The Labour Movement and the Crisis

The Steelworkers are carrying on their historic and very brave battle with Vale-Inco up in Sudbury.  Last week’s huge solidarity rally was a sign that the rest of the labour movement is finally waking up to the threat that this battle poses to all of us.  Imagine a profitable global company like Vale, buying up a precious Canadian resource at […]

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Ontario Budget

Today’s provincial budget continues previously announced stimulus in the short term and projects severe, but largely unspecified, spending restraint in the long term. The most surprising new measure, a lower electricity rate for northern Ontario industry, is of little fiscal significance (costing just 0.1% of the budget). A less surprising measure of potentially greater fiscal significance is the attempt to […]

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Vale’s Striking Fourth Quarter

Vale, the company against which my union has been on strike since July of last year, released its fourth-quarter earnings this evening. This release deflates the company’s rationale for demanding labour concessions and confirms that the strike is hurting its bottom line. Vale wants to eliminate defined-benefit pensions for new employees and drastically reduce the bonus paid to workers when […]

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Work and Labour in Canada

CSPI have just published the second edition of my book, Work and Labour in Canada: Critical Issues. While this is written mainly as a text for university level courses, others may find it useful as a resource on a wide range of labour market issues and trends, including the role of unions. The book can be ordered from CSPI or […]

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Great Minds Drink Alike

Nine days ago, I posted some back-of-envelope math on the proposal to privatize the Liquor Control Board of Ontario (LCBO). Specifically, I noted that keeping its annual profit of $1.4 billion would be worth more than the estimated sale price of $10 billion, which would reduce provincial debt charges by no more than $0.5 billion per year. PublicValues.ca and the […]

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Ontario’s Labour Mobility Act

Earlier this year, the Ontario government introduced a bill to give legal force to recent Agreement on Internal Trade amendments. The usual suspects – the union movement, the Council of Canadians, etc. – requested public hearings. After months of stonewalling, the government announced on December 1 that there would be one day of hearings on December 3. This process was […]

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Canadians for the Employee Free Choice Act

American opponents of the Employee Free Choice Act have tried to use Canadian data to make their case against unionization. This past summer, Jim and I posted some initial responses. This week, York University’s Centre for Research on Work and Society released a collection of articles by Canadian economists (including Jim and me) who support the proposed Act. Our work […]

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Public Sector Workers – The Recession’s Next Victims?

I fear that Tom Walkom of the Toronto Star is bang on when he argues that the next victims of the recession will be public sector workers. http://www.thestar.com/news/canada/article/722505–walkom-recession-s-next-victim-will-be-public-sector As he writes: “The federal government has already signalled plans to get tough with its workers. In Ontario, Premier Dalton McGuinty gave notice this week that the province’s public sector – including […]

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New Growth Model Needed?

Canadian Gross Domestic Product (GDP) fell by 0.1% in August. The decline mainly reflected temporary closures of major oil rigs, mines and mills due to maintenance or labour disputes. This explanation is valid, as far as it goes. However, the broader issue is that more widespread economic growth should be more than offsetting these isolated events. Today’s release reveals a […]

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Vale’s Striking Third Quarter

Vale, the company against which my union has been on strike since July, presented its third-quarter earnings this morning. These figures confirm that Vale does not need the concessions it has been demanding and that the strike is costing it significantly. The company wants to eliminate defined-benefit pensions for new employees and drastically reduce the bonus plan that pays workers […]

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Steelworkers on Extended EI

UPDATE (October 20): The transcript of the hearing described below is now available. . . . Late this afternoon, I had the pleasure of serving on a Parliamentary panel composed entirely of members of the United Steelworkers union.  My co-panellists before the Human Resources committee were Ken Georgetti, CLC President, and Rosalie Washington, a laid-off worker who would qualify for […]

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Capitalism: A Love Story

Last night, I saw the North American premiere of Michael Moore’s latest movie at the Toronto International Film Festival. Ironically, it was held in the Visa Screening Room, which grants preferential access to bearers of Visa Gold, Platinum or Infinite credit cards. (The unwashed masses who use MasterCard, AMEX or lower grades of Visa waited in a separate line.) While […]

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More Clement on US Steel

To my surprise, the Harper Conservatives seem to again be breaking new ground in enforcing the Investment Canada Act. This afternoon, the Industry Minister announced that he is taking US Steel to court for violating its commitments. Back in May, my union argued that the federal government must be prepared to take US Steel to court. Terence Corcoran mocked this […]

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The Economic Crisis and Labour Disputes

Jim has written a couple of posts about “the current mini wave of industrial unrest in Canada.” My union recently joined the fray by striking against Vale Inco. While several prominent strikes have recently captured Canadian headlines, I wondered whether the economic crisis has actually led to more labour disputes. On the one hand, concessionary demands from employers typically provoke […]

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Blame Unions? Try Blaming Employers

Further to my recent post about the current mini wave of industrial unrest in Canada, and who should wear the blame for it… Now we have the latest developments at Air Canada, where the Machinists local has rejected a tentative multi-union agreement which would have deferred Air Canada’s pension contributions in hopes of seeing the company through the recession.  Here’s […]

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When in Doubt, Blame Unions

The economy is in trouble, and millions of people around the world are suffering (in various ways and to various extremes), because of the failure of a deregulated profit-driven private-sector financial industry. I think that statement is largely unquestionable. You would think, logically, that this fact should put the free-market private sector on the defensive.  Ironically, however, the reverse seems […]

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Unionization and Unemployment: My Canadian Ears Are Burning

Three months ago, Anne Layne-Farrar intervened in the US debate about the Employee Free Choice Act (EFCA) with a widely-reported paper and Senate testimony. She used Canadian data to argue that the proposed legislation would eliminate 600,000 American jobs. As many critics have noted, Layne-Farrar works for a corporate consultancy and business funded this piece of research. Readers can take […]

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National Development Banks

The credit crisis, which sharply increased private borrowing costs but reduced government borrowing costs, highlights the potential advantage of having a public agency to finance economic development. The front page of today’s Regina Leader-Post features a report on my union’s letter (full text below) to the Government of Canada about Evraz using its Canadian facilities as collateral to borrow from Russia’s national development […]

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Buy North American

Canadian newspapers have recently been flooded with negative stories about Buy America, largely focussed on a single scandalous incident at a Marine base in California. The potential damage to Canada’s economy has been vastly overstated. To the extent that Buy America shifts US government contracts from offshore suppliers to American manufacturers that use Canadian components, Canada actually benefits. Overall, Obama’s massive […]

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Clement on US Steel

A year ago, the Harper Conservatives blocked a proposed foreign takeover under the Investment Canada Act for the first time ever. Today, they announced an effort to hold US Steel to commitments it made under the Act in taking over Stelco. Here is what I said to the Business News Network, Canadian Press and The Financial Post. The union’s press release follows. […]

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Neumann on the Union Advantage

In an op-ed printed in today’s Toronto Star, Ken Neumann (Canadian Director of the United Steelworkers) outlines how unions provide a better economic deal and more workplace rights for both union members and unorganized workers. Opinion – Even during downturns there is power in a union MARGARET SCOTT/NEWSART Unions not only win better wages but also help weave a stronger […]

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Global Trade Unions Statement to G20

Trade Unions to G20:  Half Measures Will Not Fix Broken Global Economy Brussels, 23 March 2009 (ITUC OnLine): In a worldwide push for action by G20 governments to pull the global economy out of recession and chart a new course for job creation, financial regulation and global governance, trade unions across the world are today delivering a common set of […]

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Worker Ownership of Ford?

While the GM and Chrysler bailouts have prompted discussion of governments taking equity stakes in those companies, Business Week reports that Ford’s effort to restructure without government loans may make the United Auto Workers its largest shareholder. Henry Ford famously said, “Failure is simply the opportunity to begin again, this time more intelligently.” It seems unlikely that worker ownership is […]

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Buy America Op-Ed Round-Up

Jim’s posting of his excellent Globe column prompts me to review Canadian labour op-eds, and responses to them, on the “Buy America” controversy. The CAW’s Ken Lewenza was first out of the gate, writing in The Financial Post (Feb. 3) that Canada should mirror Buy America with its own “Buy Canadian” policy. My National Post op-ed (Feb. 5) argued that such […]

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Steelworkers and the Auto Bailout

As has been widely reported, Ron Bloom from my union’s Pittsburgh headquarters will serve on President Obama’s Task Force on Autos. One might ask why a Steelworker is involved in crafting the automotive bailout. There are at least three reasons. First, during his previous career as a financier, Bloom developed significant personal expertise on the auto industry. Second, while working […]

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The Trade Deficit and Buy Canadian Policy

A standard objection to the Buy Canadian policy proposed yesterday by Canada’s largest industrial unions was that Canada enjoys a trade surplus. Such a policy would allegedly prompt foreign retaliation, erasing our current trade surplus and its contribution to aggregate demand in Canada. This morning, Statistics Canada reported that we actually ran a merchandise trade deficit in December, the first […]

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Steelworkers and Auto Workers, Together at Last

The heads of Canada’s largest industrial unions just presented the following appeal to use government procurement policy to maintain and create Canadian jobs. UPDATE: It seems that Peggy Nash (from CAW) and I (from USW) will be taking calls about Buy America and Buy Canadian policies on CP24, a Toronto news TV station, between 9pm and 10pm on Wednesday. UPDATE (Feb. […]

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