A load of hogwash
October 19, 2012Dear SirThe PLP are proclaiming that we are all an average of $20,000 a year better off under the PLP because the Median Gross Income has increased from $38,049 to $58,049 since the year 2000. Even allowing for inflation, if the surveyed sample was representative of the whole population, this is correct because inflation alone would have increased the median income to just over $56,000. So while the claimed extra $20,000 extra per year the PLP claim we have gained only has a purchasing value of $2,000 it is an increase. However, and this is where statistics are such wonderful things because they allow you to ignore anything that doesn’t fit your agenda and desperate politicians exploit this loophole mercilessly.For example, over the last 12 years the PLP have added around 2,000 new Government jobs. These new people, just like the original 5,000-odd they inherited from the UBP, are all paid by those of us in the private sector. Hands up those who have seen more than a few handfuls of Government jobs advertised that are under $75,000 a year. These additional jobs alone would be more than enough to explain why the inflation adjusted median has increased. The fact that Government workers still get pay rises only reinforces this position.Now, we all know that over the last four years or so we have lost around 2,000 Bermudian jobs and an unknown number of guest worker jobs. The guest worker job losses are unknown because Government doesn’t count unemployed guest workers who have left Bermuda, as unemployed. The vast majority of those lost Bermudian jobs were in the hospitality, construction, retail, restaurant, clerical etc., all areas that are not particularly well known for high average pay. These lower paid individuals, many of whom are now unemployed, no longer factor into the Median Gross Income calculations, so that again raises the median.So, basically, if the ruling party wants to increase the Gross Median Income above the inflation rate, all they have to do is employ thousands more in the public sector on salaries higher than the corresponding private sector median and create economic conditions that will cause the lowest paid, the ones who were already struggling, to lose their jobs. Well done PLP. What a load of hogwash!ALREADY SICK OF THE ELECTION LIESPembroke