Class Harmony and Social Reformism: The United Way as a Reformist Organization, Part One

This is the first of a two-part post. The first post will look at some of the limitations of the United Way (a charitable organization) as expressed on its website. The second post will look at some of the limitations of the United Way as expressed in one of its publications, Rebalancing the Opportunity Equation. The authors are Mihaela Dinca-Panaitescu, Laura McDonough, Dylan Simone, Ben Johnson, Stephanie Procyk, Michelynn Laflèch and Alan Walks. For the purposes of the two posts, I will refer to the publication as United Way’s publication.

According to The United Way website:

UWCs [United Way Centraide] in Canada focus on ensuring people move from a life of poverty, to one of possibility; that communities are built to sustain healthy people; and that kids can be all that they can be.  Together with many agencies and partners, we improve lives, locally.  As part of an international network, UWCC links with the United Way Worldwide to share best practices and build capacity in 44 member countries, investing over $5 Billion US per year.

The United Way is part of an extensive international organization.

In another part of the website, it further says:

OUR MOVEMENT

United Way is a federated network of over 80 local United Way Centraide offices serving more than 5,000 communities across Canada, each registered as its own non-profit organization and governed by an independent volunteer-led local Board of Directors. Locally and nationally, our goal is the same – to create opportunities for a better life for everyone in our communities.

Who could object to creating “opportunities for a better life for everyone in our communities?”

There is nothing wrong in aiming to improve people’s lives. In fact, it is admirable. The problem is whether such aims are linked, directly or indirectly, with other aims that limit people’s improvement in their lives.

The United Way does just that–it limits people’s improvements in their lives by assuming explicitly and implicitly improvement must occur while leaving the general economic structure (the economy, if you like) intact. In other words, it assumes that social reform is not only possible but is in fact the only possibility.

This can be seen through its donors and through its publications. Let us take a look first at its donors.

At first sight, it would appear that the United Way/Centraide (in French) Canada would be more favourable to workers. On its “Our Partners” web page, it explicitly mentions, in a separate subsection, Labour:

United Way and the Canadian Labour Congress have been partners since 1988 – working together to strengthen communities across Canada. The partnership developed around a common interest: ensuring that workers and working families have the support they need to succeed.

Unions across Canada are longstanding and generous contributors to United Way campaigns, encouraging members to volunteer and give. But the partnership goes much deeper than just financial support. Labour representatives advocate for those in need in their communities. They serve on United Way boards and committees, and offer programs like cooperative housing, childcare and other services.

Each year, United Way partners with unions across the country to improve lives in local communities. In 2016, Canadian Labour Congress President Hassan Yussuff endorsed the national partnership and our continued commitment to working together.

Of course, since the Canadian Labour Congress is essentially a reformist organization that fails to challenge the power of employers as a class (see  The Canadian Labour Congress’s Idealization of the Collective-Bargaining Process), its support of the United Way already indicates a possible limitation on the nature of the United Way (but that issue will be for a later post).

On the same web page, however, there is explicitly an indication that there is a limitation to reformist efforts:

THANKS A MILLION

United Way is honoured to work with Canada’s leading corporations, employers and labour organizations in communities across the country. Thanks to their remarkable generosity, and that of their employees and members, we are improving lives locally from coast to coast to coast.

Compromise is undoubtedly necessary even if you do not want to do so; asymmetrical power relations oblige workers and their representatives to make compromises with employers and their representatives all the time. However, making compromises and presenting those compromises as not compromises is often a trick of social reformists or social democrats.

By saying that “United Way is honored [my emphasis] to work with Canada’s leading corporations, employers….,” the United Way already has compromised to the point where it is legitimating the power of employers as a class.

On the same web page, there is a link to those organizations that have donated at least $10 million and $1+ million. The 2018 $10 million donors are:

  1. BMO [Bank of Montreal] Financial Group
  2. Canadian Labour Congress (CLC)
  3. CIBC (Canadian Imperial Bank of Commerce)
  4. Government of Canada Workplace Charitable Campaign
  5. Royal Bank of Canada
  6. ScotiaBank
  7. TD Bank Group.

The $1+ million donors forms a list of 80 organizations, some of which are labour unions–and of course many capitalist companies and government employers.

Ten of the twenty most profitable capitalist companies in Canada (see A Short List of the Largest Private Employers in Canada, According to Profit) are on the list of the the $10 million and $1+ million donors:

  1. BCE [Bell Canada Enterprises]
  2. BMO
  3. Canadian Natural Resources
  4. CIBC
  5. Manulife
  6. Power Financial [which appears to be a subsidiary of Power Corporation]
  7. Royal Bank of Canada
  8. ScotiaBank
  9. Sun Life
  10. TD Bank Group

In fact, there are 11 of the largest private employers who have donated at least $1 million to the United Way since the Great West Life Co. is a subsidiary of Power Corporation of Canada.

Given the nature of the donors, how is it an honour to receive such money from such employers and to “work with Canada’s leading corporations, employers….?” Is it an honour to have such corporations treat “their” workers as things to be used for the purpose of obtaining a profit (see The Money Circuit of Capital)? How is this an honour? How is it an honour for the Unite Way to receive money from such companies given that such companies exploit and oppress their workers (see for example  The Rate of Exploitation of Workers at Bell Canada Enterprises (BCE), One of the Largest Private Employers in Toronto, The Rate of Exploitation of the Workers of the Bank of Montreal (BMO), One of the Largest Private Employers in Canada and The Rate of Exploitation of the Workers of the Canadian Imperial Bank of Commerce (CIBC), One of the Largest Private Employers in Toronto and in Canada).

Not only do such employers use “their” workers as things for the purpose of obtaining as much profit as possible, they also dictate to workers on a daily basis (see, for example, Employers as Dictators, Part One). Such organizations take from workers, use them and then use a small portion of the money as a donation to “help” those in poverty (defined according to the level of income–itself a limited way of defining poverty)–people who are in poverty because of the economic structure in which we live.

How is this honourable?

There are other problems with the social-democratic rhetoric of the United Way’s website, but such problems will be addressed in the next post in this series in relation to one of its publications, as noted above: Rebalancing the Opportunity Equation.

A Short List of the Largest Private Employers in Edmonton, Alberta, Based on the Number of Employees

The following is a list of the twenty-two largest private employers in Edmonton, Alberta, Canada, based on the number of employees. I restrict this list to private employers since the number of employees across government departments seems to be provincial and not city-based. For example, the number of employees in Alberta Health Services is 123,000, which far exceeds the number of employees for private-based companies. The list also excludes not-for profit companies.

The statistics are based on the following site: Largest Employers in Edmonton

  1. Stantec: 22,000
  2. PCL Employees Holdings Ltd.: 16,000
  3. Bee-Clean Building Maintenance (Gingras Enterprises): 9,500
  4. Katz Group: 8,000
  5. Brick Warehouse Corporation: 5,700
  6. ATB Financial: 5,600
  7. AutoCanada Inc.: 4,200
  8. Chemco: 2,500
  9. EPCOR Utilities: 2,340
  10. Canadian Western Bank: 2,300
  11. Lilydale (Sofina Foods Inc.): 2,300
  12. Services Credit Union Ltd.: 2,200
  13. Alcanna: 2000
  14. Lockerbie & Hole Inc.: 2000
  15. Fountain Tire: 1,600
  16. Morgan Construction & Environmental Ltd.: 1,500
  17. Pyramid Corporation (A PTW Company): 1,300
  18. DynaLIFE: 1,200
  19. West Edmonton Mall Attractions Inc.: 1,200
  20. All Weather Windows: 1,000
  21. IBM Canada Limited: 1,000
  22. K-Bro Linen Inc.: 1,000

Total Employees: 94,140
Average Employees per Employer: 4,279 

The statistics do not reflect in any precise manner the number of employees specifically employed in Edmonton. For example, Stantec employees are spread across the world, but without further dis-aggregation of the statistics, it is impossible to tell how many employees Stantec employees only in Edmonto. Consequently, the total number of employees is skewed as is the average employees per employer.

In any case, what is the power of these employers in Edmonton? In Alberta? In Canada? In the world? Compare your power to its power, whether you are unionized or not? Could it not be concluded that, compared to such employers, you have little power? As a worker? As a unionized worker? As a voter? As a legal subject? All talk about freedom, democracy and the like ignore such realities.

In the movie The Lord of the Rings, Part 2, The Two Towers, King Theoden says: “How did it come to this?” How indeed did it come to the point where individuals have little power and employers have concentrated power?

To be sure, belonging to a union can increase the power of individuals and decrease to a limited extent the power of an employer, but we should not have the illusion that unions somehow balance the power relations. Even if there were a balance of power, since employers’ goal is external to employees, such a balance would not be maintained for very long; employers would revolt and attempt to subordinate workers to their wills.

The social-democratic left have little to say on this score. They talk about “fair contracts,” “decent work,” and the like. They themselves contribute to the power of employers by failing to look beyond such cliches to the reality of the power that employers have as a class over workers at work (whether unionized or not), in “public life” and in the political sphere. Or they talk about such employers “paying their fair share of the taxes.” In such a view, as long as such employers pay a certain percentage of taxes, they have the right to use workers as things (see The Money Circuit of Capital).

Does this situation express the freedom of workers? Or the freedom of employers? Their freedom to dictate to workers what to do, when to do it, how to do it and how much to produce?

What should be done about such a situation? The first thing to be done is to recognize the situation and to discuss its economic social and political implications. The radical left here in Toronto (and probably elsewhere) do not do so. They talk about capitalism this and capitalism that, but they are so vague that no one takes them seriously. Or, alternatively, they are so afraid of upsetting trade unionists that they timidly bring up such questions. Is this what we need–given the situation that workers working for such employers face?

A Short List of the Largest Employers in Quebec According to the Number of Employees

The following is a list of the twenty-two largest companies in Quebec according to the number of employees for 2019. The silence of the social-democratic left concerning the power of these employers over the lives of employees reflects the incapacity of the social-democratic left to face up to the reality of most people’s lives these days. As I argued in another post (An Example of the Inadequacy of the Canadian Left, or How the Canadian Left Contributes to the Emergence of the Canadian Right), such disregard for the experiences of regular working people feeds into the development of right-wing attitudes.

The information is drawn from The Largest Private Employers in Quebec:

Company                                                                              Number of Employees in Quebec

  1. Metro                                                                           59,660

  2. Desjardins                                                                  40,868

  3. Sobeys                                                                         35,000

  4. George Weston                                                          27,500

  5. McDonald du Canada                                              20,000

  6. Hydro-Quebec                                                           19,904

  7. Banque Nationale                                                     15,981

  8. Walmart Canada                                                       15,000

  9. Bombardier                                                               14,500

  10. BCE                                                                              14,100

  11. GardaWorld                                                               13,500

  12. Le Coop federee                                                        10,294

  13. Societe de Transport de Montreal (STM)             10,029

  14. Lowe’s Canada                                                          10,000

  15. Quebecor                                                                    9,900

  16. St-Hubert (Groupe)                                                   9,300

  17. Alimentation Couche-Tard                                      8,500

  18. Costco (Les entrepots)                                              7,492

  19. Air Canada                                                                  7,477

  20. Banque Royale du Canada                                       7,000

  21. CGI                                                                                7,000

  22. Rio Tinto                                                                      7,000

Total Number of Employees: 370,005.

The average number of employees per employer in Quebec for these 22 companies is 16,818.

Does this situation express the freedom of workers? How many of those workers can direct their own lives at work? How many have their lives directed at work by a minority?

Certainly, workers are not forced directly to work for a specific employer, but ownership or rental of the conditions of work (buildings, chairs, desks, computers, photocopiers, printers and so forth) by these employers and the exclusion of such ownership by the workers indirectly obliges workers to work for an employer (though not a specific employer–although even then, given certain skills or lack of skills, workers must work for a specific employer within a specific group of workers. Thus, a worker with teaching skills will unlikely work as a flight attendant and hence can only work for certain employers.)

The relative–and restricted–freedom of workers to choose a particular employer has as its counterpart the much greater freedom of employers to choose whom they will hire. How many of you have gone to job interviews and felt the unequal power relations between you and the interviewer–even in a unionized setting? Why is that?

A Short List of the Largest Employers Based in Calgary, Alberta, Canada, Based on the Number of Employees

When belonging to a leftist organization called the Toronto Labour Committee (Ontario, Canada), I worked on, in a minor position, on some statistics related to financial campaign contributions for the Toronto elections. Not being satisfied with this, I proposed that we start trying to develop a class analysis of Toronto. I indicated, though, that I did not really know how to proceed in this. I sent this over the Toronto Labour Committee listserve, and the response was–silence.

The following attempts to fill in, however inadequately, that silence, this time in relation to Calgary.

I thought it would be useful to provide a list of some of the largest employers in Canada. The reason why I think such a list would be useful is that it provides at least a somewhat concrete picture of who really has power in society and the extent of that power. Since most social-reformist leftists ignore the power of employers and assume such power as a background which they can assume as constant, they then consider their reformist policies without calling into question such power.

The following provides a list of the 20 largest employers with headquarters based in Calgary. This list is based on the number of employees. As I pointed out in another post, such lists can vary, depending on the criteria used (such as profit, the number of employees or assets).

It should be pointed out that the following does not refer to the number of employees employed in Calgary. Rather, it refers to the number of employees of the particular capitalist employer in question; it probably includes the number of employees in Calgary, in the rest of Canada and, perhaps, outside of Canada.

It is taken from Top Calgary-Based Employers Based on the Number of Employees.

Company                                                              Number of Employees

  1. Canada Pacific Railway Inc.                          12,770
  2. Suncor Energy Inc.                                       12,080
  3. Enbridge Inc.                                                12,000
  4. WestJet Airlines Ltd.                                     11,624
  5. Shaw Communications Inc.                          10,000
  6. Canadian National Resources Ltd.                 9,709
  7. Ensign Energy Services Inc.                            7,160
  8. TransCanada Corp.                                         7,081
  9. ATCO Ltd.                                                        6,241
  10. Imperial Oil Ltd.                                              5,700
  11. Precision Drilling Corp.                                   5,471
  12. Husky Energy Inc.                                            5,157
  13. MNP LLP                                                          4,808
  14. Calfrac Well Services Ltd.                                 3,900
  15. Calgary Co-Operative Association Ltd.            3,800
  16. Parkland Fuel Corp.                                          3,051
  17. Stuart Olson Inc.                                               2,924
  18. NOVA Chemicals Corp.                                     2,900
  19. AltaGas Ltd.                                                       2,881
  20. Total Energy Services Inc.                                  2,314

Total Number of Employees                              131,571 

The social-democratic left have little to say about this situation. Probably, as long as these workers are unionized and have a collective agreement, then they have a “fair contract” and have “decent work.”

It is even difficult to say what they mean by “fair contract” and “decent work.” If the workers are not unionized but obtain a relatively higher wage or salary and benefits, is that then “decent work” and a “fair contract?”

What of the freedom of the workers? Do they really control their lives regardless of whether they are unionized or not? Twenty employers controlling over 130,000 people (with over 6500 workers per employer).  Do you find that an expression of freedom? Of democracy? Or should we call it–a dictatorship?

Do those who invest in such companies in more than a small scale (such as some workers do) have to work? Or can they live off the work of such workers through appropriating the profits that these workers produce?

A Short List of the Largest Employers in Vancouver, British Columbia, Canada, Mainly Based on Revenue

The following is a list of the 20 largest employers in Vancouver in 2018, based on revenue (rather than based on the number of employees, profit, assets or other criteria). For a couple of other lists, using profits or number of employees as criterion, see A Short List of the Largest Private Employers in Canada, According to Profit and A Short List of the Largest Employers in Toronto, Ontario, Canada.

For a short list based on the number of employees and profit in Sweden, see A Short List of the Largest Swedish Employers by the Number of Employees, Profits and the Profits per Worker.

How many among the left in Vancouver (or in Canada) consider such companies to provide “decent work?” “Fair contracts?” How many in Canada?

The information was obtained from the following site:  Largest Employers in Vancouver Based on Revenue.  rounded off to the nearest million in some cases.

  1. Telus Corp.: $14 billion 368 million ($14, 368,000,000)
  2. Teck Resources ($12 billion 564 million) ($12, 564,000,000)
  3. Jim Pattison Group ($10 billion 600 million) ($10,600,000,000)
  4. Finning International ($6 billion, 996 million) ($6,996,000,000)
  5. B.C. Hydro and Power Authority ($6 billion 237 million) ($6,237,000,000)
  6. West Fraser Timber Co. ($6 billion 118 million) ($6,118,000,000)
  7. H.Y Louie Co. ($5 billion 560 million) ($5,560,000,000)
  8. Insurance Corp. of British Columbia ($5 billion 442 million) ($5,442,000,000)
  9. Lions Gate Entertainment Corp. ($5 billion 350 million) ($5,350,000,000)
  10. First Quatum Minerals ($5 billion 139 million) ($5,139,000,000)
  11. Methanex Corp. ($5 billion 94 million) ($5,094,000,000)
  12. Canfor Corp. ($5 billion 44 million) ($5,044,000,000)’
  13. Best Buy Canada ($4 billion 129 million) ($4,129,000,000)
  14. GoldCorp ($3 billion 929 million) ($3,929, 000,000)
  15. BC Liquor Distribution Branch ($3 billion 498 million) $3,498,000,000)
  16. Westcoast Energy ($3 billion 473 million) ($3,473,000,000)
  17. Lululemon Athletica ($3 billion 433 million) ($3,433,000,000)
  18. British Columbia Lottery Corp. ($3 billion 267 million) ($3,267,000,000)
  19. Premium Brands Holding Corp. ($3 billion 26 million) ($3,026,000,000)
  20. London Drugs ($2 billion 575 million) ($2,575,000,000)

Total Revenue: $115 billion 842 million ($115,842,000,000)
Average Revenue per Employer: $5 billion 792 million ($5,792,000,000)

To gain an understanding of how much money that is, we can divide that amount by the 2018 Canadian population of about 37 million: $3130 per person. If we confine ourselves to the population in British Columbia (5 million 16 thousand–5,016,000), the per person revenue would be $23,094 per person.

Of course, revenue must cover operating costs and initial purchase of means of production (buildings, machines, raw materials such as electricity) and workers. These numbers would have to be further analyzed in order to determine profit in relation to total revenue.

Furthermore, it would be useful to determine the number of employees per employer to determine the approximate amount of profit produced per employer in order to see how workers are used to produce that profit. (The problem is that the statistics may not distinguish between the revenue obtained and whether it is confined to the province. For example, is the total revenue from Best Buy limited to total sales in Best Buy in Vancouver or does it apply to the total sales throughout British Columbia or indeed throughout Canada. It would be necessary to inquire further, of course.)

Finally, we can certainly ask how such employers can be justified as social organizations that use workers as means for ends not defined by the workers. Do you find it legitimate to use people for ends not defined by them? (See   The Money Circuit of Capital). In particular, do you find it legitimate to treat workers as mere costs, on the same level with the machines, buildings, office supplies, electricity  and so forth that workers use? If so, why do you think that? If not, what can be done about it?

What are the implications of the control of such revenue by such employers for the control of the lives of those who live in Vancouver? At work? Outside work? Does such a situation express the freedom of workers? Of consumers? What does it say about the power of employers? Of the power of their representatives–management? The best possible way of organizing work? Of organizing our lives? Or is there an alternative way of organizing our lives?

A Short List of the Largest Swedish Employers by the Number of Employees, Profits and the Profits per Worker

The following provides a few statistics about the number of employees, the profit produced by the Swedish workers and the profit produced per worker of the largest employers in Sweden–often one of the idealized countries of the social-democratic left, where free public services are more extensive than in many other developed capitalist countries. 

It can be found at the following site: The Twenty Largest Swedish Employers by the Number of Employees, Profit and Turnover (Revenue).

Please note that the specific employers, the order of employers and the statistics may be different from those indicated below since the website is occasionally updated. Between the time I  started to work on this post and its posting, some of the employers had changed and so too had the numbers; I had to add some employers’ names and delete others as well as recalculate everything,

I will start with conclusions first and then proceed to the statistics and calculations on which the conclusions are based.

Conclusions First

The above workers in the last table, then, on average, produced $62,893 free of charge to the Swedish employers in one year. Sweden, despite greater access to free public services, is characterized by systemic exploitation of the working class. Furthermore, it is characterized by oppression of these workers even when workers are producing the equivalent of their own wage rather than producing a profit (or surplus value) for the employer (see The Rate of Exploitation of Magna International Inc., One of the Largest Private Employers in Toronto, Part Two, Or: Intensified Oppression and Exploitation).  

The purpose of the above is mainly to highlight that the social-democratic heaven of Sweden is hardly the heaven painted by social democrats or social reformers. In Sweden, like other capitalist countries, workers are used as means to obtain more money (see The Money Circuit of Capital). They are both exploited (perform more work than is necessary to produce the equivalent of their own wage), and they are oppressed (subject to the dictates of their employer–both when they produce the equivalent of their wage and when they produce a surplus value for free for the employer (see The Rate of Exploitation of Magna International Inc., One of the Largest Private Employers in Toronto, Part Two, Or: Intensified Oppression and Exploitation). 

The expansion of free public services and systematic exploitation of workers can go hand in hand. Social democrats, however, often present the expansion of free public services as the solution to the social problems that we face (see, for example, A Basic Income Versus the Expansion of Public Services? Part One: Critique of the Social-democratic Idea that the Expansion of Public Services is Socialist). However, the expansion of free public services could form part of the solution–if it is linked to a movement for the abolition of the power of the class of employers and not just as the solution to the problems we face. 

Data on Swedish Employers

The Largest Employers in Sweden According to the Number of Employees

 
  Company       Number of employees  
 

1

Securitas AB   302 055 ChangeValue
 

2

H & M Hennes & Mauritz AB   126 376 ChangeValue
 

3

Ericsson, Telefon AB LM     94 503 ChangeValue
4 Volvo, AB   93 731 ChangeValue
5 Assa Abloy AB   48 992 ChangeValue
6 Electrolux, AB   48 652 ChangeValue
7 Scania CV AB     47 489 ChangeValue
8 Scania AB     47 489 ChangeValue
9 Essity AB   45 980 ChangeValue
10 SKF, AB   41 559 ChangeValue
11 Volvo Car AB     41 517 ChangeValue
12 Sandvik AB   41 120 ChangeValue
13 Atlas Copco AB     37 805 ChangeValue
14 Skanska AB   34 756 ChangeValue
15 Carl Bennet AB     28 825 ChangeValue
16 PostNord AB   28 627 ChangeValue
17 Loomis AB   24 895 ChangeValue
18 ICA Gruppen AB     23 125 ChangeValue
19 Trelleborg AB   22 952 ChangeValue
20 Axel Johnson Holding AB   22 291 ChangeValue

Some explanations are in order since some of the companies seem to be repeated.

  1. From Wikipedia: “The heavy truck and construction equipment conglomerate AB Volvo and Volvo Cars have been independent companies since AB Volvo sold Volvo Cars to the Ford Motor Company in 1999.”
  2. According to Prospectus Scania (1999): “The principal subsidiary of Scania AB is Scania CV AB. It is a wholly-owned subsidiary of Scania AB and comprises all Scania operations outside Latin America.” Hence, it would seem that for the purposes of the statistics Scania CV AB and Scania AB are identical. That is why I included 21 companies–they ar

A further measure is according to profit on the same webpage: I modify it somewhat to make it more meaningful for Canadian workers.

The Largest Employers in Sweden According to the Amount of Profit

 
  Company       Net profit (×1000) SEK (SEK is the Swedish Krona or unit of money,  around $0.14 Canadian, $0.11 US,  $0.10 Euro-, 0.08 pounds, -so roughly divide by 7, 9, 10, or  12.5, respectively, to get a Canadian, US, Euro or pound  equivalent), Net profit, billions of Canadian dollars  (dividing net profit in kronas by 7 and x 1000)
 

1

Investor AB   102 650 000 $14.664286ChangeValue
 

2

Volvo, AB   46 832 000 ChangeValue$6.6690286
 

3

AstraZeneca AB   37 436 000 ChangeValue$5.348000
4 Industrivärden, AB   29 930 000 $4.275714ChangeValue
5 L E Lundbergföretagen AB   23 335 000 ChangeValue$3.333571
6 Kinnevik AB   21 573 000 ChangeValue$3.081857
7 Atlas Copco AB     21 572 000 ChangeValue$3.081714
8 Melker Schörling AB   20 013 000 ChangeValue$2.859000
9 Melker Schörling Tjänste AB   20 013 000 $2.859000ChangeValue
10 SCA, Svenska Cellulosa AB   19 539 000 ChangeValue$2.791286
11 Lundin Energy AB   18 885 500 ChangeValue$2.697929
12 Arrow AB   18 725 220 ChangeValue$2.675031
13 Vattenfall AB     18 322 000 ChangeValue$2.617429
14 H & M Hennes & Mauritz AB   17 391 000 ChangeValue$2.484429
15 Scania CV AB     16 476 000 ChangeValue$2.353714
16 Scania AB     16 476 000 ChangeValue$2.353714
17 Erik Selin Fastigheter AB     16 289 589 ChangeValue$2.327084
18 Assa Abloy AB   13 571 000 ChangeValue$1.938714
19 Volvo Car AB     13 168 000 ChangeValue$1.881143
20 Essity AB   13 040 000 $1.862857ChangeValue
 

If we combine the two tables and add some readily available data from the website that is not indicated in the two tables above–that is to say, look at companies where information is readily available both for the number of employees and for the net profit (some of the companies lack data for both the number of employees and the amount of net profit)–we can get an idea of the extent of exploitation in terms of the amount of profit generated per worker for each company as well the average amount of net profit produced (or appropriated) per worker.

I address some objections to this calculation after the tables. I calculated the Canadian equivalent (far right).

The Largest Employers According to Profit Produced or Appropriated Per Worker in Sweden

 
  Company Net profit (×1000) SEK   Number of employees Net Profit per worker SEK  Net Profit per worker (in Canadian dollars) (dividing net profit in Kronas by 7)
 

1

Investor AB 102 650 000 15,560 6,597,000ChangeValue ChangeValue$942,429
 

2

AstraZeneca AB 37 436 000 6,150 6,087,000ChangeValue ChangeValue$869,571
 

3

SCA, Svenska Cellulosa AB 19,539,000 4,253 4,594,000ChangeValue ChangeValue$656,286
4 Vattenfall AB 18,322,000 19.997 916,000ChangeValue ChangeValue$130,857
5 Atlas Copco AB 21,572,000 37,805  571,000ChangeValue ChangeValue$81,571
6 Volvo, AB 46,832,000 93,731 500,000ChangeValue ChangeValue$71,429
7  Scania CV AB 16,476,000   47,489 347,000 ChangeValue$49,571
8 Volvo Car AB 13,168,000 41,517  317,000ChangeValue ChangeValue$45,286
9  Sandvik AB 12,150,000 41,120 295,000ChangeValue ChangeValue$42,143
10 Essity AB 13,040,000 45,980 284,000ChangeValue ChangeValue$40,571
11 Assa Abloy AB 13,571,000  48,992  277,000ChangeValue ChangeValue$39,571
12  Skanska AB 7,340,000 34,756 211,000ChangeValue ChangeValue$30,143
13  SKF, AB 8,469,000   41,559 204,000ChangeValue ChangeValue$29,143
14 ICA Gruppen AB 4,402,000 23,125 190,000ChangeValue ChangeValue$27,143
15 Carl Bennet AB 5,,124,000   28,825 178,000ChangeValue ChangeValue$25,429
16 H & M Hennes & Mauritz AB 17,391,000    126,376 138,000ChangeValue ChangeValue$19,714
17 Axel Johnson Holding AB 2,237,000 22,291 100,000 ChangeValue$14,286ChangeValue
18 Ericsson, Telefon AB LM 8,762,000 94,503 93,000ChangeValue ChangeValue$13,286
19 Loomis AB 2,210,000   24,895

89,000

ChangeValue

ChangeValue$12,714
20 Electrolux, AB 2,456,000 48,651  50,000 ChangeValue$7,143

In terms of total profit per worker for all the above workers, if we sum up total profits and total employees and divide total profits by total employees, we obtain: 

Total profit: 373,147,000×1000 SEK; /7=$53.306714290 billion Canadian dollars 
Total #Employees: 847,575
Total profit per worker: 53.30671429/847,575=$62,893 per worker. The above workers in the last table, then, on average, produced $62,893 free of charge to the Swedish employers in one year. Sweden, despite greater access to free public services, is characterized by systemic exploitation of the working class. Furthermore, it is characterized by oppression of these workers even when workers are producing the equivalent of their own wage rather than producing a profit (or surplus value) for the employer (see The Rate of Exploitation of Magna International Inc., One of the Largest Private Employers in Toronto, Part Two, Or: Intensified Oppression and Exploitation).  

Some Marxists will claim that this is unscientific since many factors are excluded from consideration(such as the difference between values and prices of production, a difference that I addressed, in a preliminary way, in my comment to the post The Rate of Exploitation of Workers at Air Canada, One of the Largest Private Employers in Canada. Given the large difference in profit per worker in the first and twentieth company, divergences may be great, but without further data (the level of investment in means of production, raw materials, auxiliary materials and the like), any further refinement is impossible.

Objections to the limited nature of the data are valid.

However, my answer to its limited nature is; it is better to estimate profit per worker than not provide anything. If more accurate calculations are then provided later on, all the better. But in the meantime, at least we have an idea of the extent of exploitation of workers. Calculation of the rate of exploitation, which involves profit divided by wage, of course, would require data on wages in these companies. More accurate statistics and more refined analyses would be most welcome.

The purpose of the above is mainly to highlight that the social-democratic heaven of Sweden is hardly the heaven painted by social democrats or social reformers. In Sweden, like other capitalist countries, workers are used as means to obtain more money (see The Money Circuit of Capital). They are both exploited (perform more work than is necessary to produce the equivalent of their own wage), and they are oppressed (subject to the dictates of their employer–both when they produce the equivalent of their wage and when they produce a surplus value for free for the employer (see The Rate of Exploitation of Magna International Inc., One of the Largest Private Employers in Toronto, Part Two, Or: Intensified Oppression and Exploitation). 

The expansion of free public services and systematic exploitation of workers can go hand in hand. Social democrats, however, often present the expansion of free public services as the solution to the social problems that we face (see, for example, A Basic Income Versus the Expansion of Public Services? Part One: Critique of the Social-democratic Idea that the Expansion of Public Services is Socialist). However, the expansion of free public services could form part of the solution–if it is linked to a movement for the abolition of the power of the class of employers and not just as the solution to the problems we face. 

A Short List of the Largest Employers in Toronto, Ontario, Canada

When belonging to a leftist organization called the Toronto Labour Committee (Ontario, Canada), I worked on, in a minor position, on some statistics related to financial campaign contributions for the Toronto elections. Not being satisfied with this, I proposed that we start trying to develop a class analysis of Toronto. I indicated, though, that I did not really know how to proceed in this. I sent this over the Toronto Labour Committee listserve, and the response was–silence.

The following attempts to fill in, however inadequately, that silence.  If others can provide more detailed and sophisticated statistics and analysis (while still being comprehensible), I would much appreciate it.

In an earlier post, I provided a list of some of the largest employers in Canada, according to profit. The following is a short list of the largest employers in Toronto (where I currently live), according to employment. The reason why I think such a list would be useful is that it provides at least a somewhat concrete picture of who really has power in society and the extent of that power. Since most social-reformist leftists ignore the power of employers and assume such power as a background which they can assume as constant, they then consider their reformist policies without calling into question such power.

I hope to expand this later. If readers have better statistics or statistics from other countries or cities, feel free to comment. This should be a work in progress.

It is taken from the following, for February 2018:

Largest Enployers in Toronto According to Employment Level

It should be pointed out that these statistics are probably for the Greater Toronto Area (GTA) rather than the City of Toronto as such since the website states “This list estimates the number of residents from Toronto and surrounding area that each company employs. These numbers exclude international employees.” Furthermore, the method of collecting the data is vague (“Based on some research conducted on the number of available LinkedIn profiles, here is a list of the top 20 largest employers in Toronto as of February 2018.”) Consequently, the statistics should not be taken too literally. Nevertheless, they may give an idea of the relative order of the larger employers in relation to the level of employment.

Obviously, there are different ways of considering what the largest employers are. At least four come to mind readily: according to profit, according to employment, according to total revenue (sales) and according to assets.

The following list of the 20 largest employers lists in Toronto according to level of employment.

1. CIBC = 15,000
2. Scotiabank = 14,400
3. Magna International = 11,500
4. Rogers = 10,000
5. Bank of Montreal = 9,000
6. Bell Canada = 7,900
7. TD Bank = 6,100
8. Toronto School Board District = 5,500
9. Deloitte = 4,000
10. Hudson’s Bay Company = 4,100
11. Telus = 4, 000
12. Air Canada = 3,100
13. Toronto Transit Commission = 2,500
14. Bombardier Inc. = 2,030
15. Royal Bank of Canada = 1, 700
16. EY = 1,700
17. CGI = 1,700
18. Maple Leaf Foods = 1,300
19. PwC = 1,300
20. The Coca Cola Company = 1, 100

The total number of workers is: 107,930 workers.

In Toronto (not the Greater Toronto Area), the number of employees in 2017 was 1, 518,560. The population in Toronto in 2016 was  2,731,571; the population in the GTA was 6,417,526 in 2016. If we divide the GTA population by Toronto’s population, we have 6,417,526/2,731,571=2.34939. If we multiply this number by the number of workers in Toronto, we should have a rough estimate of the number of workers in the GTA: 2.34939×1,518,560=3, 567, 690 workers in the GTA.

If the number of workers of the 20 largest employers is divided by the number of workers in the GTA, then those workers represent only 3% of the number of workers in the GTA.

In terms of employment, the 20 largest employers in the GTA do not represent a great percentage of total employment. Nonetheless, it is likely that they do represent a substantial political force via their control over key industries (financing and communications in particular) and their influence through such organizations as the Toronto Board of Trade. On the other hand, at least in terms of employment, it is unlikely these large employers (defined as those with 500 or more employees) that constitute the bulk of employment in Toronto but rather medium (100-500 employees) and especially small employers (1-99 employees) since, in Canada, it is small businesses that employee most workers:  “As of 2017, small businesses employed 8.29 million individuals in Canada, or 69.7 percent of the total private labour force. By comparison, medium-sized businesses employed 2.37 million individuals (19.9 percent of the private labour force) and large businesses employed 1.23 million individuals (10.4 percent of the private labour force)” (Key Small Business Statistics, January 2019, page 3).

On the other hand, the value of output in Canada according to Gross Domestic Product (GDP) is, relatively, much larger for large employers than for small and medium-sized enterprises (SMEs) since the number of large employers is much smaller than the number of SMEs: “In 2014, the contribution of small businesses to gross domestic product generated by the private sector was 41.5 percent, the contribution of medium-sized businesses was 11.0 percent and the contribution of large businesses was 47.5 percent.” (Key Small Business Statistics, January 2019, page 4).

If we subtract the number of public-sector workers from the above Toronto list, we have 107,930-(5500+2500=8000)=99,930 private-sector workers, or 99,930. Dividing this by the number of workers in the GTA would result in only 2.8 percent of the working population. If, however, we consider that 10.4 percent of the private labour force is found in Canada but 47.5 percent of the GDP is produced by this labour force in Canada, then we can calculate 47.5/10.4=4.5673 times the GDP is produced by employees working for large-scale employers. We can then times this amount by 2.8 percent (4.5673×2.8)=12.79 percent. The 18 private largest employers in Toronto probably exert around 12.79 percent in terms of economic power in Toronto. Despite the limited level of employment power and the limited number of employers, the level of economic power is substantial. It would be interesting to see if this economic power is translated in various ways into political power.

(If anyone has any alternative ways of estimating economic power, I would like to know. Undoubtedly, the above is imperfect, but I fail to see anyone on the so-called left referring to major employers in Toronto having any economic and political power. There is of course the usual “capitalist this” and “capitalist that,” but very few concrete details.)

Of course, this is a very rough estimate. Furthermore, more useful statistics would include the value of the means of production and, for the 18 private companies, profits as well. In addition, there is no distinction made between part-time and full-time employees.

If we compare the 20 largest Canadian employers according to profit to the list of the largest Toronto employers, there are several on both lists: all five major banks and Rogers Communication.

 

A Short List of the Largest Private Employers in Canada, According to Profit

When belonging to a leftist organization called the Toronto Labour Committee (Ontario, Canada), I worked on, in a minor position, on some statistics related to financial campaign contributions for the Toronto elections. Not being satisfied with this, I proposed that we start trying to develop a class analysis of Toronto. I indicated, though, that I did not really know how to proceed in this. I sent this over the Toronto Labour Committee listserve, and the response was–silence.

The following attempts to fill in, however inadequately, that silence, but it is first addressed at the more macro level of Canada. If others can provide more detailed and sophisticated statistics and analysis (while still being comprehensible), I would much appreciate it.

I thought it would be useful to provide a list of some of the largest employers in Canada. The reason why I think such a list would be useful is that it provides at least a somewhat concrete picture of who really has power in society and the extent of that power. Since most social-reformist leftists ignore the power of employers and assume such power as a background which they can assume as constant, they then consider their reformist policies without calling into question such power.

I hope to expand this later. If readers have better statistics or statistics from other countries, feel free to comment. This should be a work in progress.

It is taken from the following: Largest Employers in Canada.

Obviously, there are different ways of considering what the largest employers are. At least four come to mind readily: according to profit, according to employment, according to total revenue (sales) and according to assets.

The following list of the 20 largest employers lists them according to (after-tax) profit for the year 2012. The profit is indicated in parentheses. The currency is Canadian.

Statistics relating profit to wages and salaries would be useful to obtain an approximate rate of exploitation (undoubtedly Marxian economists would find the procedure faulty, but if so, then they should provide their own correctives at a concrete level–unless they are only academics who are little concerned with bridging the gap between theory and the more empirical experiences of the working class).

1. The Royal Bank of Canada ($7 billion 442 million)
2. The Bank of Nova Scotia ($6 billion 466 million)
3. Toronto Dominion Bank ($6 billion 367 million)
4. The Bank of Montreal ($4 billion 115 million)
5. Imperial Oil ($3 billion 766 million)
6. Canadian Imperial Bank of Commerce (CIBC) ($3 billion 339 million)
7. Suncor Energy ($2  billion 783 million)
8. BCE ($2 billion 763 million)
9. Canadian National Railway ($2 billion 680 million)
10. Potash ($2 billion 79 million)
11.Thomson Reuters Corp. ($2 billion 70 million)
12. Husky Energy ($2 billion 22 million)
13. Great-West Life Co. ($1 billion 930 million)
14. Canadian Natural Resources ($1 billion 882 million)
15. First Quantum Minerals ($1 billion 772 million)
16. Goldcorp Inc. ($1 billion 749 million)
17. Manulife Financial ($1 billion 736 million)
18. Rogers Communications ($1 billion 730 million)
19. Sunlife Insurance ($1 billion 674 million)
20. Power Financial ($1 billion 626 million)

If you sum up the amount of profit for these 20 companies, you get $59 billion 991 million.

To get an idea of the meaning of this amount of profit, we can do several calculations:

  1. Divide this amount by the total population of Canada: 37, 177, 886 (estimated, March 10, 2019, but for calculating convenience let us say 40,000,000): That is $1500 extra per year more for every person in Canada.
  2. Divide this amount by the total employed in February 2019: 18 million 991 thousand workers (for convenience, 19 million): An extra $3157 per year for every employed worker.
  3. The redistribution of all profits according to the whole population or to those who are employed would probably not have a great impact on many individuals and families; of course, a more refined analysis, with incomes lower than the average being affected relatively more than others with incomes greater than the average.
  4. This can be seen if we divide this amount by the total unemployed in the last three months of 2018: 1 million 30 thousand (for convenience, 1 million): That is $59,991 per year more for every unemployed Canadian.
  5. If we combine #3 and #4, and divide by the sum of the two (unemployed, 1 million, + employed, 19 million, or 20 million in total): $3000 per year extra for every unemployed or employed worker. Again, as an average, the redistribution would not have a major impact if spread out equally among all employed and unemployed workers. Its impact would be all the greater the more the redistribution would be limited to those who are unemployed or to those with limited incomes. However, this does not mean that such redistribution of profits would merely involve propping up the level of income of unemployed and those with limited incomes. As I have argued in several other posts on the nature of socialism, a substantial portion of profits would be allocated to an investment fund that would be distributed nationally, regionally and locally to various communities. Some profits might be allocated initially to provide for those who are unable to work, but with the elimination of a market for workers and the abolition of a class of employers, workers would increasingly not need to resort to such supplementary funds.
  6. It should be remembered that the above statistics are limited only to the 20 largest private companies. There are many other companies with profits, and if all those profits were included in the calculation, the impact on total income would likely be much larger and more significant than it is here indicated.

The position of the social-reformist left, of course, is for some kind of redistribution of such profits–but not to the complete redistribution of such profits. For them, there is such a thing as “fair share of the profits” via changed tax policies.

For example, the Canadian Centre for Policy Alternatives (CCPA) published a work by Toby Sanger entitled Fair Shares: How Banks, Brokers and the Financial Industry Can Pay Fairer Taxes (page 23) (The title itself shows confusion since something that is fairer need not be fair):

As other Canadians are paying for the costs of the financial crisis, Canada’s under-taxed financial industry should also be required to pay its fair share.

Again, at the provincial level, in Ontario on the Ontario New Democratic Party (NDP) website (https://www.ontariondp.ca/platform)-a social-reformist political party linked to unions).

Protect middle class families by having the wealthiest people and most profitable corporations pay their fair share

At the federal level, the NDP, in its pamphlet POLICY OF THE New Democratic Party of Canada  EFFECTIVE FEBRUARY 2018, page 3 reads:

Ensuring that large profitable corporations pay a fair share of taxes.

According to the money circuit of capital, though, there is no such thing as a fair share since it is inherently unfair to treat human beings as means for obtaining more money (see The Money Circuit of Capital).

What do you think of the profits of such companies? What is the source of such profits? What should be done with them? Should workers control them? Communities at various geographical levels?

Is there such a thing as a fair share under existing economic conditions of a class of employers controlling our selves.