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  • CCPA in Europe for CETA speaking tour October 17, 2017
    On September 21, Canada and the European Union announced that the Comprehensive Economic and Trade Agreement (CETA), a controversial NAFTA-plus free trade deal initiated by the Harper government and signed by Prime Minister Trudeau in 2016, was now provisionally in force. In Europe, however, more than 20 countries have yet to officially ratify the deal, […]
    Canadian Centre for Policy Alternatives
  • Twelve year study of an inner-city neighbourhood October 12, 2017
    What does twelve years of community organizing look like for a North End Winnipeg neighbourhood?  Jessica Leigh survey's those years with the Dufferin community from a community development lens.  Read full report.
    Canadian Centre for Policy Alternatives
  • Losing your ID - even harder to recover when you have limited resources! October 10, 2017
    Ellen Smirl researched the barriers experienced by low-income Manitobans when faced with trying to replace lost, stolen, or never aquired idenfication forms. Read full report here.  
    Canadian Centre for Policy Alternatives
  • CCPA recommendations for a better North American trade model October 6, 2017
    The all-party House of Commons trade committee is consulting Canadians on their priorities for bilateral and trilateral North American trade in light of the current renegotiation of NAFTA. In the CCPA’s submission to this process, Scott Sinclair, Stuart Trew, and Hadrian Mertins-Kirkwood argue for a different kind of trading relationship that is inclusive, transformative, and […]
    Canadian Centre for Policy Alternatives
  • Ontario’s fair wage policy needs to be refreshed September 28, 2017
    The Ontario government is consulting on ways to modernize the province’s fair wage policy, which sets standards for wages and working conditions for government contract workers such as building cleaners, security guards, building trades and construction workers. The fair wage policy hasn’t been updated since 1995, but the labour market has changed dramatically since then. […]
    Canadian Centre for Policy Alternatives
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The Progressive Economics Forum

Global Wage Crisis

The International Labour Organization has just released its second Global Wage Report, “Wage Policies in Times of Crisis.” The International Trade Union Confederation’s press release follows:

15 December 2010 – The ITUC has welcomed the second Global Wage Report from the International Labour Organization (ILO). “Today’s report reinforces what unions around the world have been saying about the economic crisis and the policy responses that governments need to put in place,” said ITUC General Secretary Sharan Burrow.

The ILO confirms that global wages have stagnated during the crisis. Excluding questionable figures for China and adjusting for inflation, global wage growth slowed from 2.2% in 2007 to only 0.8% in 2008 and 0.7% in 2009.

While these world averages remained slightly positive, wages actually decreased in many countries. “Even workers who remained employed during the crisis experienced flat or falling pay,” observed Burrow.

Over-reliance on exports and consumer borrowing for economic growth has proven to be unsustainable. To achieve a meaningful economic recovery, countries need to increase domestic demand based on rising wages and a more equal distribution of income. The ILO emphasizes three policy solutions in today’s report: inclusive collective bargaining, legislated minimum wages, and social protection programmes.

In addition to providing new data on wages during the crisis, the report also presents a longer-term analysis of low pay, defined as being below two-thirds of a country’s median wage. Since the late 1990s, the incidence of low pay has increased in two-thirds of the countries for which figures are available.

However, the ILO found that low pay is much less prevalent in countries with higher levels of union membership. “Unions are part of the solution, in terms of ensuring that wages rise along with productivity and that these gains are shared fairly,” said Burrow.

UPDATE (December 17): Quoted by The Guardian and La Repubblica

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