THE COST OF LABOUR PEACE KEEPS GROWING

More Staff. Higher Wages.
Bigger Taxpayer Bill.

The 4% wage increase is only one piece of a larger City Hall cost picture.

When does taxpayer affordability become part of the conversation?

The 4% wage increase in the new CUPE Local 401 contract is only one part of the City Hall affordability story.

The bigger issue is what happens when higher wage rates are applied across a larger workforce — while policing costs are also rising.

To continue reading, look below at how Nanaimo’s payroll and policing cost picture has changed since 2018.

The Payroll Base Has Grown

In 2018, the City of Nanaimo’s direct payroll line was approximately $64.82 million.

By 2025, that line had grown to approximately $99.37 million.

That is an increase of about $34.55 million — or 53.3%.

But policing also has to be included in the public cost picture. Nanaimo contracts with the RCMP for policing services, and those costs have also increased substantially.

Police contracted services rose from approximately $23.29 million in 2018 to approximately $33.12 million in 2025.

That is an increase of approximately $9.83 million, or about 42.2%.

Put Together, the Picture Is Clear

When direct City payroll and RCMP contracted policing costs are combined, the taxpayer-funded cost rose from approximately $88.11 million in 2018 to approximately $132.49 million in 2025.

That is an increase of about $44.38 million — or 50.4%.

Cost Area	2018	2025	Increase	% Increase
Direct City payroll line	$64.82M	$99.37M	+$34.55M	+53.3%
Police contracted services	$23.29M	$33.12M	+$9.83M	+42.2%
Combined total	$88.11M	$132.49M	+$44.38M	+50.4%

More Employees Too

Over the same period, the City’s budgeted staffing also increased.

Total budgeted full-time equivalent positions rose from 747.9 FTEs in 2018 to 920.0 FTEs in 2025.

That is an increase of 172.1 FTEs — or about 23.0%.

Measure	2018	2025	Increase	% Increase
Total budgeted FTEs	747.9	920.0	+172.1	+23.0%

This Is the Real Affordability Question

So this is not only about wage rates.

It is not only about benefits.

It is not only about one union contract.

It is about the total cost of City Hall growing on multiple fronts at the same time: more staff, higher wages, richer benefit obligations and rising policing costs.

That may be explained. It may be defended. But it should not be hidden behind soft phrases like “labour peace” or “service delivery.”

If the cost of wages, benefits and contracted policing has climbed by roughly 50% since 2018, who at City Hall is asking whether Nanaimo taxpayers’ ability to pay has grown by the same amount?

That is the point.

A 4% wage increase may be the headline, but the larger payroll and policing bill is what taxpayers are actually carrying.

Points to Ponder: Higher wage rates multiplied by more employees creates a much larger permanent cost base. The question is not whether City workers want fair compensation. The question is whether taxpayers can afford the total system now being built.

Source note: Payroll, policing and staffing figures are drawn from City of Nanaimo financial statements and financial plan FTE schedules. The 2018 direct payroll line is labelled wages and salaries, while the 2025 line is labelled wages and benefits. Police contracted services are used as the closest public comparator for RCMP contracted policing cost. FTE figures refer to budgeted full-time equivalent positions, not a simple headcount. Calculations by Voice of Nanaimo.