The Public Utilities Alliance of Canada announced Friday that it has negotiated an agreement that will provide 140,000 public service employees with a lump sum payment of $2,500 for the pain and suffering of the Phoenix fiasco. The employer undertakes to include in this agreement all replacement measures negotiated with other negotiators representing CPA employees, which are more generous than those provided in this agreement. The agreement was reached on July 9. In a statement, Finance Ministry President Jean-Yves Duclos said he was “pleased” with the “interim agreement.” PSAC also announced on Friday that it had reached an interim agreement for employees of the Programs and Administrative Services (PA) group. The three-year contract, which includes 84,000 public servants, provides for an annual salary increase of 2.11 percent. The government is in the process of creating, after the signing of this agreement, a new compensation office for serious consequences and other demonstrable cases. The president of the Ministry of Finance, Jean-Yves Duclos, said he was satisfied with the agreements. “This is proof of our commitment to fair and equitable agreements, taking into account the current economic and fiscal environment,” he said. Cape filed a complaint against unfair labour practices with the Federal Public Sector Labour Relations and Employment Board (FPSLREB) for non-application by the Ministry of Finance of the reimbursement provisions in the EC and TR collective agreements until October 2017. The counterpayment in question was due for 2014-15, 2015-16, 2016-17 and part of the 2017-18 fiscal year.
The phoenix HR-Pay system was designed to replace a 40-year-old compensation system, which the Canadian government was considered costly and inefficient at the time. Shortly after its launch in 2015, the system proved critically flawed and ineffective. As the 2018 General Auditorium report and well-documented in the Goss Gilroy report summarized, Phoenix`s Hr-Pay system was an incomprehensible mistake on all fronts. Its failures have caused considerable financial hardship and stress for thousands of federal public service employees. PSAC is pleased to have negotiated a new Phoenix damages contract, which will replace five days off with a US$2,500 lump sum payment, which will be distributed to all of our eligible members directly or indirectly affected by the Phoenix payment system. This new agreement represents a substantial improvement over the employment contract negotiated by other federal bargaining agencies. This agreement is without prejudice to the rights of negotiators with regard to: dates may be extended by mutual agreement between the parties. In addition to the Phoenix damages agreement, CAPE is following the liquidation of compensation owed to its members and replacing the Phoenix payroll system installed and defective since 2016. Cape sits on the Next Generation Union`s Joint Management Committee, where it expresses the concerns of its members and works to accelerate the introduction of an improved compensation system, according to the union. In addition to creating a new expedited procedure for filing a right to compensation, the agreement includes up to five days of annual leave that would be granted to all CAPE members, directly affected or not by Phoenix, for the general worsening and frustrations caused by the defective compensation system, CAPE said.
“We have spent the last 10 days consulting with our members to make our final decision,” said Greg Phillips, Cape President. “At the end of this fiscal year, we concluded that it was in the best interests of our members to sign this agreement and give them access to expedited proceedings to be compensated urgently for the financial and non-financial damage caused by Phoenix.” “All employees represented by PSAC receive compensation for the toll that the Phoenix payroll system has had on their lives. This is proof of our commitment to fair and equitable agreements, taking into account the current economic and fiscal environment,” said Mr. Duclos.