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October 3, 2011 - No. 6

40th Ontario General Election

The Provincial Government and Municipal Services and Social Programs -- A Central Election Issue

The Provincial Government and Municipal Services and Social Programs -- A Central Election Issue - David Greig
Defence of Toronto Transit Workers -- Also An Election Issue - Pierre Chénier
The Concerns of TTC Workers - Interview, Bob Kinnear, President, Amalgamated Transit Union Local 113


40th Ontario General Election

The Provincial Government and Municipal Services and Social Programs -- A Central Election Issue

The final responsibility under the existing arrangements for provision of many public services and social programs lies with the municipal governments of Ontario's cities, towns and rural areas. Many of these municipalities find themselves in varying degrees of financial difficulty, a situation that provides a pretext for the neoliberal drive to privatize what has remained public to date and eliminate programs, services and jobs. The most notorious case of this at the present time is the city wrecking agenda of the current Toronto executive.

Ontario's municipalities are closely governed by the provincial government with respect to what they must do and can do and how they can raise revenue. With respect to the latter, their main source continues to be property taxation, with user fees and some provincial funding making up most of the remainder. In recent years some changes have allowed, at least in Toronto's case, the creation of a municipal vehicle registration fee (now cancelled) and land transfer tax (slated for elimination).

As the anti-social offensive escalated under the Conservative Harris and Eves regimes after 1995, important provincial (and federal) responsibilities like the provision of low cost public housing, were downloaded to municipalities without dealing with the costs. While some adjustments have been made recently, this aggravation of the municipal situation has remained largely unresolved. Keeping the existing arrangements together with changes like the downloading makes sense for the neoliberals in power and the monopoly interests they serve: the burden of financing the municipalities and the lack or loss of programs, services and jobs falls even more heavily upon the poor and vulnerable, middle strata and the public and private sector workers who create the wealth.

The status quo of these arrangements and the direction in which they are evolving fly in the face of the modern concept that, by virtue of being human, people have a right to social services and programs, shelter, health services and cultural amenities at Canadian standards. Instead, the rights of the very rich and their monopolies, based on the wealth and power they possess are being enforced.

Instead of these services being guaranteed as a responsibility of all levels of government, and the financing of them placed ahead of the claims of the very rich upon the wealth of society produced by workers, they end up limited by the circumstances of local municipalities and the existing provincial constraints upon them. Does a municipality have a deficit or surplus? Does it have a rich tax base or not? Are its executives anti-social warriors bent on destroying services and programs? How vulnerable is the municipality to the pressures from monopoly interests and how willing is it to resist them? In other words, rather than being affirmed, the rights of the people and responsibility for their well-being are left hanging in the air and, to a growing extent, denied, degraded or threatened.

The situation of Ontario's municipalities and of their residents and the relationship of the provincial government to them -- the existing arrangements -- are indeed an election issue. The Ontario government and all levels of government have responsibility for the security and well-being of the people and whatever government is formed on October 6 must fulfil and be held accountable for that responsibility. What it does in relation to Ontario's municipalities is an important part of that responsibility.





Toronto, Labour Day 2011

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40th Ontario General Election

Defence of Toronto Transit Workers
-- Also An Election Issue

Public transit workers in Toronto are under extreme pressure from the anti-worker, anti-social offensive of the governments of the rich.

In March 2011, the Toronto Transit Commission (TTC) was declared an "essential service" when the Ontario Legislature passed the TTC Labour Disputes Resolution Act (Bill 150) at the request of the Ford administration in Toronto. It is now illegal for the TTC workers to withdraw their labour to defend their working conditions. With the legislation, the political authorities declared that good faith bargaining with these workers has been killed once and for all. Now that transit workers are bound with compulsory arbitration, politicians of the rich are calling for "fixing" Ontario's arbitration system so it is even more stacked against workers.

The TTC workers have been put in this situation where their struggle is being criminalized while their working conditions are attacked under the hoax of eliminating wasteful spending.

At the same time that public transit has been declared an essential service, the workers who provide this service are being declared redundant and even part of the "gravy train" that the Ford municipal administration has pledged to stop. This month the TTC announced layoffs of 250 salaried employees and the elimination of 130 unionized positions as part of the Ford administration cuts. A new round of contracting out is also being considered.

To enable these job cuts, a smaller number of streetcars and buses will operate on fewer routes, at a time when ridership is at record levels. The result will be the deterioration of services and reduced safety for transit workers and passengers. Even Wheel-Trans service is being considered for cuts on the basis that some people who use the system are a "liability" not covered by provincial funding. For example, trips for dialysis by people on artificial kidneys aren't covered by provincial Wheel Trans grants.

Just how far the anti-social offensive has gone in de-humanizing society was revealed in the comments made to the media by TTC Board Chair Karen Stinz about cutting off dialysis patients from the Wheel Trans service.

"We're working very hard with not just the provincial government but with the Kidney Foundation to find ways that we can continue to service dialysis patients." Stinz said, but if funding isn't found, "that's a decision we'll have to wrestle with in December." Dialysis patients may be cut off as a "cost" that has been eliminated for the greater glory of the budget.

An atmosphere of complete hysteria has been created around the figure being put forward as the budgetary deficit of the City/TTC and around declarations that it is illegal for the City/TTC to not balance the budget. TTC workers and the service they provide are being submitted to the dictate of the "projected budgetary shortfall." Under this dictate, any notion that workers have rights or that governments have the obligation to provide public services at the highest standards are thrown out the window.

The budget issues of the City and the TTC are being considered by the people in authority without demanding at the very least that provincial funding for the TTC that was eliminated be re-established, the workers' Union points out. The TTC operating costs not covered by fares were in the past split 50/50 by the City and the Ontario government. In 1991, for example, the City contributed $104 million and the province $101 million to the operating costs. The government of Mike Harris eliminated this funding by the provincial government in 1997 and it has never been restored. Twenty years later, the operating costs have more than doubled, leaving the City on the hook for more than $400 million in operating costs not covered by fares.

TTC workers are demanding that TTC management and the City join them in demanding the restoration of funding but in vain. The Ford administration is part of the neo-liberal forces that advocate that governments at all levels withdraw from providing public services in order to free massive amounts of money for the rich and to open new markets for their private investments. Mayor Ford is now famous for saying that "Toronto does not have a revenue problem; Toronto has a spending problem."

Restoring the provincial contribution should be the minimum the City administration demands from the Ontario government. As well, it should demand stable capital funding from the provincial and federal governments rather than the current chaotic "project funding," which is wrecking the system by leaving long-term capital maintenance costs unfunded. This wrecking puts more costs in the operating budget for day-to-day maintenance to keep everything from falling apart.

The scenario being played out against TTC workers has been seen by other sections of the working class such as the postal and railway workers. Services are attacked to the point of collapse, the struggle of workers to defend their working conditions and the services they deliver is criminalized. The deterioration of the service the wreckers have brought about then becomes a justification for privatization as the only alternative for "saving the system."

In this election, the crucial issue is to provide a new direction for Ontario. The right of the TTC workers to wages and working conditions commensurate with the services they provide, including their right to defend these by withdrawing their labour power, would be recognized if the people fought for governments that recognize the necessity to provide rights with a guarantee. So long as matters of fundamental right are considered "policy choices," then the politicians who come to power impose their policy choices and that is that. It is considered a democratic right of the decision-makers who are said to have a mandate. But why are matters of fundamental right left up to politicians elected in a manner such that nobody can exercise control over them once elected and why are the people affected by the decisions not the decision-makers? This is the issue. Matters of right cannot be arbitrarily determined by politicians who represent vested interests, no matter how good they or those who elected them may think these vested interests are.

The legislation declaring TTC workers an "essential service" so that they cannot exercise their right to strike clearly shows that working people have to solve the problem of how to get  political authorities to uphold good faith bargaining with them as well as with all public service workers. In this day and age we cannot make it debatable whether or not there should be good faith bargaining. The workers are an important part of establishing the wages and working conditions they require. It is not acceptable to make them targets of law and order campaigns when they uphold the dignity of labour.

Ontarians are faced with the necessity to work out the demands which should be put to whatever government is elected on October 6, including the need to re-establish provincial funding of the TTC. The current wave of attacks by the TTC authorities on transit workers and services must also be withdrawn. In all Ontario cities public service workers must be treated with respect.

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The Concerns of TTC Workers

TML: The Ford administration says that the Toronto Transit Commission (TTC) workers are part of the gravy train that has to be stopped in the City of Toronto. The monopoly media  echo this campaign, presenting TTC workers as loafers who are abusing taxpayers' money. How do your workers react to this campaign?

Bob Kinnear: They are obviously not pleased with that assertion by the Mayor. They feel that this lack of recognition of the importance of the services they provide and how we provide them in challenging times is very demoralizing. Our members are disheartened considering also, and the Mayor should know this, that we have been living year to year for the last decade and a half since the provincial government withdrew the operating funding. For us to have been able to survive for the last 15 years is a reflection of the diligence of our workers and the commitment they have to delivering public transit. They are disheartened that the service they provide is being minimized and discredited as being not important.

The other thing that is very frustrating for our members is the fact that this same individual a year ago talked about the importance of public transit as an essential service to the City and said that the City could not do without it. Well suddenly the service actually is not essential any more. It is only essential when it comes to taking away workers' rights. When it comes to providing the service suddenly it is not essential and they can reduce it.

We believe that possibly the objective of Mayor Ford may be to completely discredit the TTC. We already know that there is dissatisfaction with the TTC because of the lack of services, overcrowding and some other things we are facing. If Mayor Ford compounds that dissatisfaction with the transit that may enable them to achieve their objective and contract out the entire system. That is something they want to achieve. I don't know if it will get to that point because the people in Toronto recognize the importance of having their city representatives responsible for public transit rather than this unknown quantity whatever contractor it is, who are not accountable to the people of Toronto. The Mayor's Office, they believe that they can discredit the TTC even more with service reductions so that people will look for alternatives.

TML: The TTC management announced a new round of cutbacks in September. What are they and what is going to be their impact?

BK: One of the proposals is they want to eliminate some of our maintenance jobs. They are not planning on having any layoffs. In fact they cannot have layoffs because we have a provision in the contract that stipulates that there can't be layoffs as a result of contracting out. They cannot do both. They are not planning to layoff any hourly rated (workers) at this time because as soon as they layoff hourly rated (workers) that restricts them from contracting out. What they are doing is they are slowing down the hiring and not bringing new people in so when they do contract out the work they can absorb whatever employees are in that classification.

What they are planning on doing, at least it is the suggestion they have made to us at this point, is that through attrition they will begin to reduce the workforce and the service that transit provides. In other words janitors, cleaners, is one area that they are focusing in on. They have proposed that they want to contract out that work.

There is no doubt that their intent is to contract out as many jobs as they can. The big concern with that is that we have an integrated system. We have a system of procedures and policies that all employees are trained on. If there is an incident in the subway, our cleaners are thoroughly trained on what the process is to communicate those issues -- an emergency, for example, where someone falls onto track level. Not only are they trained on how to communicate that to the appropriate authority through transit control but we are all trained on the electricity running through the subway system, how to cut power and all those things. We are very concerned that if a private contractor is brought in, and we know a private contractor is going to pay these cleaners $11-12 an hour, they are not going to have the capability to ensure that we have a safe system and we maintain a safe system. There is going to be that disconnect because we are going to have people working in the system that are not actually TTC employees and they won't be trained properly to make sure that the proper responses are made.

On Monday, September 19, approximately 250 notices were served to eliminate positions that are mostly middle management jobs.

TML: For a long time now you have raised the issue of the funding of the system and you are doing it again in the context of the Ontario provincial election.

BK: The problem with the funding is that nowhere in North America is the city or the municipality responsible to subsidize all the operating costs. There is always a higher level of government that helps offset the operating costs. Only in the city of Toronto is it the city that is responsible for any deficiencies in the operating costs.

The funding changed in 1997. Up till 1997, whether it was a Liberal, a NDP or a Conservative government, they all absorbed 50 per cent of the operating costs. The operating subsidies being currently allocated to the TTC are about $400 million a year. In the past the province would always kick in 50 per cent, which is about $200 million a year.

Andrea Horwath of the NDP has already committed to restore that. What is so perplexing to us, and should be for the city also, is why is Mayor Ford not acknowledging that commitment that could alleviate $200 million in shortfalls that we are currently seeing. He is not acknowledging that because Andrea Horwath and the NDP do not fit his political alliances. We are saying that Mayor Ford needs to do what is in the interest of the city of Toronto and the people he represents not his political alliances and his political preferences.

We are demanding that whichever government is elected on October 6 restores the 50 per cent cost sharing on the operating costs.

TML: Is the federal government providing regular funding to the TTC?

BK: No. The federal government periodically will kick in some money for capital expenditures, for expansions, for example. But there is no set formula that they have to commit a definite number. Periodically they jump in.

TML: What would you like to say in conclusion?

BK: The workers have to stand up and make these elected officials recognize the importance of the services that we provide not only to our city but to our province and our country. We cannot continue to allow corporate Canada and the Conservative right-wingers to minimize the importance of the services and lay any financial burden they have on us. Look at the financial institutions. Three years ago they were in chaos needing billions of dollars to bail them out and now they are back to making record profits but yet the focus is turned on the little guy and the individual who has got a pension and somehow we cannot afford that pension any more. Corporate Canada can still make record profits and put millions of dollars in bonuses into CEOs pockets and at the same time they are focusing on the average working guy that may have a pension. We need to stand up and rally against that.

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