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October 15, 2012 - No. 128

Alberta

No to Mass Layoffs at XL Lakeside!
XL Foods Must Immediately Recall All Its Workers!

Food Safety Crisis Points to the Need for a New Direction for the Economy
No to Mass Layoffs at XL Lakeside! XL Foods Must Immediately Recall All Its Workers!
The Dignity and Rights of Workers and the Right to Safe Food - Peggy Askin
Conflicting Aims at XL Foods - Rita Soto
Call for Overhaul of Federal Policy on Meat Industry - National Farmers Union
"Too Big to Fail" - A Social Policy Researcher

Organize to Hold the Alberta Government to Account!
Balancing the Budget in Whose Interests? - Dougal MacDonald 
Budget Consultations Aimed at Blocking People from Solving Problems - Peggy Morton 


Food Safety Crisis Points to the Need for a New Direction for the Economy

No to Mass Layoffs at XL Lakeside!
XL Foods Must Immediately Recall All Its Workers!

On October 13 XL Foods announced that it was laying off 2,000 of the 2,200 workers at the XL Lakeside meat packing plant in Brooks, Alberta. The company announced that the layoffs were effective immediately and workers were left completely in the dark as to when they would be recalled.

The next day, on October 14, XL made a further announcement that it would recall 800 of the laid off workers, leaving 1200 workers on layoff. The announcement came after the Canadian Food Inspection Agency (CFIA) stated that it will only be able to complete its review of the plant's procedures after work resumes. News reports indicate that the 800 workers are temporarily being recalled for one day so that XL can demonstrate that it is meeting the CFIA's requirements.

The Canadian Food Inspection Agency (CFIA) suspended the plant's licence on September 27.
It has to date permitted only processing of the carcasses already in the plant when it was shut down. Further review of the plant's procedures and CFIA approval is required before the plant is permitted to resume normal operations.

The layoffs are an intolerable action on the part of the owners of XL. The workers are not the ones responsible for the conditions which gave rise to the Escherichia coli (E. coli) outbreak at the plant. In no way should they or the public have to bear the burden. Not only did XL lay off the workers, but there is every indication that XL's actions were those of a hooligan trying to use the workers as a bargaining chip with the CIFA.


Lakeside strike in Brooks, Alberta, July 2005. (UFCW)

Prior to the layoffs, the Lakeside XL workers were already losing one day's pay per week for the last three weeks because XL refused to provide a guarantee of full-time hours in the collective agreement. Meanwhile, probationary employees who are the most vulnerable have not been paid at all. Now 1,200 workers are still facing an uncertain future and the uncertainty that XL could issue more layoffs in the future. Making the situation worse, there is next to no other employment in town. Furthermore, 700 of these workers are temporary foreign workers. They do not have the option to go and find another job as they can only work for an employer who has an active Labour Market Opinion (LMO). The layoffs also affect the community as a whole. Brooks has a population of only 13,500 and with 2,200 of the people in the town working at XL, local businesses and the community are severely affected.

"I'm as shocked as I'm sure the rest of the workers are," said Doug O'Halloran, President of United Food and Commercial Workers (UFCW) Local 401 which represents the XL workers. "It's a very difficult time for them because most people live paycheque to paycheque," he said.

TML denounces this act of brutality against the XL Lakeside workers and calls on everyone to stand with them and demand that they be immediately recalled. If the company were sincere about its apologies and declarations about food safety, it would use this period of time to organize meetings with the workers through their union to hear from them about the changes which need to be made. It would conduct further training on food safety and sanitation as the union has proposed. Why does the CFIA not have the authority to direct the company to take these measures instead of treating the workers as expendable and making them pay for the company's irresponsibility? Why does the CFIA not have the authority to order XL to slow down the line to a pace where workers can work safely and maintain proper sanitation? It is not acceptable!

The Harper government which also has responsibility through its refusal to properly fund the CFIA and provide the level of inspections required must also be held to account for its refusal to defend the workers and the community. So far its only response has been to indicate that Service Canada workers will be on site to help workers fill out EI forms. This is not an acceptable solution. Why should EI pay and not the company? The Harper government is responsible for holding the company to account. It could do so by charging XL for the entire expense of looking after the workers and providing their full wages. It should then amend the new Food Safety Act to actually address food safety, including a requirement that in the event of a shutdown of a plant for reasons of food safety, the monopolies will be required to continue to pay their entire staff and use the time to address workers' concerns about working conditions that impact food safety and to conduct training and protocol reviews. A new Food Safety Act should provide the authority to inspectors to reduce line speed to ensure workers' safety and food safety.

No to Mass Layoffs at XL Lakeside!
XL Foods Must Immediately Recall All Its Workers!

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Consequences of Monopoly Right for Canadian Food Supply

The Dignity and Rights of Workers
and the Right to Safe Food

On October 10 the United Food and Commercial Workers Union (UFCW) Local 401 representing the 2,200 workers at the XL Foods cattle processing plant in Brooks, Alberta held a news conference to discuss the measures needed at the XL Lakeside plant to ensure food safety. Doug O'Halloran, president of Local 401 was joined by Gil McGowan, president of the Alberta Federation of Labour (AFL) and Brian Mason, leader of the Alberta New Democrats. The main theme that emerged from the news conference was that the rights and dignity of the workers at XL are a crucial element in ensuring a safe food supply for Canadians.

Doug O'Halloran led off the news conference by calling for a public inquiry. He commented that "We do not think the government can conduct the inquiry. We think they are part of the problem. We need XL to be more truthful and forthright. XL cannot self regulate, nor can other companies. As far as the Canadian Food Inspection Agency [CFIA] goes, we are not complaining about the inspectors. We think the inspectors do a good job with the tools they have. There are not enough inspectors, and the other problem is, it appears they do not have the authority to shut down the line if they think there is a case of contamination... It is important that we recognize who the culprits are here. It is the federal government that has cut back funding and continues to cut back funding. Under the present conditions the CFIA cannot be trusted as well to do the job for food safety."

The union concluded that XL foods has consistently refused to take responsibility for the danger to the health and safety of Canadians and people all over the globe who purchase beef processed at the plant. The union provided XL with a list of their concerns including line speed, sanitation and training, as it has done in the past. Once again, the owners of the plant, the Nilsson Brothers, have refused every attempt by the union to meet with the company to discuss these concerns which impact food safety.

O'Halloran brought out the reality of work at Lakeside. A worker on the line makes 3,000-4,000 cuts a day. The line speed is 300-400 carcasses per hour, which means a few seconds for each carcass. The repetitive stress is very hard on workers' hands and arms. But it is also not enough time to ensure proper sanitation. "You can replace all the aluminum and stainless steel you want in a plant but if you don't give the workers the tools to perform the job properly we are not going to solve this problem," he said. "Lakeside you have one chance to get this correct. We think you have the opportunity now and you are spending lots of money but you are not listening to the people who are most important when it comes to food safety -- the workers who are doing the job....."

O'Halloran also called for whistle blower language in the collective agreement so that workers can come forward freely and state their concerns. He pointed out that the union tried to get this language in negotiations but the company would not agree to it at all. "We have whistle blower language in the oil industry but we can't get it in a packing plant."

Gil McGowan, president of the AFL spoke about changes that must take place with the employer and at the federal and provincial government levels. "From our perspective after speaking with the workers in the plant, the situation will not be fixed over the long term unless there is a more fundamental change in the employers' approach to food safety culture. The culture at XL is to put quantity over quality and until that changes we are going to struggle with these problems [...]." McGowan also emphasized the need to address line-speed, training, and workers' safety as well as whistle blower legislation.

McGowan said his message for the federal government and Prime Minister Stephen Harper is that "their cuts are making us sick." He also raised that, "The issue of food safety did not just start with the Conservative government. It started with the Liberal government before them, which moved the issue of food inspection from the health department, where we think it should be, to the agriculture department. The Conservatives moved one step further with a sweeping approach towards self-regulation. The CFIA inspectors spend a large amount of time doing paper audits, based on reports from quality control staff who work for the company. This is a conflict of interest. Government should be regulating in the public interest."

Brian Mason, Alberta NDP leader concluded the press conference by raising the issue that the Alberta provincial and federal governments share a philosophy that less regulation is better and that you can rely on self regulation by corporations as a means of saving costs and still have the outcomes you want achieved. What has happened at XL is a good example of how that philosophy has failed,  he said. "It has not only failed consumers but those who work in the industry, workers in the plant, and those who work upstream and downstream and also many small family farms, and many who work in the beef industry," Mason added. He also made the point that it is a serious error on the part of the premier of Alberta to act as a cheerleader for the beef industry. While meat was still being recalled, Alison Redford was telling people to buy and eat Alberta beef. Standing up for the producers means insisting that the federal government do its job and adequately inspect beef so that this type of thing does not happen, he said.

Two days later, Redford rejected calls for a public inquiry into the Escherichia coli (E. coli) food poisoning and the international beef recall. Her comments came at the same time as CFIA announced that limited processing would resume at the XL plant. "Every single time that something doesn't go well, we don't need to have a public inquiry," she said. Premier Redford is certainly not going to inquire as to the role of the Tory government in handing over public funds to XL to further its domination of the beef industry, or the failure of governments to restrain this arrogant monopoly and defend the public good.

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Conflicting Aims at XL Foods

It is not every day that the representatives of the workers are accorded more than a few seconds' sound bite on the national news. But no sooner had the press conference organized by Local 401 United Food and Commercial Workers (UFCW) representing the XL workers concluded, and before people had any time to reflect on the important issues they raised, an "expert" was introduced to declare that the union's stand was just rhetoric. There is no point in assigning blame or pointing fingers and saying management is responsible, he said. But it turned out it was only those who have the power who should not have to endure any finger pointing. The Harper government, the Redford government and the Nillson Brothers who own XL were the ones exempt from criticism.

The "expert" then heaped blame on the production workers and the inspectors. What is the "psychological" change that happens when workers go from their homes to the plant where they do things they would never do at home. Why don't the workers just work at their own pace, he asked. The inspectors should have known, they must have been complacent, and so on.

A true safety culture is when the workers have the power, he said. But the very last thing the "expert" wanted to deal with was the relations of production or who holds the power. Instead he blames the workers who he said have an attitude problem! It isn't that they are forced to work at a relentless pace to feed the insatiable greed of the owners of capital. Never mind that 700 of the workers are temporary foreign workers whose only chance for permanent residency is through the company-driven provincial nominee program. Or that many others are refugees from U.S.-led wars of aggression and occupation. Still others came to Brooks from all over Canada because their communities have been devastated by neo-liberal globalization and the wrecking of manufacturing, first when the cod fishery was destroyed by monopolies seeking a quick buck, and then from all over Canada. Workers have relocated and many have brought their families to Brooks, a town of 13,500 where 2,200 workers are employed at Lakeside XL. It's the only major employer in town.

The answer, the "expert" pontificated, lies in everyone working together. This is all very well, but what is the block to "everyone working together?" Without identifying the block, such a statement becomes meaningless. Is the block not that the workers, farmers and Canadians who want a safe food supply have contradictory aims from the owners of XL? For the owners of XL and all the other agri-business monopolies, the only thing that matters is their egocentric aim to become richer and grow their capital as fast as possible. In this pursuit XL owners are pursuing greater ownership and control over all aspects of beef production. They demand an ever-increasing share of the added-value created by the workers at the plant and by the farmers who raise beef cattle. Only the organized collective resistance of the workers places limits on the reckless speed up and reign of terror exerted on the workers through constant firing of workers and other means.

Workers have their own aims and objectives which come into a fierce clash with monopolies like XL. They have rights as the producers of wealth. But XL owners claim that the workers are nothing but a cost of production and refuse to recognize their rights. Why can a mutually beneficial arrangement not be established?

Workers are demanding an end to the temporary foreign worker program on the basis of opposing indentured servitude and demanding equal status for all. Lakeside workers have fought for wages and working conditions commensurate with the hard work they do and their right to live with dignity. Farmers are also fighting the domination of monopolies like XL whose vision of the countryside resembles Arkansas under Tyson Foods. They share a common cause with the workers.

The solution does not lie in demanding that the workers serve the aims of XL, but that these rapacious monopolies be restricted. Far from handing over public funds to assist XL and others to extend their stranglehold over an important aspect of the economy, they must be restrained. Alternatives like farmer/worker co-operatives should be established on the basis of recognizing the rights of all whose hard work creates the wealth.

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Call for Overhaul of Federal Policy on Meat Industry

The National Farmers Union is reminding policy makers about its analysis of the beef sector, including 16 recommendations outlined in our 2008 report, The Farm Crisis and the Cattle Sector: Toward a New Analysis and New Solutions. Problems related to the beef sector that we identified then have only become more severe.

News that E. coli O157-contaminated beef sold by the XL Foods plant has sickened people from Vancouver Island to Newfoundland, and that the USA and Hong Kong are now recalling beef produced at the plant, provides a clear message that Canadians need to re-envision federal meat inspection and food safety policies. We need to rebuild the system so that it works for farmers and consumers.

A good place to begin is by implementing recommendations outlined in the NFU report, such as:

- restraining packer power by reversing concentration and decoupling vertically integrated packers;

- tailoring food safety regulations to encourage local abattoirs that could serve markets in every region; and

- building collective cattle marketing agencies that will ensure an efficient, fair and transparent market for both buyers and sellers.

Federal policy focused on production for export has encouraged high through-put plants that compete by cutting costs and ramping up production. Most of Canada's regional meat packers have shut down as the biggest companies grew via take-overs and by becoming vertically integrated. The Competition Bureau did not stop Cargill from purchasing Better Beef in Ontario in 2005, nor did it prevent XL from taking over the plant in Brooks, Alberta from Tyson in 2009, allowing these two companies to virtually corner the beef market in Canada.

Today XL and Cargill process well over 80% of the beef produced in Canada. Each company is able to exert control over the price of livestock. On any given day, they can decide whether to buy at auction, through contracts that allow the company to control both the price and the timing of slaughter, or in the case of XL, to just kill animals from its own herds. This is called a "captive supply" system. Nilsson Bros. Inc., owners of XL Foods, also owns most of the auction markets in western Canada.

The results? Cattle producers now have very few options when it comes to selling. Consumers have little awareness of how much of the beef they eat comes from just one plant, at least until the recall shone a light on the extent of XL's market reach. Today's highly concentrated beef processing sector makes both farmers and consumers vulnerable, while the pursuit of private profit takes precedence over protecting consumer health and public interest.

Canadians, including farmers, expect our food to be safe. We are saying that it is time for a national debate on the food system.

For more information:

Neil Peacock, NFU Board Member: (780) 228-9243 or (780) 833-6939 or wotan1@xplornet.com
Iain Aitken, NFU Member: (403) 843-0094 or iaineaitken@gmail.com

(See The Farm Crisis and the Cattle Sector: Toward a New Analysis and New Solutions)

Farmers' Proposals to Address Beef Industry Crisis

In its 2008 report, The Farm Crisis and the Cattle Sector: Toward a New Analysis and New Solutions, the National Farmers Union (NFU) made 16 proposals to deal with the situation facing the beef industry in Canada. They are:

1 . Ban packer ownership and control of cattle, and require that all cattle go through independent auctions or be sold by fixed-price contracts with full disclosure of terms.

2. Restrain packer power and reverse concentration.

3. Decouple vertically integrated packers.

4. Examine and restrain retailer and wholesaler power.

5. Succeed in creating farmer-owned packing capacity.

6. Tailor food safety regulations to encourage local abattoirs.

7. Build collective marketing agencies.

8. Test for BSE and ban artificial hormones.

9. Dramatically reduce antibiotic use.

10. Develop markets for grass-finished beef within Canada and North America.

11. Embrace country-of-origin labelling.

12. Focus on local food.

13. Reduce the Canadian herd to a size that better matches Canadian demand.

14. Get public money into farmers' hands immediately.

15. Give farmers a choice among cattle organizations to fund.

16. Use government policy tools to encourage appropriate-scale family farm production.

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"Too Big to Fail"

There have been the usual stories in the press recently about how terrible XL has been in communications/media relations, how it's failed to manage its "brand," all the damage done to its "reputation," etc. The CEO of XL is compared to Michael McCain, CEO of Maple Leaf Foods. McCain is supposedly a hero for his handling of the listeria crisis at Maple Leaf Foods. The fact that 22 people died from listeriosis and many more suffered serious illness is disappeared from the narrative. So is the fact that as Bob Kingston, President of the Agriculture Union-Public Service Alliance of Canada (PSAC) has stated, Maple Leaf was "given the responsibility to do their own sanitation monitoring and once they were given that responsibility those machines were never disassembled and cleaned again." All that is left is who excelled at PR.

What is being revealed here is that voters' opinions don't matter even to the politicians who are serving as XL's spokesmen: federal and provincial agriculture ministers Gerry Ritz and Verlyn Olson both told the public to go and buy beef right in the middle of the recall that was expanding by the day, and there was no serious reaction to this naked refusal to act in a responsible manner.

Public opinion simply no longer has anything to do with how XL gets and keeps its license to operate. XL is too big to fail, in exactly the way the U.S. banks are too big, and Alberta Health Services is too big, Exxon and Chevron are too big, and Walmart is too big, etc. Too big to fail doesn't just mean you're a dominant player in your market, it means you have the power to capture government and manipulate your regulators, so that you no longer need the consent of your customers -- i.e., voters -- to operate. Too big to fail is about democracy.

The XL disaster is the logical and planned result of having two packing plants processing almost all the beef in Alberta. Public funding has been handed over to XL and Tyson Foods before it to assist in "restructuring" the industry.

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Organize to Hold the Alberta Government to Account!

Balancing the Budget in Whose Interests?

With the next session of the Alberta Legislature commencing on October 15 and running for 11 days to October 31,[1] the Redford government continues to heavily promote the importance of Alberta having a "balanced budget." On October 11, speaking in Calgary, Premier Alison Redford stated: "We are fully committed to the commitment (note: to a balanced budget) that we made in last year's budget." She acknowledged the deficit predicted for the current fiscal year but said, "We are committed to our long-term fiscal forecasting." At another event in downtown Calgary, Finance Minister Doug Horner told reporters, "Our target is to have a balanced budget in 2013-14. We will show our payments and our funding to the capital plan, we will show that our operating revenue will exceed our operating expenses. That's the commitment we've made."

The term a "balanced budget" has a positive sound and seems to resonate with the reality of daily life. A budget is said to be balanced when expenditures are equal to revenues. In an individual household, revenues (e.g., wages, salaries, etc.) are a certain amount and out of those revenues must come food, clothing, shelter, power, heat, transportation, cultural and recreational activities and so on. To have a "balanced budget" means that household expenditures are equal to revenues. Of course, circumstances may be such that earnings decrease, e.g., a plant closes and someone loses their job, as occurred when Devon Canada closed its Coleman natural gas plant in April, or expenses may increase, e.g., utility costs. Or, earnings may increase and costs may decrease. Such changes in revenues and expenditures would require changes in household budgeting in order to continue to have a balanced budget.

The Redford government also has revenues and expenditures but on the scale of the entire province. It would seem likely that the government has in mind much larger budgetary goals than just "making ends meet," but what are they? Analyzing what the Alberta government really wants to accomplish by balancing the budget first requires finding out what the government's revenues and expenditures are. How is the government obtaining its revenues and what is it spending its revenues on? Second, analyzing what the Alberta government is really up to involves investigating what the government plans to do with its revenues and expenditures in order to balance the budget, and how those plans might affect the people of Alberta who the government claims to represent. The key question is, will the Redford government's stated plan to balance the budget be in the interests of the people of Alberta?

The Redford government claims that the amounts of its revenues and expenditures are accurately stated in the provincial budget. The March 2012 budget shows total provincial revenues of $40.3 billion. The top five revenue sources are: resources revenues 27.8 per cent (mainly oil and gas), personal income tax 23.1 per cent, transfers from the federal government 12.2 per cent, corporate income tax 11.1 per cent and other taxes 10.2 per cent. What is of note is the high percentage of revenue obtained by taxing individual workers who are already the source of all the wealth created in the province. The budget also shows expenditures of $41.1 billion, slightly higher than revenues. The top five budget expenditures, which should more accurately be called investments, are: health and wellness 39 per cent, education 16 per cent, advanced education and technology 7.2 per cent, human services 6.2 per cent, and seniors 6 per cent. The Redford government continues to repeat that the difference between revenues and expenditures means a deficit of $886 million and hence that the 2012 budget is not balanced.

If the Redford government's claim that the provincial budget needs balancing is accepted, how will it likely be balanced? Many Albertans recall that in the early 1990s the same Progressive Conservative Party, led by Ralph Klein, advocated a four-year plan to eliminate the provincial deficit and balance the provincial budget, which was implemented by forcing concessions from workers and slashing much-needed social programs.[2] This is why so many people today are wary of talk of the need for "fiscal austerity." It is also instructive to note that stealthy cuts to Alberta social programs continue to be made today. One is reminded of the saying "death by a thousand cuts." For example, Alberta Health Services announced on September 24 that it must make budget cuts of $185 million dollars. Some cuts will come from "adjusting staff schedules," which has Alberta nurses concerned. To give another example, all of Alberta's publicly funded colleges, universities and technical institutes will receive only two per cent increases in operating grants in each of the next three years. University administrations say they need at least 4 per cent just to "break even." To give a third example, fees for seniors in long-term care facilities have just been raised 5 per cent which has met with firm opposition by seniors and their allies.

It also needs to be kept in mind that under the current political arrangements that deprive the workers and people of decision-making power, the main purpose of the provincial budget is to pay the rich, in particular the energy monopolies. It is well known that the energy monopolies are the real rulers of Alberta. As the champion of the monopolies, the Redford government pays them in many different ways to facilitate their plunder of Alberta's labour and resources: reductions of revenue through royalty relief, tax credits, standard corporate income tax deductions, special tax deductions, and accelerated capital cost allowances; direct payments through subsidies, exploration and development "expenses," and other ongoing pay-the-rich schemes; and "special programs" such as the $2 billion Alberta Carbon Capture and Storage Fund, the Alberta Drilling Incentive Program which has already paid out an estimated $2.9 billion, and the $3 billion publicly funded energy research authority called Alberta Oilsands Technology and Research Authority 2 (AOSTRA 2) that will improve oilsands technology on behalf of the monopolies.

Since the Redford government rules on behalf of the monopolies, it follows that any balancing of the Alberta budget will be done on the backs of the people, not by demanding that the monopolies, which make their profits by seizing the added-value created by Alberta workers, must turn over more revenue to the government so that investments in social programs can be greatly increased. Already phrases like "cost containment" are being tossed around by the government and it is well known that these are code for attacking workers and social programs, not for restricting the monopolies. In fact, thanks to the Redford government, the energy monopolies are thriving as never before. Suncor and Exxon subsidiary Imperial Oil (which controls Alberta oil sands giant Syncrude), were Canada's fifth and sixth most profitable businesses in 2011, with Canadian Natural Resources (CNRL), Husky Energy, and Cenovus not far behind. Yet, the Redford government cries crocodile tears that it can only collect a pittance in resources revenues from the monopolies because supposedly they are in a recession.[3]

The question of balancing the Alberta budget boils down to on whose behalf will it be balanced? Will it be on behalf of public right or monopoly right? Will it solve any of the problems facing the people, such as underfunded social programs, or will it solve the "problem" of how the energy monopolies can increase their profits? Will it be based on attacking workers' rights and slashing social programs as in the 1990s or will it be based on restricting the monopolies? If the budget is to be balanced, the people want to see it balanced by increasing the amount of revenue turned over to the government by the monopolies, which grab all the added-value that they can steal by exploiting the labour of Alberta workers and the resources that belong to the people. This added revenue taken from the monopolies should be used to increase investments in social programs. Such a plan would achieve a balanced budget that was based on restricting monopoly right and recognizing public right. In other words, it would be a provincial budget that was balanced not in the interests of the monopolies but in the interests of the people of Alberta.

Notes

1. The Alberta Legislature does not sit on Fridays.
2. Klein's initiatives, beginning with the 1993 provincial Deficit Elimination Act, were followed by similar austerity measures by provincial governments in other parts of Canada. The real aim of such measures was to pay the rich who held the paper on the deficit and debt.
3. In the fiscal year 2010/11, the Alberta government collected a mere $11.2 billion in resources revenues. Suncor alone, just one of numerous energy monopolies operating in Alberta, had net earnings in 2011 of 4.304 billion, up from $3.829 billion in 2010 (Suncor Annual Report 2011).

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Budget Consultations Aimed at Blocking People
from Solving Problems

"Every Albertan deserves a voice in the 2013 budget" says the website of the Alberta Treasury Board and Finance in promoting its "consultations" about 2013 budget. A voice is precisely what the consultation is designed to deprive people of. The process is designed to distract from any serious discussion of the economy and its renewal, the resolution of social and economic problems, and to wreck the social fabric of society.

The starting point of the budget consultations is that the budget is not about determining revenues, but only spending. The justification for this is that "There is only so much money to go around." This is presented as the final say on the matter. The government presents this process as akin to a family determining its spending. Of course families do not operate in this way. Workers do not passively accept that their income is a matter completely out of their control. Workers organize collectively to fight for wages commensurate with the work they do and their right to live with dignity and to a Canadian standard living. Women organize against unequal pay and discrimination. Even when a worker is laid off and the family faces great difficulties, they do not starve their children to "balance the budget" or decide they can only feed some of their kids.

People want governments which stand with them in their struggle to claim Canadian standard wages and benefits on the social product workers produce. In the same way they want governments to claim enough revenue directly from enterprises to guarantee the rights of all. The absurd claim that there is "only so much money to go around" is designed to cover up both who produces the wealth and whose claims on the wealth are being met. What is actually being stated is that for the rich to increase their claim on the added-value produced, the claim of workers and governments for social programs has to be reduced. This is apparently the result of volatile resources revenues. If this is the sorry state of affairs that comes from handing over all the resources to private interests, then surely there is a need for real discussion of public solutions and public ownership and control of the energy and other resources.

All this mystery-making about revenues is being widely opposed by workers through their unions and by social justice organizations, who point out that governments are reducing corporate taxes and royalty revenues and then screaming about a revenue shortage. The issue here is that there are two sources of wealth -- mother earth and labour. Added-value created is claimed by the owners of capital, the workers, and by governments for social programs. In this perverse capital-centred outlook, only the claims of the private monopolies are being recognized as legitimate, and everything else is a "cost" to these owners of capital and on the chopping block.

What happens when someone actually participates in what is called the budget allocation process is very revealing. The Alberta Treasury Board and Finance Department has created a website called "Dollars and $ense," that supposedly simulates the effect of changes to the funding allocations for various programs and services. For example, one can click on "health care" and decrease the amount of the health care budget. But all gets is a simple calculation of the new figures. Nowhere does it say how many nurses and hospital staff will be laid off, how many beds will close, or how much home care will be reduced by this "choice," or how many can be hired if the allocation is increased. And of course people are not given a choice about whether you want to pay private for-profit owners or hire more staff at acceptable wage levels. According to the survey, this is how decisions are made. If this is the case, it certainly shows that these representatives of the rich are not fit to govern.

The "choices" presented are also extremely misleading and designed to cover-up the real agenda of privatization and smashing of social programs. For example there is no button to click which says "providing a market for private interests to enrich themselves." Then people could say we don't want to subsidize private for-profit seniors care, health care or private schools. We don't want to subsidize developers and landlords, we want social housing that is publicly or co-operatively owned, and so on. Within each category the funding which flows directly to private interests is hidden.

The entire exercise reveals its contempt for the workers who deliver public services and social programs. Not only are workers considered a "cost," but teachers, nurses, health care workers and many more are deprived of any say in providing solutions to the problems in their sector. Society is deprived of their knowledge, expertise and passion. Why is the human factor/social consciousness not permitted to flourish and instead people are incited to go after each other in the style of "not in my backyard."

This transparent attempt to embroil people in an exercise to claim popular support for the anti-social, anti-worker and anti-national agenda of the Redford government is not going to fly. The outlook that everyone is an isolated individual, fending for themselves and deciding what their personal priorities are stands in opposition to the requirements of a modern society. People have rights by virtue of being human and governments must provide these rights with a guarantee.

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