NDP missing boat on economy?
Businesses looking for long-term plan
Thu May 24 2007 | Winnipeg Free Press | Martin Cash
IN its efforts to get governments out of the corporate welfare game, business leaders are really saying they do not want government meddling in business affairs.
Despite that, Tuesday night's third majority victory for Gary Doer's NDP might be the ideal government for business people in Manitoba. That's because the campaign would give you the impression that Doer and the NDP do not even have the economy on their radar.
But in reality, of course, business people really do need to have the provincial government engaged and informed about economic goings-on.
Unfortunately for the Manitoba business advocates who have been pleading with the province for lower taxes for so long, their appeals are starting to fall on deaf ears.
It is a fact that high rollers in Saskatchewan can earn 60 per cent more than Manitobans before they start paying the top income tax rate, and that is perceived as a competitive threat to businesses and organizations here. On top of that, Manitoba business people find it irksome that this province is gaining a reputation as Saskatchewan's less prosperous cousin.
Payroll tax, capital tax and income tax rates -- all considered by some economists as constraints to growth -- are higher than most of our neighbours', leading some Manitoba business people to believe that this government does not care that its economic performance is hampered.
Most business leaders in the province have a history of dealing with the Doer government and do not believe that all is lost after the impressive third-term victory on Tuesday night.
But many continue to be disappointed at the lack of a long-term economic vision or strategy, and that nothing like that emerged from this campaign.
"Maybe I'm naive," said Dave Angus, president of the Winnipeg Chamber of Commerce, "but an election should be an opportunity for the leaders to inspire rather than just have competing laundry lists of promises. I'm a little disappointed we didn't get there."
Jim Carr, CEO of the Business Council of Manitoba, agreed. His 68 members represent some of the largest private-sector employers in the province who are here for the long term as opposed to the politicians' short-term view of the world.
"We don't get to hear where the leaders want the province to be not only at the end of their mandate, but well beyond that," he said. "What is the vision of where the province will be in 2020?"
Many say they believe the most obvious reason the economy was not a campaign issue was because it is working the way it should. But that will not always be the case.
Business looks for stability, predictability and a competitive edge. Businesses try to achieve that state through research and information.
The Manitoba Chambers of Commerce has been making the case for some time that more detailed data are required on the issues of the day, such as skills shortages and training needs and concerns about too many young people leaving the province and the process of attracting immigrants to relieve labour-market pressures. Dan Overall, the chamber's director of policy and communications, said that kind of research can lead to better public policy.
For instance, he said not enough information is known about who is leaving the province -- are they people seeking better jobs or people who are unable to find jobs here because they are not qualified? There is also a significant increase in the number of immigrants to the province, but Overall said it's not clear if they are able to get at the skilled jobs they might be qualified for.
"We think with a fact-based analysis there is all sorts of opportunity to enhance the policies of the NDP," said Overall, whose organization is promoting an initiative called Making Manitoba a Have Province. "We are a small province and for the economy to maximize its potential we need to be flexible and nimble."
Business people are not afraid of the Doer NDP. they do not want more corporate handouts but they do want Broadway to be more engaged in the economic challenges they face.
martin.cash@freepress.mb.ca