Skip to main content

Provincial public sector wage increases less than private sector for fourth year

For the fourth consecutive year in a row, wage settlements in the broader provincial public sector (covering public sector workers who do not work for federal or municipal governments) fell below the wage settlements in the private sector.  

In 2013, provincial public sector wage settlements averaged about 0.3% annually compared to a private sector settlement average of 2.3% according to Ministry of Labour data.  

That is a whopping 2 percent gap.
In 2010 the gap was small, as provincial public sector settlements came in at just under 2% and private sector settlements came in at just over 2%.  With provincial public sector settlements trending downward since 2010 (1.4% in 2011, 1.1% in 2012, and 0.3% in 2013) the gap with the private sector has grown. 

Compared to inflation, provincial public sector settlements are far behind.  

                                     2010                  2011                  2012                   2013
P.S. Settlements            1.9%                  1.4%                   1.1%                  0.3%
Ontario Inflation               2.4%                  3.1%                   1.4%                  1.1%

This suggests a  significant decline in the standard of living for these workers over a fairly short period of time. 

This despite significant growth in the Ontario economy over the same four year period. (Indeed, even if we go back to include 2008 and 2009, when the economy went into recession, there has been significant growth in the Ontario economy.)

Municipal and federal public sector settlements have also done better than provincial public sector settlements, although in 2013 every part of the public sector -- federal, municipal, and provincial -- saw settlements that fell short of private sector settlements.

Photo: Toronto CTV News


Popular posts from this blog

Health care funding falls, again

Real provincial government health care funding per-person has fallen again this year in Ontario, the third year in a row.  Since 2009 real funding per-person has fallen 2.6% -- $63 per person. 

Across Canada real per person funding is in its fourth consecutive year of increase. Since 2009, real provincial funding across Canada is up $89 -- 3.6%.
In fact the funding gap between Ontario and Canada as a whole has gown consistently for years (as set out below in current dollars).

Ontario funds health care less than any other province -- indeed, the province that funds health care the second least (B.C.) provides $185 more per person per year, 4.7% more.  
Provincial health care spending in the rest of Canada (excluding Ontario) is now  $574 higher per person annually than in Ontario. 

 Ontario has not always provided lower than average health care funding increases-- but that has been the general pattern since 2005.
Private expenditures on health care have exceeded Ontario government increases …

Ontario long-term care staffing falls far short of other provinces

CUPE and others are campaigning for a legislated minimum average of four worked hours of nursing and personal care per resident per day in long-term care (LTC) facilities.  New research indicates that not only is LTC underfunded in Ontario, it is also understaffed compared to the other provinces. 
LTC staffing falls short:  The latest data published by the Canadian Institute for Health Information (and based on a mandatory survey undertaken by Statistics Canada) indicates that staffing at long-term care (LTC) facilities falls far short of other provinces. 
Part of this is driven by a low level of provincial funding for LTC.

Ontario has 0.575 health care full-time equivalent employees (FTEs) per bed staffed and in operation.[1]  The rest of Canada reports 0.665 health care FTEs.[2] The rest of Canada has 15.7% more health care staff per bed staffed and in operation than Ontario.[3] 

No other province reports fewer LTC health care staff per resident (or per bed) than Ontario.[4]

Occupancy r…

More spending on new hospitals and new beds? Nope

Hospital funding:  There is something off about the provincial government's Budget claims on hospital capital funding (funding to build and renovate hospital beds and facilities).   

For what it is worth (which is not that much, given the long time frame the government cites), the province claims it will increase hospital capital spending over the next 10 years from $11 billion to $20 billion – or on average to about $2 billion per year.  But, this is just a notional increase from the previous announcement of future hospital capital spending. 

Moreover, even if we did take this as a serious promise and not just a wisp of smoke, the government's own reports shows they have actually funded hospital infrastructure about $3 billion a year over the 2011/12-2015/16 period.

So this “increase” is really a decrease from past actual spending. Even last year's (2016-17) hospital capital funding increase was reported in this Budget at $2.3 billion - i.e. about 15% more than they have ann…