OPSEU Local 596

The McGuinty wage freeze is not a “freeze” at all. Even though the number on your paycheque stays the same, the buying power of your dollars is falling. The wage freeze is really a cut equal to the rate of inflation. And the money you lose during a two-year wage freeze is a permanent reduction that will cost you money every year you work. It’s easy to find out how much income you will lose if your workplace is affected by the wage freeze.  Click on the link below, enter what your annual income will be on the last day of your current collective agreement (Year Zero).

Wage Freeze Calculator

Sisters and Brothers:

I am sending you the attached letter that I received recently from Finance Minister Dwight Duncan.   As I said in an earlier email, I will continue to let you know about developments related to the province*s wage freeze policy.

A few quick points about the letter:

-         You will see that the government*s point person on the economy has yet to address our Invest in Ontario campaign.  He is silent on the complete folly of trying to shift  $ billions from your well-earned pay straight into tax cuts for huge profit-making banks and corporations.

-         Minister Duncan seems to have written to me in an effort to explain away the government*s failure to achieve an effective dialogue with unions and employers on the critical funding needs of the services you deliver.

-         Your union, as always, will be promoting two vital things in the months ahead – namely the right to free collective bargaining and our intention to continue with normal negotiations procedures and secondly the urgency of the province making the necessary investments in front line services to ensure Ontario communities and healthy and safe for everyone.

If you feel the way I do, you can share your thoughts with the Minister at:   Ministers.Mail@ontario.ca .

You can bet that I will be responding.

In solidarity

Warren (Smokey) Thomas
President

M r. Warren Thomas
wlhomas@opseu.org

Dear Mr. Thomas:

Thank you for your participation in the recently concluded consultation sessions on public sector compensation . The purpose of these consultations was to make our partners aware of our fiscal challenge in a detailed way , clarify compensation policy, and discuss solutions towards achieving collective bargaining outcomes of no net
increases to compensation for two years . As I’ve said before, we all share the vital goal of protecting
public services at a time of fiscal and economic challenge.

Given the complex and decentralized character of public sector bargaining in Ontario , we knew from the outset of these talks that the process would be difficult and time – intensive . There exists no long-standing forum in this province to bring together public-sector partners for a conversation about compensation . This meant that all of us at the tables would be navigating relatively uncharted territory. But while the configuration of discussions may have been complex and relatively unfamiliar, our government’s objectives through this process have always been straightforward and clear: to work with our broader public sector partners to provide the key services on which Ontarians rely.

I am grateful for the input that was provided by employer and union leaders alike during these sessions, and for your willingness to gain a greater understanding of the fiscal realities driving the government’s position . All parties – government, employers and unions, and taxpayers – now have a better understanding of each other’s expectations
and of the current fiscal challenge.

As you know, the fiscal plan provides no funding for compensation increases for two years in future collective agreements . The consequence of this fiscal reality is clear: we will not transfer any additional funds to accommodate incremental compensation increases.

Since we took office in 2003, our government has consistently invested in key public services.  These investments have created jobs and growth in your sectors – sectors that had been neglected for too long.  Our strong relationships with our partners has been beneficial to all of us: the government has been able to improve service delivery, Ontarians have benefitted from receiving those services, and our public sector partners have benefitted from being able to deliver those services in better work environments.  Now, the Province of Ontario is emerging from a deep global recession.  Our government to ok action to create jobs and protect those key public services that we have all rebuilt together.

This government has never said that the fiscal situation was the result of public sector workers. But we cannot ignore the simple fact that 55 percent – or more than $50 billion – of all government program expenses go to compensation, either directly or through transfers. While the government has undertaken several expense management initiatives, we can only manage the deficit by also addressing the single biggest line in our budget – public-sector compensation.

Everyone who is paid through taxpayer dollars is being asked to do their part in achieving this objective on behalf of Ontarians.  For non – bargaining employees, compensation structures have been frozen for two years.  The freeze on salaries of Members of Provincial Parliament was extended to three years.

Ontarians value and appreciate the contributions of those who deliver their public services and they also expect much from all of us.  They expect us to provide support for their education, health care, businesses and families.

Now that the talks have concluded, we remain committed to respecting existing collective agreements. We expect all parties to continue recognizing the fiscal situation facing the province and to continue to seek ways to comply with the
Policy Statement in the context of their own individual collective bargaining. Together,  we will grow the economy, create new jobs, attract new investments, and eliminate the provincial deficit.

Once again, thank you for your participation in the consultation process.

Sincerely,
Dwight Duncan
Minister

OPSEU members know that Premier Dalton McGuinty’s wage freeze isn’t a “freeze” at all — it’s really a cut in pay equal to the rate of inflation. But not many members have actually sat down to figure out how much the freeze will cost them and their families.

Now, with our new online wage loss calculator, it’s easy. Please visit www.stopthewagefreeze.ca. You’ll find information on how much you’ll pay and where your money is really going. Once you know how much you’ll lose, you can send the result in an e-mail to your MPP. Just type in your postal code and hit “send.”

The Annual General Meeting of the Ontario Liberal Party happens this weekend. The time is now to send a strong message to Dalton McGuinty that his unfair wage freeze is just plain wrong.

In solidarity,

Warren (Smokey) Thomas
President, Ontario Public Service Employees Union