Brad Wall's obsession with privatizing SaskTel

[tay]

a selloff would be disastrous for Saskatchewan's residents as citizens, consumers and workers alike.


While the suggestion of privatizing Sasktel has been floated by the government for the past year, the idea took on new life yesterday with the Premier once again musing about the possibility of a referendum on privatization should the right offer materialize:

“If we were to get an offer as a result of the offer that’s happened in MTS for a majority of the company and we believed that it was good for the province for any number of reasons, it checked a lot of boxes in terms of keeping jobs in Saskatchewan, the head office here, better coverage, well then I can’t say yes to that deal because we didn’t campaign on that,” Wall said. “But I don’t think I should say no either without checking with the shareholders.”

The Premier obviously believes that there is a scenario in which a privatized Sasktel would be good for the people of Saskatchewan – as long as certain conditions are met. Could this be the case? To evaluate the desirability of privatization, I think we need to look at a few different variables, such as affordability, access to service, quality of service and return on investment to determine whether we as a province would fare better under a privately-owned or publically-owned telecom.

Let’s look at your bare bones landline package first.........

Brad Wall, SaskTel and the terrible, horrible, no good, very bad idea - Behind the Numbers

 

[Machjo]

a selloff would be disastrous for Saskatchewan's residents as citizens, consumers and workers alike.


While the suggestion of privatizing Sasktel has been floated by the government for the past year, the idea took on new life yesterday with the Premier once again musing about the possibility of a referendum on privatization should the right offer materialize:

“If we were to get an offer as a result of the offer that’s happened in MTS for a majority of the company and we believed that it was good for the province for any number of reasons, it checked a lot of boxes in terms of keeping jobs in Saskatchewan, the head office here, better coverage, well then I can’t say yes to that deal because we didn’t campaign on that,” Wall said. “But I don’t think I should say no either without checking with the shareholders.”

The Premier obviously believes that there is a scenario in which a privatized Sasktel would be good for the people of Saskatchewan – as long as certain conditions are met. Could this be the case? To evaluate the desirability of privatization, I think we need to look at a few different variables, such as affordability, access to service, quality of service and return on investment to determine whether we as a province would fare better under a privately-owned or publically-owned telecom.

Let’s look at your bare bones landline package first.........

Brad Wall, SaskTel and the terrible, horrible, no good, very bad idea - Behind the Numbers

Sasktel is unionized. That's its workers' choice of course as it is their right (though I do support right-to-work legislation prohibiting closed-shop unions), but they do not have the right to use the force of law and the government to try to monopolize their trade so as to deprive consumers of choice and so essentially blackmail them.

 

[tay]

Sasktel is unionized. That's its workers' choice of course as it is their right (though I do support right-to-work legislation prohibiting closed-shop unions), but they do not have the right to use the force of law and the government to try to monopolize their trade so as to deprive consumers of choice and so essentially blackmail them.

Well as you have demonstrated over numerous posts that you are a Corporate shill I know you support WTR.

The article isn't just about the SaskTel workers but about the citizens of Saskatchewan who enjoy the lowest prices in Canada due to the fact they don't have to pay shareholders.

Yes this graph is from the article......

 

[Curious Cdn]

So, you'd put it on hold, then?

 

[Danbones]

you do math?

 

[tay]

So, you'd put it on hold, then?

Are you referring to the privatization? If so yes. Why would you want to change the system to one where they the citizens have to pay higher rates like the rest of the suckers in Canada have to pay....

 

[Curious Cdn]

you do math?

You do irony?

 

[Danbones]

ah, so I'll take that as a noe

I am sure the good folks of sask. would love to pay more for what the rest of the canadians should get for the same low price they already do

that would be ironic

 

[tay]

The multibillion-dollar out-of-province acquisition of Manitoba Telecom Services announced Monday already has some internet, television and cellphone customers questioning whether a rate hike is on the way for Manitoba.

Manitoba and Saskatchewan have long been touted for their competitively priced service plans compared to other provinces. The low prices have been attributed to strong regional competitors with MTS, Bell and Rogers' fight to offer the most affordable services to customers driving prices down.

Now that Bell and Telus have divied up MTS between themselves, competition could be reduced further still, according to one expert.

"With MTS out of the way — and Bell and Telus sharing the same wireless network — prices are bound to increase to levels more commonly found in the rest of the country," lawyer Michael Geist wrote in his blog.

As for whether specific rate changes are on the way, a spokesperson with Bell said "it's early to talk about pricing."

MTS sale to Bell has some Manitobans worried about price hikes - Manitoba - CBC News

 

[tay]

The minister responsible for SaskTel said he made a mistake when he told the Opposition earlier this week that no work had been done to study the potential effects of selling up to half of the Crown corporation.

On Wednesday in the Legislature, the Opposition critic for SaskTel, Warren McCall, asked the minister responsible if any work had been done to study the potential tax implications of selling up to 49 per cent of the Crown corporation.

Minister Dustin Duncan said "No."

The next day, he sent a letter to McCall saying he had made a mistake.

"That answer was not correct," Duncan writes. "There has been some preliminary work done by SaskTel on this front. I apologize for the confusion."

The Saskatchewan government passed legislation Wednesday that would allow it to sell up to 49 per cent of the province's Crown corporations. Bill 40 creates a legal definition of privatization that allows the partial sale of a Crown without requiring a vote of support from the people of the province.

McCall said under the current rules, if more than 10 per cent of the company is sold, SaskTel would lose its status as a government-owned entity and could be on the hook for a 15 per cent federal corporate tax rate.

Duncan would not say what the potential tax implications of selling up to half of SaskTel would be, calling that hypothetical.

McCall noted that the Saskatchewan Party campaigned in 2007 on a promise to be the most open and accountable government in the province's history.

He said the government's recent behaviour makes a mockery of that pledge, as well as its slogan of the time, that "hope beats fear."

"I guess my hope for them is that they figure out a way to tell the truth, to get their story straight and to quit playing games like this with people's lives," McCall said.

Duncan said if the government decides to go ahead with any sale of a minority stake in the company, it will make public the implications at that time.


SaskTel has studied potential impact of selling up to half of company - Saskatchewan - CBC News