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Trump aides struggle to show some shutdown empathy
NEW YORK — One White House aide mused that the shutdown was like a paid vacation for some furloughed workers. President Donald Trump’s daughter-in-law said employees’ “little bit of pain” was worth it for the good of the country. Commerce Secretary Wilbur Ross questioned why cash-poor workers were using food banks instead of taking out loans.
The president himself says workers simply need to “make adjustments.”
With hundreds of thousands of federal workers going without pay during the monthlong partial government shutdown, Trump and his team, which includes the wealthiest Cabinet ever assembled, have struggled to deliver a full dose of empathy for those who are scraping to get by.
Ross set off howls when he was asked on CNBC on Thursday about reports that some of the 800,000 workers currently not receiving paychecks were going to homeless shelters to get food.
“Well, I know they are, and I don’t really quite understand why,” he said. “The obligations that they would undertake, say borrowing from a bank or a credit union, are, in effect, federally guaranteed. So the 30 days of pay that some people will be out … there’s no real reason why they shouldn’t be able to get a loan against it.”
In a subsequent interview with Bloomberg, Ross said he was “painfully aware” that workers were suffering hardships. He added that in his earlier remarks, he’d been trying to let workers know that credit union loans were available for those “experiencing liquidity crises” — hardly the language of those living
It all contributed to perceptions that the Trump administration was out of touch with workers bearing the brunt of the shutdown impact.
“Is this the ‘Let them eat cake’ kind of attitude?” said House Speaker Nancy Pelosi. “Or call your father for money?” With that, the speaker evoked Marie Antoinette and took an indirect jab at Trump for inheriting family money to launch his business career.
Senate Minority Leader Chuck Schumer, D-N.Y., said Ross’ comments “reveal the administration’s callous indifference toward the federal workers it is treating as pawns.” He added: “Secretary Ross, they just can’t call their stock broker and ask them to sell some of their shares.”
Deeming air traffic controllers who are calling in sick “disappointing,” Ross said that workers will eventually get their pay and that there is no reason why a loan would not be a reasonable option for workers who have been staring at zeros on their pay statements.
“Now, true, the people might have to pay a little bit of interest, but the idea that it’s
The president said he hadn’t seen Ross’s comments but added: “I do understand perhaps he should have said it differently.”
Trump said the commerce secretary’s point was that grocery stores, banks and other local entities were “working along” with federal employees to ease the shutdown’s impact. He added that Ross has “done a great job.”
Other Trump officials have been more effective in conveying their sympathies for those affected by the shutdown.
“Nobody, including myself, likes the hardship caused, the temporary hardship caused by the government shutdown,” Larry Kudlow, director of the National Economic Council, said Thursday. “I have young people on my staff, devoted young people. You know, when you’re 28 years old, you don’t save a lot. I get that, and I think a lot of people have to get through this.”
Trump, for his part, has repeatedly maintained, without providing evidence, that federal workers support the need for a border wall even if it means going without a
Asked Thursday what his message to furloughed workers was, Trump said: “I love them. I respect them. I really appreciate the great job they’re doing.” He continued to insist that “many of those people that are not getting paid are totally in
Kevin Hassett, chairman of the Council of Economic Advisers, said early in the shutdown that some furloughed employees were, “in some sense, they’re better off” because people who were already taking vacation over the holidays ultimately would not be charged for their already-planned trip. Hassett has since said that his remarks were taken out of context.
Lara Trump, the president’s daughter-in-law and campaign aide, said this week that for the furloughed workers, “It is a little bit of pain, but it’s going to be for the future of our country.”
On Thursday, she tried to explain the comment, insisting to Fox News that “I am incredibly empathetic towards anyone right now without a
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Associated Press writers Matthew Daly, Kevin Freking and Darlene Superville in Washington contributed to this report.
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Follow Lemire on Twitter at http://twitter.com/@JonLemire
Jonathan Lemire, The Associated Press
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What is ‘productivity’ and how can we improve it
From the Fraser Institute
Earlier this year, a senior Bank of Canada official caused a stir by describing Canada’s pattern of declining productivity as an “emergency,” confirming that the issue of productivity is now in the spotlight. That’s encouraging. Boosting productivity is the only way to improve living standards, particularly in the long term. Today, Canada ranks 18th globally on the most common measure of productivity, with our position dropping steadily over the last several years.
Productivity is the amount of gross domestic product (GDP) or “output” the economy produces using a given quantity and mix of “inputs.” Labour is a key input in the production process, and most discussions of productivity focus on labour productivity. Productivity can be estimated for the entire economy or for individual industries.
In 2023, labour productivity in Canada was $63.60 per hour (in 2017 dollars). Industries with above average productivity include mining, oil and gas, pipelines, utilities, most parts of manufacturing, and telecommunications. Those with comparatively low productivity levels include accommodation and food services, construction, retail trade, personal and household services, and much of the government sector. Due to the lack of market-determined prices, it’s difficult to gauge productivity in the government and non-profit sectors. Instead, analysts often estimate productivity in these parts of the economy by valuing the inputs they use, of which labour is the most important one.
Within the private sector, there’s a positive linkage between productivity and employee wages and benefits. The most productive industries (on average) pay their workers more. As noted in a February 2024 RBC Economics report, productivity growth is “essentially the only way that business profits and worker wages can sustainably rise at the same time.”
Since the early 2000s, Canada has been losing ground vis-à-vis the United States and other advanced economies on productivity. By 2022, our labour productivity stood at just 70 per cent of the U.S. benchmark. What does this mean for Canadians?
Chronically lagging productivity acts as a drag on the growth of inflation-adjusted wages and incomes. According to a recent study, after adjusting for differences in the purchasing power of a dollar of income in the two countries, GDP per person (an indicator of incomes and living standards) in Canada was only 72 per cent of the U.S. level in 2022, down from 80 per cent a decade earlier. Our performance has continued to deteriorate since 2022. Mainly because of the widening cross-border productivity gap, GDP per person in the U.S. is now $22,000 higher than in Canada.
Addressing Canada’s “productivity crisis” should be a top priority for policymakers and business leaders. While there’s no short-term fix, the following steps can help to put the country on a better productivity growth path.
- Increase business investment in productive assets and activities. Canada scores poorly compared to peer economies in investment in machinery, equipment, advanced technology products and intellectual property. We also must invest more in trade-enabling infrastructure such as ports, highways and other transportation assets that link Canada with global markets and facilitate the movement of goods and services within the country.
- Overhaul federal and provincial tax policies to strengthen incentives for capital formation, innovation, entrepreneurship and business growth.
- Streamline and reduce the cost and complexity of government regulation affecting all sectors of the economy.
- Foster greater competition in local markets and scale back government monopolies and government-sanctioned oligopolies.
- Eliminate interprovincial barriers to trade, investment and labour mobility to bolster Canada’s common market.
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COP29 was a waste of time
From Canadians For Affordable Energy
The twenty-ninth edition of the U.N. Climate Change Committee’s annual “Conference of the Parties,” also known as COP29, wrapped up recently, and I must say, it seemed a much gloomier affair than the previous twenty-eight. It’s hard to imagine a more downcast gathering of elitists and activists. You almost felt sorry for them.
Oh, there was all the usual nutty Net-Zero-by-2050 proposals, which would make life harder and more expensive in developed countries, and be absolutely disastrous for developing countries, if they were even partially implemented. But a lot of the roughly 65,000 attendees seemed to realize they were just spewing hot air.
Why were they so down? It couldn’t be that they were feeling guilty about their own hypocrisy, since they had flown in, many aboard private jets, to the Middle Eastern petrostate of Azerbaijan, where fossil fuels count for two-thirds of national GDP and 90% of export revenues, to lecture the world on the evils of flying in planes and prospering from the extraction of oil and natural gas. Afterall, they did the same last year in Dubai and there was no noticeable pang of guilt there.
It’s likely that Donald Trump’s recent reelection had a lot to do with it. Living as they do in a media bubble, our governing class was completely blindsided by the American people’s decision to return their 45th president to the White House. And the fact that he won the popular vote this time made it harder to deny his legitimacy. (Note that they’ve never questioned the legitimacy of Justin Trudeau, even though his party has lost the popular vote in the past two federal elections. What’s the saying about the modern Left? “If they didn’t have double standards, they’d have no standards at all.”)
Come January, Trump is committed to (once again) pulling the U.S. out of the Paris Climate Accords, to rolling back the Biden Administration’s anti-fracking and pro-EV regulations, and to giving oil companies the green light to extract as much “liquid gold” (his phrase) as possible, with an eye towards making energy more affordable for American consumers and businesses alike. The chance that they’ll be able to leech billions in taxpayer dollars from the U.S. Treasury while he’s running the show is basically zero.
But it wasn’t just the return of Trump which has gotten the climate brigade down. After a few years on top, environmentalists have been having one setback after another. Green parties saw a huge drop off in support in the E.U. parliament’s elections this past June, losing one-third of their seats in Brussels.
And wherever they’ve actually been in government, in Germany and Ireland for instance, the Greens have dragged down the popularity of the coalitions they were part of. That’s largely because their policies have been like an arrow to the heart of those nations’ economies – see the former industrial titan Germany, where major companies like Volkswagen, Siemens, and the chemical giant BASF are frantically shifting production to China and the U.S. to escape high energy costs.
But while voters around the world are kicking climate ideologues to the curb, there are still a few places where they’re managing to cling to power for dear life.
Here in Canada, for instance, Justin Trudeau and Steven Guilbeault steadfastly refuse to consider revisiting their ruinous Net Zero policies, from their ever-increasing Carbon Tax, to their huge investments in Electric Vehicles and the mandates which will force all of us to buy pricey, unreliable EVs in just over a decade, and to the emissions caps which seek to strangle the natural resource sector on which our economy depends.
Minister Guilbeault was all-in on COP29, heading the Canadian delegation, which “hosted 65 events showcasing Canada’s leadership on climate action, nature-based solutions, sustainable finance, and Canadian clean technologies—while discussing gender equality, youth perspectives, and the critical role of Indigenous knowledge and climate leadership” and stood up for Canadian values such as “2SLGBTQI+” and “gender inclusivity.” Once again, in Azerbaijan, which has been denounced for its human rights abuses.
And no word yet on the cost of all of this – for last year’s COP28 the government – or should I say the taxpayers – spent $1.4M on travel and accommodations alone for the 633 member delegation. That number, not counting the above mentioned events, are sure to be higher, as Azerbaijan is much less of a travel destination than Dubai, and so has fewer flights in and available hotel rooms.
At the same time all of this was going on, Trudeau was 12,000 kms away in Rio de Janeiro, Brazil, telling an audience that carbon taxation is a “moral obligation” which is more important than the cost of living: “It’s really, really easy when you’re in a short-term survive, [to say] I gotta be able to pay the rent this month, I’ve gotta be able to buy groceries for my kids, to say, OK, let’s put climate change as a slightly lower priority.”
This is madness, and it underscores how tone-deaf the prime minister is, and also why current polling looks so good for the Conservatives that Pierre Poilievre might as well start measuring the drapes at the PMO.
He has the Trudeau Liberals’ obsessive pursuit of Net Zero policies in large part to thank for that.
The world is waking up to the true cost of the Net Zero ideology, and leaving it behind. That doesn’t mean the fight is over – the activists and their allies in government are going to squeeze as many tax dollars out of this as they possibly can. But the writing is on the wall, and their window is rapidly closing.
Dan McTeague is President of Canadians for Affordable Energy.
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