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A closer look at poverty

In addition to the fact that the “trickle down” effect from the bulging one percent economic theory does not work…

In addition to the fact that the “trickle down” effect from the bulging one percent economic theory does not work, other factors are resulting in what the indicators show to be an increasing level of poverty in the Shuswap.

Chief among these are government policies that make it increasingly more difficult for economically challenged individuals and families to get adequate financial assistance. Food banks are but a stopgap measure that relies on public generosity. Thankfully other solutions are being pioneered here, but more efforts are needed to successfully solve the problems.

Growing unemployment is certainly one of the factors behind the growing wealth gap in the Shuswap. Across Canada in January 2015 the rate for Canada was 6.6 per cent, for B.C. it was 5.6, in the Southern Interior it was 6.7, whereas one estimate for the Shuswap was pegged between 8 and 9 per cent. With recent layoffs in Sicamous and Salmon Arm at companies manufacturing portable housing and equipment for the Alberta oil industry, and because many local oil patch workers are losing their jobs, this rate will likely increase.

A look at the local economy does show how more people are employed in lower wage, seasonal jobs here such as agriculture and sales than in the Lower Mainland, although fortunately the cost of living here is much lower.

And up until the last 10 years, the forest industry provided a high percentage of the jobs many that were well paid. Now many of these jobs have been lost to automation and declining timber supplies, as well as the loss of government oversight positions and a decline in silviculture.

As the food bank numbers show, underemployment is a growing problem, as the trend is for minimum-wage jobs to be part-time without benefits and the minimum wage of $10.25 per hour is far less than what is considered to be a living wage of $16.70 per hour.

Although people rejoice over the lower priced goods now available at the new big-box store, it is ironic that most families could not survive on the store’s low wages and part-time hours. Typically, most families now require two wage earners, and sometimes more than one job for each wage earner, which can add greater stress and lead to more problems that require the help of social services.

Family Resource Centre executive director Patricia Thurston is frustrated by the lack of empathy within government and their growing efforts to reduce the number of those getting assistance by increasing red tape with only online and phone servicing, focusing on investigations and enforcement and denying help to those in dire need such as new mothers with no support. The centre itself only receives partial funding from the government and must rely on local organizations and businesses to help maintain its services.

One of the programs that Thurston has had great success with is their community kitchen program in Malakwa. Often lower-income families are trapped in the cycle of eating only higher priced, but less nutritious processed foods because many of them never acquired the skills of cooking healthy food using fresh, wholesome ingredients.

They teach families how to shop local and buy organic ingredients to cook primarily vegetarian meals that also save them money. Every participant, including the children, contributes to the planning, preparing and cooking and then sits down to enjoy the taste of real food. They are now partnering with the Shuswap Food Action Co-op to incorporate community gardening and gleaning into the program. They are also hoping to expand the program to Salmon Arm, but without government help they are dependent upon grants and community support.

Real long-term solutions to address the impacts of increasing levels of inequality can only come from the provincial and federal governments. Governments need to increase minimum wage and the level of assistance for those people who require it due to disability, old age, or other issues. A guaranteed minimum income would be one solution that other countries offer. Yet the trend continues to move in the opposite direction, such as the decision to raise the retirement age to 67. Keeping people in the workforce longer will only lessen the jobs available for those starting out, which is evident now, as the unemployment rate for those under the age of 24 is over 10 percent.

Locally, more efforts to provide skill-training opportunities would help.

Of course, finding new companies to set up in the Shuswap is an important ongoing effort, but one that must compete with every other community in the country. And as I have suggested in the past, attracting more retired people to move here and bring their discretionary income that does help create more jobs would build on an already booming trend, given that the Shuswap offers one of the best places in the province to live.