Pay Equity in the News This Week.

Government leads by example in pay equity

Published Saturday August 16th, 2008
Telegraph Journal
A11

It has been interesting to follow the hue and cry over a recent contract signed by CUPE Local
1252, which represents some 6,000 hospital workers in the province.
The government should be applauded for addressing the issue of pay equity in the contract, correcting inequities in the system to ensure that women receive equal pay for work of equal value.

That was a commitment made during the last campaign by the Liberals. The Charter for Change agenda included a commitment to legislate pay equity in all parts of the public service and to work with the private sector to attain the goal of legislating pay equity across the board. While dealing with pay equity through contract negotiations with local 1252 does not fully meet the election commitment, it is a step in the right direction.

The backlash to the deal is disturbing.

The Times & Transcript quickly pointed out that these workers included the positions of clerk typist, secretary, laundry worker, food service worker, assistant housekeeper and orderly hairstylist among others.

The editorial stopped short of referring to these jobs as "women's work" but it wasn't too difficult to read between the lines.

Just because a job is traditionally held by a woman doesn't mean it is of less value to society and therefore deserves less pay. This negative reaction to the latest pay equity adjustments in Local 1252 leads me to believe that certain groups in society still don't get it. In order to move forward we have to recognize the value of so-called "women's work." We also need to have a more positive attitude towards the changing role of women in the workplace. A second income today for a family is often a necessity rather than a bonus wage. For some families, as well, it is the only income.

A lot of thought and effort on the part of the government and the union went into addressing this issue in this contract.

A team of union and government representatives conducted an extensive gender-neutral evaluation of positions within the union to arrive at the wage adjustments.

What the critics fail to acknowledge is that while these jobs may not have the manly cache of traditionally higher paying jobs, they are essential to the functioning of the health-care system. And the women who fill these jobs need to pay their bills, just as men do. That's all part of the pay equity equation.

Addressing the issue of pay equity through contract negotiations such as those with CUPE Local 1252 is an important step forward but it is just part of the equation.

That was acknowledged earlier this year when the government released its progress report on a five-year action plan for wage gap reduction.

The province's wage gap in 2007 stood at 12.6 per cent, a slight increase over 2006, due in large part to a booming construction sector, traditionally a male domain that demands higher salaries.

As the Minister Responsible for the Status of Women, Mary Schryer, said at the time, the wage gap is not acceptable to government or to the women of New Brunswick.
The goal of government is to reduce the gap to 10 per cent by the year 2010.

We need to create better access for women to higher paying jobs traditionally filled by men, particularly in the trades sector. More importantly, if we want a strong health-care and childcare system, we need to properly value work traditionally done by women.

While education remains an important avenue in advancing the cause of pay equity, legislation is still the only sure way of achieving success in our lifetime. Marginalizing women and the work they do is exactly what the pay equity cause does not need.

For example, when government considers changes to the tax system it should evaluate just how proposed changes will impact upon women in the work force and ensure that the changes will not impact negatively upon progress towards wage equity. Law Professor Kathleen Lahey of Queen's University estimates that the recent proposed New Brunswick tax changes could increase the gender income gap between men and women. It is reassuring to hear that New Brunswick Finance Minister Boudreau has indicated that he will listen to all potentially negative impacts of the proposed changes to the province's tax system.

Bringing the stakeholders, including private sector together, is an important step in advancing the cause of pay equity. Another major component is writing effective legislation that will ensure that pay equity becomes a reality in New Brunswick.

The government has the major role to play in these endeavors and it has to lead by example.
Marcelle Mersereau is a former Liberal MLA and past president of the New Brunswick Liberal Association. She served as Frank McKenna's deputy premier.


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SRC Atlantique12 août 2008

Une réforme déséquilibrée

Une étude révèle que la réforme fiscale que propose le gouvernement du Nouveau-Brunswick défavorisera les femmes et les ménages à revenu modeste.

Une réforme déséquilibréeMise à jour le mardi 12 août 2008, 14 h 56 .

Les femmes et les ménages à revenu modeste seront défavorisés par la réforme de la fiscalité que propose le gouvernement libéral du Nouveau-Brunswick.

C'est du moins ce qui ressort de l'étude effectuée par une professeure de droit et que le Conseil consultatif sur la condition de la femme du Nouveau-Brunswick vient de rendre publique.

« C'est presque indécent pour un gouvernement de faire passer une chose pareille », affirme Huberte Gautreau.

Avec une centaine d'autres femmes, Mme Gautreau a assisté à la présentation publique de cette analyse des propositions de réforme fiscale.

Johanne Perron, déléguée de la Coalition pour l'équité salariale, dénonce la proposition d'augmenter les taxes sur la consommation pour financer une réduction des impôts, qui serait particulièrement importante pour les hauts salariés et les grandes entreprises.

«Le fardeau des taxes, des impôts, va reposer davantage sur les épaules des femmes que des hommes, des pauvres que des riches. - Johanne Perron, Coalition pour l'équité salariale»
Au Nouveau-Brunswick, 40 % des femmes ne gagnent pas assez d'argent pour payer de l'impôt. Elles n'auront donc pas droit au crédit d'impôt de 400 $ pour les enfants.

« La famille avec deux enfants, qui en arrachent, qui ont de la misère à faire joindre les deux bouts, ce sont eux qui vont moins bénéficier de ce nouveau régime-là », déplore Jody Dallaire, représentante de la Coalition pour les services de garde à l'enfance.

Enfin, la plupart des femmes craignent qu'une trop grande diminution des impôts limite les capacités financières de la province à offrir de meilleurs programmes sociaux, entre autres en matière de services de garde.

« C'est tellement horrible comme changement que je crois que les gens vont protester, vont se lever », espère Huberte Gautreau.

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The Canadian PressAtlantic News, Tuesday, August 12, 2008 - 19:45ET

Tax expert says proposed N.B. reforms would have 'devastating' impact on some

Quentin CaseyThe Canadian Press

FREDERICTON - Tax reforms proposed by the New Brunswick government would have a "devastating" impact on low-income earners and would widen the wage gap between men and women, says a Queen's University tax expert.

Kathleen Lahey, a law professor at the Ontario school, contends the Grit plan to shift the tax burden from income to consumption taxes will have unforeseen effects.

And she disputes the notion that creating a "tax-haven" in New Brunswick will spur economic development and attract outside investment.

"These proposed tax reforms are devastating for a large proportion of the population," Lahey said Tuesday following a speech sponsored by the Advisory Council on the Status of Women.
In June, the government unveiled potential reforms to the provincial tax code. The proposals span a range of options, from a single income tax bracket of 10 per cent, to lowering the general corporate tax rate from 13 to as low as five per cent.

The Grits say the options could result in personal and corporate income taxes being cut by as much as $500 million a year.

Their tax discussion paper says a new carbon tax and HST increase would, in exchange, generate about $350 million per year.

Lahey said the plan - particularly the idea of a 10 per cent flat income tax - creates "upside-down benefits," meaning those with higher incomes benefit, while those with low incomes take a relative hit.

Only the top 25 per cent of wage earners can actually afford to save their money, she said, meaning those who can't save don't benefit from a move away from income taxes.

Lahey reckons the plan will shift a large chunk of the tax base to those who make less than $35,000 a year - an income bracket dominated by women.

According to Lahey, 40 per cent of women in New Brunswick already pay no federal or provincial income tax because their income is so low.

Proposed tax credits for low-income earners won't help close the gap either, she said.
Lahey also called the suggested corporate tax cuts "scary."

"Poor people will be paying income taxes twice as high as corporations if those cuts go into place," she said. "That is extremely unfair."

Gayle MacDonald, a sociology professor at St. Thomas University in New Brunswick, was troubled by Lahey's take on the potential reforms.

"I think it's an absolutely appalling situation for taxation for women in this province," she said following the speech."In this day and age, for the provincial government to propose something that actually denigrates women's economic position further is simply appalling."

Finance Minister Victor Boudreau was unavailable for comment Tuesday.

Last month a legislative committee held its final public forum on the proposed reforms.

The committee held 10 public sessions, heard from nearly 100 groups and received more than
200 written submissions.

The tax committee's report is expected some time this fall, with the first changes to arrive in next year's budget.


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Proposed tax reforms 'devastating' for province's low-income earners

Published Wednesday August 13th, 2008, A2Quentin CaseyTELEGRAPH-JOURNAL

FREDERICTON - Tax reforms proposed by New Brunswick's Liberal government would have a "devastating" impact on low-income earners and would widen the wage gap between men and women, says a Queen's University tax expert.

Kathleen Lahey, a law professor, contends the Grit plan to shift the tax burden from income to consumption taxes will have unforeseen effects.

And she disputes the notion that creating a "tax-haven" in New Brunswick will spur economic development and attract outside investment.

"These proposed tax reforms are devastating for a large proportion of the population," said Lahey on Tuesday, following a luncheon speech sponsored by the Advisory Council on the Status of Women.

In June, the Liberals unveiled potential reforms to the provincial tax code.

The proposals span a range of options, from a single income tax bracket of 10 per cent, to lowering the general corporate tax rate from 13 to as low as five per cent.

The Grits say the options could result in personal and corporate income taxes being cut by as much as $500 million a year. Their tax discussion paper says a new carbon tax and HST increase would, in exchange, generate about $350 million per year.

Lahey said the plan - particularly the idea of a 10-per-cent flat income tax - creates "upside-down benefits," meaning those with higher incomes benefit, while those with low incomes take a relative hit.

Only the top 25 per cent of wage earners can actually afford to save their money, she said, meaning those who can't save don't benefit from a move away from income taxes.

Lahey reckons the plan will shift a large chunk of the tax base to those who make less than $35,000 a year - an income bracket dominated by women.

According to Lahey, 40 per cent of women in New Brunswick already pay no federal or provincial income tax because their income is so low.

Proposed tax credits for low-income earners won't help close the gap either, she said.
Lahey also called the suggested corporate tax cuts "scary."

"Poor people will be paying income taxes twice as high as corporations if those cuts go into place," she said. "That is extremely unfair."

Gayle MacDonald, a sociology professor at St. Thomas University, was troubled by Lahey's take on the potential reforms.

"I think it's an absolutely appalling situation for taxation for women in this province," she said following the speech.

"In this day in age, for the provincial government to propose something that actually denigrates women's economic position further is simply appalling."

Finance Minister Victor Boudreau was unavailable for comment Tuesday.
Last month a legislative committee held its final public forum on the proposed reforms.
The bi-party committee held 10 public sessions, heard from nearly 100 groups and received more than 200 written submissions.

The tax committee's report is expected sometime this fall, with the first changes to arrive in next year's budget.

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La Presse CanadienneActualités nationales, mardi, 12 août 2008 - 20:48ET

N.-B.: la réforme fiscale aurait un impact dévastateur, selon une experte

La Presse Canadienne

FREDERICTON - Le projet de réforme de la fiscalité du gouvernement du Nouveau-Brunswick aurait un impact dévastateur sur les gagne-petit et élargirait l'écart salarial entre hommes et femmes, selon une experte en fiscalité.

Kathleen Lahey, qui enseigne le droit à l'université Queens, en Ontario, affirme que le plan libéral qui vise à déplacer le fardeau fiscal en favorisant les taxes à la consommation, plutôt que sur l'impôt sur le revenu, aura des effets imprévus. Elle conteste l'idée selon laquelle la création d'un "paradis fiscal" au Nouveau-Brunswick stimulera le développement économique et attirera des investissements de l'extérieur de la province.

Ce sera "dévastateur" pour une grosse proportion de la population, a soutenu Mme Lahey mardi, après avoir prononcé un discours parrainé par le Conseil consultatif sur la condition de la femme.

En juin dernier, le gouvernement a dévoilé différentes hypothèses de réforme, allant d'un taux unique d'imposition de 10 pour cent à l'abaissement du taux général d'imposition des entreprises, qui passerait de 13 à peut-être 5 pour cent. Selon les libéraux, cela pourrait se traduire par des réductions des impôts sur les revenus des particuliers et des sociétés pouvant atteindre 500 millions $ par an. Leur document de travail mentionne qu'une nouvelle taxe sur le carbone et une hausse de la taxe de vente harmonisée produiraient, en échange, des revenus d'environ 350 millions $ par an.

Selon Mme Lahey, l'idée d'un impôt généralisé de 10 pour cent, notamment, profiterait aux contribuables à revenus élevés, et serait nettement moins avantageuse pour les personnes à faibles revenus. L'universitaire est d'avis que le plan transférera une grande partie de l'assiette fiscale sur les épaules de ceux qui gagnent moins de 35 000 $ - une fourchette d'imposition occupée surtout par les femmes.

D'après Mme Lahey, 40 pour cent des Néo-Brunswickoises ne paient déjà pas d'impôt fédéral ou provincial, leur revenu étant trop faible. Les crédits d'impôt proposés à l'intention des gens à faibles revenus ne contribueraient pas non plus à réduire la disparité hommes-femmes, dit-elle.

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Liberal tax ideas would hurt women - professor

Published Wednesday August 13th, 2008A3By STEPHEN LLEWELLYN llewellyn.stephen@dailygleaner.comDaily Gleaner

Slashing corporate and income tax rates while jacking up the HST would be an economic disaster for New Brunswick women, says a tax policy expert.

Queen's University law Prof. Kathleen Lahey says implementing the Liberal government's recent discussion paper on taxation would widen the gap between women's and men's incomes and shift the tax burden to the group that can least afford it.

The proposed changes "will seriously impair and destabilize the existing tax bases, with the results that the government will be able to plead poverty when faced with demands for adequate childcare resources, low-income supports and development projects that are capable of helping New Brunswick women overcome their disadvantaged economic status," she said.

"The proposed tax reforms are devastating for a large proportion of the population because they effectively insulate incomes of $35,000 or greater from virtually any form of taxation except consumption taxes."

Women are far less likely to earn more than $35,000 a year, she said, and only 25 per cent of wealthy Canadians have substantial savings.

"Consumption-based taxes (such as the HST) primarily benefit the rich by not taxing savings," she said. "It has a built-in bias then in favour of people who earn enough to be able to save."
Lahey made the comments Tuesday at a conference in Fredericton sponsored by the New Brunswick Advisory Council on the Status of Women.

Reducing income tax rates to a flat 10 per cent tax and increasing the HST by two percentage points slices 28 per cent off personal income taxes - or $355 million - and replaces only two-thirds of that lost revenue, she said.

"This will make it more difficult in the future for women to move toward economic equality widening the after tax gender gap," said Lahey.

A study on New Brunswick's tax system was commissioned by the advisory council and is believed to be the first gender analysis of a major prospective tax policy document in Canada. Lahey was the principal investigator in the study.

She said the gender income gap in New Brunswick was at least 35 per cent in 2005 and is estimated to reach 36.4 per cent by the end of the year.
About 23 per cent of women opt to work part-time in low-wage jobs because of a lack of access to affordable daycare, said Lahey.

The government's discussion paper is proposing tax breaks to offset the impact of the tax changes on low-income New Brunswickers.

But Lahey said several of the benefits proposed wouldn't go to those most in need because about 41 per cent of all New Brunswick women who file income tax returns pay no tax. About 27 per cent of men who file income tax returns pay no tax, she said.

"Really in income tax law, it is almost impossible to make up for tax cuts to the wealthy by giving poor people tax credits," she said.

Lahey said increasing the HST while reducing the income tax rate to a flat 10 per cent would on average leave men with $316 more a year in after-tax income for 2008 while women would get $198.

"Women in New Brunswick live in a very different social, economic and political world than men," she said.

Lahey said the current progressive tax system allows the average woman to keep a slightly higher percentage of her income after taxes than men.

The Universal Child Care Benefit proposed in the discussion paper, which would pay an annual grant of $600 per child under the age of six, would also have a negative impact on women, she said.

The benefit would cost up to $30 million a year. But $50 a month doesn't pay for childcare and would be a luxury payment to parents who can live on one income, Lahey said.

She was also critical of cuts to corporate taxes to as low as five per cent from 13 per cent. Lahey said there's no proof that lower corporate tax rates promote economic development.
Ginette Petitpas-Taylor, chairwoman of the advisory council, said the study has been submitted to the legislature's committee on tax review.

"As Prof. Lahey concluded, the government should not consider tax proposals that increase inequality between the sexes, given its heavy obligations to eliminate remaining areas of disadvantage faced by New Brunswick women," said Petitpas-Taylor.
Finance Minister Victor Boudreau wasn't available for comment.

The committee is expected to make it final taxation recommendations this fall with implementation scheduled for the spring of 2009.

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L'Acadie NouvelleActualités, mercredi, 13 août 2008, p. 5

La réforme fiscale serait "dévastatrice" pour les femmes


Gagnon, Charles-Antoine

FREDERICTON - Les options contenues dans la réforme fiscale proposée par le gouvernement provincial sont "dévastatrices pour les femmes", soutient une experte en fiscalité de l'Université Queen's.

Kathleen Lahey a analysé, au cours des derniers mois, le document de travail du ministre des Finances, Victor Boudreau, qui propose une série d'options visant à améliorer le régime de taxation au Nouveau-Brunswick.

D'après Mme Lahey, qui a fait une présentation devant plusieurs dizaines de femmes, hier midi, à Fredericton, dans le cadre d'une conférence intitulée "Le sexe et les taxes au N.-B.", la réforme fiscale aura pour effet de creuser l'écart qui existe présentement entre les revenus des femmes et ceux des hommes.

Dans son analyse intitulée "Et les femmes alors? Analyse sexospécifique du Document de travail sur le régime fiscal du N.-B.", la professeure de la Faculté de droit à l'Université Queen's a mentionné, entre autres, que le revenu des femmes au N.-B. est déjà si bas qu'elles ne profiteraient pas d'un taux uniforme d'imposition de 10 %.

"Le salaire moyen des hommes est de loin plus élevé que celui des femmes. C'est donc dire que les hommes obtiendront davantage de bénéfices de cette réduction de l'impôt sur le revenu", a
précisé Mme Lahey dans un rapport de 45 pages.

L'experte de l'Université Queen's, à Kingston, en Ontario, a aussi précisé qu'une taxe sur le carbone et l'augmentation proposée de la TVH seront difficiles à absorber pour les femmes.
Rosella Melanson, directrice du Conseil consultatif sur la condition de la femme du N.-B., a précisé que le rapport de Mme Lahey expose les impacts de la réforme proposée à l'endroit des femmes. Elle espère maintenant que l'étude de la professeure inspirera le ministre des Finances dans l'élaboration du nouveau régime de taxation.

"Cette analyse démontre que ce n'est pas ce dont les femmes ont besoin, en dépit des besoins du N.-B., afin de maintenir un niveau d'équité", a signalé Mme Melanson.

Pour Johanne Perron, de la Coalition pour l'équité salariale, le rapport Lahey se veut un outil d'analyse du document de travail du ministère des Finances.

"Les options de réformes affectent davantage les femmes que les hommes, touchent les pauvres plus que les riches et font en sorte que les impôts des corporations représenteront une moins grande part des revenus du gouvernement", a noté Mme Perron.

Le Comité spécial d'examen de la fiscalité, qui a paradé à travers la province plus tôt cet été pour écouter les réactions et suggestions des gens et organismes sur la réforme, soumettra d'ici les prochaines semaines un rapport au gouvernement Graham.

Le rapport aidera Fredericton à pondre sa réforme de la fiscalité au Nouveau-Brunswick.

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L'Acadie NouvelleActualités, mardi, 12 août 2008, p. 11

Équité salariale: Tracadie-Sheila fait sa part

Pître, Jean-Mari

TRACADIE-SHEILA - Préoccupée par des questions d'iniquités salariales, la Ville de Tracadie-Sheila s'est engagée dans un projet pilote de la Direction des questions féminines. Le projet pourrait servir d'abord la municipalité, mais également l'ensemble de la province.
Ce projet fait partie du plan d'action quinquennal (2005-2010) sur l'écart salarial au Nouveau-Brunswick et est une initiative de la Direction des questions féminines, organisme qui fait partie du Conseil exécutif du premier ministre.

L'organisme a donc élaboré un projet pilote pour diminuer l'écart salarial en commençant par les organisations publiques, comme les hôpitaux et les municipalités.

Pour rallier des municipalités francophones à ce projet, la Direction des questions féminines a fait appel à l'Association francophone des municipalités du Nouveau-Brunswick (AFMNB).
Le regroupement a alors choisi Memramcook, et Tracadie-Sheila, laquelle s'était montrée particulièrement enthousiaste, selon l'AFMNB.

"Je suis très intéressé, indique le maire de Tracadie-Sheila, Aldéoda Losier. On veut garder nos professionnels. Je pense qu'un projet comme celui-là, ça démontre la valeur de ce qu'on doit payer et les fonctions et les responsabilités de ceux qui travaillent pour la Ville", explique le maire Losier.

Le projet fonctionne par une analyse de tous les postes, avec les salaires versés, les définitions de tâches et les responsabilités qui y sont associées.

Un logiciel conçu pour cette analyse dressera un bilan de la situation en définissant les écarts salariaux, s'il y en a.

Ce logiciel a auparavant été utilisé par le gouvernement du Québec et a été ajusté à la réalité néo-brunswickoise.

Pour la Ville de Tracadie-Sheila, ce programme pourrait s'avérer utile et pourrait être appliqué à l'interne pour régler des cas d'iniquité salariale réels ou présumés.

Une fois que le bilan sera complété et que des recommandations seront émises, les responsables du projet entendent les soumettre au conseil municipal.

Le projet s'intéresse aux écarts salariaux homme/femme, mais concerne également les iniquités entre départements.

Il est également question de statuer la raison pour laquelle un tel salaire est attribué à un tel poste, selon le maire de Tracadie-Sheila, Aldéoda Losier.

"Pour nous, il n'y a pas d'hommes, de femmes ou de races. C'est une question de justifier pourquoi un employé est payé 8 $ l'heure, et un autre 18 $ l'heure", soutient M. Losier.
Ce dernier se dit également préoccupé par les salaires offerts aux cadres en fonction de leurs responsabilités, qui peuvent varier selon qu'ils évoluent dans une administration municipale de 4500 ou 20 000 habitants.

Tracadie-Sheila devrait remettre ses résultats cet automne à l'organisme porteur du projet, la Direction des questions féminines.

Le groupe étudiera ensuite les résultats et établira des procédures qui pourront être suivies par les autres municipalités de la province afin de réduire les écarts salariaux.
En bref... Le projet est offert à un large éventail d'employeurs, dont les universités, et pourrait s'étendre graduellement à l'entreprise privée... Le gouvernement du Nouveau-Brunswick va également procéder à un exercice du genre afin d'étendre l'équité salariale à l'ensemble de la fonction publique provinciale, de même qu'aux organismes parapublics, entre autres...Le logiciel d'évaluation est disponible sur le site de la Direction des questions féminines (www.gnb.ca/0012/Womens-Issues/index-f.asp)...

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Johanne Perron Executive Director / Directrice généraleNB Coalition for Pay EquityCoalition pour l'équité salariale du N.-B. Tel / Tél.: (506) 855-0002 Fax / Téléc.: (506) 854-9728 51 Williams Street, Moncton, NB E1C 2G6 51, rue Williams, Moncton, N.-B. E1C 2G6 coalitio@nb.sympatico.ca www.equite-equity.com