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Posted on 10-27-2010 under Bargaining, General Discussion

Hi Folks

Found in today’s Toronto Star is an article about public sector wage compensation,

the bottom line is the suggestion the Education and Health will see the lowest increase at about  %1.4

-Tom Wilcox

Here’s the link:

http://www.thestar.com/business/recession/article/881225–ontario-workers-to-lag-behind-other-provinces-in-pay-increases

ARTICLE:

Ontario workers can expect the lowest pay increase across the country in 2011, according to an annual report gauging employer outlook across the country.

On Tuesday the Conference Board of Canada released Compensation Planning Outlook 2011: Playing It Safe in the Face of an Unsteady Economic Recovery.

Ontario workers can expect a base pay increase of 2.6 per cent in 2011, the report showed. Pay increases for non-unionized employees are expected to average about 2.8 per cent.

“Things are not quite back to business as usual for compensation planners. The economic recovery is still unsteady and burdened by risks from abroad,” said Karla Thorpe, associate director, compensation and industrial relations, in a statement.

“The next year will require patience on the part of workers and businesses. Workers cannot yet expect strong wage gains, and businesses have been slow to see improvements in corporate balance sheets.”

The highest increases in base pay are expected in Saskatchewan, up 3.6 per cent and Alberta, up 3.1 per cent.

While economic uncertainty means modest pay increases for Canadians fewer companies are planning to freeze pay.

Fewer than 3 per cent of the public sector employers that participated said they planned to freeze pay in 2011, compared to 6 per cent the same time last year.

Private sector employers are planning increases of 2.9 per cent, compared to a 2.3 per cent planned increase by public sector employers. Those figures marked the end of several years of the public sector outpacing the private sector in base-pay salary increases.

Positions in the public sector include public service, agencies and Crown corporations, municipalities, hospitals and schools.

The highest increases are expected in the oil and gas industry, with an increase of 3.6 per cent. Base pay in natural resources (excluding oil and gas) and construction are both expected to increase by 3.5 per cent, in 2011.

The lowest increases are expected in education and health, about 1.4 per cent.

Responses were gathered from 384 Canadian organizations between June 15 and September 1, 2010. Almost all of the respondents have an employee pension plan in place.

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