What's Wrong With This Country – Part 1

Although we are in the throws of the worst economic meltdown in close to a century, the federal government, has failed to provide any assistance for those workers who have lost, or are about to lose, their jobs. Since the mid-nineties, the federal government, mainly under the Liberals, has racked up one “surprise” budgetary surplus after another. The former Liberal government, in effect, converted the EI program into a hidden payroll tax, and used the excess funds to pay down the deficit. Although the Supreme Court agreed that this was the case, in its recent ruling, it stated that the federal government would not be required to return the money to the taxpayers. This was a fortunate result for the current Conservative government led by Stephen Harper, who since taking office, has given away $190 billion in tax cuts, mainly to the wealthy, and spent another 14 billion dollars in debt reduction. This has essentially left the government without resources to deal with the current economice downturn and subsequent job losses.

There has, as a result, been a very significant cost to Canadians, especially to those who are being forced to depend on the Employment Insurance scheme. In 1996, Canadians were sold on the idea that the program was a waste of taxpayer dollars and discouraged claimants from seeking work. This led to a “reform” of the EI system. The problem is that now, when it is really needed, only 40% of unemployed workers will qualifiy for benefits. The current maximum payout is $435 per week for a maximum of 45 weeks. Unfortunately few of the unemployed qualify for the maximum, and the average payout is only about half of the maximum. Further, in real terms, adjusted for inflation, there has been an almost 30% reduction in benefits since 1996. The situation is worse for working women who make up the bulk of part time workers in this country and seldom qualify for any benefits at all.

Employment Insurance is not now, nor was it ever intended as a welfare scheme. It was meant as a contingency fund for employees who found themselves without a job during the course of their careers. It was paid for by the employees and the companies that they worked for. The money collected ought never have been used as a part of the governments general revenue. Had the system been properly, and honestly managed the program would have had a surplus in the order of $54 billion. A surplus that Canadians facing the loss of their jobs, would have had available to draw on. Instead of dealing with this issue, the current federal government continues to pocket this surplus. The Conservatives have however, suggested the implementation of a new crown corporation that would set up a new financing structure and set the future rates for the Employment Insurance program. This will be cold comfort to those who are being forced onto the unemployment lines.

Conservatives Fail on Economic Front

“Tories pledge protection for embattled oil sands - Coalition Threat”
The headline above appeared on Saturday, December 06, 2008 in the National Post. This commitment comes on the heels of the announcement last week, that the Canadian economy had lost 71,000 jobs in November. The bulk of the losses, 90% were incurred in Ontario. Of these, 38,000 were in the manufacturing sector. Manufacturing job losses since 2002 have totalled 388,000, according to Statistics Canada . If there ever was an industry in need of attention during these tough economic times it is manufacturing. In the same report, Alberta got off fairly lightly with losses of 3,700 jobs. Yet, Natural Resources Minister Lisa Raitt, has chosen to highlight the threat of damage to the Alberta Oil Sands industry should the Coalition gain power. This is the sort of direction from the Federal Government will only serve to accentuate the regional differences opened by Stephen Harper last week. It also highlights the need for Parliament to be in the House and dealing with the pressing issues that are laying waste to the economy of the country. Clearly, Harper's Conservatives are fixated on the need to hang onto power with their divide and conquer methods, and will not deal with the issues of ordinary Canadians even though our economy is headed for the ditch.

What's Wrong With the Right

Stephen Harper's quest to destroy the opposition and make the Conservative Party the natural governing party of Canada, is wrong on many levels. In pursuit of his goal, he seeks to limit discussion, and dissent in our government. If there is no avenue for differing viewpoints, in government, we are left to assume our society needs no improvement.

We are left to accept the status quo. There is no need for change. His party leaves the impression that the most noble goal of government is the reduction of taxes. There is no need or requirement to improve the general welfare of the people. Minimal efforts in the areas of infrastructure and its maintenance and improvement are laudable goals. Rather than improving the social safety net, for those who find themselves in need, the dismantling of these systems ought to be the goal. Environmental concerns may be swept under the rug of cost control, and business efficiency.

Most of all, he would take away the desire of the people to dream of something better.

Fear and Loathing of the Bloc and a United Left

With a Coalition of the Liberals and New Democrats, now on the verge of forming a government, significant numbers of talking heads and assorted pundits in the media, are expressing concern, outrage, or suggesting that the support is tantamount to sedition. Further, there seems to be a fear of admitting that a significant portion of the Canadian electorate happy with the current turn of events. One of the issues used by pundits, is the inclusion of the Conservative talking point decrying the use of the Bloc to shore up support for this government in waiting. One particular point of view that I have not heard explored in any detail is why Gilles Duceppe, and his caucus would sign on to support the Coalition in the first place?

One possible explanation would center around the dismal state of the Party's finances. They, more than any other party in Parliament are dependant on the public funding, that the Harper Conservatives vowed to eliminate in last week's financial statement delivered by Jim Flaherty. Given the circumstances, it is in their interest to protect that funding, until such time as they are able to rebuild their finances from private contributions. Another alternative would be to eliminate the threat of bancrupcy by assisting the other members of the Coalition in eliminating the Conservative threat as much as possible.

Secondly, in polling by Leger Marketing, the Provincial Liberals, led by Jean Charest, are currently enjoying a comfortable lead over the PQ, and appear to be well on the road to forming a majority government after the Provincial Election to be held on December 8th. As a result, the Bloc may have chosen to use support of the coalition as a means of buying time, as it were, to rebuild the fortunes of the Separatist movement in Quebec. Support of the coalition in Ottawa, although it might outrage some hardcore separatists, is more likely to be advantageous than damaging to the party in the long run. In addition, the question of another referendum on Quebec separation any time in the near future remains moot, as there are clear signs that the younger generation of Francophones in the Province appear to regard the issue of independence as an issue of the older generation. Their are signs that the electorate is begining to tire of the entire issue of Quebec independence.

It is also worth noting that support of the coalition offers an unprecedented opportunity for the Bloc to influence the government of Canada without appearing to “Sell Out” to the forces of Federalism in Ottawa, and without actually appearing to be a part of the Government of the day. The prospect of advancing the interests of Quebec by holding the balance of power in a minority situation must have been attractive indeed. Further, they did not have to compromise their leftist ideals by supporting the decidedly right-wing agenda of the Conservatives. The fact that Stephan Dion's tenure as Prime Minister is time limited to next May would allow their base the opportunity to forget that they supported the architect of the last federalist campaign during the referendum in 1995.

Finally, although it flies in the face of the Harperites, perhaps, the Bloc, in light of the economic crisis, doing what they were elected to do, putting the needs of the electorate first and placing the more divisive portions of their platform on hold. To the cynical Conservatives, that would be unfathomable. To this writer, it is clear the only party in the House with no interest in addressing the needs of the Country, are the Conservatives. Their attempts at divide, and conquer politics, and demonization of the opposition, in the current crisis have been shameful.

In light of the happenings in Parliament, it is possible, that Harper in his efforts to destroy the Opposition, may have revived the flagging fortunes of Separatism in Quebec. His monumental arrogance is probably the most destructive force in politics in generations.