Ben Eisen, Policy Analyst, Frontier Centre for Public Policy
The deep recession from which the Canadian economy appears to have emerged caused real pain for hundreds of thousands of people. Jobs were lost, hours cut, and retirements postponed. It does not trivialize the hardship suffered by so many to point out that that same hardship concentrated the minds of those in government on how best to manage public money. In the process, governments have identified a major long-term threat to Canada’s fiscal health at the federal and provincial level: the rapidly escalating pay levels of public servants.