We need an honest conversation about taxes and public services
BC FEDERATION of Labour
October 28, 2010

Gordon Campbell once again returned to his failed tax cut strategy in his televised address to the province last night.

Instead of offering new policies to create jobs, protect services and build strong communities, Campbell announced another across the board income tax cut that will reduce provincial revenues by almost $600 million a year. Liberal tax cuts over the last decade have already reduced provincial revenue by $3.5 billion annually.

"As we watch public services cut in all parts of the province, the Premier wants us to believe that reducing provincial revenues by more than half a billion dollars is going to protect health care and education and other services," says Federation President, Jim Sinclair. "This tax cut will put about $7 a week in the pocket of someone earning $50,000 a year. That $7 is not going to stimulate the provincial economy in any meaningful way."

"Wealthy British Columbians and corporations have had a 10-year tax holiday under the Liberals. As a result our public services have been dismantled and we have the highest rates of poverty in Canada," says Sinclair. "Instead of trying to justify the dishonest Harmonized Sales Tax we need an honest discussion on taxes, tax cuts, taxation strategies and yes, tax increases in some cases."

The Premier also needs to be honest with British Columbians when it comes to the Liberals' nine-year freeze to the minimum wage. Contrary to what the Premier and Minister of Labour have claimed, a full-time minimum wage earner in BC has less take home pay than a minimum wage earner in any other province in Canada. For example, a full-time minimum wage worker's annual after tax income is $2,991 higher in Ontario and $2,297 higher in Newfoundland.

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