Toronto Mayor Rob Ford says there’s not enough work for the city’s employees while suggesting that labour costs are four times higher than they should be. Mr. Ford discussed the prospect of layoffs if a staff buyout package fails to eliminate enough jobs in an interview Friday morning with the John Oakley Show on Talk Radio AM640.
“The last thing we want to do is lay off, Johnny, but when [labour] makes up 80 per cent of your budget, there’s a lot of gravy there, there’s a lot of people. Unfortunately, it’s just not enough work to go around,” he said.
After the announcement of a buyout package earlier this week, Mr. Ford said the city has “thousands” too many employees. His comments Friday suggest just how dramatically he believes the payroll should shrink.
“In business, the first thing you look at is the labour and your labour should be making up, you know, maximum 20 per cent. Not, well, we’re at 80 per cent. It’s just unheard of. So I think that taking a serious look at non-union and union employees and exactly what they’re doing and taking it from there.”
The buyout program promises to be the most ambitious in the city's history. Around 17,000 city workers will have until Sept. 9 to decide whether to opt in to a new voluntary separation program, taking a lump sum worth up to six months pay if they agree to leave the city’s employ.
During the election campaign, Mr. Ford pledged to reduce the city work force through attrition - not hiring freezes or layoffs. For every six employees that left the city’s employment due to retirement or other reasons, the city would replace only three, he said.
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Source: Globe & Mail
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