NEWS THAT MATTERS

Ontario freezes MPP salaries: Premier calls on public sector to follow suit

From The HR Reporter, December 21, 2009

http://www.hrreporter.com/ArticleView.aspx?l=1&articleid=7442

The Ontario government has frozen MPPs’ salary and would like other public sector employers to consider the same, says Premier Dalton McGuinty. With a $24.7-billion provincial budget deficit, McGuinty is calling on hospitals, school boards, colleges, universities and municipalities to make sacrifices for the greater good.

During the recession, the public sector has been more sheltered than the private sector, with fewer layoffs and more stable salaries. While McGuinty didn’t release any details about what cost-cutting measures will be in the March budget, the Toronto Star quoted sources who said the Liberals are considering cuts to every area except health and education. The government has also committed to reducing the public service by five per cent. While the government froze pay this year, in 2006, after years of no salary increases, MPPs voted in a 25-per-cent pay hike

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