Red ink-soaked school boards can breathe a sigh of relief after the province ended a three-month game of chicken over teacher salary increases left out of last spring's budget. The turn of events means school boards can begin reworking their spending in the hopes of avoiding some 600 layoffs across the province. It's just too bad it didn't happen sooner.
School boards across Alberta were up in arms last spring when the provincial budget failed to cover a 2.92 per cent wage increase for new teacher salaries, citing fiscal restraints due to a then-forecasted $4.7-billion deficit. The $66-million cost was part of a five-year deal the province signed in 2007 that ties teacher salaries to the Alberta Weekly Earnings Index.
Education Minister Dave Hancock told school boards the province was good for the cash but just couldn't afford to pay at the time. Instead, he encouraged districts to find cost savings, use reserves or resort to deficit budgets. St. Albert's Protestant school board approved a $1.8-million deficit budget, draining $1.5 million in reserves in the process. The Catholic district deferred its budget to November, but had planned to empty reserves by $1.4 million. Meanwhile, boards in Edmonton and Calgary had been staring at red ink despite cost cutting and putting nearly 400 teaching positions on the chopping block.
Whether it was the outcry over layoffs or the province's improved fiscal picture — now on pace for a $1-billion deficit — Hancock announced on his blog Wednesday the province found the cash for teachers. It's great news for teachers, but it's unfortunate some had to needlessly worry about whether jobs would be available in September. It also forces school boards to reopen their books and start the budget process anew.
Given the gloomy fiscal outlook this year it's perfectly reasonable and expected that the province would look for cost savings, and encourage school boards to do the same. When public funds are at stake it should be automatic for governments and taxpayer-funded institutions to tighten their belts just like the private sector. But at the same time, the province should not use the economic downturn as an excuse to avoid promises made when it committed to the wage hikes in the first place, especially in a year when it collected an extra $181 million in education taxes. Given recent labour history, the government should have known its attempt to download costs would be met with fierce resistance at the board level and among teachers. The government should take the next step and fund next year's wage increase, fulfilling its promise. That would eliminate another round of finger pointing where the quality of education is used as a tool in a seesaw political and labour battle.
Council sees reason
Another government took steps to address a past mistake when Mayor Nolan Crouse indicated he's second-guessing a plan to review council remuneration. The plan involved hiring a third-party consultant to review wages at city hall, including council pay and perks. A steering committee consisting of the mayor, Coun. Roger Lemieux and a citizen at large, was to review the findings by November.
The lack of citizen oversight didn't go over well with members of the public nor former mayor Richard Plain, who on Monday encouraged council to open up the process in the interest of transparency. Whether it was the public backlash, a change of heart or reading through the terms of reference after the fact, council now recognizes the poor optics of its earlier decision.
Council needs to immediately begin the search for broader public representation on a wage review committee, and make strides to ensure any changes are made before the October election. Recognizing a mistake only to put off the remedy is still a mistake, one voters might heed on Oct. 18.