Conditions Of Present-day Dishonesty

A survey conducted by Ontario's Ministry of Labour reported that victims of wage theft in Ontario have "lost out" on $28 million over the last six years. Just $19 million from the $47 million stolen from out-of-pocket workers has been recovered. Yet, only 0.2% of the guilty bosses were prosecuted - "Our study showed that the Employment Standards Acts Enforcement is still largely compliant-driven, but, that many employees face barriers, like, fear of retaliation - (Ya think?) that inhibits them from making complaints", said Leah Vosko, one of the lead researchers.

According to Ms. Vosko, "....even when violations are validated by the Ministry, penalties are rarely imposed on employers and the Dispute Resolution System provides opportunities for employers to avoid paying employees all that they are owed."

Forty-eight percent of complaints the Ministry receive are about unpaid wages, yet, only a mere 8.6 of the complainants are still in their jobs. 85% of the claims investigated were shown to be valid. Small businesses were found more likely to be in violation than big ones. Some 80% of employees at small firms were validated, these being mostly with five or fewer employees. The validations were 50% with companies with more than 200 employees.

About half of the complaints are for $1,000 or more, a huge loss to a worker. Since 2012 the Ministry has prosecuted successfully just forty-one of the law-breaking bosses.

It's understandable the bosses of small businesses are the main offenders, considering a small business is closer to the edge economically. Bankruptcy, even when avoided, is always a Damocles Sword for small capitalists, which makes them more intensive in their exploitation of their workers than big ones.

Nor, is this an attempt to defend them, but to understand the economic forces at work. It's easy enough to call all of the violator's dishonest jerks, but the plain brutal fact is, present-day economic conditions cause dishonesty and, as is obvious from the above, no tinkering around with complaints and prosecutions will do much good. Better an economic system where there is no need for dishonesty. 

John Ayers.