Private Sector vs. Public Sector

CDNBear

Custom Troll
Sep 24, 2006
43,839
207
63
Ontario
I just want to chime in here to say that I think this is a bit of an overblown issue. If you have a responsible government that democratically allocates tax revenues to the appropriate services, then the people would be more willing to contribute. The problem, imo, is not taxation itself - it's accountability.
I'll concede to that.

I still don't think that's necessarily due to funding. Look at the example that Bar Sinister provided. Why is it that garbage collection seems to be a good move, but privatizing air lines was a bad one?
Don't know. Why did you ignore GoTransit?
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
39,784
458
83
I'll concede to that.

Don't know. Why did you ignore GoTransit?

Ah.. never thought of them. But that brings another problem as well. Multiple fares.

If you live in Mississauga and commute to Toronto, it's expensive and timely because you have to deal with multiple transit systems.
 

CDNBear

Custom Troll
Sep 24, 2006
43,839
207
63
Ontario
Ah.. never thought of them.
I mentioned them by name in the post you quoted.

But that brings another problem as well. Multiple fares.

If you live in Mississauga and commute to Toronto, it's expensive and timely because you have to deal with multiple transit systems.
That has nothing to do with GoTransits shoddy service and ever increasing fares.
 

SLM

The Velvet Hammer
Mar 5, 2011
29,151
3
36
London, Ontario
Holding a government accountable through votes is not as easy as it sounds, much easier to hold a corporation regulated by the government accountable. Obamacare is now a fact, just that it will not be compulsory for everyone to subscribe to it and you can have private insurance if you desire. I agree, all this would have been much easier to swallow if it was initiated after WW-II.

The thing that scares me about privatization in healthcare is the that the only group I trust less than the government is the insurance industry.

I just want to chime in here to say that I think this is a bit of an overblown issue. If you have a responsible government that democratically allocates tax revenues to the appropriate services, then the people would be more willing to contribute. The problem, imo, is not taxation itself - it's accountability.

I'll second that. It's absolutely about accountability.

I truly do not mind paying a premium if that money is being spent judiciously. It is the tremendous amount of waste that I find infuriating.
 

Goober

Hall of Fame Member
Jan 23, 2009
24,691
116
63
Moving
It seems to me that with a conservative government and a growing Canadian economy, there will be a new rise in private business and an attempt to quash the public sector. We have already seen the beginning of this trend in the last few months with a couple of examples..

1.) The back to work legislation imposed on Canada post workers
2.) Statscan released some reports of a sharp incline in private workers and decline in public sector workers last month

My question is..

Is it really good for our country to privatize all business?

Obviously, there are economic benefits to doing so. However, we all know that private corporations can ruin a society because they care more about profit than the well being of others. This is a basic fact, isn't it?

My stance is that the public sector should remain for substantially vital services, like healthcare, education and some media news (like CBC, etc.) The private sector should be handling things that go beyond these vital services - our "pleasure enhancers" so to speak. This is where having a good job with good pay can reward you with some neat toys.

But, I'm worried that private corporations are becoming much too involved in the former and people keep forgetting a cardinal rule:

A corporation only cares about profit.

Ever go for a passport - they check the documentation - then send it on - Difficult job I say- 40 K min a year - for what -
Municipal garbage - private sector -
More people work in Fed Depts for entitlement programs than in the Canadian Military -

Post Office - Privatize it -
Jobs for life is what you are protecting along with excellent pension plans.

Yes companies make profits - they pay tax as well.

Ever go for a passport - they check the documentation - then send it on - Difficult job I say- 40 K min a year - for what -
Municipal garbage - private sector -
More people work in Fed Depts for entitlement programs than in the Canadian Military -

Post Office - Privatize it -
Jobs for life is what you are protecting along with excellent pension plans.

Yes companies make profits - they pay tax as well.

Rates of Pay for the Public Service of Canada

Program and Administrative Services - (AS, CM, CR, DA, IS, OE, PM, ST, WP) 8 / 10

AS - Administrative Services Group
Annual Rates of Pay
(in dollars)Table Legend

$) Effective June 21, 2010
A) Effective June 21, 2011
B) Effective June 21, 2012
C) Effective June 21, 2013

AS - Development - Annual Rates of Pay (in dollars) Effective Date Step 1 Step 2
$) June 21, 2010 29411 to 44083
A) June 21, 2011 29926 to 44854
B) June 21, 2012 30375 to 45527
C) June 21, 2013 30983 to 46438


AS-1 - Annual Rates of Pay (in dollars) Effective Date Step 1 Step 2 Step 3 Step 4
$) June 21, 2010 46321 48084 49910 51807
A) June 21, 2011 47132 48925 50783 52714
B) June 21, 2012 47839 49659 51545 53505
C) June 21, 2013 48796 50652 52576 54575


AS-2 - Annual Rates of Pay (in dollars) Effective Date Step 1 Step 2 Step 3
$) June 21, 2010 51617 53577 55615
A) June 21, 2011 52520 54515 56588
B) June 21, 2012 53308 55333 57437
C) June 21, 2013 54374 56440 58586


AS-3 - Annual Rates of Pay (in dollars) Effective Date Step 1 Step 2 Step 3
$) June 21, 2010 55326 57428 59610
A) June 21, 2011 56294 58433 60653
B) June 21, 2012 57138 59309 61563
C) June 21, 2013 58281 60495 62794


AS-4 - Annual Rates of Pay (in dollars) Effective Date Step 1 Step 2 Step 3
$) June 21, 2010 60435 62731 65304
A) June 21, 2011 61493 63829 66447
B) June 21, 2012 62415 64786 67444
C) June 21, 2013 63663 66082 68793


AS-5 - Annual Rates of Pay (in dollars) Effective Date Step 1 Step 2 Step 3
$) June 21, 2010 72148 74891 78004
A) June 21, 2011 73411 76202 79369
B) June 21, 2012 74512 77345 80560
C) June 21, 2013 76002 78892 82171


AS-6 - Annual Rates of Pay (in dollars) Effective Date Step 1 Step 2 Step 3
$) June 21, 2010 80365 83420 86697
A) June 21, 2011 81771 84880 88214
B) June 21, 2012 82998 86153 89537
C) June 21, 2013 84658 87876
 

Machjo

Hall of Fame Member
Oct 19, 2004
17,878
61
48
Ottawa, ON
It seems to me that with a conservative government and a growing Canadian economy, there will be a new rise in private business and an attempt to quash the public sector. We have already seen the beginning of this trend in the last few months with a couple of examples..

1.) The back to work legislation imposed on Canada post workers
2.) Statscan released some reports of a sharp incline in private workers and decline in public sector workers last month

My question is..

Is it really good for our country to privatize all business?

Obviously, there are economic benefits to doing so. However, we all know that private corporations can ruin a society because they care more about profit than the well being of others. This is a basic fact, isn't it?

My stance is that the public sector should remain for substantially vital services, like healthcare, education and some media news (like CBC, etc.) The private sector should be handling things that go beyond these vital services - our "pleasure enhancers" so to speak. This is where having a good job with good pay can reward you with some neat toys.

But, I'm worried that private corporations are becoming much too involved in the former and people keep forgetting a cardinal rule:

A corporation only cares about profit.

Sweden has done a very good job, along with Germany, to promote collaboration between workers, management, shareholders and the government, mainly via codetermination legislation, to ensure corporations be more responsive to the needs of the local community. It does not necessarily have to be that corporations are purely greedy.
 

Goober

Hall of Fame Member
Jan 23, 2009
24,691
116
63
Moving
Sweden has done a very good job, along with Germany, to promote collaboration between workers, management, shareholders and the government, mainly via codetermination legislation, to ensure corporations be more responsive to the needs of the local community. It does not necessarily have to be that corporations are purely greedy.

And when German companies wanted to cut back on the great benefits - the shinola hit the fan
 

Machjo

Hall of Fame Member
Oct 19, 2004
17,878
61
48
Ottawa, ON
And when German companies wanted to cut back on the great benefits - the shinola hit the fan

IN Germany and Sweden, any company with 500+ workers automatically has 50% of its board of directors elected by the workers. This is not to say that Swedish workers have never had to accept pay cuts (in fact, Sweden has not mandated minimum wage), but it is to say that they can also pressure upper management to take cuts too.

The idea that a company must bankrupt itself and then get bailed out by the taxpayer so as to pay higher wages to workers as had happened with GM in Canada is not the way things work in Sweden. Yes the government ensures fairness in the market, but in a more sustainable manner than in Canada. Sweden may be "socialist", but it's also pragmatic and fiscally very conservative too, thus ensuring a sustainable form of socialism, very much unlike what the left supports in Canada.
 

damngrumpy

Executive Branch Member
Mar 16, 2005
9,949
21
38
kelowna bc
The changing times and world economies of scale leave cause to create a whole new work
environment. All this division among the class systems of the country will only give cause to
more serious problems down the road. There is room and a place for both the private and
the public sector. The secret is to determine the best way to coordinate the resourses
available to the best advantage. The large infrastructure of society is best left in government
hands, with assistance from the private sector, Instead of running battles with trade unions,
we need to cooperate and encourage them to become part of the drive for prosperity and
industrial progress. Instead we fight over a few cents an hour, as it were when there are much
bigger fish to fry.
Instead of becoming a giant low cost producer, we should take the niche market position.
We have a highly educated workforce, we have all the resources the world needs and we
have the expertise among the players. Private Business, Government, are the search engines
and the financial planners. The Trade Union movement could of course provide the proper
training programs and distribution of labour to get the job done.
It is said we need more jobs in Canada, actually there are a lot of jobs that go begging, Why?
Because we as a society don't provide the training for the people who could do the jobs with
training and the knowledge they exist. Instead of regarding education as an expense we should
view it as our best investment. I have long believed we should use a marks based system for
post secondary education costs with a value added end clause.
If a student for example has a B average, in high school they should have their up front costs
paid for by government using resource revenues, providing the student maintains the letter grade
average.
At the end of the educational diploma or trades certificate, the student would then work on
government projects for a period to be determined by all the participants at say a 75% wage until
a portion of the cost was realized. At the end of the day, everyone would have a chance to
develop their skills and contribute to the economy of our society. In addition we would produce
higher quality goods and services. We would open new avenues of research and development,
we would be ahead of the pack within a decade and that in itself would provide the optimism
to further invest in our country and our economy.
No I realize not all would go smoothly there would be many challenges however the first challenge
in any venture is to change the mind set we currently have, and we could chart a new course
away from Me Me Me me. At the same time it would allow a whole new group of trained professionals
to develop modern solutions and increase the influence of the private sector, working with a more
informed and trained private sector. The trade union movement would also work much better with
companies and governments with some measure of trust.
At least that is the way I see it, but I am sure there are others who would just as soon continue to
beat each other up at the expense of our children and grand children.
The ultimate truth is, we cannot continue doing things the way they are being done. New solutions
must be found, and those solutions must include all the players with a vested interest. How best
can we progress together becomes the biggest question? It won't happen over night but we must
begin somewhere.
 

Retired_Can_Soldier

The End of the Dog is Coming!
Mar 19, 2006
11,505
700
113
59
Alberta
With a cat on his shoulder while he plays piano

Jesus Christ Man Im not that fast.

 

Tonington

Hall of Fame Member
Oct 27, 2006
15,441
150
63
What is needed is not a mindless rush to privatize everything simply for the sake of privatization, but a studied approach in which a good look is taken at an industry before it is privatized

People rarely value good sense as highly as common sense. Great post Bar!
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
39,784
458
83
People rarely value good sense as highly as common sense. Great post Bar!

I think there needs to be more research and analysis of the various industries and how they would affect us if they were to make the switch from private to public and vice versa.

I don't know about you, but I'm sick of this s h i t coming from the right about pure privatization and the garbage from the left telling us to do just the opposite.
 

ironsides

Executive Branch Member
Feb 13, 2009
8,583
60
48
United States
Why would privatizing for example Air Canada result in cheaper airfares, it just made them competitive. with privatization you make everything competitive, you want government control then you will have higher taxes to subsidize lower prices. You want it free, someone will have to pay for it.

It can be confusing, but just think it out. :smile:
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
39,784
458
83
Why would privatizing for example Air Canada result in cheaper airfares, it just made them competitive. with privatization you make everything competitive, you want government control then you will have higher taxes to subsidize lower prices. You want it free, someone will have to pay for it.

It can be confusing, but just think it out. :smile:

I'm sorry, but by simply allowing for "competition" does not guarantee a better service or value.

Let's not forget, again, that the economic side of things is only one aspect. Sometimes the economy has to take a backseat to the environment or certain social norms.
 

taxslave

Hall of Fame Member
Nov 25, 2008
36,362
4,338
113
Vancouver Island
The thing that scares me about privatization in healthcare is the that the only group I trust less than the government is the insurance industry.



I'll second that. It's absolutely about accountability.

I truly do not mind paying a premium if that money is being spent judiciously. It is the tremendous amount of waste that I find infuriating.

Much of our health care is already being provided privately. Most doctors are either self employed or in a partnership. The government may be the payor in most cases but not all. Even some government mandated medical services are not paid for by health care. I don't think it is the same in all provinces either. Eg: Even though the government makes me have a physical every few years to keep my professional drivers license medical does not cover it . I pay out of my own pocket. I have several licenses like that and of course since they fall under different bureaucracies one exam can not be used for all of them. That is a colossal waste of money and both my and the doctors time.
 

Bar Sinister

Executive Branch Member
Jan 17, 2010
8,252
19
38
Edmonton
And when German companies wanted to cut back on the great benefits - the shinola hit the fan

And you have evidence of such an occurrence no doubt.

Ever go for a passport - they check the documentation - then send it on - Difficult job I say- 40 K min a year - for what -
Municipal garbage - private sector -
More people work in Fed Depts for entitlement programs than in the Canadian Military -

Post Office - Privatize it -
Jobs for life is what you are protecting along with excellent pension plans.

Yes companies make profits - they pay tax as well.

Since when was $40,000 a year an exorbitant salary? And what is wrong with a job for life? Would you prefer long periods of unemployment for government workers?

As for the number of workers in federal departments compared to the military, that is a dammed good thing considering the high cost of the military compared to any other government service.

There is little point in depriving government workers of their salaries and pension plans. What should happen is that workers in the private sector be given the same benefits as is required in the Scandinavian democracies and Germany. Why is it that all employees be forced down to the lowest possible wage, especially considering the money paid to corporate executives? Of course, paying everyone a decent living wage would require a somewhat more enlightened attitude toward the average wage earner.