1

HILE THERE is unfortunately

much that divides the two main

labor bodies in Canada—the Con-
federation of National Trade Unions
and the Canadian Labor Congress—
they are both agreed on at, least one
thing: their concern over the fact that
profits in Canada are increasing far
more rapidly than wages.

This is one of the main contentions

of the annual memorandum of the CLC, -

Submitted to the federal government
on Feb 15. The same point is made in
a separate memorandum of the CNTU,
submitted to the federal cabinet the
next day. uae

Similar concern over the widening
gap between profits and wages has
been expressed by the AFL-CIO in the
United States.

Furthermore, the Canadian labor
bodies point out, the workers’ average
Wages and salaries are very low com-
‘pared to the high cost of living.

“The worker can rely only on his
Salary, which is directly affected by
inflation,” says the CNTU submission.
“But inflation does not affect so un-
favorably capital holders whose stocks
make profits out of inflation.”

At the same time both the CNTU
and the CLC submissions make the
point that it would be an error for the
&overnment to apply broad restrictions
to the economy at this time.

The CLC noted a six-percent econo-
mic growth in 1965, measured in dol-
lars, and the lowest unemployment
rate in nine years. But it warned that
to allow consumer demands to lag be-
hind the economy’s productive capa-
city could produce a pattern of “slow
growth and high unemployment, which
recurs so often in the Canadian eco-
nomy.”

It added: “We remind the govern-
ment of the great increase in the labor
force expected over the years imme-
diately ahead and the need for con-
tinued expansion to provide jobs for
these new entrants into the labor
market.

“We further remind the government
of its commitments to promote medi-
Care) the ‘war on poverty’, increased
federal aid to education, and better
Manpower programs.”

The submission of the CNTU sug-
bested that “economic restrictions
Would increase unemployment.”

Quoting the annual Survey of Indus-
trials issued in July, 1965, the CNTU
memorandum showed, from the results
Of some 300 companies, that the per-
Centage of annual increase in after-tax
Profits was 2.7 percent in 1960 and 9
Percent in 1964.

But the percentage of annual in-
crease in wages, reported by DBS, was
6 percent in 1960 and only 4.4 per-
cent in 1964. Compared to real pur-
chasing power this increase amount: 1

LA 1/6 it VAIL

Lot

Labor talks
to the
government

...and one of the big areas of concern
is the growing wages-profits gap.

to 1.3 percent for 1960 and 2.6 percent
for 1964.

An interesting proposal for a price
arbitration system was advanced by
the CNTU.

“We believe the time has come to
establish a price arbitration system
whereby producers would have to jus-
tify price increases,” the labor body
said.

After stating it was not a question
of preventing producers from increas-
ing prices, but one of compelling them
to justify such increases, the CNTU
suggested the establishment of arbi-
tration boards which would have two
functions:

“ (a) Determine whether the reason
given by primary producers, basic in-
dustry or by distributors of essential
products and services for price in-
creases are justified; if unjustified, the
public should be informed.

“(b) Investigate all sections of the
economy to discover any abuse in the
financial structure of companies in as
much as these structures may influence

prices.”

In answer to those who might argue
for a wage arbitration system to be
established at the same time, the
CNTU said:.‘‘Unilateral wage increases
simply do not exist; such increases are

secured through bargaining which con-
stitutes at least an equivalent of the
proposed arbitration on prices.”

The briefs of the CLC and CNTU
dealt with a number of other questions
such as manpower policies, immigra-
tion, improvement of: social security,
the need to improve conditions of the
Indian and Eskimo populations and
international affairs.

Of interest in the CLC submission
was a section titled ‘“‘“A United Canada,”
which dealt with the constitutional
crisis and relations between French
and English Canada. \

The congress reiterated its commit-
ment to the preservation of Canada as
“one united country” and emphasized
a need to “preserve workers against
special exploitation.” Linked to this
was a call for elimination of marked
differences in income and other econo-
mic impediments characteristic of some
depressed areas.

But the CLC failed to differentiate
between this and the need to recognize
at the same time the equal status of
the two nations in Canada — French
and English speaking— joined in a
voluntary union as equals in a new
constitution.

The CLC approach tends to deal
with Quebec as a depressed region,
like the Maritimes or Newfoundland.

March 25, 1966—PACIFIC TRIBUNE—Page 5

Il (oe va | I at | |

It, sees the problem of Quebec as one
of language and culture only. |

This was revealed earlier, in the CLC
submission to the Royal Commission
on Bilingualism and _ Biculturalism:
“However much the congress supports
the right of Canada’s two principal
languages and cultures to exist and
prosper side by side, it does not see in
this alone any assurance of the well-
-being either of the working people of
this country or of the country as a
whole.

“Similarly it is firmly convinced that
any political division or fragmentation
of Canada into smaller political units
would lead inevitably to the disintegra-
tion of both cultures, not to mention
their economic attainments.”

Both the CLC and the CNTU told
the federal government that they were
disturbed by the war in Vietnam.

The CLC called for unconditional
negotiations involving all parties in-
volved in hostilities; implementation
of the Geneva Accords; removal of all
foreign troops from North and South
Vietnam; cessation of all acts of terror
and subversion; self-determination and
independence for the people of Viet-
nam as well as all of South East Asia;
a massive aid program to assist reha-
bilitation and development.

More than a trillion dollars has been
spent on arms by all countries since
the end of World War II, the brief
stated, and the $200 million spent last
year is more than the national incomes
of all the underdeveloped countries.

The CLC called for a halt in the
arms race and urged the government
to work for: (1) an agreement against
proliferation of nuclear weapons; (2)
formation of a non-nuclear association
of nations; (3) a total ban on nuclear
tests; (4) complete and general dis-
armament of nuclear, chemical, bac-
teriological and conventional weapons;
(5) an effective United Nations pre-
sence and influence in disarmament
negotiations.

It regretted the government’s refusal
to abandon or renounce a nuclear role
for Canada’s armed forces and called
for a review of the need for a Canadian
military presence in Europe.

On Vietnam, the CNTU brief said:
“We are not satisfied with Canada’s
policy on Vietnam. We believe that
(Canada must cease approving Wash-
ington in this war. The military esca-
lation: in this eastern country is a
menace to world peace.”

The CLC and CNTU opposed racial
regimes such as South Africa and
Rhodesia~ The CLC urged a govern-
ment crash program to help train the
people of Rhodesia for self-govern-
ment,

Both labor bodies urged admission
of People’s China to the United
Nations.

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