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November 18, 2005

MLA Oink, Oink!

Did Gordon Campbell discover a way to deal with an effective Opposition by buying it off and discrediting it, or did Carole James discover a way to set 15% as the minimum for 200,000 public sector workers entering into collective bargaining? At first blush one might think that Campbell got a good buy for his money; the destruction of the Opposition's credibility for a few million, but we'll have to wait and see the consequences of the rush to the trough as a precedent for public sector bargaining. The increase that MLAs gave themselves on their base pay ($11,180), is almost twice as much as a single person on welfare is given to live on for an entire year. The MLAs tried to fudge the increase by claiming that an employer contribution of $6,800 per year to an RRSP is part of their base pay; they then turned around and voted themselves a gold plated pension plan. Out of almost 3 million tax returns for BC in 2002, only 470,330 (16%) showed deductions for registered pension plans, and only 776,400 (27%) showed RRSP deductions. MLAs shouldn't feel too hard done by because they "only got $6,800" as an employer paid RRSP contribution.

Anyone who watched the performance in BC's legislature for about 45 minutes following question period must be more disillusioned and disgusted than ever before. It took less than an hour for a bill that re-instated gold plated MLA pensions and pay increases, ranging from 15% to almost 50%, to be rushed through all stages of "debate". Given the contempt for the public displayed in the orgy of diving into the pig trough, it's amazing that both sides of the House didn't rush the Lieutenant Governor into the chamber to proclaim the Act.

It is not as if BC MLAs were hard done by. The base pay was $75,400 plus extras for various specific offices plus benefits to die for. On top of that, the employer paid RRSP contribution was more than most British Columbians could make if their lives depended on it - $6,800. The new base pay of $86,580 is the starting point before bonuses such as an additional $57,740 for being Premier or $44,740 for being Leader of the Opposition; lesser lights such as the caucus chairs receive an extra $23,948.

The biggest pig-out is the instant awarding of a defined benefit pension plan retroactive to all MLAs with previous service. The new pension will give MLAs 65% of their best 3 year average salary if they have 12 years of service, collectable at age 55. In the best public service defined benefit plans, pensions accrue at 2% for each year of service. It would take over 32 years for most public employees to come anywhere close to what MLAs gave themselves retroactively for one third as much service. It is as if Gordon Campbell, Mike de Jong, Mike Farnworth, Jenny Kwan and others who will have 12 years of service by the time of the next election on May 12, 2009, suddenly won the lottery; however, they not only picked their lottery ticket but they also selected the winning numbers! It is disgusting.

Just so there was no misunderstanding, "division" was called for the vote on Bill 17 (2005), in other words, a recorded vote. It passed with not a single opposing vote. There is a very good reason why people shift from support of political parties to support of advocacy groups. On November 17th, both the Campbell Liberals and the James New Democrats sent a message that reinforces that cynicism with politics.

 

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© 2005 David D. Schreck. All Rights Reserved.