February
23, 2008
Stagnant
Wages
The
February 2008 edition of Statistics Canada's Perspectives
on Labour and Income contains an article titled "Earnings
in the last decade". It analyses average hourly earnings
between 1997 and 2007. The results are not what the Campbell
government usually spins. The Statistics Canada study found
that in constant 2002 dollars the national increase in real
wages was 6% over the decade, but it was only 3% in BC. What
is more shocking is the study's finding that the average real
wage of managers in BC increased by 15% over the decade while
the real wages of other workers showed virtually no change.
When
the study looked at low wage employment it found that: "Not
all provinces have been equally able to reduce the incidence
of low-paid employment. Between 1997 and 2007, the proportion
of jobs paying less than $10 per hour fell markedly in all
provinces except Newfoundland and Labrador, Ontario and British
Columbia. In manufacturing, the proportion of low-paid jobs
dropped everywhere except Ontario and British Columbia."
When the Campbell government is confronted with statistics
on the number of British Columbians earning less than $10
per hour, they go into denial and cite anecdotal reports of
higher wages paid to unskilled workers. According to Statistic
Canada's report, looking at the period January to November
2007, 16.3% of BC jobs paid less than $10 per hour (in 2002
dollars), down only slightly from 17.1% in 1997.
The Campbell
government usually responds to statistics on poverty by saying
that they are out of date, because most such statistics are
based on income tax returns; taxes aren't filed until the
end of April for the previous calendar year, and it then takes
many more months before statistics are made available. By
contrast, the Labour Force Survey data used by Statistics
Canada for its Earnings Report are current. This data reveals
tens of thousands of British Columbians haven't enjoyed the
benefits of BC's economic boom.
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