CANADA
Pandemic exposes need for basic-income program, expert says


OTTAWA — A leading Canadian expert on government-funded basic incomes says the oft-debated idea could have averted much of the economic effects of COVID-19.

© Provided by The Canadian Press

Evelyn Forget says a basic-income program would have provided help to hard-hit Canadians automatically instead of forcing governments to set up emergency aid in a rush.

Basic income is essentially a no-strings attached benefit governments provide to citizens that sets a financial floor for individuals and families.

Advocates of such a program have pointed to the Canada Emergency Response Benefit as an example of how the country could make basic income a reality.

But Forget says the CERB, for all its innovation, wasn't a basic-income program, and neither is the replacement known as the Canada Recovery Benefit.

"We're still thinking about this in terms of a patchwork — different programs for different groups of people — and as soon as you start doing that, you start creating gaps that people fall through," Forget said in an interview late last week.

"One of the opportunities with a basic income is to think a little bit more holistically about how we can provide income support across the board, recognizing that people have different needs."

The University of Manitoba professor lays out her pandemic-related analysis in an update to her book, "Basic Income for Canadians," released Tuesday, which also argues such a program is neither a silver bullet nor a replacement for social programs like health care.

A basic income would act as an automatic stabilizer, meaning it would expand payments when incomes crash and then roll back when things rebounded. Those who needed ongoing support would get it.

The cost of such a program would be based on any number decisions, including the value of benefits and how steeply governments clawed payments as earnings rose, she writes.

The parliamentary budget office estimated a six-month basic income program this year could cost between $47.5-billion and $98.1-billion. Some of that could be covered by redirecting funding from existing anti-poverty programs, and the price would be further offset by what the budget office said was $15 billion in anti-poverty tax measures that could be repealed.

Add in provincial benefits that could also be replaced by one benefit and Forget suggests the country could afford a permanent program.

The most recent figures for the CERB show that as of Oct. 4, just after it started winding down, the program had paid out more than $81.6 billion since March to 8.9 million people.

Federal officials scrambled to set up the program when some three million people lost their jobs in March and April and it became clear the decades-old employment insurance program wasn't up to meeting the needs created by a historic crash in the labour market.

"That greater awareness of the limitations of the programs we had led many of us to start thinking about ideas that used to be thought of as far-out fringe ideas, and basic income I put into that category for a lot of people," Forget said.

"Now, maybe it's an opportunity to think about basic income in the context of a lot of other programs and ideas about how we can build back better, if I can use the cliché."

Forget writes that a basic income program wouldn't rely on governments to quickly make good decisions during economic upheaval and it would take economic burdens off the shoulders of workers who have little control over events.

The country has so far recouped all but 720,000 of the jobs lost earlier this year, Statistics Canada reported Friday.

The jobs report noted the proportion of Canadians receiving federal income support fell to 13.5 per cent from 16.1 per cent between August and September, but also noted that 42 per cent of CERB recipients said they lived in households having difficulty paying the bills, an increase of 4.3 per cent from August.

Prime Minister Justin Trudeau noted on Tuesday that the need hasn't abated. Some 240,000 people asked for the new recovery benefit on Monday when applications opened.

This report by The Canadian Press was first published Oct. 13, 2020.

Jordan Press, The Canadian Press

CANADA 

Rich get richer, poor poorer: Two reports say pandemic intensifying inequalities

A pair of new reports say Canada is undergoing a "K-shaped recovery," with working-class Canadians going deeper into debt while those at the top prosper.

© Provided by The Canadian Press

The two reports released Tuesday said the uneven recovery is amplifying economic disparities that existed pre-pandemic and widening the gap between the haves and have-nots.

With the second wave of COVID-19 intensifying across the country, both reports suggest the divide between the rich and poor in Canada could worsen.

The affordability index by BDO Canada Ltd. estimates that nearly two in five Canadians said their personal finances deteriorated during the first wave, while one in five Canadians are better off,

The index, based on polling data by the Angus Reid Group, found that respondents who were worse off are nearly four times more likely to say their debt load is overwhelming.

Meanwhile, the latest MNP Ltd. consumer debt index said the pandemic recession is putting a spotlight on inequalities between the well-off and those dealing with job losses, debt, eviction and food insecurity.

Grant Bazian, president of MNP, said his firm's index "highlights the divergent experiences of Canadians during COVID."

"While some are fortunate enough to be able to continue working in their present jobs, but from home, others continue to struggle with financial uncertainty and not knowing whether their job will still be around after the pandemic,” Bazian said in a statement.

The MNP index, based on polling data by Ipsos, found that over half of the millennials surveyed said they regret the amount of debt they’ve taken on in life.

Many households reported being just hundreds of dollars away from bankruptcy, a sign they're living paycheque to paycheque.

MNP said 44 per cent of households earning $40,000 to $60,000 are $200 or less away from insolvency, including 22 per cent who are already insolvent.

Both reports underscore a yawning chasm between Canadians who are losing ground and those whose financial situation has improved during the pandemic or hasn't changed.

Doug Jones, president of BDO Debt Solutions, said the firm's affordability index shows Canadians are struggling more and more with the cost of living.

He said COVID-19 has prompted Canadians to cut back on spending and save more, but that people are also finding it more difficult to keep up with debt.

"These factors will likely put long-term stress on families and the economy," Jones said in a statement. "Now is the time to keep a close eye on household budgets and avoid debt whenever possible."

The survey found that two-thirds of Canadians with debt cannot keep up with their debt payments or have had to make sacrifices in their budgeting.

While this typically involves foregoing non-essential “nice-to-have” purchases like entertainment or recreation, the survey found that nearly a quarter of Canadians forego essentials like food or clothing.

The survey also showed that residents of British Columbia, Alberta and Ontario were more likely to have added debt during the pandemic.

Meanwhile, Canadians who are saving more tend to be young, university educated and earn more than $100,000, the survey found.

This cohort tended to shift spending away from non-essentials such as restaurants and travel into savings — reducing concerns about debt.

The Angus Reid online survey, in partnership with BDO Canada, included 2,047 Canadian adults surveyed between Sept. 1 and Sept. 8.

The Ipsos online poll, conducted for MNP between Sept. 1 and Sept. 3, included 2,001 Canadians.

According to the polling industry’s generally accepted standards, online surveys cannot be assigned a margin of error because they do not randomly sample the population.

This report by The Canadian Press was first published Oct. 13, 2020.

Brett Bundale, The Canadian Press

Canadian Lundin Mining to meet Chile's Candelaria workers amid strike, union chief says

SANTIAGO (Reuters) - Canada's Lundin Mining will meet on Wednesday with the Mina union at its Candelaria copper deposit in Chile in a bid to resume talks to end a strike that began last week, the union's head said on Tuesday.

© Reuters/CHRIS HELGREN A man passes the Lundin Group mining company booth during the PDAC convention in Toronto

The union walked off the job last Thursday after list-ditch talks broke down over a contract deal.

The head of the 350-member union also criticized what he said were attempts to shut down the strike.

"There is a persecution against the leaders for defending the rights of the workers," said Patricio Gárate, head of the 350-member union.

Lundin Mining did not immediately respond to the meeting.

Copper prices have been supported because of concerns about possible strikes in Chile, the world's largest producer of the red metal.

Gárate previously told Reuters that one of the most important differences between the two sides was that the workers opposed changes in benefits and certain clauses in the collective contract.

Candelaria produced 111,400 tonnes of copper in 2019 and had reached 74,200 tonnes as of August this year.

(Reporting by Fabian Cambero; Writing by Adam Jourdan; editing by Grant McCool)

Indie bookstores launch anti-Amazon 'Boxed Out' campaign

NEW YORK — With many independent bookstore owners facing the most dire financial crisis in their lifetimes, the American Booksellers Association has teamed with an award-winning advertising agency known for “culture hacking” to dramatize the threats of the pandemic and the growing dominance of Amazon.com.

© Provided by The Canadian Press

On Tuesday, the trade group launched the “Boxed Out” campaign, for which a handful of bookstores around the country will have windows boarded up and boxes piled up out front that resemble Amazon delivery containers, with one label reading “Don't Accept Amazon's Brave New World." The beginning of what the booksellers association hopes will be a conversation in stores and online, “Boxed Out” was designed by DCX Growth Accelerator, a Brooklyn-based firm which attracted national attention in 2018 when it set up a fake “Palessi” luxury shoe store and stocked it with items from the Payless discount chain.

“Boxed Out” coincides with Amazon Prime Day, when the online giant offers special deals to its members.

“We're hoping that people will understand the juxtaposition and support their local stores,” says booksellers association CEO Allison Hill.

Independent booksellers had enjoyed a resurgence over the past decade after being devastated in the 20 previous years by the rise of the superstore chains Barnes & Noble and Borders, and then the emergence of Amazon. ABA membership, once more than 5,000, was down to just 1,401 in 2009 during the height of the Great Recession and was apparently set to keep declining as e-books began to catch on.

But the digital revolution stalled, Borders went out of business and Barnes & Noble retreated after a long era of expansion. In 2019, the last time the ABA released yearly numbers, membership was up to 1,887, with some sellers even opening additional outlets. Hill's predecessor, Oren Teicher, who retired at the end of 2019, received an honorary National Book Award earlier that year for his success in “working to strengthen and expand independent bookstores nationwide.”

But the pandemic could wipe out all the gains since 2009. An ABA survey from this summer found that some 20 per cent of members could go out of business, meaning hundreds of stores face closure, especially as government aid runs out. Meanwhile, the number of new independent stores opening has dropped sharply, according to the ABA, just 30 this year compared to 104 in 2019.

While the overall market for books has been surprisingly solid in 2020, Amazon.com has apparently fared best as the public increasingly makes purchases online. According to a report issued last week by the antitrust subcommittee of the House Judiciary Committee, “Amazon accounts for over half of all print book sales and over 80% of e-book sales” in the U.S. market.

Greenlight Bookstore in Brooklyn is among the participating stores in “Boxed Out.” Co-owner Jessica Stockton-Bagnulo says that sales have fallen this year by double digits after a decade of “steady growth.” Her store has risen from its “deepest trough” earlier this year, and has rehired some laid off workers, but Stockton-Bagnulo says Greenlight’s position is still “precarious.”

“If shoppers could shift more of their purchasing away from Amazon to local businesses like ours ... it could make all the difference in allowing us to survive and thrive for years to come. We hope Boxed Out will have that effect,” she said.

Hill said she and the booksellers association had been looking for a way to draw attention to what indies were going through and met with several agencies before deciding on DCX. Not all of DCX projects have had long-term impact. Payless, for instance, continued to struggle after the Palessi campaign, filed for bankruptcy in 2019 and closed all of its U.S. stores.

Hill said she was more impressed by a campaign from 2015 on behalf of Jesse's bodega in Brooklyn, near the headquarters of DCX. Owner Jesse Itayim faced eviction after the landlord sought a 250 per cent rent hike, so DCX devised an “Artisanal Landlord Price Hike Sale” that featured exorbitant costs for such rebranded items as “Grass Fed Himalayan Tuna Salad.”

Jesse's held on another year before shutting down.

“I just liked how they did it with a sense of humour,” Hill says of DCX. “I think things are different now and that we're at the beginning of a sea change. I think people realize how fragile we are because of the pandemic, and my hope of this campaign is that it's the beginning of a conversation."

Hillel Italie, The Associated Press


BETA
What's your take?

Thousands of Amazon workers demand time off to vote

Thousands of Amazon tech workers Tuesday signed an internal petition urging the company to offer paid time off for its workforce to vote on or before Election Day.

©NBC News

While Amazon is the second largest employer in the country, with 1,372,000 U.S. workers including Whole Foods employees, it does not offer paid time off to participate in federal elections.

More than 1,500 Amazon tech workers added their support to the petition one hour after it was launched internally Tuesday morning. By noon PT, the petition had reached 3,243 supporters. The call is hosted on the company’s internal ticketing system, which is used by workers to submit requests and tasks to be completed on the job, like fixing bugs found on a website. It’s also used internally as a way for employees to submit requests for changes to company policies, like benefits.

“We are less than a month away from the 2020 U.S. election. I strongly urge the company to provide the entire US employee workforce with a paid day/shift off that can be used anytime between now and Election Day on Nov 3,” the petition, hosted on the company’s ticketing system, reads.

“This additional day/shift off must be available to all employees every year.”

Employees who support the call for time off to vote are signing on by adding a “+1” to the ticket or leaving a comment of support below the petition.

Amazon declined requests for comment.

The action was organized by the Amazon Employees for Climate Justice, a group of Amazon tech workers formed in 2018 to pressure their employer to commit to reducing fossil fuel emissions. The group previously persuaded the company to reduce fossil fuel emissions in September 2019 after repeated calls from thousands of employees.

This year, the climate group expanded its focus to speaking out against working conditions for Amazon warehouse employees during the pandemic. In April, the company fired two of the group’s core organizers, Emily Cunningham and Maren Costa, for what Amazon described as violations against internal policies that bar workers from publicly criticizing the company. But the group has continued to mobilize.

Tuesday’s worker-led petition asking the company to grant its tech and warehouse employees paid time off to vote comes as long lines are already recorded in states that have opened early voting, with some voters in Georgia on Monday reporting they spent nearly 10 hours in line waiting to cast their ballot.

“I’m an employee in Seattle, and we’re three weeks out from Election Day, and I haven’t heard anything from Amazon about what we can do to make a plan to vote,” one Amazon tech worker and organizer with Amazon Employees for Climate Justice, told NBC News on the condition of anonymity over fears that Amazon would retaliate for speaking to the press.

Amazon’s policy differs widely from its competitors: Walmart offers up to three paid hours off to its employees to vote and participate in elections. Other American companies, such as Target, PayPal and Apple, likewise provide paid allotted time for workers to vote.

Due to the pandemic, many states anticipate fewer voting sites will be open come Nov. 3, meaning lines to vote on Election Day could be even longer than in previous years.

If Amazon decides to not grant the employee-led request for paid time off to vote, it would be “a big disappointment,” an Amazon warehouse worker in New York said on the condition of anonymity.

His co-workers are openly talking about how they don’t plan to vote because they don’t have the time on or before Election Day between work, their long commutes and family obligations.

“It troubles me that my colleagues have to choose to sacrifice between showing up for work and making a living and showing up to vote,” he said.

Black McDonald's workers say they were called 'ghetto,' had their hours cut, and were unjustly fired in a new lawsuit

© Provided by Business Insider McDonald's is facing its fourth racial-discrimination lawsuit this year. REUTERS/Lucy Nicholson

McDonald's workers filed a racial-discrimination lawsuit against the fast-food giant on Tuesday.
Three McDonald's employees said Black workers were called "ghetto," "smelly," and "lazy," and received fewer hours than non-Black employees at a Rock Island, Illinois location. 

"We are sick and tired of being considered less than human and not even worthy of life," one of the workers said on Tuesday. 

The lawsuit claims that McDonald's has a systemic problem with racism, pointing to three other racial-discrimination suits filed this year.

McDonald's workers are suing the fast-food giant, in at least the fourth racial-discrimination lawsuit the chain has seen this year.

On Tuesday, McDonald's employees who worked at a Rock Island, Illinois location filed a lawsuit against the fast-food giant in the US District Court for the Central District of Illinois. There are three plaintiffs in the case: Selynda Middlebrook, Stephanie Stevens, and Luther Gray, acting on behalf of his 17-year-old daughter A.G., who also worked at the McDonald's location.

The location's general manager called Black workers and customers "ghetto," while other employees stereotyped Black employees as "lazy" or "smelly," according to Tuesday's complaint. Black employees also allege they were given fewer hours to work than non-Black employees.

In late July, the general manager called Middlebrook a "waste of space," according to the complaint. Middlebrook's hours had been cut earlier in the year, the complaint alleges, making it difficult for the 20-year-old to support her new baby.

When Stevens — Middlebrook's aunt — told the general manager that she should not speak about employees in such a "discriminatory and demeaning manner," the complaint says that Stevens was fired on the spot.

"We are sick and tired of being considered less than human and not even worthy of life," Middlebrook said on a call with reporters on Tuesday.

Read more: McDonald's hires ex-Obama advisor to lead a new team focused on 'positive change,' as the company doubles down on values in the midst of scandals

"I am deeply committed to running a values-led organization, and discrimination, harassment or retaliation of any kind are not tolerated in my restaurants," Trina Gendron, the McDonald's franchisee who owns the location, said in a statement.

"I take these allegations seriously and am currently reviewing the complaint and investigating these allegations," Gendron continued.
The lawsuit argues McDonald's has a systemic problem with racism

© Andrew Burton/Getty Images The lawsuit alleges this is a systemic issue. Andrew Burton/Getty Images

The complaint alleges that racism is prevalent throughout the McDonald's system. This is at least the fourth racial-discrimination lawsuit filed against McDonald's in 2020.

Two Black executives sued McDonald's in January, claiming they faced racial discrimination and "cruel" retaliation while working at the company.

In July, three McDonald's workers sued the company, saying they faced racial discrimination while working at a Florida location of the chain. On Tuesday, plaintiffs filed an amended complaint, alleging that McDonald's fired two of the plaintiffs in retaliation for filing the civil rights lawsuit.

"McDonald's is committed to leading with values and does not tolerate retaliation," McDonald's said in a statement to Business Insider. "The allegations that employees were terminated for any reason related to ongoing litigation is categorically false."

Later in July, 52 Black former franchisees sued the company in another racial-discrimination case. These former franchisees say they were not giving the same opportunities as white franchisees and that many were forced out of the McDonald's system.

Read more: Inside McDonald's Black franchisees' decades-long quest for equality that led to a $1 billion racial-discrimination lawsuit

"The top-down systemic racism evident in McDonald's C-suite, as evidenced by recent allegations by Black executives and Black franchisees, reaches down to the restaurant level, where individual managers and franchisees are not held accountable for engaging in, and failing to prevent, discrimination on the basis of race," the complaint reads.

McDonald's has previously denied allegations of racial-discrimination.
The lawsuit attempts to hold McDonald's accountable, as the chain pushes back against a potential designation as a 'joint employer'

The lawsuit argues that both the franchisee — who owns and operates the Rock Island location — and McDonald's corporate should be held responsible. McDonald's, the complaint argues, is a "joint employer" of workers at the location.

Roughly 95% of McDonald's locations in the US are owned and operated by individual franchisees. Historically, these franchisees are treated as independent business and would be solely liable in cases related to workers' issues such as wage theft or discrimination.

The concept of "joint employer" calls this independence into question.

© Rui Vieira/PA Images/Getty Images McDonald's has been the center at a battle over the definition of "joint employer." Rui Vieira/PA Images/Getty Images

Back in 2014, the National Labor Relations Board ruled that McDonald's could be treated as a joint employer, making it a co-defendant if workers file lawsuits against their employers.

Many franchises pushed back against the ruling, arguing that it nullified the industry's business model and would drive up the cost of franchisors' legal fees. Meanwhile, progressive groups such as the Service Employees International Union saw the joint employer decision as a victory that could make it easier for fast-food workers to unionize.

Under the Trump administration, the NLRB's definition of "joint employer" has narrowed. In 2019, a federal appeals judge reversed the 2014 McDonald's decision, ruling that the fast-food giant did not exercise enough control over workers in franchised locations to be a joint employer.

In 2020, the Department of Labor issued relatively narrow guidelines on how to interpret the "joint employer" rule, reducing the likelihood franchisors would be held liable in court. However, in September, the US District Court for the Southern District of New York struck down the rule, with Judge Gregory Wood calling it "arbitrary and capricious."

The most recent racial-discrimination lawsuit aims to hold McDonald's liable as a joint employer. The complaint argues that plaintiffs believed they worked for McDonald's and McDonald's exercises substantial control over franchisees.

"We certainly believe, as we allege in the complaint, that McDonald's control of the franchise here in Rock Island does make them responsible for the discriminatory treatment," George Luscombe, an attorney for the Rock Island plaintiffs, told reporters on Tuesday.
Read the original article on Business Insider

California appeals court hears arguments in Uber, Lyft gig worker lawsuit

By Tina Bellon 

 

© Reuters/Mike Blake FILE PHOTO: A sign marks a rendezvous location for Lyft and Uber users at San Diego State University in San Diego

(Reuters) - A California appeals court on Tuesday listened to arguments by lawyers for Uber Technologies Inc, Lyft Inc and the state of California about whether the state can recognize their drivers as employees with the right to minimum wage, overtime pay, health insurance and unemployment insurance.

The case is part of a battle over the future of the so-called gig economy in California. In January, the state implemented a law making it harder for ride-hail, food delivery and other app-based companies to classify workers as independent contractors.

While state law gives the appeals court 90 days to issue a ruling, a decision on the future of gig work will likely be made by California's voters on Nov. 3 instead.

Uber, Lyft, DoorDash, InstaCart and Postmates have collectively spent more than $184 million to write and support a ballot measure that would overturn the state gig worker law, also known as AB5.

In May, California and the cities of Los Angeles, San Diego and San Francisco sued Uber and Lyft for allegedly violating AB5 by refusing to reclassify drivers. A California judge in August ordered the companies to reclassify their drivers as employees within 10 days.

That ruling was put on hold when the companies, under the threat of leaving the state altogether, appealed the decision.

During Tuesday's nearly two-hour hearing before California's 1st District Court of Appeal, Uber's and Lyft's lawyers told the three-judge panel the lower court had ignored their evidence and ruled in the state's favor based on faulty assumptions.

The attorneys said the law would cause irreparable harm to the state and its residents, with the companies forced to overhaul their business models and cut thousands of part-time drivers from their platform.

A lawyer for the state and cities said harm was already caused to misclassified drivers and other California businesses that follow the law.

(Reporting by Tina Bellon in New York; Editing by David Gregorio)

ALBERTA 

Another 961 cases of COVID-19 identified over long weekend as province shifts to appointment-only testing

Stephanie Babych 

© Chris Schwarz/Government of Alberta Dr. Deena Hinshaw, Alberta's chief medical officer of health.

Another 961 cases of COVID-19 were identified over the long weekend with an average of 240 cases per day, according to Alberta’s top doctor on Tuesday, as she announced that testing at provincial assessment centres is shifting to an appointment-only model.


Starting on Wednesday, Alberta Health Services assessment centres will no longer be accepting drop-in patients but will operate with an appointment-only system that is meant to speed up testing, Dr. Deena Hinshaw, Alberta’s chief medical officer of health, explained during Tuesday’s press conference.

About 93 per cent of the province’s COVID-19 tests are already being booked by appointment online or over the phone with HealthLink.

“By shifting to a provincewide by appointment process, we will make on-site testing quicker and more efficient. We will also reduce crowding in line and help ensure that everyone is tested as quickly and safely as possible,” Hinshaw said.

There are 236 new COVID-19 cases on Friday, 259 cases on Saturday, 246 cases on Sunday and 220 on Monday, which brings the total of active cases in the province to 2,615.

There are 97 people in hospitals across the province, including 13 requiring intensive care. This is one of the highest numbers of hospital admissions that Alberta has seen since the start of the pandemic.

Hinshaw said 41 per cent of the hospitalizations were due to acute care outbreaks at Foothills Medical Centre in Calgary and Misericordia Community Hospital in Edmonton.

“We’re watching our province’s health system carefully to ensure that hospitalizations and ICU admissions remain within our province’s capacity,” said Hinshaw.

No new cases of the novel coronavirus were identified among patients at Foothills Medical Centre over the weekend but one health-care worker tested positive.

In total, 45 patients, 37 health-care workers and five visitors have tested positive in connection to the outbreaks at several units of the hospital.

There were no new deaths to report at Foothills Medical Centre, though Hinshaw mentioned the 11th patient who died which was reported by AHS on Friday.

Three other Albertans died over the weekend, including a woman in her 70s from the Edmonton zone, a woman in her 60s linked to Lifestyle Options Terra Losa outbreak in Edmonton and a woman in her 50s linked to Millwoods Shepherds Care Centre in Edmonton.

The death toll now sits at 286.

“Any death, at any time, for any reason is devastating for those who are grieving the loss of a loved one. It can be especially difficult during a holiday like Thanksgiving, and it’s made even harder by the pandemic, which makes gathering with friends and family more difficult at a time where you need their comfort most,” said Hinshaw.

Over the weekend, Hinshaw posted on Twitter to encourage people to get the flu vaccine this season.

“Starting Oct. 19 people 5 years+ can get a free flu shot at a pharmacy or Dr.’s office. Public health clinics will be for kids younger than 5, their parents and household members; those without an AHC number and those in communities with no other immunizing healthcare providers,” said Hinshaw.

“Influenza coupled with COVID-19 can result in severe outcomes for our senior citizens. We are protecting Alberta’s most vulnerable population by offering, for the first time a high-dose influenza vaccine for residents of provincially funded long-term care beds, who are 65+.”

sbabych@postmedia.com

Twitter: @BabychStephanie

Alberta outsourcing health-care services, axing 11,000 jobs as part of multi-year plan to control spending
Tyler Dawson 

44 YEARS OF THE ONE PARTY STATE OF PROGRESSIVE CONSERVATIVES

AND THEIR AUSTERITY IDEOLOGY RETURN AS A SPECTRE OF ITSELF

AS THE UCP 

© Provided by National Post Health Minister Tyler Shandro.
WHO HAS NO CLUE ABOUT HIS JOB AS HE HAS NO MEDICAL OR HEALTH

EDUCATION NOR EXPERIENCE IN RUNNING LARGE CORPORATIONS

EDMONTON — Even as the COVID-19 pandemic shows no signs of abating, the Alberta government is forging ahead with a multi-year plan for cuts to ancillary health-care services, including privatizing laboratory work and laundry services, with the aim of saving some $600 million annually.

The United Conservative Party has long promised to rein in provincial spending and, by extension, get a grip on health-care spending, which has an operating budget in excess of $20 billion and accounts for 42 per cent of government spending.

The cuts announced Tuesday amount to 11,000 jobs over the next few years, some 9,700 of them from services such as laundry and food preparation, and a further 1,300 care and support staff because of attrition.

Alberta health minister Tyler Shandro said there will be no cuts to frontline medical staff during the pandemic; any job losses to such staff will come as the result of attrition, or under “existing initiatives.”

“This approach will ensure Alberta’s pandemic response remains our top priority,” Shandro said.

The Alberta government sees the latest round of cuts as complementary to another government promise — to tackle wait times, which have grown during the pandemic. Last month, Shandro said they were going to “keep that promise, pandemic or no pandemic.”

The government predicts the changes would save $600 million annually, and savings would be put back into patient care. The cuts would total roughly 2,000 laboratory jobs, 4,000 housekeeping jobs, 3,000 food service jobs and 400 laundry jobs.

HOUSEKEEPING IS THE LAST LINE OF DEFENSE IN  THE PANDEMIC

THEY ARE ESSENTIAL WORKERS IN A SPECIALISED CLEANING JOB

FOOD SERVICE IS PERSONAL AS WELL, FOOD WOULD BE CONTRACTED OUT TO AN EXSITING COMMERCIAL SERVICE LIKE ARAMARK

Shandro said 68 per cent of laundry services and 70 per cent of laboratory services are already contracted out. The cuts to housekeeping and food preparation won’t come until Alberta Health Services (AHS) develops a business case for each, due in 2022 and 2023, respectively.

THERE IS NO SAVINGS WHEN WORKERS ARE CONTRACTED OUT AS THE CONTRACTOR INCREASES COSTS ANNUALLY, WHILE NOT PASSING THOSE BENEFITS ON TO ITS WORKERS

Second wave reaches western Canada as Alberta sees surge of COVID-19 cases
Alberta outlines government-wide strategy for attracting new investment to province

“This looks like, really, standard-type management reorganization within the health-care sector,” said Rosalie Wyonch, a policy analyst at the C.D. Howe Institute. “It’s not so much that there’s now $600 million that can be spent elsewhere, it’s that this action will prevent $600 million being spent.”

Dr. Michael Rachlis, a professor at the University of Toronto in the Dalla Lana School of Public Health, said it’s possible the initiative will save money, but there are catches.

“Without a detailed analysis we don’t know if there’s actually going to be money saved or not. AHS will still be paying for laundry, it just won’t be done by AHS employees,” Rachlis explained.

Any cuts to health-care services or changes to health care more broadly, have become a flashpoint during the COVID-19 pandemic.

Shandro has been involved in acrimonious negotiations with the Alberta Medical Association regarding physician pay and extra billing. There has also been a substantial back-and-forth between the government and doctors about whether or not physicians are absconding to sunnier pastures.

As well, the province has a plan to allow private surgical clinics to try and clear out a backlog of surgery patients, another promise of the UCP.

“Is there any evidence that privatizing the surgery would save any money? It might, but there’s a compelling case that suggests it might not,” said Rachlis.

The Alberta government, according to its August fiscal update, spent $2.5 billion on its pandemic response.

John Church, a professor of political science at the University of Alberta who studies health policy, pointed out that the push for more private medical treatment in the province “isn’t new for Alberta.”

“The tactical advantage here is that they’re counting on a population that has bought into the ideology that they’re pitching. And historically, they’re actually fairly accurate,” Church said.

The New Democrat opposition party has repeatedly attacked Jason Kenney’s government for moving towards what they see as “American-style” private health care.

NDP leader Rachel Notley, called the Tuesday health-care cuts “completely irresponsible.”

With files from the Edmonton Journal and The Canadian Press

Alberta government to cut up to 11,000 health-care jobs

EDMONTON — The Alberta government will cut up to 11,000 jobs at Alberta Health Services to save money — a move the Opposition says is cruel and will create chaos in the health-care system.

© Provided by The Canadian Press

Health Minister Tyler Shandro made the announcement Tuesday at a news conference in Edmonton, noting that nurses and front-line workers will not lose their jobs during the COVID-19 pandemic.

Some of the cuts will come from further contracting out of laundry and lab services, with possibly housekeeping and food services also being outsourced in the future, he said.

A minimum of 100 management positions will also be eliminated and there will be a review of senior executives before the end of the fiscal year.

The government estimates the move will save up to $600 million a year.

"Given the circumstances that Alberta faces, this approach strikes the right balance between the two unprecedented challenges we face as a province — on one hand the response to the pandemic, and on the other hand the fiscal responsibility we face as Albertans," Shandro said.

He said that every dollar saved will go into patient care to improve the health-care system.
CONTRAC5ING OUT DOES NOT SAVE MONEY

But Opposition NDP Leader Rachel Notley said Premier Jason Kenney is intent on bringing American-style health care to Alberta.

"These plans are cruel. They are irresponsible and they are stupid," Notley said at a news conference. "They will create nothing but chaos throughout health-care institutions across this province."

Notley said people who do housekeeping, prepare food and provide laboratory services are front-line workers in every way, and forcing them out to seek lower paying jobs in the private sector is unconscionable.

"It is a turning point in Alberta history," she said.

"I think that all Albertans are going to be very, very upset because this is the exact opposite from what Jason Kenney committed to Albertans when he asked them for their vote."

An official with the United Nurses of Alberta (UNA) said Shandro's promise that the layoffs won't affect front-line workers does not seem sincere.

"There is nothing to prevent this government from prematurely declaring the pandemic to be over whenever it pleases, so this is a relatively meaningless promise," said David Harrigan, labour relations director for the UNA.

"Stability in the midst of a pandemic won't be achieved by short staffed hospitals and burnt out health care workers."

Dr. Verna Yiu, president of AHS, said the pandemic is the single-greatest public health challenge the agency has ever faced.

"The pandemic is not over. It is far from over," she said at a news conference Tuesday.

"We must also continue to evolve the health-care system so that it is financially stable now and into the future."

The cost-cutting measures received the endorsement of the Canadian Taxpayers Federation.
KENNEY USED TO BE THEIR PAID MOUTHPIECE 

"Today's announcement is an excellent step to make Alberta's health-care system more efficient," said Franco Terrazzano, the Alberta director for the Canadian Taxpayers Federation.

"Alberta's businesses do a great job of doing laundry and preparing meals, so this is a no-brainer to help relieve some of the mounting costs to taxpayers."

This report by The Canadian Press was first published Oct. 13, 2020.

The Canadian Press

UK
PM's offshore windfarm plan could bring jobs boost for SW and Wales

Celtic Sea windfarms could mean 3,200 jobs and £682m economic boost for region say business leaders

By William Telford Business Editor, Plymouth Live 6 OCT 2020

Prime Minister Boris Johnson speaking at the virtual Conservative Party Conference (Image: PA)

THE UK TORY PARTY HAS ADOPTED THE ORIGINAL BIDEN CAMPAIGN MESSAGE

The Prime Minister’s windfarm pledge could be a huge economic and environmental boost for Cornwall and the South West, business leaders say.

Boris Johnson wants the UK to generate enough electricity from offshore windfarms to power every home in the nation within a decade.

According to a report commissioned by the Cornwall and Isles of Scilly Local Enterprise Partnership (LEP), 1GW of floating offshore windfarms in the Celtic Sea could support 3,200 jobs in the South West and Wales and £682million of spend in the local supply chain by 2030, powering hundreds of thousands of homes.

In his speech to the Conservative Party virtual annual conference, Mr Johnson pledged to power every home in Britain with offshore wind energy within a decade.

How a floating windfarm could look in the Celtic Sea off the South West and Wales (Image: Statoil)

And he said: “We will not only build fixed arrays in the sea, we will build windmills that float on the sea – enough to deliver 1GW of energy by 2030, 15 times as much as the rest of the world put together.”

The pledge is being seen as a huge boost to floating offshore wind ambitions in Cornwall and the South West, which have been led by the LEP for the past two years.


Apart from Scotland, the Celtic Sea is the only other part of the UK where floating wind turbines can be deployed at scale. And November 2020 will see the formal submission of a Cornwall-led £30million-plus funding bid for Government investment to accelerate the creation of a floating offshore wind industry in the region as part of a £64millon project.

The South West Floating Offshore Wind Accelerator project is being led by Wave Hub, the Cornwall Council-owned marine renewables research and technology organisation, in collaboration with the LEP, University of Plymouth, University of Exeter, the Offshore Renewable Energy (ORE) Catapult, A&P Group, Cornwall Council and Plymouth City Council.

It aims to build on Cornwall and Plymouth’s world-renowned excellence in offshore renewables business and research to fast-track the construction of large scale floating offshore windfarms in the Celtic Sea from the mid-2020s onwards.

LEP director Steve Jermy, who is also executive chair of Wave Hub, said: “We’re delighted with the Prime Minister’s support because it recognises the huge contribution floating wind can make to the UK’s renewables targets and the thousands of jobs that would result.

“The deployment of floating wind farms off Cornwall and in the Celtic Sea is something we have been working towards for the last two years.

“We’ve been able to draw on the county’s unique expertise in offshore renewable energy and we are confident that Cornwall can play a leading role in delivering the Prime Minister’s ambitious vision.”

Mr Jermy said plans to sell the Cornwall Council-owned Wave Hub offshore energy test site to a renewable energy project developer by the end of the year meant there could be a floating wind pilot project generating power off the coast of Cornwall as early 2023.

And he said there was the ambition in Cornwall to develop 3GW of floating offshore wind energy in the Celtic Sea by 2030.

Mark Duddridge, Chair of the Cornwall & Isles of Scilly Local Enterprise Partnership

Mark Duddridge, chair of the Cornwall and Isles of Scilly LEP, also welcomed the Prime Minister’s announcement and said: “Our region has huge expertise in offshore renewable energy and one of the best wind resources in Europe in the Celtic Sea.

“What we need now is for some of the Prime Minister’s promised infrastructure investment to come to Cornwall and the South West to upgrade our ports and grid connectivity to we can play a national role in the UK’s green industrial revolution.”

Drystan Jones, Port Operations Director, Falmouth Docks and Engineering Company, part of the A&P Group added: “A&P Group welcomes the Prime Minister’s pledge to ‘build back greener’ with today’s announcement of investment in offshore wind energy.

“We are working closely with local partners to help make Falmouth and the wider South West economy a prime hub for the offshore wind sector, with A&P playing its part to ensure the region has the skills, facilities and capabilities to deliver the construction of floating offshore wind.

“We look forward to future commitments from Government for the South West to help achieve our shared ambitious targets for offshore wind capacity.”

Cornwall is no stranger to renewable energy. It is home to the UK’s first commercial windfarm and has the best solar climate in the UK.

And as well as floating offshore wind Cornwall is pioneering deep geothermal energy to tap the heat in granite deposits five kilometres beneath the earth, and is looking at how lithium can be extracted from deep geothermal brines for use in battery technology to help drive the electric car revolution.

Only last month the LEP announced it was supporting a £4million project to build Europe’s first geothermal lithium recovery pilot plant using investment it has secured from the Government’s Getting Building Fund. The project is a collaboration between Cornish Lithium and Geothermal Engineering Ltd.

Dr Adam Marshall, director-general of the British Chambers of Commerce (Image: Coventry Telegraph)

Adam Marshall, director general of BCC (British Chambers of Commerce) said: “The Prime Minister’s ambitious commitment to clean, renewable energy will be appreciated by our business communities.

“Chambers in our coastal regions have been clear that offshore windfarms must integrate local firms into supply chains to support investment and jobs. This will be even more critical as local business communities try to restart and rebuild following the pandemic.

“Decarbonising electricity generation is crucial to the UK’s future, but it won’t happen without a route map that gives investors confidence. The Energy White Paper needs to be published.”

Gail Cartmail , assistant general secretary of the union Unite, said: “We welcome the prime minister’s conversion to offshore windfarms, but what it reveals is the poverty of ambition compared with France and Germany.

How to contact William Telford and Business Live

“The spending proposed by Boris Johnson pales into significance with the vast sums that our main European competitors have invested in this sector.

“The commitment for 60% of the turbines to be manufactured in the UK only highlights that much more could have been done to invest in this sector and the jobs boost that would have been created.

“The Johnson rhetoric will turn out to be a mirage without a strong economy, retention of skilled jobs and investment in apprenticeships – and this means that chancellor Rishi Sunak needs to continue to do much more to protect employment as we go through the coronavirus pandemic.”

Unite national officer for energy Peter McIntosh said. “What we are waiting for is the Government’s much-delayed energy White Paper which will show how the UK reaches its pledge of net-zero carbon emissions across all forms of energy by 2050. This will include low carbon nuclear and renewables, such as wind power.

“What the prime minister spoke about today is only a partial picture of what needs to be done to keep the lights on for industry, business and the consumer.”

Business Live's South West Business Reporter is William Telford.
He is based in Plymouth but covers the entire region.
William has more than a decade's experience reporting on the business scene in Plymouth and the South West.