During Toronto's "stinky summer" of 2009, when striking garbage collectors held citizens hostage to protect outrageously generous wages and benefits, I wrote, "When it comes to the delivery of public services, Canadians are amazingly tolerant of behaviour and service levels they would never put up with from any private business. But the time will come when, abused by the workers they are being taxed to pay, they will cry, enough!"
That cry echoed loud and clear last week when Torontonians elected Rob Ford their new mayor on a platform that includes the contracting out of garbage collection, designating the city's transit system an essential service, and ending a so-called fair wage policy that pays workers up to $15 per hour more than prevailing market levels.
No one expects Mr. Ford will find it easy to implement these changes. As in most Canadian cities, Toronto's city councillors are not aligned into political parties. This means he will have to gain support for his agenda from among 44 councillors of widely disparate views, some of whom embrace outgoing mayor David Miller's pro-union tax-and-spend approach. On the other hand, councillors would be wise to remember voters' overwhelming support for Mr. Ford's "stop the gravy train" platform.
Is Mr. Ford's election a phenomenon unique to Canada's largest metropolis, or does it signal something bigger? There's good reason to believe that his "respect for taxpayers" theme resonates far beyond Toronto's boundaries. What urbanite doesn't relate to Mr. Ford's statement that "customer service should come first at city hall as much as in private business"? And how many remember that in the midst of a global recession, when private-sector workers were losing jobs and worrying about inadequate or non-existent pensions, public-sector workers were using their monopoly strike power to extract even higher wages and protect benefit packages most private-sector workers can only dream about.
Combine that with uncaring and unaccountable service, and the stage is set for transition from resignation to outrage. Once public outrage catches fire, unions will find their bank account of goodwill completely depleted. The stark reality is that taxpayers cannot and will not tolerate ever-rising municipal taxes. The continuous rearranging of the proverbial deck chairs is simply no longer an option. Real change must be implemented.
Here are some of the most-needed changes:
End union powers that hold citizens hostage: Turn important unionized monopoly public services into "essential services" in which strikes are forbidden. Insist that essential service union contracts reflect private sector competitive rates. Back that up with severe penalties for unions and union leaders who advocate illegal strikes, and the right to fire workers who strike illegally.
Introduce competition: Open publicly financed services to competitive bidding. Do not allow "no contracting out" clauses to be included in union settlements.
Focus on customer service: All too often, public sector employees treat those who pay their wages with distain or indifference. Taxpayers, and those they elect, must insist on helpful and respectful communication - being treated like customers rather than problems.
End compulsory union membership: Current laws force those seeking jobs in unionized workplaces to join the union. There should be an end to laws that deprive individuals of the right to work outside a union. This bridge has already been crossed; for example, 22 American states prohibit agreements between unions and employers that make membership and payment of union dues a condition of employment.
Reward good performers: One of the worst flaws of the public sector is a lack of performance management. This is not only corrosive to service delivery, but highly demoralizing for those who strive to do their best. It's a significant factor in the notorious inefficiencies that fuel the taxpayer cost spiral. In the competitive private sector, companies that don't reward good performance and discipline, or don't dismiss poor performers, go out of business. What customer would choose to deal with a business with employee attitudes and service levels like those pervasive in the public sector?
Mr. Ford may be successful in accomplishing some of these measures, or he may be stymied by leftist political inertia. But the revolt against uncaring service, monopoly union power and ever-higher taxes has been unleashed. And Canada will be better for it.
Gwyn Morgan is the retired founding CEO of Encana Corp.