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Walkom: Recession’s next victim will be public sector – TorStar

G overnments used the recession of the ’80s to curb wages. They used the recession of the ’90s to gut social programs. The theme of this recession promises to be a concerted assault against unions. Not that there are many left to assail. In Canada, just 17 per cent of private sector workers belong to trade unions. In the U.S., the proportion is even smaller. But two bastions remain. The first includes those, like the Canadian Auto Workers, that operate in industries where individual firms historically have wielded unusual market power. The second, and more important, is the unionized public sector. Both are under attack. 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 nurses, doctors, teachers, police officers and judges – will no longer be “sheltered” from recession. New Brunswick plans to cut 700 civil service jobs, while Alberta’s provincial government is asking its teachers and -care workers to accept wage rollbacks  . Most of this public sector drama is expected to roll out next year. But as a preview to what promises to be a renewed bout of union bashing, nothing illustrates the new mood better than the auto saga. A year ago, North America’s three big automakers announced they were on the ropes – that they could survive only by stiffing creditors, cutting wage costs and scooping up billions in public subsidies. General Motors said it was in such bad shape that it would have to sell its European Opel division. Terrified by the spectre of a continent-wide industry collapse, governments in Canada and the U.S. opened their wallets. More to the point, these same governments strong-armed autoworkers into accepting rollbacks that the car companies had been unable to achieve on their own.

Original Source of Walkom: Recession’s next victim will be public sector – TorStar

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