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July 15, 2013 - No. 85

Public Right Yes! Monopoly Right No!

Redford Government Assaults
Health Care Workers' Rights Again




Public Right Yes! Monopoly Right No!
Redford Government Assaults Health Care Workers' Rights Again
Home Care Workers and Recipients Say No to Private Profiteers - Rita Soto
The Contribution Home Care Workers and Patients Make - Peggy Morton

Defend the Rights of Workers! Uphold the Rights of All!
Correctional Officers Fired in a Flagrant Abuse of Governmental Power
- Peggy Askin


Stop Paying the Rich!
Energy Monopoly Profits in 2012 Second Only to Banks




Public Right Yes! Monopoly Right No!

Redford Government Assaults
Health Care Workers' Rights Again

Hours after the Alberta Union of Provincial Employees (AUPE) served strike notice on the private U.S. monopoly Extendicare Canada Inc. on July 5, Human Services Minister Dave Hancock established a Disputes Inquiry Board (DIB). It is illegal to take strike action while a DIB is in place. There is no similar ban on the employer using this window to recruit scab replacement workers or take other actions in preparation for a strike. Once a DIB has been appointed, both parties are required to participate in mediation.

The authority to use this power is entirely arbitrary and at the discretion of the minister. The minister can also arbitrarily extend the period in which a strike or lockout is illegal. It can be used to delay a strike if this is in the employer's interest. It can buy time for an employer to advertise for scab labour. If an agreement is not reached during the 45 days, the DIB recommends a settlement and can require a vote on its recommendation.

Extendicare has refused to agree to wages on par with workers in public long-term care facilities employed by Alberta Health Services. It has also demanded concessions from the workers including cuts to sick time and statutory holidays, refused to bargain in good faith and cancelled mediation. The workers overwhelmingly said No! to this attack on their rights. One thousand two hundred workers including licensed practical nurses, nursing aides and support staff work at the eight Extendicare facilities across Alberta where strike votes were held. Workers voted resoundingly for strike action, with votes ranging from 93 to 100 per cent in favour.

"I am deeply concerned that a labour disruption would affect health and safety of the residents of these facilities. Their well-being is our primary concern," Minister Hancock said. To divert attention from the reality that the private interests of Extendicare are found right inside the government, Hancock feigns concern for the fate of the approximately 130 residents saying, "This process gives the parties an additional opportunity to clarify the issues and find an agreeable solution before the dispute escalates, while still maintaining the necessary services for residents."

This claim of concern for the residents rings hollow in the face of the government's plan to eliminate 1,659 long term care beds over the next five years. A government concerned with the well-being of seniors needing care would be building public facilities, not closing them. It would stop handing over public funds and facilities to private interests interested only in growing their capital. It would at least require the owners to pay their staff according to the industry standard or lose their funding. It would stop paying the rich at the expense of the residents and the workers who care for them.

Extendicare is one of North America's largest long-term care providers with 243 senior care centres and capacity for approximately 26,700 residents. It is the second largest monopoly operating nursing home beds in Canada, with 85 senior care facilities in Canada. It is also a major provider of home care in Canada through its ParaMed Home Health Care division. As well, it contracts out to other private companies for purchasing, management and consulting services. In 2012, Extendicare had total revenue of $2.04 billion and net operating income or declared profit of $257 million. Extendicare reports that its profits increased in Canada in 2012 but decreased in the U.S. as the Medicare rate was cut.

This monopoly was permitted to charge seniors an additional five per cent in 2012, and is trying to wrest concessions from its workers to further line its pockets. Opening its secret financial accounts to the public would provide valuable information so that the workers and their allies could deepen the discussion on the negative consequences of care for seniors as a source of private gain as opposed to having all value created by workers poured back into the sector.

Do the shareholders of this monopoly play any part in adding value to the Canadian socialized economy or do they play a parasitic role? They are certainly not the ones who day after day struggle to provide quality care to the residents and look after their needs. Instead, these private interests siphon off funds that are needed and should be used to improve care for residents and bring up to Canadian standards the wages, benefits and working conditions of the workers who provide the care.

TML denounces this latest attack on the right of workers to decide on and fight for wages, benefits and working conditions acceptable to themselves. The dedicated health care workers have a right to wages and working conditions commensurate with the important work they do and the value they create. The right of workers to organize a collective fight for better conditions must be recognized and provided with a guarantee, not attacked by a government serving private monopoly interests.

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Home Care Workers and Recipients
Say No to Private Profiteers


Action at Legislature, July 3, 2013.

Home care workers and the communities they serve continue to organize to demand that the Redford government reverse its decision to consolidate all home care delivery in the hands of a few large private monopolies.

Home care workers and families who receive home care services from Strathcona County gathered at the Legislature on July 3. They demanded that the government cancel its decision to hand over home care in Strathcona County to We Care, a corporation organized for private gain not to serve the home care sector. Strathcona County Family and Community Services (SCFCS) have been providing home care in the county for years without parasitical claims for private gain on the sector's value. The workers and families delivered letters to Premier Alison Redford and Health Minister Fred Horne calling on him to reverse this retrogressive decision.

"The loss of these valuable home-care providers is a serious blow for seniors who are trying to maintain their independence and remain in their own homes as long as possible," said Noel Somerville, chairman of the seniors' task force for the advocacy group Public Interest Alberta (PIA). "We urge minister Horne to intervene and bring an end to this foolish experiment. The bottom line is that it has to be safe and reliable care, not corporate profit."

Friends of Medicare (FOM) points out that the contracts for home care have been handed out without any public procurement process. "The government is using our public health dollars to conduct backroom deals with companies which do not have to provide the public with any measurable outcomes when it comes to the services they deliver," FOM Executive Director Sandra Azocar stated.

FOM said it has been advised that recipients of home care services are already being moved to private agencies, which have been awarded contracts. In some cases, these contracts are still under negotiation and have yet to be formalized. "People's lives, continuity of care, and workers' livelihoods are being impacted, and no one knows how these contracts will look like at the end of the day. Nor do we know which agencies, with the exceptions of CBI Health and Bayshore, have been awarded contracts and how many more of our public health dollars will go towards profits for these private corporations," said Azocar. "When profit is the main driving force behind an integral part of our health care system, the negative impacts are on recipients of home care, their already-stretched families, and the workers who are providing the front line services," she added.

Thirteen member organizations of the PIA Seniors' Task Force have developed a detailed set of recommendations on home care that they are calling on the provincial government to adopt. The position paper is available on PIA's website. Members of the task force include seniors' organizations, health care advocacy groups and unions representing health care workers.

The private monopolies invading the home care sector contribute nothing to building and improving its quality. Their main role is as human traffickers of the workers needed in the sector. The monopolies operate as parasites claiming a large portion of the added-value created by the trafficked home care workers, value which otherwise could be reinvested in the sector and go to the workers as Canadian-standard wages, benefits and pensions. The private monopolies introduce into the health care sector generally an atmosphere of corruption and parasitism, and a regressive trend towards higher user fees, lower wages, and downward pressure on the quality of care, as value is taken out of the sector as private gain.

Friends of Medicare, United Nurses of Alberta, the Alberta Union of Provincial Employees, Public Interest Alberta and others will hold a rally at the Legislature on Grandparents Day, Sunday September 8. Mark your calendars!

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The Contribution Home Care Workers
and Patients Make

http://www.cpcml.ca/images2012/Provinces/Alberta/File/101204-EdmontonHealthCareRally-01.jpgHome care workers add value to the socialized economy and society. Their work contributes to society in many ways. Home care workers provide care for people with disabilities, in many cases making it possible for them to work, attend post-secondary education and in other ways contribute to society. Home care services are an invaluable part of rehabilitation of people with a temporary illness or disability. They are part of the care team for profoundly disabled people, and provide care that enables frail seniors to remain in their homes for as long as possible. This value created by their work enhances the well-being of the people and society, and exceeds the wages, benefits and pensions the workers claim.

The work of home care workers adds value to the economy and cannot be considered a cost. Home care and other health care workers know that this is the case and speak with intense conviction about the importance of the work they perform. They fight for working conditions that enable them to do their duty to those they care for; they fight against the handing over of health care and other social programs to private monopoly interests whose motive is to seize a portion of the added-value workers create as private profit and remove it from the sector and in many cases take it right out of the economy.

Conversely, the private monopolies to whom the Redford government and others are handing over home care delivery serve mainly as labour brokers. They play a parasitic role, contributing nothing yet seizing as private gain the added-value created by home care workers and removing it from the sector to the detriment of the workers, health care delivery, and the public interest.

According to capital-centred thinking, when the added-value created by the working class is claimed either by the workers themselves or by government for social programs, this is called a cost. When wealth is transferred from the working people to the owners of capital by either reducing wages and benefits or degrading and eliminating social programs, this is called savings.

The workers and all those fighting for a human-centred society are under constant pressure to accept a capital-centred world outlook. This pressure on thinking and consciousness must be resisted. For example, time and time again when private monopoly interests demand that public services and social programs be handed over to them as a source of private gain, the question is put as to whether or not this will save money. The issue is not one of saving money but how the money or value generated by work is allocated; who has a legitimate claim on the value; how should those claims be determined, and who should control how the value can be reinvested in the economy and society.

Seniors and others waiting for placement in long-term care are dehumanized and referred to as "bed-blockers." Grandiose "costs" of caring for these seniors in hospital are tossed around, arrived at by dividing the total hospital budget by the number of patient days, as though this exercise provides any information about the material and human resources needed and/or utilized to care for seniors awaiting placement. Then it is claimed that thousands of beds could be "freed up" by removing these patients from the hospitals, and that these beds could then be used to reduce surgical waiting lists.

This dehumanized thinking ignores the reality that patients needing acute care require not just a bed but also a high level of human and material resources. The patients are not simply waiting for placement somewhere other than in a hospital. Dehumanized thinking presents seniors and the disabled generally as a burden and cost to the society, when the issue is to affirm the right to the level of care needed to live with dignity, to humanize the social environment by increasing the value and investments in health care and social programs generally. This enriches society and lifts it up.

The need for home care is growing for several reasons. In part, this is a positive trend as home care allows seniors to remain in their homes longer if they wish. But home care is also used as an inadequate substitute for more comprehensive care, or as an excuse not to improve the quality of seniors' residences generally, which should provide a vibrant, safe and inclusive atmosphere with a high level of culture, food, recreation and political involvement. Society should not waste the tremendous experience and wisdom of seniors, which can be unlocked in many ways.

Regrettably, long-term care beds are being closed. More than 1,500 long-term care beds will be closed in Alberta in 2013 alone. Most home care workers are not unionized, and most do not share a common workplace. It is much more difficult for home care workers to defend their rights and those of the people they care for, especially when faced with monopoly parasites that traffic in human labour and whose private interests are represented and defended right inside the highest levels of government. It is also difficult for recipients of home care as individuals to defend themselves against abuse, poor and improper care and constantly rising user fees, when patients are reduced to a factor for private gain of the monopolies.

Home care, similar to all health care, seniors' care and care for the disabled must be free, comprehensive, and publicly funded. All home care services should be publicly delivered, with provisions for co-operatives and other community initiatives allowing them to play a positive role. Arrangements based on enriching private interests and having those private interests in control of government, concentrating wealth in fewer hands, entrenching class privilege and removing value from the health care sector as private gain should be strictly prohibited. Home care must not be permitted to be used as a means to reduce care that belongs to the people by right. Home care, as a social program and publicly delivered should be used when it is in the best interests of those needing services as decided by their doctors and other caregivers, their families and the patients themselves.

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Defend the Rights of Workers! Uphold the Rights of All!

Correctional Officers Fired in a Flagrant Abuse of Governmental Power


Correctional officers rally outside Law Courts in Edmonton, to oppose injunction against their
wildcat strike to uphold safe working conditions, April 30, 2013.

Three correctional peace officers, members of the Alberta Union of Provincial Employees (AUPE), have been fired for joining the wildcat strike of correctional officers, which took place in April. Two of the officers were fired on July 5 and the third officer was fired on July 8. This directly violates the government's undertaking not to pursue penalties against individual workers.

The wildcat strike began at the new Edmonton Remand Centre after the government refused to delay the opening of the facility despite many serious health and safety concerns. The three workers are senior correctional peace officers in supervisory positions at the Ft. Saskatchewan Correctional Centre just outside Edmonton. Workers at the Centre walked out, as did workers across the province to support them.

The strike continued for five days in defiance of back to work orders because the union refused to leave the workers vulnerable to discipline including firing. The strike was ended only when AUPE President Guy Smith received a promise that the government would not pursue retribution against individuals who took part in the wildcat strike. Agreement was also reached that an expedited review of the safety concerns of staff at the Remand Centre would take place. Only then did AUPE direct its members to return to work. AUPE notes that this undertaking was made very publicly, as can be seen in the following statements.

On April 30, Deputy Solicitor General Tim Grant stated during a press conference, "To be clear, we're not looking to seek retribution against any individual members of the union."

On May 1, Deputy Premier Thomas Lukaszuk, stated on News Talk 770, "We don't want a pound of flesh from average Albertans, so we will not be in any way pursuing individual union members."

Also on May 1, Justice Minister Jonathan Denis stated in a press conference, "We have no issues with the workers themselves. We thank them for the service that they do to the province every day."

Finally, on May 2, Premier Alison Redford stated in a press conference as reported by the Edmonton Journal, "We certainly did say to the union that we were going to make sure there were no acts of retribution."

Even as these statements were being made publicly, AUPE President Smith reported that on May 1, in muster, workers at the Edmonton Remand Centre were subjected to weasel words from Deputy Solicitor General Tim Grant who said the workers were not protected under the amnesty deal and there was no new process to deal with their safety concerns.

The firing of the three correctional officers is a flagrant abuse of power and brings dishonour to the government. So too is the attempt to suspend collection of union dues and other revenge-seeking measures. The Redford government together with Harper and others across the country are gravely mistaken in thinking they can launch these attacks on workers and their unions with impunity.

The recent flooding in southern Alberta showed not only the importance of public sector workers but also the deep regard that Albertans hold for them and the work they do. People with disabilities, seniors, high school students, home care recipients and many others are standing as one with their caregivers, teachers and other workers who provide public services to demand that the government stop degrading services and handing them over to private monopoly interests. They are standing as one for a high level of public services based on providing rights with a guarantee, as a crucial aspect in building a sustainable and prosperous economy.

Peter Lougheed brought the PCs to power 42 years ago promising to recognize the rights of provincial government workers. Instead, Lougheed's government and successive PC governments have criminalized the right of government workers to strike in defence of their wages and working conditions, extending this legislation to include the entire health care sector as well. Now the government is going even further, flagrantly seeking revenge by firing workers who defended their rights. These unjust firings are a direct violation of the government's clear undertaking not to do so. Further, not content with stealing $350,000 from the workers' dues, it is engaged in other outrageous acts of union-busting.

AUPE's slogan, "This is your province, we just look after it for you" reflects the aspirations of Albertans and the working people everywhere to exercise real decision-making power. The reality is that this ownership now exists in name only, as the global monopolies have weaseled their way right into government authority and power. The monopolies and their political representatives claim the right to make all the decisions, leaving the workers, seniors, farmers, youth, small business people and First Nations to pick up the pieces and try to deal with the consequences as best they can. The challenge facing the Workers' Opposition is to deprive the energy and other monopolies of their political authority and power to deprive the working class and people of their rights.

TML joins with all other justice-minded people in demanding the immediate reinstatement of the three correctional officers and the restitution of all funds taken from the Alberta Union of Provincial Employees.

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Stop Paying the Rich!

Energy Monopoly Profits in 2012
Second Only to Banks

The Redford regime continues to try to push the false notion that the private energy monopolies are in big financial trouble. The provincial government has been using that big lie to try to float the idea that the province is facing a bitumen bubble and the need for austerity and cuts to social programs and public services. Redford claims the province cannot demand that the monopolies hand over more revenue from their operations or run them as public enterprise so that the government has enough funds to realize the value created from social programs such as health care and education.

The government's big lie of low energy profits to push austerity also shows that the Redford regime rejects the notion that education, health care and other social programs are rights that must be provided with a guarantee under any and all circumstances. Modern economies are sustainable only with a high level of social programs, public services, food security, manufacturing and equilibrium between labour and capital based on recognition of the rights of the working class.

The July/August 2013 issue of the Globe and Mail Report on Business provides annual financial data on the largest Canadian companies. The information once again exposes the provincial government's lies about the energy monopolies. During 2012, the after-tax profits of the energy monopolies were, as a group, second only to the profits of the big banks. The most profitable bank was the Royal Bank (RBC), the top financier of oilsands bitumen extraction and expansion. Between 2003 and 2007, the RBC cumulatively issued over $2.3 billion in loans and financed more than $6.9 billion in corporate debt for thirteen energy companies.

Energy monopolies are highly ranked in the report by profits in comparison to all other companies in all sectors with Imperial Oil (5th), Suncor Energy (7th), Husky Energy (12th), Canadian Natural Resources Limited (14th), TransCanada Pipelines (25th) and its majority shareholder TransCanada Corporation (26th), Cenovus Energy (30th), and Canadian Oil Sands (31st). All are very active in Alberta's oil sands, as well as in other areas of the energy industry. Imperial Oil owns 25 per cent of oil sands giant Syncrude while Canadian Oil Sands owns 37 per cent. TransCanada wants to build the Keystone pipeline to transport Alberta's raw oil sands bitumen to refineries in the gulf coast of Texas. This is in direct opposition to the popular call to "refine it where you mine it."

The energy monopolies are also very highly ranked in comparison to all other companies by revenues, which refers mainly to gross income from sales and services to customers: Suncor (1st), Imperial Oil (5th), Enbridge (12th), Husky Energy (14th), and Cenovus Energy (20th). Enbridge wants to build the Northern Gateway pipeline to ship diluted raw oil sands bitumen from a terminal just outside Bruderheim, Alberta to the port of Kitimat, BC so that the raw bitumen can then be transported by tanker to Asia.

Finally, the energy monopolies are also very highly ranked in comparison to all other companies by market cap (capitalization), which refers to the total market value of an exchange traded company's shares, calculated by multiplying the stock market share price by the number of shares. In capitalist economics, a high market cap is considered a sign of investor enthusiasm about the company's future prospects and a major lure for further investment. High market cap rankings include Suncor Energy (4th), Enbridge (7th), Imperial Oil (11th), Canadian Natural Resources Limited (12th), and Husky Energy (14th).

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