The Flat Rate Forums

Admin · Site Admin Joined: 16 Apr 2007 Posts: 33 Location: Regina

The new Flat Rate Model
The Flat Rate Facts website

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Thanks to Kris from this forum for lending a hand.[/url]

L · Guest

Wow – I was astounded by the cumulative wage loss effect shown by the flat rate economic model. I was just as surprised by the small portion of the wage band scale that actually benefits from the alternating flat rate scenario.

It’s very easy to assume that flat rate wage increases will benefit lower income employees. At the very least, this model should make everyone that supported and ratified the proposal for flat rating realize that the issue may not be as straightforward as it appears on the surface. It shows that making broad assumptions about the “positive” effects of any wage policy – and then supporting those policies based solely on those assumptions – must never be allowed to happen! These types of decisions must be based on some amount of solid research and expert analysis because there is always a possibility of truly harmful effects that would otherwise remain hidden.
Has our union ever done any type of study or analysis on the effects of various wage increase scenarios? (which wage bands and steps within those bands are affected both positively and negatively, how many employees are there currently within each step in those bands, etc) If so I would like to see the results. Let’s get the real facts BEFORE we make decisions.

Admin · Site Admin Joined: 16 Apr 2007 Posts: 33 Location: Regina

Two points are glaringly obvious from the model.

1) Some aspect of almost all bands are paying the cost of flat rating. The concern over Flat Rating may have started with ITM, but this is not just an ITM issue any more. We need to involve people from other bands in our call to put an end to Flat Rating.

2) Who benefits from this redistribution of salary? Newly hired, temporary, or part time employees. Why would a union punish their most senior members by attempting to redistribute their salary to new employees who haven't "paid their dues", so to speak?

Isn't seniority a valued union concept? It seems two-faced to applaud members for their seniority, or years of service , then in the very next breath punish those same members with Flat Rating.

I have spent 11 years with this company and that pales in comparison to some around me. I don't appreciate this unions proposal to unfairly redistribute part of my salary to someone who was hired last week!