Thursday, January 15, 2004
Calgary's News & Entertainment Weekly
FFWD Weekly
NEWS
by Amy Steele
Alberta workers missing out on hot economy, says report
Alberta workers haven’t been benefiting as much as they should be from Alberta’s good economic times, says a new report put out by the Alberta Federation of Labour.

The report, called Running to Stand Still, written by AFL researcher Tom Fuller, says real hourly wages (which factor in inflation) for Albertans actually declined by 0.1 per cent between 1992 and 2002 and real weekly earnings declined by 0.1 per cent in the same time period according to Statistics Canada. During the same time, the province’s economy rapidly grew.

"We’ve just gone through one of the greatest booms in Alberta history. My question was what happened to Alberta wages in that time? The answer is not much," says Fuller. "We’re more productive. We have more people working as a percentage than anywhere else in Canada and people aren’t making more money."

Fuller argues that government labour policy is largely responsible for stagnating income levels. He cites the fact that Alberta’s minimum wage is the lowest in the country as an example of a policy that negatively affects workers.

"The minimum wage helps to drag down the entire labour market," says Fuller.

Fuller says government labour policy also makes it difficult for unions in the province. Alberta has the lowest level of unionization in the country at 25 per cent of the workforce and Fuller says this impacts wages because unionized workers tend to be paid more, which leads to higher wages for non-union employees.

"When times are good you’re supposed to make some gains. What happens to us next time the provincial economy takes a downturn?" he asks.

Dorothy Schreiber, of Alberta's Ministry of Human Resources and Employment, says Alberta's hourly wage is higher than the national average and Alberta has the highest level of employment in Canada.

"The government doesn't control wages and salary. The market does that," says Schreiber.

The only thing government controls is the minimum wage but Schreiber says only 1.1 per cent of Albertans earn it, which is lower than the national average.

"The Alberta labor laws are fair and balanced. Albertans are free to join a union. The Alberta Labor Relations Code balances the needs of employers and employees."

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