For millions of Canadians, wages have long been growing more slowly than the real rate of inflation.
This means that in real terms, millions of people are becoming poorer every year.
Sure, some people may get technical wage “increases,” but when inflation more than wipes it out it’s as if people’s wages are being cut.
This ongoing trend is one of the most serious problems with economies around the western world, including here in Canada.
It is clear to see that our economic policies have worked out great for the globalist elites, and turned out very bad for just about everyone else.
Looking past the initial numbers
One of the ways the elites hide the widening gap in economic outcomes and obscure the ongoing erosion of the earning power of working class and middle income Canadians, is by drawing lots of attention to the large (but vague) numbers in reports on the economy. They can always find some positive number to point to, and they focus all attention there, ignoring the deeply disturbing trends that continue below the surface.
Nowhere is that more clear than in recent wage data provided by Statistics Canada. Unsurprisingly, discussion of these numbers often centred around the narrative that “wages were going up,” while a closer look shows a much more complicated picture.
Below are the respective percentage wage increases/decreases in all sectors of the Canadian economy, from April 2016 to April 2017:
|Industrial aggregate excluding unclassified businesses||2.0|
|Goods producing industries||0.7|
|Forestry, logging and support||0.5|
|Mining, quarrying, and oil and gas extraction||-5.3|
|Service producing industries||2.2|
|Transportation and warehousing||1.9|
|Information and cultural industries||-4.5|
|Finance and insurance||4.9|
|Real estate and rental and leasing||-0.6|
|Professional, scientific and technical services||0.5|
|Management of companies and enterprises||12.2|
|Administrative and support, waste management and remediation services||5.0|
|Health care and social assistance||4.7|
|Arts, entertainment and recreation||-2.4|
|Accommodation and food services||1.6|
|Other services (except public administration)||2.4|
While some of this is the usual up and down we see in economic data – which is often revised later – we can notice some disturbing trends.
First, note how wages in certain aspects of the tangible economy are weakening. Mining, quarrying, oil and gas extraction, utilities, and construction, are all down.
Other areas such as accommodation and food services, service industries, goods producing industries, and educational services, all saw very weak increases.
But note the areas where some of the largest increases took place: Management of companies and enterprises, health care and social assistance, and of course, finance and insurance.
The health care numbers speak to the ongoing challenge in Canada of ever-increasing health care spending that doesn’t lead to better results.
However, the numbers for finance and insurance, and management of companies and enterprises, speak to the fact that wealth is being increasingly concentrated in fewer and fewer hands.
Those at the upper echelons of large corporations, and those working for big banks and insurance companies are doing quite well and have wage gains that far outstrip the rate of inflation.
It’s important to note that even this data can’t fully show how a small elite is gaining more and more wealth and influence. While wages are up among the finance and insurance industry, we can be confident that most of those wage gains aren’t going to bank tellers and call-centre staff. The massive pay of top level CEO’s skews the number even further, and government statistics mask the true disparity.
And, we must keep in mind that all of this is happening in an environment of record-low interest rates and massive debt accumulation, so we should be seeing strong wage growth in every part of the economy – not just a few sectors. The fact that growth is so slow is very concerning when we consider what will happen once rates begin to rise and unsustainable debt levels begin coming down.
We have seen how a deeper look at economic statistics can shed light on problems that are rarely discussed in the establishment media. Many Canadians can feel that there is something seriously wrong with our economy, yet the government constantly tries to convince us otherwise. That’s why we always need to question what we are told by the government, and that’s why we must trust in our common-sense rather than go along with the manipulations of those in power.
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