Labour’s Vision for Economic Recovery

By staff - Canadian Labour Congress - May 13, 2020

Canada is in the midst of the worst unemployment crisis since the Great Depression. Millions of workers have lost their jobs and now face an uncertain future.

Canada’s unions are proposing a set of ambitious initiatives in order to achieve a strong, sustainable and inclusive economic recovery. It is a recovery that places workers directly at the centre of every policy and strategy going forward.

COVID-19 has laid bare the underlying inequalities of our society. The labour movement has been witness to the growing divide between the have and have-nots and is ready to advise on ways to narrow the gulf to ensure fairness for everyone.

By fixing what has long been broken, we can ensure that no one is left behind in the coming phases of recovery.

The guiding principles we propose build on current government efforts to respond to economic disruptions wrought by the pandemic. These priorities aim to ensure that the economic recovery:

• Focuses on getting Canadians back to work and fully employed in decently paid, productive jobs. As we learned from the Great Recession in 2008, joblessness and labour underutilization will persist without labour market planning, coordination and concerted action by governments.
• Focuses on public investment in infrastructure, and on renewal and expansion of public services. Amidst general uncertainty, weak consumer demand and high levels of indebtedness, business investment will not, by itself, be the engine of recovery. Strong public investment can lift incomes and economic activity that will, in turn, stimulate business investment.
• Focuses on being gendered, inclusive and committed to reducing inequality. The pandemic and economic shutdown have worsened insecurity and inequality, which will further slow the recovery if left unchecked. It is time to address the precarity, poor working conditions and wage discrimination in sectors dominated by women, including care work, retail and health services. This work is essential to the health and well-being of our communities and economy.

Canada’s unions reject the failed thinking and economics of austerity. Canadians remember how the Conservative Party of Canada cut spending to balance budgets in 2010, just months after the worst depths of the Great Recession. The government prioritized financial support for banks and corporations, instead of investing in people and communities. Those decisions led to years of sluggish economic growth, persistently high unemployment, growing precarity and insecurity, and rising inequality.

Read the report (PDF).

Disclaimer: The views expressed here are not the official position of the IWW (or even the IWW’s EUC) and do not necessarily represent the views of anyone but the author.