Issue 36 Vol II, March 31, 2007

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Work more and remain poor

MORE than 80 per cent of Canadian families are working more and earning less of the national economic pie than they did 30 years ago. Only incomes of the richest families are soaring, often leading to social tensions and crime. A study by the Canadian Centre for Policy Alternatives, an independent research institute concerned with issues of social and economic justice presents a disturbing picture.

The rich are getting richer, the poor aren't going anywhere and there are fewer people in the middle to mediate the two extremes. We ignore these trends at our collective peril," asserts the study, “The Rich and the Rest of Us." It shows a widening gap: the richest 10 per cent of families with children – those with incomes more than $131,200 in 2004 – earned 82 times the amount earned by the poorest 10 per cent. In 1976, the richest families earned 31 times the amount of the poorest families. The study based on Statistics Canada labour income data from 1976 to 2004 and calls the trend "unsustainable."

The bottom half of families raising children, those earning less than $60,000 in 2004, earned less or stayed the same, in inflation-adjusted terms, compared to a generation ago. Those in-between worked more hours just to survive. An average Canadian family with children clocked almost 200 more hours of work in 2004 compared to nine years earlier. Only the richest 10 per cent of families didn't work more hours between 1996 and 2004. And yet they were the only ones to see major increases in earnings.

What's more, the growing income gap has hit a record high during an economic boom, a period when traditionally the gap between rich and poor should have shrunk. The data only consider earned income and don't count returns from investments and other assets, which could further increase the wealth gap.

Why this disturbing trend is pervading, the study has reasons to offer. Minimum wages have not kept pace with inflation. Currently it is 8 dollars per hour and 40 jobs account for temporary, contract or par time. It is just $13,000 for a full time wage earner. There are not many well-paying manufacturing jobs and rise of lower-paying service sector and decline in unionised workplaces, besides increase in contract and temporary employment. The report paints a stark picture for  the vast majority of families, including the middle class who are  working longer hours  and still losing.

History has shown the income gap typically grows during recessions as low-wage workers are laid off. The gap tends to shrink during periods of economic prosperity. No longer now.

Study’s breakdown of family income into 10 per cent groupings brings some surprises, like a household income of $131,000 counts as rich (top 10 per cent). The poorest 10 per cent of families raising children earned incomes below $9,400. The analysis focuses strictly on the 3.8 million households raising children under the age of 18 and that is half of all Canadians.

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Honour for Punjabis in House of Commons

AT a ceremony in the House of Commons last fortnight, Vaisakhi was celebrated and Punjabi Cultural Awards conferred on organisations and individuals who had made excellent contributions to Punjabi art, literature, sports, and values by the All Party Parliamentary group, Punjabis in Britain.

This was the second year of the ceremony that began with the beating of a ‘Dhol’ [drum] and was organised by John McDonnell, MP, chair of the House of Commons’ All Party Parliamentary Group, Punjabis in Britain.

Awardees included  Mr Gurbaksh Singh Garcha for his contribution to the promotion of Punjabi culture and language, Bibi Gurdev Kaur for writing bilingual (Punjabi/English) books for children and infants, Amjad Mirza for his contribution to Punjabi language, poetry and journalism, Ms Gurpreet Grewal Santini for raising awareness in the Punjabi community about the important issues such as education, alcoholism, drugs, racism and women’s health, Mrs Kailash Puri for her contribution to sex education through Punjabi literature, Mr Tarlochan Singh Dhatt for the teaching of Punjabi language in schools, Ms Jaskanwal Kaur for promoting Punjabi language and culture in schools, Sarbjit Singh Garcha for promotion of Punjabi language and culture through sports, Santokh Singh Santokh for Punjabi poetry and Santokh Singh Nijran for teaching Punjabi language in schools

Among others  awardees are  Parmjit Kaur Khera for cataloguing work on Sikh and Punjabi heritage at the British museum, Inderjeet Singh for promoting and contributing to Punjabi Culture through popular media, Bhupinder Singh Bance for research and academic studies of Punjabi culture and heritage, Baba Amar Singh Ji for Punjabi culture and educational institutions in the UK, East Panjab and other countries, Manjit Bhambra from Asli Baharan Panjab Dian for the promotion of Punjabi folk dance, Mr Amolak Pritpal Singh for the promotion of Punjabi language and literature through singing, Mr Ranjit Singh Derewal for his contribution to the promotion of Punjabi language and culture through Channel Panjab ‘Shaan Panjab Di’, eminent film director Gurinder Chadha for projection of Punjabi Culture through her films, Mr Sathi Ludhianvi for his lifelong contribution to the promotion of Punjabi poetry, songs and music and Mr Channi Singh (Alaap) for his contribution to enriching Punjabi culture through his lyrical songs.

The awards were conferred by MPs John McDonnell (Labour), John Speller (Labour), Dominic Grieve (Conservative), Marsha Singh (Labour), John Randall (Conservative) and Andrew Stunell (Liberal Democrat).

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