Roundup: Some interesting bits from the jobs data

The December job numbers were released yesterday by StatsCan, and they’re a little funny in that they show that a mere net 100 jobs were created, but that’s really just statistical noise, given the margin of error. And while a bit of hay was made over that, there were a couple of interesting things to delve into in the data.

One of those is that wages continue to be up—way up. Average hourly wages for permanent employees was up 5.7% year-over-year, which is a little crazy when inflation is running around three percent. While high wage growth in the short term can be good to help restore lost purchasing power after last year’s bout of high inflation, if it carries on for too long, it runs the danger of being part of the inflation problem, because prices will need to rise to pay for those salaries, which becomes more inflation, and can turn into a wage-price spiral. (That’s why governments have historically imposed wage and price controls, to try and ensure that they remain on an even playing field to stabilise prices). Bank of Canada governor Tiff Macklem says that if wages keep rising above four percent, that is going to be a problem for taming inflation so that rates can come down.

The other noteworthy issue is that gig work—things like Uber drivers or food delivery services—continues to grow, rising 46 percent over 2023, and that new Canadians are overrepresented in that labour pool. That should also be concerning considering how exploitative those industries can be, and shows that businesses are relying on this immigrant labour to drive down wages, and devalue the labour of those workers.

Ukraine Dispatch:

While continuing to shoot down as many Russian missiles (made in North Korea) and drones as possible, Ukraine is continuing its drone strikes on military targets in occupied Crimea and the Russia’s southern Krasnodar region, in a bid to unsettle the population in advance of the country’s election.

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Roundup: Electricians gathering lightning

We’re still in “extremely slow news day” territory, so the discourse yesterday revolved around video clips of Pierre Poilievre praising electricians who “capture lightning from the sky” and run it through copper wires to light the room that he’s in—and that he’s used this particular turn of phrase on at least four occasions, one of which was in the House of Commons (though nobody said anything at the time). While all of his reply-guys on Twitter are insisting that he’s being “lyrical” or what have you (one of them tried to tell me this was “anthropomorphism”—it most certainly is not, and yes, I do have a degree in English literature), I do suspect that this is possibly some kind of troll, so that he can claim that the people laughing at him are really laughing at the blue collar electricians, whom he has been praising as “extraordinary” for their apparent superpowers. And yes, stoking grievances is his schtick, so let’s keep that in mind.

Ukraine Dispatch:

Ukraine and Russia had the largest single exchange of prisoners since the start of the invasion. Here’s a look at the losses faced by those whose apartments have been hit by Russian missiles. Türkiye has blocked the passage of two minehunters donated by the UK to Ukraine, citing the 1936 Montreux Convention.

https://twitter.com/ukraine_world/status/1742484948349575331

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Roundup: The “red line” of pharmacare

It was the big NDP biennial policy convention this weekend, and amongst litany of policy resolutions that the party was in violent agreement with (waaaaaaay more in lockstep with one another than either the Liberals or Conservatives tend to be at their own policy conventions), the one that everyone kept talking about was the emergency resolution that delegates unanimously adopted was to make pharmacare a red line with their deal with the Liberals. The problem, of course, is that the real problem for the government is that they need nine more premiers to sign onto pharmacare if they want it to actually happen, and the NDP seem oblivious to this fact, and think that they can create an opt-in system which a) won’t work without provincial buy-in from the start, and b) wouldn’t achieve the necessary savings unless every province has actually signed on so that you get the proper economy of scale happening. (All of this is laid out in the column I wrote a week ago). So while it’s all well and good to posture over this “red line” and threaten to go to an election over it, I still have yet to see Jagmeet Singh publicly harangue David Eby about signing onto the programme, like he refused to do with John Horgan before Eby, particularly when Horgan was being obstructionist on healthcare reforms.

Meanwhile, Singh used his speech at the convention to acknowledge the restlessness of the base and to talk about how difficult it is to work with the Liberals, which is kind of funny because the “difficulty” is mostly just pushing on an open door and complaining that things aren’t happening fast enough, because the NDP seem to have little idea about process, or the finite capacity that exists in government to get everything they want done in an unrealistic timeline, like with dental care. They’ve done absolutely none of the heavy lifting, so I find it somewhat risible that they’re complaining about how hard it is.

In her analysis of said convention, Althia Raj hears five reasons from NDP grassroots members as to why they’re sticking with Singh in spite of his disappointing electoral results. Raj also notes the fairly low score that Singh got in the leadership review votes, and has her thoughts on his speech to the membership.

Ukraine Dispatch:

Russian drone attacks killed six people in attacks on Kherson and the surrounding region, as Russians forces have started pushing forward at the front lines once again. Part of that drive continues to be at Avdiivka, where they pounded it for a fifth straight day, killing two more civilians.

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Roundup: Long on speeches and imported culture wars

The Conservative convention this weekend was long on speeches—Poilievre’s speech very much needing an editor as it went on for well over an hour—and was full of praise for the so-called convoy occupiers (from Poilievre’s wife as well as the wife of the “anti-woke general”). Said “anti-woke general” proved himself to be so fragile that he thinks that things like racial equality and gender equality are “destroying” Canada. There was also the Brexiteer from the House of Lords who also showered Poilievre with praise, so some real talent on display there.

Policy resolutions were not focused on things like housing or affordability, but instead prioritised things like vaccines, and culture war bullshit that extended to two separate resolutions attacking trans people (which the party could have used mechanisms to de-prioritise but didn’t, meaning they wanted them to come up for a vote). The Canadian Press has compiled five take-aways from the convention.

https://twitter.com/dalybeauty/status/1700974631468052754

In pundit reaction, Althia Raj looks at how the Conservatives used their convention to woo Quebeckers, and how they are going after the Bloc along the way. Aaron Wherry notes that claims of “common sense” are easier said than done, particularly as Poilievre painted an idyllic 1950s picture of the future he wants. Shannon Proudfoot hones in on the feeling of “enough” that permeated the convention, and the swinging of the pendulum, but also cautioned about who limiting that can be.

Ukraine Dispatch:

Russian forces staged early-morning drone attacks against Kyiv on Sunday. President Volodymyr Zelenskyy says that the counter-offensive has made more advances along the southern front, as well as near Bakhmut in the east.

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Roundup: Royal tour, day one

It is now approximately day eighty-four of Russia’s invasion of Ukraine, and we have some confirmation now that the fighting in Mariupol is at an end. Both sides are claiming victory—Russia claiming it is a mass surrender, Ukraine stating that the garrison achieved their objectives, and in particular, they tied up Russian forces that couldn’t be deployed elsewhere, as those forces have been pushed back, as far as the border in some cases. There is now a negotiated withdrawal taking place, and prisoner swaps may be in the works, so we’ll see how this plays out.

Elsewhere, it sounds like today is the day that Sweden and Finland both make their applications to NATO, and while Turkey is still being sour about it, but we’ll see what particular concessions they try to extract before their membership is accepted.

Closer to home, it was the first day of Charles and Camilla’s royal tour, starting in Newfoundland and Labrador. They visited the provincial legislature, the lieutenant governor’s residence, and the village of Quidi Vidi, as well as met with residential school survivors. Prince Charles did talk about the need for reconciliation in his speech, and that is going to be one of the themes of the tour.

https://twitter.com/ClarenceHouse/status/1526656706914271233

https://twitter.com/ClarenceHouse/status/1526657592495423490

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Roundup: Dubious procedural moves and political theatre

We are now on or about day sixty-four of Russia’s invasion of Ukraine, and the big news is that Russia is cutting off natural gas to Poland and Bulgaria, ostensibly because they refuse to pay in rubles as Russia demands. The real reason is, of course, blackmail over support for Ukraine, as well as an attempt to divide Europe, but that doesn’t seem to be happening.

Closer to home, there is some procedural bullshit going down, and I’m unimpressed. The government has put forward an omnibus motion that would give them the power to start implementing late-night sittings right away, rather than in the few weeks before the break, and even more curious is the notion that they would give ministers the ability to adjourn the Commons for the summer with no notice, and a simple vote call. The late-night sittings—with the added language that those sittings can’t be obstructed with dilatory motions—makes a certain amount of sense in that the procedural warfare that plagued them last year has made a comeback, and they haven’t even managed to pass the budget implementation bill from December, which is not good. This is in a sense make-up time for all of the time wasted on dilatory motions—actions have consequences. But that ability for a minister to pull the plug for summer at any point really sticks in my craw, and I’m not mollified by Mark Holland insisting that this is only intended for use during the final week. It feels to me a lot like the ability to give themselves a nuclear option to hold over the other parties, including the NDP, if they don’t want to play ball in getting bills through. If Holland really wants this only for the final week, the motion should be drafted to say so.

At the same time, Holland also announced that they were going to move ahead with creating a special security-cleared committee for those Winnipeg Lab documents, whether or not the Conservatives agree to join in. But…this feels like theatre at this point, because the Conservatives stopped boycotting NSICOP, and that’s exactly the kind of thing that committee exists to deal with. And the government already turned over the unredacted documents to NSICOP, so what really is the point here? Aside from political theatre? Why can’t we have grown-ups in charge?

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Roundup: Pre-negotiation and a better debate

In advance of the debate, Justin Trudeau held a photo-op with one of his sons in a pumpkin patch in nearby Manotick, while Jagmeet Singh was at a bistro near Parliament Hill to outline his party’s priorities were they in need of negotiating in a hung parliament, and conveniently, they were all planks of his party platform. Of those six enumerated, four were wholly or in part provincial jurisdiction, one involves building an entirely new tax system, and the final would drive out competition in the mobile phone sector, and then they also decided that electoral reform should be in there as well. (Look for my column on this coming later today). So there’s that. Andrew Scheer had no events, but his party did say that their full platform will be released today, now that the debates are over.

And then the final French debate, which was a far cry better than the hot, hot mess that was the English debate. Possibly learning from the experience, the format changed up considerably, so that there were better questions, more direct engagement, and far less cross-talk (though that did start to creep in during the second hour, when Scheer was trying to go after Yves-François Blanchet). Scheer and May were noticeably weaker in French, while Scheer and Singh in particular kept up their focus on getting their canned one-liners delivered, even if it was tortured to get them in. Nevertheless, while we once again didn’t learn too many new things, it was a far and above better performance for all involved than the English disaster. (Here’s Paul Wells’ take on the night).

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Roundup: Importing the culture war

We’re not even in the writ period, and the imported culture war bullshit is already at a fever pitch. In order to capitalize on it being Ottawa Pride this weekend, the Liberals started passing around a video of Andrew Scheer’s 2005 speech denouncing same-sex marriage, under the rubric of Ralph Goodale calling on Scheer to attend his hometown Pride in Ottawa this weekend. (Note: We’ll see if Trudeau makes it to Ottawa Pride this year, as he may not be back from the G7 meeting in France. Trudeau has only ever appeared at Ottawa’s Pride parade once). And off they were to the races. Scheer’s director of communications said that Scheer “supports same-sex marriage as defined in law,” and would uphold it as prime minister – and then proceeded to name Liberals who previously voted against it.

What’s particularly cute about this defence of Scheer is that it does not say that Scheer’s views have evolved, and the use of “as defined in law” is that the law was a result of a Supreme Court of Canada reference, so there is no way that any government could try to repeal it without invoking the Notwithstanding Clause to escape a Charter challenge. But beyond that, Scheer’s people have not offered any kind of defence that he voted against the trans rights bill in 2016, which is more current and pressing of a rights issue than where we are with same-sex marriage. But it’s not really about same-sex marriage at all – it’s all about our political class being high on the fumes of the American culture war that they’ve been inhaling, and are trying desperately to recreate here because they all think it’ll be a political winner for them, rather than the fact that it will simply burn the house down around them.

In amidst this, Jagmeet Singh decided that he wanted to get in on the culture war action and declared that he wouldn’t prop up a Conservative government in a hung parliament based on this (fourteen-year-old) homophobia – which essentially means that he’s conceded that he’s not running to be the prime minister in the election, but is content to stay as the third party. There’s realism, and then there’s bad strategy. Singh then went on to list all of the Liberal failures on the LGBT file – except most of the ones he listed are in areas of provincial jurisdiction. Oops. This election is already so, so very stupid.

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Roundup: Traps and tantrums

Budget Day was a giant production, for a variety of reasons yesterday, starting with the long-awaited showdown at the Commons justice committee. Given that the Liberal members had released that letter the night before, we knew that they were going to wrap it all up – without a report, I might add – and on their way in this morning, they handed to the media a copy of the motion they were planning to move to start a new study on hate crimes (because this increasingly seems like what the Liberals want to fight the next election on). Well, this caused the opposition to storm out because that motion was supposed to be in camera (and we all know how much they’ve respected the notion that committee business be handled in camera of late), and then they came back and had their meeting, and the committee (read: Liberal majority) decided to end the study of the Double-Hyphen Affair.

This set the Conservatives off, and they warned that they would ensure that the budget was going to be delayed, mark their words, and they set up all manner of procedural trickery in which to do so. Except that the Liberals outplayed them, tabled the document just before 4 PM, right before the vote was being called that was intending to delay the budget speech, and then Bill Morneau marched out to the Foyer to start talking to all of the assembled media outlets and get his message out, while the opposition stayed in the Chamber to carry on their procedural shenanigans, to the point where they essentially held themselves hostage. When Morneau was able to give his speech, well over an hour later, the Conservatives did ensure that he was drowned out with noise so that he couldn’t be heard and that no clips were able to be captured for news media, but given how Morneau was doing the media rounds and Scheer wasn’t – indeed, after the fact, when he and his caucus marched out to the Foyer, they denounced the budget as a distraction from the Double-Hyphen Affair, and had nary a substantive comment on it. (Jagmeet Singh, incidentally, had the usual NDP talking points about how it wasn’t enough, but couldn’t really respond when pressed about specifics or implementation of their vision). So, take it for what you will, I’m not sure how well the Conservatives came across in the end yesterday, especially as Scheer walked right into Trudeau’s very obvious trap that about the Conservatives not wanting to talk about the economy.

Speaking of the budget, it was far more stimulus-heavy than I would have expected, but then again, targeting both seniors and millennials, and going some distance in doing more for skills training, though their housing affordability measures were weak sauce and will likely do nothing about the supply side of the issue (especially as they keep the focus on buying a home rather than simply having affordable housing writ large).

With that in mind:

  • The deficit will grow this year before shrinking again, but there is no path back to balance in the immediate future. (Debt-to-GDP continues to decline).
  • Here are the highlights for five key demographics.
  • Here are 23 key measures in the budget.
  • There was the start of Pharmacare, beginning with the Canadian Drug Agency to facilitate bulk buying – next steps coming with the Hoskins report.
  • Municipalities got a chunk of new funding (with shots taken at premiers who are holding up infrastructure agreements).
  • There are more funds earmarked for Indigenous services, not only with water but also child and family services.
  • The budget also outlines a plan to start targeting stock options for taxation as another way of soaking the wealthy.
  • There is a plan to start taxing cannabis products by the potency of their THC.
  • The budget has money to help veterans transition to civilian life, but doesn’t seem to have anything to deal with the disability backlog.
  • There was a big commitment on rural broadband, but implementation details remain fuzzy.
  • Here are ten things that may slip under the radar.
  • Here’s a fact-check of Morneau’s speech (but the sources could have been better selected).

In budget hot takes, Chris Selley calls it the budget of a government that is no longer selling utopia – just buying votes, whereas Alan Freeman simply calls it a “do no harm” budget. John Geddes details the spending surprises in the document, while Andrew Coyne grouses about the how there seems to be more concern over the quantity of spending over the quality of it, given there is nothing in the budget about things like productivity. Heather Scoffield takes note of the Liberals’ attempt to frame the budget as a response to anxieties – economic or otherwise – that Canadians are feeling. Kevin Carmichael cautions that there budget leaves very little wiggle room for economic downturns, given how sluggish growth already is. Paul Wells notes the sprinkling of spending throughout the document, and the big bomb for political journalists in there. There are also worthwhile threads from economist Kevin Milligan here and here.

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Roundup: More Bernier fallout

Because we can’t stop talking about the Maxime Bernier “ouster,” if it can really be called that since it was more a demotion than anything, but it still got all of the tongues wagging, and all of the reporters cornering every Conservative they could find. And most of those Conservatives downplayed the whole thing, Erin O’Toole going so far as to say that hey, there are other shadow cabinet changes coming so no big deal. The underlying message was that Bernier “broke his word” about the book chapter, which is a semantic game, but given some of the various dynamics in play, it’s hard not to try and find additional drama into the whole affair.

https://twitter.com/InklessPW/status/1006872600994123777

That Rob Silver tweet may be even closer to home than most people want to admit. I have to say that there have been some pretty spectacular expectations heaped on Bernier, particularly because he speaks to a certain slice of the party, but perhaps in a more superficial way than they want to believe. After all, many of the Ayn Rand-readers are desperate to attach themselves to someone in the party who represents them (never mind that this isn’t a party of libertarians or even economic conservatives, but right-flavoured populists), so he was someone that they could pin those hopes to, ignoring a lot of what he actually said and did. His lack of judgment when he was foreign affairs minister under the Harper government was stunning, both in his intemperate comments in Afghanistan, or with the security of documents with his then-girlfriend. During the leadership campaign, he would sign off on social media campaigns that dogwhistling to MRAs before claiming he didn’t know about the connotations of “red pills” and so on (and knowing who was running that campaign, they couldn’t not know what it meant). And his constant self-promotion in opposition to Scheer post-leadership is another sign of poor judgment. And really, we shouldn’t discount this particular bit of reasoning.

In further analysis on the whole brouhaha, John Ivison keeps his ear to the ground in the caucus and wonders if Bernier’s ouster from shadow cabinet may force a rift in the party given how close the leadership vote was. Chantal Hébert notes that it was probably a matter of time before things with Bernier came to a head (as she suggests he’s not too well-liked among his Quebec colleagues) and that the by-election timing made it something Scheer couldn’t ignore. Andrew MacDougall sees this as a failing by Scheer to manage his caucus, not properly communicating with Bernier when necessary, and keeping him outside of the fold at a time when he should have drawn him in to get his cooperation on the issue at a time when it’s under attack by the likes of Trump. Andrew Coyne similarly sees this as a failing by Scheer, but for the fact that he has bought into the line that caucus must sing from a single song sheet, particularly on an indefensible policy like Supply Management. Colby Cosh sees not only political games from Bernier, but explicit quid pro quo from Scheer for his dairy supporters who (allegedly) put him over the top in the race (though I’m not sure we have any actual proof of this), and that those dairy lobbyists have successfully leveraged intra-party dynamics to their advantage.

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