SPC Newsletter 1st May 2015

The Socialist Party of Canada

Secretary's report for May 1, 2015

Email Report

– WSP India EC meeting report received with thanks.

Good of The Movement

– Meeting held in Toronto, April 23^rd.

^{– Spring Imagine is complete and printed. Members will receive their copies shortly.}

^{– One introductory package sent out.}

^Finances

^{– Secretary's expenses for April, $49.31}

^{Karl's Quote}

^{– On the ability to exploit a piece of land simply by holding the title, Marx writes, "Wherever rent exists, differential rent always appears and always follows the same laws as it does in agriculture. Wherever natural forces can be monopolized and give the industrialist who makes use of them a surplus profit, whether a waterfall, a rich mine, fishing grounds or a well situated building site, the person indicated as the owner of these natural objects, by virtue of his title to a portion of the earth, seizes this surplus profit from the functioning capital in the form of rent. As far as land for building is concerned, Adam Smith has discussed how the basis of its rent, as with all non-agricultural land, is governed by agricultural rent proper (Book 1, Chapter XI, 2 and 3). This rent is characterized first by the preponderant influence that location exerts here on the differential rent (very important, for example, in the case of vineyards and building land in big towns); secondly, by the palpably and complete passivity displayed by the owner, whose activity consists of in exploiting advances in social development (particularly in the case of mines), towards which he does not contribute and in which he risks nothing, unlike the industrial capitalist; finally, by the prevalence of a monopoly price in many cases, and particularly the most shameless exploitation of poverty (for poverty is a more fruitful source for house-rent than the mines of Potosi were for Spain); the tremendous power this gives landed property when it is combined together with industrial capital in the same hands enables capital to practically exclude workers engaged in a struggle over wages from the very earth itself as their habitat." (Volume III, chapter 46, page 908) The power of the land and ownership of the earth continues unabated.}

^{Food For Thought}

^{– In March, some potentially hazardous liquid came pouring into Toronto's subway, slowing the morning commute and posing the question, 'just how toxic is Toronto's underground?' The Toronto Transit Commission believes the liquid was groundwater mixed with various contaminants. An on site assessment ruled out gas or diesel fuel but we are no closer to finding out the answer. According to the Ministry of the Environment, the majority of spills, about sixty per cent, are small amounts caused by traffic accidents or natural gas line strikes. According to the senior manager of hydrogeology at the Toronto & Region Conservation authority, the most worrying items are the gasline spills because people do not realize that if they spill material on the ground, it can get into the ground water system and can end up in the subway system or even the lake, our source of water. This is another mess that capitalism cannot solve because it costs too much money.}

^{– Times are getting better for the auto industry. Auto sales and profits have roared back. Now union contracts are up and the workers are looking to regain some of the ground they had to cede during the worst times of the 2008 recession in which General Motors asked for bankruptcy protection and forced concessions on the workers. The United Auto Workers' union is pushing for an end to the two tier wage system where new hires started at $15/hour compared to the regular $28. As we say, in times of recession, the unions are powerless to fight capital and lose wages and benefits and in boom times they have to make up those losses. Seems like a ridiculous system where conflict is continual and you stay at the same level, going up and down like a yoyo. Capitalism is well passed its 'best before' date and this is one proof.}

^{– The same can be said of society as a whole. Oil rich Alberta has produced the most austere budget in its history. Oil revenues for the provincial government are down and in response, Alberta Health Services has been cut $286 million and 1,700 jobs. When oil prices go back up, maybe some of that funding and some of those jobs will return. Up, down, up, down. See the pattern here? See the madness?}

^{– Steve Berry, in his recent novel, "Patriot Threat", writes about the slave labour camps in North Korea. Though fiction, it is based on factual matter and shows the workers' paradise as just another capitalist hell. People are sent to the camps where 200,000 are imprisoned for criticism of the government and/or the 'beloved leader'. Nor is it just the offender but his/her whole family that are punished for the sins of the offender. Inmates are worked to death, beaten for the slightest infringement, slowly starved and forced to spy on each other. They live in squalour, dress in rags, and usually give up hope, many committing suicide. Sounds familiar? Like the Nazi death camps that proves despite tremendous technological progress, life for many under capitalism doesn't change and you can never count the worst outrages as done forever.}

^{– Even the children in wealthy countries cannot escape the inequalities that are endemic to capitalism. The Toronto Star (April 11) compared schools in wealthy and poor areas. You would think that a city-wide board would use funding to see every child gets the same opportunities, and maybe they do. The problem is, as funding from the governments continually gets squeezed, fundraising from the community takes on a greater role. In Toronto's twenty wealthiest schools, students enjoy smart boards, new playgrounds, and lunchtime yoga, not to mention the trips. Those schools' communities raised $3.9 million in 2012/13. The frills (?) at the bottom twenty are few because their communities raised just $43, 250 in the same year. How shocking it is to see capitalist principles and lessons applied so early in the elementary schools, but as we always say, schools reflect the society in which they live and work.}

^{– In Paris, pollution is rivalling that of Beijing. Concentrations of PM10 and PM2.5 (the tinier particles penetrate deeper into the lungs!) have been so high that many Parisians have forsaken umbrellas for smog masks. Apparently, big city urban canyons are trapping the particles that should be blown away. Dropping concentrations to recommended UN levels would save 112 deaths per year. Will it happen? Place your bets!}

^{– Ontario's Minister for Economic Development wants to meet with leading retailers to discuss the industry's future as online sales soar and more stores shut down. The retail industry has been shaken this year by Target closing all its Canadian stores, the liquidation of ninety-five Mexx stores, creditor protection for Bowring, Bombay has closed one third of its stores, the closure of thirty-one Smart Set shops, and fourteen Sony stores. What would be amusing were it not so worrying for the ex-employees, is that sixty-six Future shops shut down – so this is the future! The Minister can do his level best, but cannot prevent technical progress. If it is all about money, then shoppers will find the best deals and if it means closures then so be it. It is the problem of capitalism that technical progress often means misery for some rather than a benefit to the society as a whole as would be the case in a sane society.}

^{– In a related story, the old theme of 'raise the minimum wage' was reported in The Toronto Star (April 11). The Canadian Centre for Policy Alternatives, a slightly Left leaning think tank calculated that a couple would have to earn $18.62 each to make ends meet. Since the minimum wage stands at $11.25, you can see the dilemma facing those stuck at that level. An economist retorted that an increase would just prompt employers to automate jobs and cut hours. Also, any small increase that is legislated is eaten up within a few months by inflation. Must be a better way!}

^{– A UN report of March 20 predicted the world could suffer a forty per cent shortfall in water in fifteen years unless countries change their use of it. Many underground reserves are running low while rainfall patterns are becoming erratic due to climate change. The world's populations is expected to be nine billion by 2050, increasing the demand for water by 55% while reserves dwindle. Less water means crops will fail, ecosystems will break down, industries collapse, disease and poverty will be more rampant, and wars will be fought over access to water. The report suggests policy-makers should rethink water usage, urging more conservation and more recycling of waste water. To solve the problem would require the world's leaders would have to get together and work out solutions but where each country is concerned with its own needs and maintaining competitiveness in the world market system, this is not a likely scenario (note progress in climate change). Until we have a system of cooperation and some common sense, important decisions will not get the consensus needed. A formal Liberal Defence Minister, quite into aliens and UFOs, maybe a bit whacky, but he inadvertently got it right when he commented, "It is my opinion that (extra-terrestrials) look at us and say, 'The children have been playing with matches.' "-And that's what international cooperation looks like today.}

^{– This is a federal election year in Canada. The ruling Conservatives are doing many things to get the vote, among them a balanced budget law. In times of deficit, program spending would automatically be frozen and ministers' salaries cut, except in 'extraordinary circumstances' such as war and economic recession. In other words, the law does not mean anything substantial. It's like having a speed limit on the roads, unless you are in a hurry to get to work, or the theatre or…}

^{– An article in the Toronto Star of March 21 focussed on the plight of women working in Cambodian garment factories, making clothes for western consumers. They are exposed to a ton of abuse according to Human Rights Watch that based its findings on 270 interviews with workers from seventy-three factories in and around Phnom Penh. The group found women worked longer hours for little pay in 'suboptimal conditions'. Often they are refused bathroom breaks, are denied sick leave, are not allowed to unionize, and suffer sex abuse from their male bosses. Others are forced to hide their pregnancies for fear of being fired, Big brand labels such as Adidas, The Gap, and Joe Fresh operate in Cambodian factories. The sector generates more than $7 billion a year in exports. The top twenty Canadian consignees account for nearly $121 million with Walmart, Loblaws, and Reitmans topping the list. This is another wake up call for those who feel nineteenth century conditions could never return. Shades of the lower East Side in New York at the turn of the twentieth century. It's pointless advocating more stringent labour laws when the major companies can buy their clothes elsewhere, but it isn't pointless advocating socialism.}

^{– On April 10, Statistics Canada announced 56,800 people had got part time jobs in March. So much for the good news – full time jobs nosedived 28,200 jobs. Part time jobs will not pay the mortgage, property taxes, fuel, groceries,, car payments and so on, not to mention having money for pleasure or a holiday. Unemployment stayed at 6.8% but we all know that is a 'managed' figure – ninety-three per cent are not all working and part timers who want full time jobs, those who have used up their unemployment insurance, and those who have simply given up, are not counted. It's time to abolish this whole sorry state of affairs and pretend figures and get a system where everybody can contribute to the best of his/her ability.}

^{– Things are so bad in Spain that picking up left overs after the harvest has become quite popular. One fifty-two-year-old commented that picking up left over olives might net him twenty or thirty euros – something very welcome with four adult unemployed children living at home. What a lousy system! (New York Times. April 12).}

^{– The same newspaper tells us that as India advances, mothers go hungry. One woman had a first child that lived eight months, a second was stillborn, a third, delivered in a rickshaw, lasted one hour. A fourth has lasted one year, a huge mile stone here because health care workers spotted her and administered iron pills to treat her anaemia. This in a country testing atom bombs, among other needless spending. Another troubling aspect is that India accounts for one third of the world's births. One would think massive resources would be available to meet the demand. Think again – this is insane capitalism.}

^{– "Tough Times" is a tabloid for the homeless, published monthly by the Peel (Ontario) Labour Council. Its main thrust is how we can take steps to reduce homelessness and unemployment without touching the root cause of both. In its April edition, we find this brilliant quote from Steve King, who is running for election to the Mississauga council, "There are two primary causes of poverty: a lack of employment providing a living wage, and affordable housing." No one ever asks why we continue to have poverty and homelessness after centuries of trying to eradicate them. It's about time someone did.}

^{– Re the collapse of the Rana Plaza Garment factory clothing in Bangladesh of April 2013 in which 1,129 workers died, Benetton, a big brand fashion house and one of the twenty-nine brands that out sourced work there, has finally made a payment. The International Labour Organization, a UN group, recommended a survivors' fund of $30 million and calculated that, on the basis of work sent there, Benetton should contribute $550,000. However, Benetton went one better contributing the enormous sum of $1.1 million. The CEO had the nerve to comment, "We have decided to go further to demonstrate very clearly how deeply we care." Apparently, he said this with a straight face! The fund remains $9 million short of the recommended goal. (Toronto Star, April 18).}

^{– The statistics for the African migrants trying to get to Europe, mainly Italy, gets more appalling by the day. To date, 2,000 have died this year. In one week, Italian ships picked up 10,000 refugees fleeing war and persecution. The Organization for International Migration said the death rate is ten times higher than in 2014. Hasten the time when borders are gone and people can roam the earth freely as we were supposed to do and as we did for millions of years.}

^{– South Africa's government is struggling to contain a flare-up of attacks against foreigners in Durban that has caused 1,000 immigrants to leave their homes and flee to camps. These camps that house between 1,300 and 1,500 people are home, if one can call them that, to Somali, Ethiopian, and Pakistani immigrants who are accused of depriving South Africans of jobs. Most locals and immigrants are black proving that it is not a racial problem but an economic one. For governments it's a win-win situation. Immigrants boost the economy and create wealth, and they can conveniently be the scapegoat that deflects analysis and critical thinking of the divisive and antagonistic system that is capitalism.}

^{For socialism, John & Steve}

^{May Day greetings to all comrades.}