
families have living wages. What happens to a family when
its income is cut from $35,000 to less than $20,000? The Campbell
government isn't talking about whether wages should be frozen,
or even slightly reduced. It is using contracting out to replace
decent union jobs with a system that depends on exploiting
the working poor.
The Romanow
Commission did not object to contracting out for various support
services. It said:
"An
increasing proportion of ancillary services provided in
Canada's not-for-profit hospitals are now contracted out
to for profit corporations. Canadians seem to find this
role for private sector companies acceptable and some studies
suggest that these enterprises achieve economies of scale
(McFarlane and Prado 2002). Ancillary services are relatively
easy to judge in terms of quality - the laundry is either
clean or it is not, the cafeteria food is either good or
it is not. Consequently, it is relatively easy to judge
whether the company is providing the service as promised.
Also, there is a greater likelihood that there are competitors
in the same business to whom hospitals can turn for laundry
or food services if their current contractor is unsatisfactory."
The struggle
to maintain living wages should not be confused with a debate
over private vs. public provision of what are usually publicly
insured health services. The benefits of adequate wages shouldn't
be limited to hospital workers. Thousands of workers in private
companies could benefit from unionization. The Campbell government
anticipated that with its initial union busting legislation.
Bill 29 (2001) provides that "A provision in a collective
agreement requiring an employer to consult with a trade union
prior to contracting outside of the collective agreement for
the provision of non-clinical services is void," and
"A collective agreement does not bind, and section 35
of the Code does not apply to, a person who contracts with
a health sector employer." Section
35 of the Labour Relations Code specifies successor rights
and obligations. By eliminating that section of the Code for
health sector employers, any attempt to organize a contracted
cleaner, food service or laundry is easily defeated. Even
that wasn't enough for some contractors who quickly entered
into sweetheart deals with a local of the IWA that was willing
to help contractors keep wages low; the contract between Aramark
and IWA Local 1-3567 provides for wages of $10.25 per hour.
That way the contractors don't have to break the union since
for all practical purposes they own one.
Also see
http://policyalternatives.ca/bc/pay-equity.pdf
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