Civil service swells under Tory rule - Action News
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Civil service swells under Tory rule

Newfoundland and Labrador's governing Tories are defending spending decisions that have seen the civil service swell by more than 20 per cent.

Spending justified, finance minister says

Tom Marshall says new civil servants have been required to deliver improved public services. (CBC)

Newfoundland and Labrador's governing Tories are defending spending decisions that have seen the civil service swell by more than 20 per cent.

The Tories implemented a series of spending cuts soon after taking office in 2003, although government figures show the core civil service that is, employees of government departments and not including hospitals, schools and variousagencies has jumped considerably since 2005.

Finance Minister Tom Marshall says the spending can be justified, because the government hired workers to administer programs it has rolled out as burgeoning revenues from the offshore oil industry rolled in.

"Twenty-one per cent is reasonable," Marshall told CBC News. "It's just under 1,500 jobs over an eight-year span."

Government figures show the civil service included 6,792 jobs in 2005. By 2010, it had increased to 8,429.

The public service has grown so much the government is expanding the parking lot at Confederation Building in St. John's, and has bought two buildings to house its employees.

"It's a significant concern," said Jo Mark Zurel, chairman of the St. John's Board of Trade, pointing to annual spending increases of about $250 million.

"That quarter of a billion dollars is funded by taxpayers, both businesses and individuals, from across the province."

The cost of maintaining the civil service shot up through a four-year labour agreement that raised wages by more than 20 per cent.

The Tories have come under fire for recent budgets that included enormous revenues from the oil industry, but were matched by increased spending and a decision to go slow on debt reduction.

Marshall said the spending is worth it, because of what government is accomplishing.

"The people of Newfoundland and Labrador wanted progressive programs and public services, so when you bring in new services and new programs, you obviously have to have the human resources personnel for those," Marshall said.