Roundup: Cynicism and paid sick days

Prime Minister Justin Trudeau made a couple of election promises yesterday that felt a bit cynical, and one of them is federally problematic. The first promise was to implement ten employer-paid sick days in federally-regulated workplaces. This was something that he should have done some 18 months ago, but given that they had mandated three employer-paid sick days previously – the highest in the country – they felt they were in good standing, and tried to persuade provinces to do the same. They did not.

After Trudeau made the announcement, Jagmeet Singh went on a tear about how “disgusted” he was that Trudeau had made this promise when he’d been calling for it for over a year. But there are differences here, and yes, they matter. Some of you may recall that Singh wanted the federal government to give paid sick leave to everyone in the country, but the federal government can’t do that. They can only mandate employer-paid sick leave – which is the best kind because it means that there are no interruptions on pay cheques and job security is maintained – in federally-regulated workplaces, which account for six percent of jobs in the country. That’s it. The provinces have to amend their own labour codes to cover the remaining workplaces, and Singh consistently refused to acknowledge that reality. Meanwhile, the government recognized that there were people who didn’t have access to employer-paid leave because they’re self-employed or part-time, so they created the Canada Recovery Sickness Benefit, which was a kludge – you had to apply for it, and only after you missed half of the week, and it took more time for the money to arrive. Singh demanded that the federal government “fix” that programme, but there wasn’t much more they could do to it – there are limits to the federal back-end IT infrastructure used to administer the programme, so it couldn’t be seamless like employer-paid sick leave. And the premiers, for whom the other 94 percent of workplaces are under their jurisdiction? They balked, especially because business lobbies like the CFIB lobbied heavily against mandating more sick days, so they forced people to rely on the CRSB, or created their own temporary kludges to mimic the CRSB. For Singh to now claim that Trudeau is doing what he demanded is not true – yes, Trudeau should have mandated more employer-paid sick days federally, but this is not the same as CRSB, and the two should not be equated like he’s doing here (and yes, it is cynical politics for him to claim otherwise in order to drive disillusionment).

As for the promise around school ventilation, it’s too late for this school year, and at first blush it looks like a federal overreach into provincial jurisdiction. The backgrounder states that this is just extending the Safe Return to Class Fund from August 2020, and they’re basically giving money to provinces with the slenderest of strings attached, which I’m not really a fan of. Because we’re in an election, we’re back to the constant state of promises – from all parties – that rely on provincial cooperation, and there are a lot of loaded assumptions that they’ll play ball, which seems to be fairly rare (and before you raise child care, the success there is in part because there was too much money on the table for provinces to ignore, which is not how it has played out with pharmacare). The Liberals are mostly more careful in their language, citing things like “While a Liberal government will always respect provincial-territorial jurisdiction…” unlike the other two platforms, but this certainly isn’t being picked up on nearly enough by the reporting, and it creates expectations that perhaps it perhaps shouldn’t.

https://twitter.com/JenniferRobson8/status/1428860564676222981

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Roundup: Unnecessary panic about inflation

It was predictable that it would happen – yesterday was the day when the Consumer Price Index figures are publicly released, and for the past few months, this has turned into a political gong show. Why? Because the Conservatives have decided to misconstrue what the data shows and to light their hair on fire about the top-line figure and wail that we’re in a “cost of living crisis.” Which is false – inflation is running hot for everyone right now, not just Canada, as a result of economies re-opening and global supply chains being disrupted by the pandemic, which affects prices, on top of the fact that there is some distortion in the year-over-year figures as a result of last year’s price crash. And to add to that, much of what is driving the July numbers are higher gas prices – which is a global issue, and good for Alberta’s economy – and higher housing prices, which is a driven by a lot of different factors. And hey, clothing and food prices were down, so there are upsides, right?

The problem, of course, is that this is being politicised – wildly so. When it came up on the campaign trail, Trudeau said that he was going to let the Bank of Canada do their job and worry about monetary policy while he worried about families, but this was truncated in the reporting, and which also got trimmed into Conservative shitposts, and O’Toole was given fresh cause to decry the “crisis.”

https://twitter.com/LindsayTedds/status/1428104169009909763

Of course, O’Toole isn’t proposing any solutions that actually deal with inflation (and his plans will actually make it worse), but if he wants to start banging on about it and monetary policy, then he needs to start talking about what he thinks the Bank of Canada’s mandate should be – especially as that mandate is coming up for renewal. Should they continue to target inflation between one and three percent? He seems to sound like he wants them to target deflation, so good luck with letting the economy grow under that kind of mandate. Parliament should have this kind of discussion, but they need to actually have it – not just talking points and shots taken that assume people are ignorant about what it means. And the reporters on O’Toole’s campaign need to step up and start asking him these questions rather than just typing up his talking points.

https://twitter.com/LindsayTedds/status/1428094182531510282

https://twitter.com/MikePMoffatt/status/1428096342342213637

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Roundup: A GST holiday gimmick

For a campaign platform chock full of gimmicks, Erin O’Toole spent the day touting one of them – a proposed “GST Holiday” in the month of December, ostensibly as a way to stimulate economic activity. It’s a hugely expensive proposition, but also a hideously complicated one – by promising to make this come off at the till rather than as a rebate from CRA, he is loading all kinds of complication onto businesses, who may not be able to easily disentangle the federal GST from provincial sales taxes, particularly if they are harmonized in an HST as they are in most provinces. (It also won’t make those purchases “tax free” as O’Toole says in his video, unless you’re in Alberta). And even the Canadian Federation of Independent Business thinks this is a dumb idea that is more complicated than it’s worth.

We also should call out the fact that this is not only a gimmick, but O’Toole keeps trying to message around the cost of living and food prices, which a GST holiday would do nothing about because the vast majority of food items are GST exempt. O’Toole keeps trying to make inflation an election issue, never mind that it’s the domain of the Bank of Canada and not the federal government, and if he thinks the Bank’s mandate should be changed to target deflation instead of slow and steady 2 percent inflation growth, he needs to come out and say so rather than this posturing about rising prices. Prices are supposed to rise – inflation is not a bad thing when it’s low and predictable, because that helps the economy to grow. But this is populist noise, and for the so-called “party of the economy” to mislead people about this is telling.

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Roundup: O’Toole wants intervenor status

Yesterday morning, Erin O’Toole declared that he would seek intervenor status at the Federal Court in the dispute between the House of Commons and the Public Health Agency of Canada over the disclosure of classified documents. Apparently, he believes that he has a “distinct perspective” on the underlying issues raised by the case, which is…a bit novel considering that his press release was a partisan document that was not about legal arguments but rather about political calculus.

As a reminder, the process was triggered because under the Canada Evidence Act – which Parliament passed – says that when requests for secret or confidential documents are made to a government entity like PHAC, they must notify the Attorney General, and that triggered a process by which said Attorney General sought clarity from the Federal Court – does the Canada Evidence Act and its limitations supersede or otherwise restrict Parliament’s privileges in demanding documents and the production of papers as they see fit, given that they are ostensibly the highest court in the land. Plenty of people have tried to make this a partisan issue – O’Toole most especially among them – rather than a process where everyone is following the law, and the law conflicts with Parliamentary privilege.

I half-suspect that in this case, the Federal Court may not grant O’Toole standing, given that he has pretty much stated that this is going to be an attempt at electoral grandstanding inside of a court room, which the Court would be hesitant to do. Beyond that, his statement in the press release doesn’t actually make sense – the request to present the documents will die when Parliament is dissolved, and the special committee that demanded the documents ceases to exist. Beyond that, if he forms government, he won’t need to release the documents because he’d be able to read them in secret, thus eliminating the possibility that releasing them might compromise our Five Eyes obligations, or inadvertently compromise a foreign intelligence source (though I am not convinced this is a national security or intelligence issue, but rather more likely one of an RCMP investigation into policy breaches). Not to mention, the documents were released, both in a redacted form to the committee, and in an unredacted form to NSICOP, and the Conservatives want someone else to do the redacting who doesn’t have national security experience. I have a hard time discerning just what “distinct perspective” he has other than scoring points, given that the Speaker will be exercising his role in protecting the privileges of the Commons, and he doesn’t need O’Toole’s help for that.

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Roundup: We have a date for dissolution

This is not a drill – the election call will be coming on Sunday, for an election date of September 20th – a thirty-six day campaign, which is the bare minimum and technically will take place entirely in the summer. But until that happens, you can expect a flurry of announcements later today – a child care agreement with Saskatchewan, probably a few more Senate appointments, possibly some more judges, and any other senior bureaucrats who need to be repositioned before the government goes into caretaker mode.

Of course, as this is taking place, case counts are once again starting to rise across the country, and we are officially at the start of a fourth wave – because of course we are. While we can expect to hear a lot of hand-wringing about this over the next week or so, I would expect that the bulk of rallies or events will be held outdoors over the course of the campaign, plus a lot more virtual events – after all, Erin O’Toole is renting out that studio space with its big screens to do just that, and I wouldn’t be surprised if other leaders have similar plans that they have not yet unveiled.

Also, because this will drive me insane for the next week, the phrase “drop the writ” is completely wrong. There is no single writ, and it does not drop. Once the Governor General signs the proclamation to dissolve parliament, the Chief Electoral Officer will draw up 338 writs – one for each election being held (because remember, an election is not a single event – it’s 338 separate but simultaneous elections). So don’t use a wrong phrase, and save yourself a scolding from me.

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Roundup: A display of arrogance and entitlement from McDonald

In what is quite possibly an admission of arrogance and entitlement, the ostensible current Chief of Defence Staff, Admiral Art McDonald, says that he’s going to return to the job now that he’s been “cleared” by the investigation into previous sexual misconduct – but that’s not his decision to make. The fact that he seemed to publicly indicate that this was a fait-accompli may have in fact been a faux pas, as the Minister of Defence actually showed a modicum of spine and said that no, McDonald is remaining on paid leave until they can decide what they’re going to do.

Remember, CDS is a Governor-in-Council appointment, meaning that the prime minister and Cabinet can appoint who they want to the position, and remove the current occupant at any point for any reason, and the fact that McDonald has both lost the moral authority to hold the job, coupled with this stunning bit of entitlement, may in fact prove that is should no longer be considered to be qualified to hold the position.

Meanwhile, here is former national security lawyer (and former armored officer) Leah West to put this into perspective:

https://twitter.com/leahwest_nsl/status/1425547465051279361

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Roundup: Questioning the housing numbers

The Parliamentary Budget Officer released a report yesterday on the federal government’s programme spending on housing affordability, and I have questions, both on the report, and on the responses to it. On the report itself, I’m having a hard time seeing how this is necessarily within his remit, and not that of the Auditor General. This is not exactly fiscal or macro-economic analysis – it’s evaluating programme spending, which is the Auditor General’s job. (Once again, the PBO is not a “budget watchdog” or a “watchdog” of any kind, per his enabling legislation). This doesn’t appear to have been at the request of any MPs in particular, though this updates his 2019 report which was requested by an unnamed MP at the time, but again, not really his wheelhouse. “Providing economic and financial analysis for the purposes of raising the quality of parliamentary debate and promoting greater budget transparency and accountability” is being taken a little too broadly.

The findings of the report are that the funds allocated to housing are being underspent, but doesn’t really delve into why, other than noting that some of the spending was related to having to renew bilateral agreements with provinces that were allowed to lapse in 2015, and that CMHC’s programmes have both faced “implementation delays” and that their shift toward funding capital contributions instead of affordability supports spread that funding out over the life of projects. Those “implementation delays” probably deserve a lot more exploration – the fact that municipalities in particular aren’t spending the dollars available fast enough because the projects are bottlenecked in their own jurisdictions (and Vancouver is most especially guilty of this) – and that’s a lot of what this report seems to be light on details about. Housing is largely a provincial responsibility, and aside from providing money, the federal government has very few levers at its disposal, and when municipalities can’t get their acts together, that’s not really a problem the federal government can solve.

As for opposition reaction, it was predictable in that it read the PBO’s topline and not much else. The Conservatives complained that the housing plans haven’t met their targets and that they need a plan that “gets homes built,” which again, is pretty hard to do with the very few levers available at the federal level. The NDP, meanwhile, accuse the government of dubious accounting and broken promises, as per usual, again based largely on topline figures and not the fact that many of the problems exist at the provincial and municipal levels. Federal dollars only go so far and can only wield so much influence, and these are details that matter when it comes to implementing promises.

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Roundup: What open nominations?

Do you remember when the Liberals considered themselves the party of open nominations? And how they were always going to uphold the democratic right of riding associations to run fair, open and transparent processes to select the candidates that would appear on the ballot for them? Because apparently the party has put this particular bit of democracy, openness and transparency down the memory hole as they continue to acclaim candidates from across the country. In two of these cases, the acclamations came a mere day after the incumbents announced that they weren’t running again, and in one of those ridings – Kanata-Carleton – there was the making of a contested nomination as rumours swirled that Karen McCrimmon wasn’t going to run again, and the riding association was frustrated that they couldn’t get any kind of answer from the party on how and when to run said contested nomination.

Now, the party is going to defend its honour by pointing out that their rules state that they can declare a state of “electoral urgency” to bypass the nomination process, but this is more of the Liberals’ penchant of letting the ends justify the means. They created the rules that were easily gamed, and frankly, the “electoral urgency” clause is a load of bullshit because they were using it in 2019 in the months before the election when they knew they had four years to have this process ongoing because there was a fixed election date under a majority parliament, so there were no surprises. Yes, the pandemic has made nomination races tougher because of public health restrictions, and the party has come under fire for using a verification system that includes facial recognition technology (which BC’s privacy commissioner is investigating, per that province’s laws), but again, these were things that the party should have been cognisant of and dealing with rather than simply wringing their hands and pulling the “electoral urgency” alarm to fast-track their hand-picked candidates, thwarting local democracy, and accountability.

Open nominations are one of the most important and fundamental building blocks of our democratic system. When parties flout those rules, it hurts the entire system – especially as it cements even more power in the leaders’ offices. That the Liberals are so blatantly ignoring their own supposed values in this crucial stage of the democratic process is a sign that the way the party rewrote their constitution to fit the Trudeau era is a very real problem that they are going to have to do a lot of soul-searching to address, especially when that age comes to its inevitable end.

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Roundup: The July job numbers

The Labour Force Survey results for July were released yesterday, and while there was positive job growth, it wasn’t quite as robust as had been expected. The recovery remains uneven, but some of the narratives and commentary aren’t really helping when it comes to adjusting to the reality of this stage of the pandemic (which isn’t even post- yet).

A lot of the narratives are still being driven by the likes of the Canadian Federation of Independent Business, which continues to rail about CERB and its successor suite of benefits that they claim are providing a “perverse incentive” for people to stay home, but that doesn’t seem to fit the reality, which is that the market is shifting. A lot of people who were in these service-industry jobs either moved on during the pandemic because it (and the government benefits) afforded them the opportunity to do so – which is why you have people complaining that their favoured servers at their local watering holes didn’t come back, and you have nineteen-year-olds who just got their Smart Serve certification replacing them. But another narrative is also bubbling up, where we also have a cohort who aren’t willing to go back to what existed beforehand, with the low wages and mistreatment, and a lot of those business owners haven’t made the cognitive leap yet that they can’t keep operating the way they did before. Of course, this is one reason why the CFIB is so up in arms about these benefits – they have a vested interest in things returning to the old normal where labour can be exploitative without consequence, but the current reality is changing that. This could be change happening that will be better for us all overall, if it’s able to take hold – and chances are, this government more than others are more willing to let it happen.

The Conservatives, meanwhile, are insistent that the federal government is “killing job creation,” which is a novel argument considering that they’re not the level of government responsible for the maintenance of public health measures (which has been one of the biggest determinants of economic activity over the course of the pandemic). They’re also keeping up the fiction that a pre-third wave job recovery projection was a “promise” about job creation, again, which was derailed by more public health measures because provinces screwed up their own recoveries by re-opening too soon. All of which is to say that we don’t seem to be capable of having a reasonable conversation about what is happening in the labour market, to the detriment of all of us.

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Roundup: Ford’s eagerness to please

The Star had a very interesting, if very infuriating, longread out yesterday, which charted the ways in which Conservative-affiliated lobbyists impacted on the decisions that Doug Ford made over the course of the pandemic – the laundry list of exemptions that kept growing by the day, the fact that the long-term care industry has insulated itself from any and all accountability and is getting their licenses renewed as if the deaths of thousands of seniors aren’t on their hands, the illogical restrictions for small retail but not box store, right up to the illogical closure of playgrounds.

The piece was illuminating not because of the look at lobbying – all of which is legal, above-board, and not the same as we’d understand from an American context of the cartoonish Hollywood portrayals – but rather because of what it shows us about Ford himself. He’s someone out of his depth – his sole experience was a single term as a junior city councillor while he brother was mayor – who was not only struggling to understand his job, but who also has a pathological need to be liked, and to be seen to be doing favours for people he knows. People like these former Conservative staffers and operatives who are now in lobbying firms. It less that these lobbyists are cozy with the provincial Progressive Conservatives – it’s that Ford wants to please them and do them favours because he knows them. That’s why the pandemic in this province turned into such a clusterfuck – because Ford needed to please the people he felt close to.

https://twitter.com/robert_hiltz/status/1415672572574715909

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