Friday, February 13, 2009

The recession bites taxpayers, too. Vancouver must rein in its spending

Vancouver Sun

Not all employers are cutting staff to cope with the recession. The City of Vancouver, for instance, has a host of positions it is looking to fill, such as an assistant director for the planning department -- a job that pays up to $116,000 a year with all the benefits, days off and vacation entitlements one would expect in the public service. There's also a vacancy for a facilities planner, charged with the responsibility of ensuring the thousands of public servants working for the city have adequate accommodation and office furniture. Pay: $72,000. There are many more job postings for everything from a systems applications and products analyst to general labourers. And where else could you apprentice as a blacksmith? The city already has more than 5,000 employees and a payroll in excess of $300 million, which puts the average wage at $60,000.

We don't begrudge these civil servants their jobs, cost of living increases or health care coverage, but the city's enormous payroll obligations are ultimately borne by taxpayers, some of whom have lost their own jobs. If only for the sake of propriety, the city should consider a freeze on hiring and review its staffing requirements. But there are other compelling reasons for restraint. Over the past decade, Vancouver's operating spending has increased at more than twice the rate of inflation plus population growth. During the civic election campaign, Mayor Gregor Robertson agreed that inflation plus population growth was a reasonable benchmark for municipal spending increases. Had the city kept its spending in check since 2000, it would have reduced the tax take by roughly $100 million, making a significant difference to business and residential taxpayers.

1 comment:

Anonymous said...

You know, it's the basic motivation for politicians and professional bureaucrats - to grow bigger. And time of crisis is usually the time, when governments grow. Our only chance is election - but which party promises (and fulfils...) spending cuts??
Jay