MB: Less Students, Skyrocketing Costs, Reform Needed

News Release: Education system broken, reform needed

Also see our Eliminate Manitoba School Tax Campaign

If the number of students in Manitoba’s K-12 education system is dropping, why are costs skyrocketing? The answer lies in the fact that our system is broken and needs urgent reform. It’s up to us as taxpayers to push for it.

Since 1999, K-12 education costs have gone up by over 45 per cent, yet the number of students in the public system has dropped by 10 per cent.

Sound surprising? It is, but the information is no secret.

“School Enrolment Reports” on the Department of Education’s web site clearly show how the number of students has plummeted from 199,419 in the 1999-00 school year to 180,098 for 2008-09.

“FRAME Reports” on the same web site show school division spending across the province. If you look at the 1999-00 and 2008-09 reports, you’ll see how province-wide spending has skyrocketed from $1.201 billion to $1.743 billion.

Had spending kept pace with inflation (a generous proposition given the drop in students), it would be about $339 million less than it is today. Divide that into the number of households in Manitoba and we’re looking at a savings of about $753 annually. What would your household do with an extra $753 per year?

Armchair quarterbacks will point out that part of the increase in spending is due to the rise in the number of students with learning problems such as attention deficit disorder. Others will note that fuel costs rise faster than the inflation rate. However, couldn’t the savings from a 10 per cent drop in enrolment be used to offset those pressures?

The biggest cost driver that needs to be addressed is the generous teachers’ union contracts across the province. The raises they receive are always above the inflation rate (commonly used by private sector employers for setting pay raises) and are compounded by automatic pay increases due to the number of years taught.

Combine the two together and it’s common for a teacher to see annual increases of 7 per cent or higher during their first ten years on the job, regardless of performance. You can see how the current pay model is a slap in the face to hard working teachers who are paid less than colleagues who perform poorly, but have worked more years.

Fundamental education reform was one of the Canadian Taxpayers Federation’s top recommendations during our annual pre-budget meeting with Manitoba’s Finance Minister.

Considering teachers unions are powerful and our NDP government has typically had a tight relationship with labour, we suggested that an all-party committee be created and look at reform. After all, reform is always easier when your opponents are with you.

Something both parties can’t ignore is demographics. Considering our aging population, even more and more voters will find it harder to pay rising school taxes. The party that addresses the problem will find a pot of gold in votes.

One thing is for certain, the system is broken and we need to speak up to get it fixed.

By: Colin Craig
Posted: March 19, 2010
Topic: Manitoba

Type: Commentary

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