The decision of Penticton council to legally challenge an arbitrated firefighter agreement leaves many in this community shaking their heads. Why did they take this step?
According to MacLean’s April 2013; there is an unprecedented shift in who earns the most money in Canada. Where the average income is $38,000, a $100,000 income puts you in the richest six per cent of the population.
Generous public wages and pensions are blowing holes in government budgets, while many private sector retirees are facing bleak financial futures.
According to Fair Pension For All; Springhill, NS was forced to dissolve as a town directly as an impact of its employee pension costs. Regina has a $1 billion shortfall. Guelph pays 80 per cent of its property tax revenues to its staff of 2,063. (2014)
Montreal has seen its pension costs explode from $130 million a decade ago to over $600 million annually now. Half a billion dollars of taxpayers’ money not going to roads; sewers or investing in the city’s future.
The arbitrator awarded Penticton firefighters a 16 per cent wage hike resulting in almost $2-million in back pay. Their current contract is being negotiated and taxpayers are likely to receive another million dollar hit when that is settled.
It is not clear that council understands the public service wage and pension issue: Their case against the firefighters rested on Penticton’s currently bad economic outlook; which reasoning the judge flatly rejected. Their decision-making on how to address the issue was shortsighted; ill-advised and unprepared.
This is a UBCM issue. It needs to be addressed at the yearly provincial conference. Penticton should have sought support from member communities in order to bring a sustained effort forward at the next UBCM. There is only one taxpayer and smaller communities will be the first to face hardship as the civil service wage and pension tiger beggars services to feed its needs.
Anyone running for council in 2018 should be thinking about the many problems facing our city and preparing plans to resolve them.
It is not good enough to jump on the bandwagon with no clear direction: Or support firefighters because it is popular and will get you votes: Or sue everyone; even when you can’t win. It resolves nothing. And once again Penticton becomes the laughingstock of B.C.
Elvena Slump
Penticton