Liberals and Tories – parties of corporate power

(Article 3 of 4) It is not news to many in the social movements that we have had trouble with both the Tories and the Liberals while in office. Nonetheless, there is considerable enthusiasm for an NDP-Liberal coalition being able to offer real change – change that could not happen under the Harper Tories. But we have to be very sober about what is possible. We cannot judge political parties by their momentary positions, by their style, by their individual leaders. Parties are reflections of class power in a class-divided society – and in Canada, there is no question that the Liberals, like the Tories, are a party of the corporations, a party of the capitalist class.

This used to be quite easy to demonstrate. Until December 31, 2006, political parties could receive open contributions from corporations and unions. This changed with the passing of the “Federal Accountability Act” in 2006, which restricted donations to “citizens and permanent residents of Canada” and expressly forbade “corporations, trade unions and unincorporated associations” from making these donations.[1] This does not mean that corporations and unions do not have parties of their choice – it just makes the links between parties and classes in society more obscure.

But the readily available information we have before the passing of this act makes one thing very clear – there is little difference between the Liberals and the Tories from the standpoint of the boardrooms of Canada’s major corporations. In fact, through much of the last generation, their preferred party has been the Liberals, not the Tory/Reform project of Stephen Harper. The chart here documents this clearly.[2]

While the Tories were in office under Mulroney, they were lavished with funds from Canada’s corporations. But once the Liberals replaced them, corporate funding for the Tories collapsed, and the corporations increased their donations to the Liberals, year after year preferring them to either the Tories or the Reform/Alliance, in some years sending many millions more into the Liberal coffers than into those of Tory/Reform.

We know that the economic crisis is seen differently from Bay Street than from Main Street. We know that the corporations will seek to solve the problems of the economy on the backs of working people. We know that attacks on wages, attacks on union rights, attacks on social services – we know that all of these are being prepared in the corridors of corporate power, their usual arsenal when faced with a crisis of their system.

And we know from the data on this page, and from years of bitter experience, that the Liberal Party of Canada is at its core, a party of these corporations – a party which will bend its effort to rule in the interests of these corporations.

Jack Layton is hoping that the NDP will be able to set the terms of the coalition. There is no chance of this happening. The NDP was committed to funding social programs by rescinding the corporate tax cuts made under Harper’s watch. During the election campaign, this was one of the strongest part of the party’s platform. It wasn’t only Harper who opposed it. Stéphane Dion called it a “job killer.”[3] One of the first casualties of the coalition was this NDP campaign promise. Liberal finance critic Scott Brison said that “corporate tax cuts set to kick in next year would remain in effect as part of a Liberal-NDP coalition government.”[4]

What will it mean for working people of Canada if, in order to get into office, policy after policy from the NDP campaign book has to be sacrificed in order to try and align themselves with Canada’s party of Bay Street?

Previous articles:
Harper’s Tories: Attacking Quebec to Save Neo-Liberalism
Are the Liberals an Alternative?
Read next:
Harper out of Ottawa, Canada out of Afghanistan

© 2008 Paul Kellogg

References

[1] Elections Canada, “Backgrounders: New Rules for Federal Political Donations
[2] Compiled from Elections Canada, “Financial Reports: Registered Party Financial Transactions Returns,” various years
[3] Mike Blanchfield and Juliet O’Neill, “NDP to tax corporations to aid families,” Edmonton Journal, September 29, 2008
[4] David Akin and Paul Vieira, “No rollback on corporate taxes: Liberal’s Brison,” The Financial Post, December 1, 2008

Leave a Reply

Your email address will not be published. Required fields are marked *