Cuts where convenient
David Miller finally holds the line on salaries, but only for a fraction of staff -- and not council
By SUE-ANN LEVY
David Miller finally holds the line on salaries, but only for a fraction of staff -- and not council
By SUE-ANN LEVY
When Mayor David Miller came to call about this year's $8,7-billion operating budget at the Toronto Sun three weeks ago, he was pretty adamant that he couldn't "arbitrarily" touch the generous bonus scheme for non-union employees.
Or freeze employee wages for that matter.
"We know we can't just arbitrarily do it," the mayor said in response to our questions about getting rid of the scheme that in past years has rewarded managers with a 3% performance bonus on top of their cost-of-living increases.
"We're trying to compete for talent with a lot of other people."
But that was then. This is now. Being as his management of the city is forever a moving target, I suspect the public backlash in the past few weeks has been pretty darn vehement and consistent that his free-spending regime is completely out of touch with the reality of the economy around them.
Besides, competing for talent is pretty much a moot point considering 7,000 Torontonians lost their jobs last month. I'm sure any number of them would give their eyeteeth to have a "job for life" at Socialist Silly Hall.
So all of a sudden yesterday His Blondness arbitrarily decided the city's 3,900 management and non-unionized employees will forgo their cost-of-living increase this year and take just a 1% hike next year.
He also arbitrarily opted to cut -- both this year and next -- the generous lump sum bonuses that will be given to some 51% of management and non-union employees who are already at the top of their pay grid. Some 46% of non-unionized employees still working through their salary ranges will be allowed to continue to collect their merit pay.
Miller said he brought forward the proposal to labour relations committee because of the "challenging situation the city faces" and hopes to put the money saved -- about $20 million -- into the depleted welfare reserve fund.
"We must lead by example and show restraint wherever possible," he wrote to councillors.
Now far be it from me to criticize the mayor for at least taking a step to tackle the city's huge wage bill. I've been writing about the generous merit pay scheme for more than two years.
Its strongest critic, Coun. Peter Milczyn, was also pleased with yesterday's move.
"I'm happy to see the mayor has finally followed my lead on performance bonuses for city staff," he said.
LITTLE PAYBACK
That said, King David's measures are much like my dachsie Kishke's, shall we say, dogged efforts to snare each feisty squirrel that taunts him in our backyard: Much sound and fury is expended for little payback.
For one thing, the wage freeze will only impact about 7.5% of the city's 52,000 employees in total. If you consider the performance bonus freeze separately, that will affect a mere 2.8% of city employees.
The mayor adamantly refused to impose the same policy on the city's agencies, boards and commissions (staffed by another 25,000 employees) -- including the TTC and Toronto Public Health -- insisting he has to respect the fact they are "arms-length" from the city with their own human resources policies.
I asked him why he can impose a TTC fare freeze but not a wage freeze. He told me I should "know the rules.
"All of the ABCs are independent corporations who have their own policies ... that's the law," he said.
When questions were repeatedly raised about whether the mayor intends to ask all of council to take the same wage freeze (instead of 2.4% already in place), he said that was a "separate issue" and council's increases are "moderate."
When asked whether he'd send a "clear message" to the unions that they should consider a wage freeze too, he again hid behind the process.
"I can't negotiate collective agreements in public ... it's not appropriate, it's never done," he said.
Yes, but he can sure set a tone.
But we all know King David won't stick his neck out when it comes to his cherished union pals and his favoured councillors. After all, it won't be long now before they're all holding hands and forming the re-election committee for November 2010.
Still, I'm not fooled by his meagre efforts to target a few thousand city employees and you shouldn't be, either.
Showing restraint wherever possible means right across the city, his council included. There's no excuse.
Or freeze employee wages for that matter.
"We know we can't just arbitrarily do it," the mayor said in response to our questions about getting rid of the scheme that in past years has rewarded managers with a 3% performance bonus on top of their cost-of-living increases.
"We're trying to compete for talent with a lot of other people."
But that was then. This is now. Being as his management of the city is forever a moving target, I suspect the public backlash in the past few weeks has been pretty darn vehement and consistent that his free-spending regime is completely out of touch with the reality of the economy around them.
Besides, competing for talent is pretty much a moot point considering 7,000 Torontonians lost their jobs last month. I'm sure any number of them would give their eyeteeth to have a "job for life" at Socialist Silly Hall.
So all of a sudden yesterday His Blondness arbitrarily decided the city's 3,900 management and non-unionized employees will forgo their cost-of-living increase this year and take just a 1% hike next year.
He also arbitrarily opted to cut -- both this year and next -- the generous lump sum bonuses that will be given to some 51% of management and non-union employees who are already at the top of their pay grid. Some 46% of non-unionized employees still working through their salary ranges will be allowed to continue to collect their merit pay.
Miller said he brought forward the proposal to labour relations committee because of the "challenging situation the city faces" and hopes to put the money saved -- about $20 million -- into the depleted welfare reserve fund.
"We must lead by example and show restraint wherever possible," he wrote to councillors.
Now far be it from me to criticize the mayor for at least taking a step to tackle the city's huge wage bill. I've been writing about the generous merit pay scheme for more than two years.
Its strongest critic, Coun. Peter Milczyn, was also pleased with yesterday's move.
"I'm happy to see the mayor has finally followed my lead on performance bonuses for city staff," he said.
LITTLE PAYBACK
That said, King David's measures are much like my dachsie Kishke's, shall we say, dogged efforts to snare each feisty squirrel that taunts him in our backyard: Much sound and fury is expended for little payback.
For one thing, the wage freeze will only impact about 7.5% of the city's 52,000 employees in total. If you consider the performance bonus freeze separately, that will affect a mere 2.8% of city employees.
The mayor adamantly refused to impose the same policy on the city's agencies, boards and commissions (staffed by another 25,000 employees) -- including the TTC and Toronto Public Health -- insisting he has to respect the fact they are "arms-length" from the city with their own human resources policies.
I asked him why he can impose a TTC fare freeze but not a wage freeze. He told me I should "know the rules.
"All of the ABCs are independent corporations who have their own policies ... that's the law," he said.
When questions were repeatedly raised about whether the mayor intends to ask all of council to take the same wage freeze (instead of 2.4% already in place), he said that was a "separate issue" and council's increases are "moderate."
When asked whether he'd send a "clear message" to the unions that they should consider a wage freeze too, he again hid behind the process.
"I can't negotiate collective agreements in public ... it's not appropriate, it's never done," he said.
Yes, but he can sure set a tone.
But we all know King David won't stick his neck out when it comes to his cherished union pals and his favoured councillors. After all, it won't be long now before they're all holding hands and forming the re-election committee for November 2010.
Still, I'm not fooled by his meagre efforts to target a few thousand city employees and you shouldn't be, either.
Showing restraint wherever possible means right across the city, his council included. There's no excuse.
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