Worth Repeating

I think Rick Mercer speaks for many of us in this 'rant.'

Double Double, Toil And Trouble: Star Readers On Tim Hortons And The Minimum Wage Hike

As always, the letters from Star readers do not disappoint:

I am really finding it difficult to empathize with businesses like Tim Hortons crying over the minimum-wage increase. The fact that these businesses are paying minimum wage in the first place demonstrates a corporate greed that supersedes any dignity and respect for their employees that serve the coffee and make the sandwiches that generate billions in earnings. Tim Hortons is no longer Canadian and I feel we shouldn’t be as loyal to a brand that does not project Canadian values. Were businesses expecting the minimum wage to stay the same forever?

Brad Globe, Whitby

I would gladly pay more for my coffee and doughnut to make possible the continued care of Tim Hortons’ fine staff – as they have cared for me and my family and friends for so many years and in so many places.

I don’t want to leave Tim’s comfort and kindness for some cold and trendy café staffed by constantly changing temps. Tim’s is one of my homes, where I always feel welcome and safe.

Please find a way to reward these wonderful workers for their dedication and loyal service, and you can count on my continued and loyal patronage.

Susan McMaster, Ottawa

Pick a fight with me Mr. Joyce, not workers; and Small business owners are not the bullies here, Opinion, Jan. 7

We strongly disagree with Dan Kelly, president of the Canadian Federation of Independent Business, when he suggests the minimum-wage hike is about “election optics.”

Small businesses are the backbone of Ontario’s economy and therefore a powerful political base. Thus, if Premier Kathleen Wynne is indeed “shaming” small businesses, she is actually risking political suicide. We applaud her for courageously putting the quality of life of everyday Ontarians above the Liberals’ political gains.

As small business owners for 34 years, we have always paid our employees well above minimum wage. In profitable years, we have rewarded them with year-end bonuses. As Wynne aptly argues, “it’s the right thing to do.” Profiting from those who struggle to make ends meet is not good business, it is abuse.

For those small-business owners who truly cannot afford to pay a living wage, you have our sympathy. It takes courage to accept the risks inherent with starting a business. However, if your success depends on the failure of your employees to make ends meet, then you cannot be truly successful.

For those small-business owners who are financially able to but refuse to pay their employees a living wage, shame on you.

Mr. Kelly, as “courageous” business owners, we would indeed love to tell the premier what her $15 minimum-wage plan means for our future and the future of our employees: business as usual.

Gerald and Shelley Grieve, Gerald Grieve Landscape Group

UPDATED: Despite The Hysteria The Sky Will Not Fall

In an op-ed piece the other day, Dan Kelly, president of the Canadian Federation of Independent Business, wrote of the economic Armageddon awaiting Ontario businesses thanks to the recently-hiked Ontario hourly minimum wage to $14, to be increased to $15 next year.

While no one can fault Kelly for pandering to the interests of his constituents, his arguments apparently carry little weight with the larger public, who see nothing but good coming from paying a living wage to the people who make profits possible for our titans of business.

Star letter writer Tom Doris of Toronto offers his response:

Dan Kelly has the misguided attitude that any business creating jobs must be considered a successful business and be left alone by government despite poverty wages, denied tips and no job security for its workers.

Indeed, his arguments lead me to conclude that his membership has not the capability to create vibrant, living-wage jobs. As well, he appears to be insistent that workers in this province should be thankful for any position no matter the wage, treatment or security.

By contrast, jurisdictions throughout the western world have thriving small businesses that pay living wages (not just a sham attempt at such). He and his membership need to learn how to be successful without exploiting workers.

Meanwhile Ken Fitzsimmons of Toronto has a clear-headed suggestion that that could quell Mr. Kelly's rising hysteria:

Dan Kelly doesn’t get much sympathy from me.

His examples of businesses that are paying the price for the increase in the minimum wage are dry cleaners, coffee shops and mechanics. Seriously? That’s ridiculous. All these shops have to do to cover the increased expense is to raise their prices. Now, don’t try to tell me that this will make them uncompetitive. All their competitors are in the same situation and will have to raise their prices as well. The people that will actually bear the cost are the customers themselves and that is as it should be. It is a small burden to pay so that all employees can have at least a half-decent wage. The extra cost would be minimal as it is spread out among the general public, not the business owners.

Having said that, there are businesses that will suffer and I do feel sorry for them and they should be given some consideration. They are businesses such as retailers that compete with online business that don’t have the same employee expenses. It’s also tough to compete with low wages from other countries, but that doesn’t give employers the right to keep wages low in Ontario. There are other ways to combat unfair labour practices abroad.

Sure there are problems to be resolved, but this outcry from a lot of business groups that the sky is falling is mostly just nonsense.

One line from the above letter bears special emphasis: The people that will actually bear the cost are the customers themselves and that is as it should be. It is a small burden to pay so that all employees can have at least a half-decent wage.

Anyone taking issue with that sentiment should at least be honest enough with themselves to admit they prefer that some toil away in economic enslavement so they don't have to pay a little more for the things they want and need in life.

UPDATE: For those interested in making their voices heard over some of the despicable retaliatory practices being enacted by business, I just got this notice from LabourStart Canada:

SOLIDARITY RALLIES FOR ONTARIO TIM HORTON'S WORKERS ON WEDNESDAY

On the heels of the $15 and Fairness campaign victory in Ontario that saw the minimum wage rise to $14/hr a number of Tim Horton's shops are cutting worker benefits, breaks and other entitlements. Employers are preserving their profits by making workers pay for the increase.

But you know this because you read our news pages and follow our social media feeds. So let's cut to the chase.

If you live in Southern Ontario then on Wednesday you have 3 demos in support of the Timmy's workers to choose from (OK, there may be more by the time you read this so contact your local Labour Council. If there isn't one near you suggest it):

COBOURG: 5pm @ the Timmy's at 970 Division St, Cobourg, Ontario K9A 5Y5.

DUNDAS: 5pm @ the Timmy's at 38 York Road, Dundas. L9H 1L4

WEST TORONTO: 8am @ the Tim's at 1094 Bloor West M6H 1M5

If you are at the Cobourg demo look for me. I'll be wearing an Australian union toque and scarf. I'll buy you a coffee if we can find a place. :-)

Not an Ontario resident? Wish us luck because, unless you live in Alberta where the rate has already gone up, you'll be facing the same, soon. If we can win this it might just be a little easier for everyone else.

In Solidarity,

Derek Blackadder
LabourStart Canada

UPDATED: You Get What You Pay For

That fundamental truth is grasped by two small-scale entrepreneurs, much to the shame of much larger entities like Tim Hortons which, as widely reported, are taking out their outrage and venality on their employees.

Gilleen Witkowski, who operates a dog-walking business in Toronto, has this to say:

“I’m a millennial and my whole working life, the minimum wage was frozen or close to frozen. That’s my context,” says the 32-year-old co-founder of Walk My Dog.

“I’ve seen people attempt and fail to make a living on just minimum wage, and watched people struggle in the new economy to get good jobs with their degrees.”

Her decent work strategy, she says, has proved a success.

“I totally understand the concerns around cost because I am a small business now. But I think the benefits outweigh the cost. The loyalty I’ve seen from my staff is incredible.”

“It’s doing the right thing, but there are tangible benefits and that is my low turnover,” she added.

Those truths were something that took Damin Starr longer to discover. Originally employed by his hard-nosed father, who taught him that the bottom line is the only thing that really matters, Starr eventually started his own company, PreLine Processing, and retained his father's chief tenet,

leaning heavily on minimum wage temp agency workers.

The epiphany, he says, came when he returned from Toronto having secured a $40,000 contract, only to find $10,000 worth of mistakes on his shop floor in Lincoln, Ont.

“I was working all sorts of extra hours because I had inexperienced workers making mistakes,” he says. “I’m not blaming the workers. I blame myself. What a miserable environment I had.”

After sitting down with his permanent employees, Starr made some 'radical' changes:

... [H]e dumped temp agencies and ramped up wages. Together with his employees, he calculated a living wage for his region — which in 2012, he figured to be $15 an hour.

“We decided that you couldn’t work for us for less,” he said, noting his base rate is now more than $17 an hour.

“People were thrilled with the fact that there was a commitment to ensure that nobody wouldn’t be able to pay their bills at the end of the day,” he added.

“Something occurred during that time that made me proud of the business and proud of the staff.”

Change is never easy. However, despite the loud protestations of some businesses, it seems that treating one's workers with respect and dignity is not the money-losing proposition the reactionary right would have us believe.

UPDATE: Still not convinced? Take a look at what Ivan Gedz is doing in Ottawa for his restaurant employees:

A Centretown restaurant is boosting base wages for its kitchen crew to $16 an hour, a move that will affect half-a-dozen staff while making a “negligible” difference in prices for customers, its co-owner says.

UPDATED: A CBC Bias?

I will be the first to admit that I get only modest amounts of my news from television. However, due to the severe cold we have been experiencing for too long here in Ontario, I have been doing very little walking, usually a mainstay of my daily routine. To compensate, I have been spending some time downstairs where I have a small treadmill and other exercise equipment. Because of exercise's intrinsically boring nature, I have taken to watching CBC News Network. Because I am not a regular viewer of such news sources, please bear in mind that the following is only my impression and may, in fact, be a distorted perception of what the network is offering.

My sense is that there is a real effort on the part of the network to placate the right-wing. Two stories, although perhaps too small a sampling to demonstrate a genuine pattern, suggest this. The first, an interview also placed on the CBC's website, examines the impact of minimum wage increases that took effect in Ontario on January 1.

Farmer Kevin Howe of Howe Family Farms in Aylmer, Ont., a small business that has been in operation for five generations, said he's already reducing the amount of crops he plans to plant this year, and fears he won't need as many workers because consumers won't be willing to pay the higher prices he'll have to charge to cover wage increases.

"Costs are always going up and we need to be able to pass these costs on to stay in business," he told CBC News in an interview Tuesday.

Some summers he hires up to 400 people to pick his strawberry crop, but this year there will be far fewer hours available as the farm has reduced its strawberry acreage by 30 per cent as a precaution. "It's definitely going to impact the amount of work available," he said. "It's going to make for shorter days [and is] definitely not going to be good for the community."

While Andrew Nichols certainly offered a sympathetic ear to young Kevin Howe, notably absent was any offer of a countervailing view by Nichols, for example, the fact that most economists seen the increase as ultimately yielding a net benefit to business because of the increased buying power customers will have. The host, instead, seemed content with feeding Howe leading questions that bolstered his position.

Not yet convinced that this is anything more than a particular host's handling of an issue? Then take a look at the following, in which Diane Buckner interviews Ian Lee, a professor at the Sprott School of Business. Start at about the 2:12mark, when they begin to duscuss the disgraceful behaviour of Coburg's Tim Hortons, bullying behaviour that now appears to be spreading.



You will note that while Buckner gamely sets up the story with a context that might provoke some anger at the franchisees' mean-spirited actions, and attempts to provide balance throughout the interview, Lee's sympathies clearly lie with the owners and their massive profits. For him, the costs entailed by labour seem to be one of those unfortunate and dirty realities to be lamented as loudly as possible. Indeed, he even goes so far as to claim, at the end of the piece, that the wage increase will result in 60,000 layoffs, an absolute misrepresentation of the Bank of Canada report. Clearly, the CBC knew what they were getting when they hired Ian Lee to occupy a pundit's perch.

My final evidence for CBC bias is an opinion piece by
Robyn Urback, a columnist for the National Post who was hired in 2016 to write and produce for the CBC's Opinion section. Entitled Of course businesses would act like businesses in wake of minimum wage hikes her view is also one of total sympathy for business owners.

Businesses exist to make money. Government should function on the expectation that corporations will act in their own economic self-interest. Instead, in the case of Ontario, officials feign shock and outrage when a business tries to maximize profits, and release silly statements like the one Premier Kathleen Wynne did Thursday afternoon, accusing one of the vacationing Tim Hortons heirs of being a "bully" for eliminating paid breaks and other benefits.

Sure, eliminating paid breaks is not very nice. But what, exactly, did the premier think was going to happen? Employers would just absorb the added costs? Dip into their own personal profits? OK, and maybe my prom dress still fits, too?

The article goes on in a similar vein for some time, but I imagine you get the flavour of it from that excerpt.

So is our national broadcaster providing fair and balanced coverage of a crucial social and economic issue? My guess would be it is not. For that, you may wish to go to this piece entitled Relax, Ontario’s minimum wage increase will not lead to massive job losses, found on the Vice website, or this thoughtful essay by Michael Coren entitled Why Tim Hortons doesn’t deserve your sympathy, on the TVO website.

UPDATED: The Hamilton Spectator's Deidre Pike also has an interesting reflection on minimum wage increases.

Note To Tim Hortons Head Office: Please Respect Your Workers

On Sunday, I wrote about The Toronto Star reporting that a Tim Hortons franchisee is eliminating paid breaks for his/her employees as retaliation against the June 1 increase of the minimum wage in Ontario to $11 per hour. Yesterday, I sent off a letter to the head office of the coffee and donut emporium. I would encourage others for whom this is an issue to do the same.

Here is that letter:

To Whom It May Concern:

It was with great dismay that I learned in Sunday's Toronto Star that some Tim Hortons' franchisees are retaliating against the new Ontario minimum wage by eliminating paid breaks for employees. An owner's memo released by an employee stated:

“Given this new increase, as well as continued economic and competitive pressures, increasing commodity costs and minimal increases in menu pricing, effective June 1, we will be shifting all hourly team members in the restaurant to unpaid breaks.”

While I imagine this news is most disheartening to the many who faithfully and cheerfully serve your products, you should be aware that it is also very distressing to consumers who care about workers' rates of remuneration and working conditions and try to make ethical decisions in their discretionary purchases. I am one such person among many.

Your corporate response cited in The Star, that these decisions are made at the franchise level by each individual Tim Hortons restaurant owner, consistent with provincial labour regulations, was unsatisfactory in the extreme for many reasons.

Tim Hortons has long marketed itself as a Canadian institution and icon that we should all revere as patriotic citizens. Who can forget the role your coffee and donut emporium has played over the years in bringing caffeine comfort to early-morning hockey dads, sending underprivileged kids to camp, and being in the most desolate of locations, including Afghanistan 'supporting our troops.'

Sad to say, all of that iconography rings hollow when head office absolves itself of any responsibility for the actions of its franchisees. To hide behind legalities, deferring to provincial regulations and decision-making protocols, conveys an air of corporate indifference and avarice, not leadership.

There is no doubt in my mind that should this controversy have a negative effect on your very profitable operations, the lamentations about price pressures cited by the above-quoted Toronto operator notwithstanding, you would use your influence to rectify this unacceptable gouging of your employees.

As one very active in social media and blogging, I intend to spread the word about this egregiously unfair situation as widely as I can. My purpose, of course, is to encourage as many as possible to boycott Tim Hortons until equity is restored.

I look forward to hearing from you on this matter.

...................................................................................
Should you feel so moved to express your views about the company's mistreatment of its employees, here is the link.

Tim Hortons Takes Aim And Fires

The advertising would have us believe that Tim Hortons is a Canadian institution and icon that we should all revere as patriotic citizens. Who can forget the role the coffee and donut emporium has played over the years in bringing caffeine comfort to early-morning hockey dads, sending underprivileged kids to camp, and, gosh darn, just being here, there, and everywhere (including Afghanistan), doing all of us proud. (Be still, my beating heart!)

Well, sad to report on this fine Sunday morning, the corporate mask has slipped a bit.

According to a report in the The Toronto Star, today, June 1, marks a new phase in the relationship that some franchisees have with their employees. Because today is the day in Ontario that the minimum wage rises to $11 per hour, it appears that the very profitable coffee giant is intent on cutting benefits to compensate for the higher wage:

A Toronto-area Tim Hortons worker, who didn’t want her name or outlet location identified for fear of reprisals, said her employer posted a memo notifying staff he was ending breaks with pay to recoup costs.

“Given this new increase, as well as continued economic and competitive pressures, increasing commodity costs and minimal increases in menu pricing, effective June 1, we will be shifting all hourly team members in the restaurant to unpaid breaks,” the memo reads.

“We are not pleased we have to make this adjustment to the break policy and have held off making this change for several years,” it said.

I suppose, given the tone of this apologia, that workers should be grateful to the giant that it has withstood all of the above pressures so valiantly until being 'forced' into this action by a premier who finally remembered the working poor.

I guess Timmy's vote won't be going to the Liberals on June 12.

And one can't help but wonder whether the enthusiasm evident in this video might now become muted at best: