Ccpa Living Wage 2010 Final Draft

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  • 8/7/2019 Ccpa Living Wage 2010 Final Draft

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    2010Wrkn r a Lvn Wa

    Makn Pa Wrk Mt BascFamly Ns n Mtr Vancuvr

    by Tm Rcars,

    Marcy Cn

    an St Kln

    MAY 2010

    2010 UpatCps t rnal 2008

    ull rprt ar avalabl

    rm t CCPA, an at

    www.plcyaltrnatvs.ca

    In 2008, the CCPA, First Call and Victorias Community Council published

    the inaugural reportWrkn r a Lvn Wa. That report calculated that

    the living amily wage was $16.74/hour in Metro Vancouver, and $16.39/

    hour in Metro Victoria. That ull report, detailing the principles, rationale,

    methodology, data sources, and business case or the l iving wage calculation

    can be ound at www.policyalternatives.ca/livingwage2008. Since then,

    however, amily costs have continued to rise and changes have occurred

    to government taxes and transers. And so this short report updates our

    calculation, providing the 2010 Living Wage or Metro Vancouver now

    $18.17/hour.

    For more on the Metro Vancouver Living Wage or Families campaign, includ-

    ing inormation or employers wanting to become living wage employers,

    visit www.livingwageoramilies.ca

    FAMiLieS Who WoRK FoR LoW WAgeS ac mpssbl ccs buycltn r at t us, t clrn r pay t rnt. T rsult

    can b spralln bt, cnstant anty an ln-trm alt prblms. in

    many cass t mans tat t aults n t amly ar wrkn ln urs,

    tn at tw r tr jbs, just t pay r basc ncssts. Ty av lttl

    tm t spn wt tr amly, muc lss t lp tr clrn wt scl

    wrk r partcpat n cmmunty actvts.

    T rustratn wrkn arr nly t all urtr bn s n many

    Canaans can rlat t. Rcnt CCPA rsarc sws tat mst amls ar

    takn m a smallr sar t cnmc p spt wrkn lnr

    urs, ttn mr ucatn an cntrbutn t a rwn cnmy.

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    2 WoRKiNg FoR A LiViNg WAge: 2010 UPdATe

    Wat s t say

    abut ur cnmy

    wn amls ar

    n all t rt

    tns wrkn ar

    an wrkn ln

    urs yt av t

    cs btwn payn

    t rnt an puttn

    n t tabl?

    in BC, t cntractn btwn yars cnmc rwt an rsn nscurty s

    spcally stark. W ar n nly tw Canaan prvncs wr man arnns r

    nvuals ll btwn 2000 an 2005. Fr s yars runnn, BC as a t st

    cl pvrty rat n Canaa. An BC as als ralz t last prrss (mak tat

    natv prrss) snc t hus Cmmns ll-at 1989 rslutn t n cl

    pvrty. Wl mst prvncs saw a rp n tr cl pvrty rat btwn 1989 an

    2007, nly ontar an BC saw t stuatn wrsn, wt BC prncn t larst

    ncras ( 30 pr cnt).

    T stry cl pvrty s vry muc a stry lw was. Mr tan al BCs pr

    clrn (55.7 pr cnt) lv n amls wr at last n ault as a ull-tm ull-yar jb.

    T lvn wa s n t mst pwrul tls avalabl t arss ts trubln stat

    pvrty am plnty n BC. it allws us t t srus abut rucn cl pvrty,

    an nsurs tat amls w ar wrkn ar t wat ty srv a ar sak, an

    a l tats abut mr tan a cnstant strul t t by.

    A lvn wa s nt t sam as t mnmum wa, wc s t lal mnmum mply-

    rs must pay. T lvn wa sts a r tst t rcts wat arnrs n a amly n

    t brn m, bas n t actual csts lvn n a spcfc cmmunty. T lvn

    wa s a call t prvat an publc sctr mplyrs tmslvs t pay was t bt

    rct an cntract mplys sufcnt t prv t bascs t amls wt clrn.

    WhATS iN A LiViNg WAge?

    T lvn wa s calculat as t urly rat at wc a usl can mt ts basc

    ns, nc vrnmnt transrs av bn a t t amlys ncm (suc as t

    Unvrsal Cl Car Bnft) an uctns av bn subtract (suc as ncmtas an emplymnt insuranc prmums).

    T ull tals t calculatn mtly ar spll ut n t rnal ull rprt

    rm 2008, n pa 23, wc s avalabl at www.policyalternatives.ca/livingwage2008.

    T lvn wa s bas n:

    A amly tw parnts wt tw clrn a ur an svn. (in BC, 85 pr

    cnt amls ar a by cupls, an 62 pr cnt av tw r mr

    clrn.)

    Bt parnts wrkn ull-tm, at 35 urs pr wk. (Full-tm mplymnt

    r bt parnts s t nrm r amls wt clrn n BC.)

    estmat amly pnss n 10 catrs (mr n ts blw).

    T cst vrnmnt uctns (prvncal an ral tas, emplymnt

    insuranc prmums an Canaa Pnsn Plan cntrbutns).

    T valu vrnmnt transrs lk t Canaa Cl Ta Bnft (mr n

    ts blw).

    emplyrs prvn mnmal pa vacatn an sck tm.

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    WoRKiNg FoR A LiViNg WAge: 2010 UPdATe 3

    A LiViNg WAge iS:

    Bas n t prncpl

    tat ull-tm wrk

    sul prv amls

    wt a basc lvl

    cnmc scurty, nt

    kp tm n pvrty.

    T amunt n

    r a amly ur wt

    tw parnts wrkn

    ull-tm t pay r

    ncssts, supprt t

    alty vlpmnt

    tr clrn,

    scap fnancal strss

    an partcpat n

    tr cmmunts.

    Fr Mtr Vancuvr,

    t lvn wa n

    2010 s $18.17.

    A Bare Bones Budget

    At $18.17 pr ur r Mtr Vancuvr r $33,069 annually r ac

    parnt wrkn ull-tm rs wat a amly cul ar:

    Food: $756/mnt (bas n stmats by t dttans Canaa r a

    nutrtus t)

    CLoThiNg ANd FooTWeAR:$187/mnt

    SheLTeR: $1,346/mnt (nclus cnsrvatv rnt stmat r a

    tr-brm apartmnt, utlts, tlpn, an nsuranc n m

    cntnts)

    TRANSPoRTATioN:$442/mnt (nclus tw-zn bus pass an t cst

    wnn an pratn a us car)

    ChiLd CARe: $1,095/mnt (r a ur yar l n ull-tm car, a svnyar l n atr-scl car, an s wks summr car). Ntably, cl

    car s t scn mst pnsv tm n t lvn wa amly but

    atr sltr.

    MediCAL SeRViCeS PLAN (MSP) PReMiUMS: $114/mnt

    NoN-MSP heALTh CARe: $133/mnt (r Pacfc Blu Crss insuranc;

    s nt nclu pnss nly partally cvr by t nsuranc plan)

    PAReNTS edUCATioN: $88/mnt (allws r tw cll curss pr yar)

    CoNTiNgeNCY FUNd: $212/mnt (prvs sm cusn r unpct

    vnts lk t srus llnss a amly mmbr, transtn tm btwnjbs, tc.)

    oTheR: $689/mnt (cvrs prsnal car, urntur, usl sup-

    pls, scl suppls, sm ran matrals, mnmal rcratn an

    ntrtanmnt)

    Ts lvn wa calculatn s nt cvr:

    Crt car, lan, r tr bt/ntrst paymnts;

    Savns r rtrmnt;

    ownn a m;

    Savns r clrns utur ucatn;

    Anytn byn mnmal rcratn, ntrtanmnt, r lay csts;

    Csts carn r a sabl, srusly ll, r lrly amly mmbr;

    r

    Muc a cusn r mrncs r tu tms.

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    4 WoRKiNg FoR A LiViNg WAge: 2010 UPdATe

    T stry cl

    pvrty s vry muc

    a stry lw was.

    Mr tan al BCs pr clrn

    lv n amls wr

    at last n prsn

    as a ull-tm jb.

    T lvn wa ts amls ut svr fnancal strss by ltn tm ut

    pvrty an prvn a basc lvl cnmc scurty. But t s als a cnsrvatv,

    bar bns but wtut t tras many us tak r rant.

    T lvn wa calculatn s bas n t ns tw-parnt amls wt yun

    clrn, but wul als supprt a amly truut t l cycl s tat yun

    aults ar nt scura rm avn clrn an lr wrkrs av sm tra

    ncm as ty a. imprtantly, t lvn wa s als nu r a snl parnt wt

    n cl t t by. A snl parnt wt tw clrn, wvr, wul av a muc

    tur tm. (S pa 25 t rnal 2008 rprt r mr n snl parnts.)

    exPLAiNiNg The iNCReASeS iN The 2010 LiViNg WAge UPdATe

    T 2010 Lvn Wa upat ss sm szabl ncrass vr t 2008 Lvn Wa.

    T nw numbrs (usn t sam mtly r bt tw-parnt/tw-cl

    amls, an r snl parnt amls wt n cl) ar as llws:

    Vancuvr: Tw-parnt, tw-cl amly up $1.43 rm $16.74 t

    $18.17 (an ncras 8.5 pr cnt vr tw yars)

    Vancuvr: Snl-parnt, n-cl amly up $1.30 rm $16.73 t $18.03

    As a cmparsn rcs wv als calculat t lvn wa fur r Mtr

    Vctra:

    Vctra: Tw-parnt, tw-cl amly up $0.92 rm $16.39 t $17.31

    (an ncras 5.6 pr cnt)

    Vctra: Snl-parnt, n-cl amly up $0.24 rm $15.11 t $15.35

    S, wats rvn t cans?

    T amunt, accrn t t nw Cost o Eatingrprt rm t dttans

    Canaa, s up cnsrably. Fr t Vancuvr ur-prsn amly, t ncrass rm

    $652/mnt t $756/mnt.

    Rnt ncrass ar a b rvr. Accrn t Canaa Mrta an husn

    Crpratn ata, t man rnt r a tr-brm apartmnt n Vancuvr

    wnt up abut 7.8 pr cnt vr t tw yars t $1,175/mnt.

    Cl car als tk a b jump $113/mnt vr t tw yars. in t wak

    t ral vrnmnt canclln t cl car armnt wt t prvncs,

    an subsqunt cuts t prvncal rants t cl car cntrs, cl car s av

    sn a stp ncras, ctvly canclln ut wat amls rcv n t ral

    Unvrsal Cl Car Bnft ac mnt.

    Ntably, t csts ssntal tms tat lw-ncm amls cannt av av

    ncras by mr tan t nral rat natn (CPi).

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    WoRKiNg FoR A LiViNg WAge: 2010 UPdATe 5

    iN oUR oWN WoRdS

    T rnal 2008 ull

    rprt s llustrat

    wt placars ma by

    wrkrs n lw-wa

    jbs abut wat a lvn

    wa mans t tm.

    in cntrast, t snl parnt usls s smallr ncrass n t lvn wa,

    manly bcaus ty qualy r t prvncal rntal assstanc rant an t nw

    lw-ncm carbn ta crt, s tr transrs rm vrnmnt ncras.

    Ts act rvs m t mprtant rl publc prrams an vrnmnt transrs

    play n nancn arablty. Wn vrnmnt prrams carry mr wt,

    t lvn wa s mrat, asn t rl mplyrs n nsurn tat amls

    can mt tr cr butary ns.

    WhY A LiViNg WAge?

    Lvn was bnft amls, cmmunts an mplyrs, nw an nt t

    utur.

    A rwn by vnc tlls us tat rwn up n an na, supprtv

    nvrnmnt s a pwrul lln trmnant a prsns alt an nral

    wll-bn. Clrn rm lw-ncm amls ar lss lkly t wll at scl,

    Metro Victorias 2010 Aordability Index

    T 2008 Working or a Living Wage rprt calculat t lvn amly

    wa r Mtr Vancuvr an Mtr Vctra, an was c-publs

    by t Canaan Cntr r Plcy Altrnatvs, Frst Call, an Vctras

    Cmmunty Cuncl.

    Snc tn, t Cmmunty Cuncls Qualty L Calln as n a

    sltly rnt pat. Tr mtly r calculatn t Mtr Vctra

    lvn wa rmans t sam as was stabls n t 2008 rprt (an

    rmans cnsstnt wt t Mtr Vancuvr lvn wa), but ty av

    rnam tr wa The Aordability Index(capturn t act tat t can b

    attan tr by ncrasn was r by lwrn ut--pckt csts).

    T Arablty in ncuras a cmmunty alu arun strats

    t prvnt an ruc pvrty. it s ntn t na t cmmunty

    t tak actn t ruc csts lvn an ncras ncms. T in

    lts tat arablty, spcally t csts usn, cl car,

    an transprtatn, acts t rns ablty t attract an rtan

    sta an sustan a alty an vbrant cnmy an cmmunty.

    in 2010, t wa rqur t mantan a mst qualty l n BCs

    Captal Rn s calculat t b $17.31 pr ur, a 5.6 pr cnt ncras

    rm 2008.

    Fr mr nrmatn n Mtr Vctras Arablty in, vst

    www.qlcalln.ca, mal [email protected], r call 250-383-6166.

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    6 WoRKiNg FoR A LiViNg WAge: 2010 UPdATe

    av lwr ltracy lvls an ar mr lkly as aults t sur rm jb nscurty,

    unr-mplymnt an pr alt.

    Accrn t t Natnal Lntunal Survy Clrn an Yut, parnts n

    usls wt lw ncms ar mr tan twc as lkly as parnts n tr

    ml- r -ncm amls t b crncally strss. Nt avn nu

    mny t buy usl ssntals an ln tat unralstc pctatns wrbn plac n tr tm ar tw t prmary surcs strss ntf n ts

    rsarc. Ts parnts ar mr lkly t sur rm pr alt an t b r

    usrs alt car srvcs. Alscnts lvn wt crncally strss parnts

    wr mr lkly tan tr yut t av a tu tm scally an n scl.

    A srs rcnt natnal stus abut wrk-l cnct cumnt t vry

    csts rl vrla (avn t muc t n a vn amunt tm) n prsnal

    an fnancal trms. Rsarcrs Lna dubury an Crs hns stmat t r-

    ct an nrct csts t mplyrs n absntsm at $6 blln a yar. Ty stmat

    a urtr $6 blln cst t t alt car systm.

    otr rsarc as swn tat payn lvn was as cncrt bnfts r m-plyrs, nclun: ruc absntsm an sta turnvr; ncras skll, mral

    an pructvty lvls; ruc rcrutmnt an trann csts; an mprv cus-

    tmr satsactn. it s als r a cmpanys rputatn. Fr ampl, KPMg n

    Lnn un tat turnvr rats wr cut n al atr t mplmnt a lvn wa

    plcy r all rct an cntract sta n 2006. (S Fears Concerning the Living Wage

    Aecting Business Proftability Overstatedn pa 41 t rnal 2008 rprt r a

    scussn mplyr cncrns abut payn a lvn wa.)

    T lvn wa s frst an

    rmst a call t prvat

    an publc sctr mplyrs

    t sustan amls t

    pay was t bt rct

    an cntract mplys

    sufcnt t prv t

    bascs. But vrnmnt

    plcs an prrams

    als av a rct mpact

    n ur stanar lvn,

    an as a rsult, n t

    lvn wa calculatn.

    UK Employers Get Behind the Living Wage

    Lvn wa mvmnts av bn ann stam n t UK, acrss t US

    an n a numbr Canaan cts.

    in t UK, a rwn numbr lan crprat, publc an nn-prft

    mplyrs s t bnfts payn lvn was, nclun: hSBC Bank,

    KPMg, PrcWatrusCprs, gratr Lnn Autrty, Lnns

    Unrrun subway systm, ur east Lnn halt Trusts, Qun Mary

    Unvrsty, Lnn Scl ecnmcs, t Scl orntal an Arcan

    Stus, an Wstway dvlpmnt Trust. An t 2012 Lnn olympcs

    wll b t frst lvn wa olympcs.

    Wl t act trms r rm mplyr t mplyr, all av sn a

    basc Cartr r Scally Rspnsbl Cntractn, stpulatn all rct

    an cntract sta ar: pa n lss tan a lvn wa as st annually by

    t gratr Lnn Autrty; lbl r 20 ays pa lay plus statu-

    try lays; lbl r 10 ays ull sck pay pr yar; allw r an

    unttr accss t a tra unn.

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    WoRKiNg FoR A LiViNg WAge: 2010 UPdATe 7

    LiViNg WAge

    CALCULATioNS FoR

    oTheR CoMMUNiTieS

    An accmpanyn

    u an sprast

    s avalabl r ts

    skn t calculat

    t lvn wa n

    tr BC an Canaan

    cmmunts.

    Ts tcncal u

    can b wnla at

    www.plcyaltrnatvs.

    ca/lvnwa2010.

    i yu us ts

    u t calculat t

    lvn wa r yur

    cmmunty, plas ltus knw, an tll us

    wat t valu t

    lvn wa s wr

    yu lv. Just cntact

    t CCPAs BC fc.

    geTTiNg TheRe: The RoLe oF eMPLoYeRS ANd goVeRNMeNT

    T lvn wa s frst an rmst a call t publc an prvat sctr mplyrs

    (prmarly larr ns) t sustan amls. Ts can b acv tru was, r a

    cmbnatn was an bnfts (suc as alt bnfts, cvra MSP pr-

    mums, transt passs, tc.). in a tm cnmc rcssn r jblss rcvry, t s

    partcularly mprtant tat publc sctr mplyrs (muncpalts, scl bars,

    alt autrts, tc.) an fnancally alty prvat sctr cmpans sk t

    mtat t wnturn by sustann an nancn t arnns lw-ncm

    amls. An vn tat lw-ncm amls tn t spn almst all tr ncm

    n tr cmmunts, bstn t arnns ts usls s n t mst

    ctv ways stmulatn t lcal cnmy.

    But t lvn wa s nt just abut mplyrs t labur markt aln can-

    nt slv all prblms pvrty an scal clusn. gvrnmnt plcs an

    prrams als av a rct mpact n ur stanar lvn, an as a rsult, n t

    lvn wa calculatn.

    Frst, rct vrnmnt transrs can put mny nt t pckts lw-ncm

    amls. T mr nrus ts transrs ar, t lss a amly rqurs n was

    t acv a cnt stanar lvn. hwvr, mst vrnmnt transrs an

    subss ar ruc r lmnat nc a amly racs an ncm lvl wll

    blw t lvn wa. Fr ur ml lvn wa amly, ts nclu:

    Canaa Cl Ta Bnft (ruc atr t amlys nt ncm s ratr

    tan $41,926);

    gST rbat (nt avalabl t amls wt a nt ncm abv $48,632);

    Prvncal Cl Car Subsy (starts t cln at a mntly nt ncm

    trsl $1,933 an cass ntrly at t ncm lvl ur lvn

    wa amly);

    BC Rntal Assstanc Prram (nt avalabl t amls wt rss ncm

    vr $35,000); an

    otrs nclun t Wrkn incm Ta Bnft, t BC Sals Ta Crt,

    an MSP prmum assstanc.

    T lvn wa s als act by nrct vrnmnt transrs, n t rm

    publc srvcs an nrastructur tat st crtan csts t sulrs nv-

    ual amls. Fr ampl, w a a unvrsal publcly-un cl car systm

    r clrn unr s yars l, t lvn wa calculatn wul n lnr av

    t nclu abut $750 pr mnt n cl car csts. incrasn t stck ar-

    abl usn, r makn publc transt mr arabl, wul lkws cras t

    amunt mplyrs n t pay n rr t prv a lvn wa.

    An s, a ky way mplyrs can ruc t payrll csts t lvn wa s t

    avcat r plcy cans t ncras vrnmnt bnfts t lw-ncm arnrs

    an nanc publc srvcs tat mprv ur qualty l.

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    1400 207 Wst hastns Strt

    Vancuvr, BC V6B 1h7

    604.801.5121

    [email protected]

    www.policyalternatives.ca

    Frst Call: BC Cl an Yut Avcacy Caltn s a

    nn-partsan, prvnc-w caltn ranzatns

    an nvuals cmmtt t prmtn cl an yut

    rts an wll-bn. W cus n publc plcy, publc

    awarnss an mblzn cmmunts r BCs clrn.

    www.frstcallbc.org

    202 1193 Knsway

    Vancuvr, BC

    V5V 3C9

    604.873-8437

    [email protected]

    T Lvn Wa r Famls Campan r

    Mtr Vancuvr was rmally launc n t

    all 2008 wt t publcatn Working

    or a Living Wagean s u by an Avsry

    Cmmtt ma up rprsntatvs rm

    unns, busnsss, parnts, mmrant an

    cmmunty rups, as wll as nvual lw-wa wrkrs. Snc ts ncptn t

    Campan as st a numbr vnts an na n tnsv utrac wt

    cmmunty, labur, mmrant an at partnrs. it as vlp a Lvn Wa

    emplyr rcntn prcss t rcnz mplyrs tat pay a lvn wa. it

    as wrk wt lcal partnrs t ncura lcal muncpalts t pass lvn

    wa by-laws. it s unrtakn a lstnn campan wt lw wa wrkrs an

    as unrtakn trann wrksps n t lvn wa wt a varty ancs.

    Cntact us at [email protected], r tru Frst Call.

    www.lvnwaramls.ca

    T rnal lvn wa rsarc was part t

    ecnmc Scurty Prjct, a rsarc allanc l

    by t Canaan Cntr r Plcy Altrnatvs

    BC ofc an Smn Frasr Unvrsty. T

    eSP was un prmarly by a rant rm t

    Scal Scnc an humants Rsarc Cuncl

    Canaa (SShRC) tru ts Cmmunty-

    Unvrsty Rsarc Allanc prram.

    Tanks als t t Unt Way t Lwr

    Manlan, t human early Larnn Partnrsp,

    an t hsptal emplys Unn r tr

    fnancal assstanc ts prjct.

    T pnns n ts rprt, an any rrrs, ar

    ts t autrs, an nt ncssarly

    rct t vws t publsrs r tr

    unrs, spnsrs r supprtrs.

    Ts publcatn s avalabl unr lmt

    cpyrt prtctn. Yu may wnla,

    strbut, ptcpy, ct r crpt ts

    cumnt prv t s crt an nt us

    r cmmrcal purpss. Prmssn s rqur

    r all tr uss.

    Cpyt, sn an ptrapy:

    Nan Rnby an Pt Tupa,

    www.ansnpublcatns.cm

    978-1-897569-61-0

    Marc 2010

    T Canaan Cntr r Plcy Altrnatvs s an npnnt,

    nn-partsan rsarc nsttut cncrn wt ssus scal

    an cnmc justc. Fun n 1980, t s n Canaas

    lan prrssv vcs n publc plcy bats. TCCPA s a rstr nn-prft carty an pns n t

    supprt ts mr tan 10,000 mmbrs acrss Canaa.