The Flat Rate Forums

Rick Austin · Guest

I have a complaint regarding flat rate increases. I have worked in the craft pay scale for most of my nearly 32 year career at SaskTel. It is my opinion that flat rate increases hurts everyone as time goes on.

Flat rate increases do certainly help the employees at the bottom end of the pay scale in the beginning. The funny thing is most people do not stay at the bottom of the pay scales. A flat rate increase is indeed a downward sliding scale increase. The more a person earns, the smaller the percentage increase he/ she receives. Everyone in this company advances to the top of their pay scale or bids on other jobs with a higher banding to increase their take home pay! I believe management would certainly like to offer flat rate increases. It saves this company money in the long run. My monetary example pertains to the craft scale.

I was first hired as an apprentice lineman in 1975. The starting wage then was $154.50 per week. A top paid craft person was $308 per week. The latest figures I can find today is the wages to the end of March, 2007; the wage scale before the 2.2% COLA increase. An apprentice lineman hired off the street now is paid $744.75 per week. A top paid craft person is $1,086.75 per week. In percentage terms, an apprentice was paid 50.16% (154.5/308) of what a top craft person was paid in 1975. In todays’ terms that same apprentice is paid 68.53% (744.75/1,086.75) of a top paid craft person. Does the apprentice stay at the bottom of his pay scale? NO! He/she moves up like everybody else. Based on the above percentages, if the same percentage that was in effect in 1975 were in effect today, a top paid craft person would be paid $1,484.69 per week (744.75/.5016)!! Everyone who stays long enough in this company makes it to the top of their pay scale. This company, in this example, is saving nearly $400 per week per employee with 5 years or more service in the craft band 8 scale!