Union says feds agree to $2,500 payout for workers affected by Phoenix pay system

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The Public Service Alliance of Canada (PSAC) says it has reached a deal with the federal government to compensate 140,000 public service workers over Phoenix pay system related damages.

All eligible members of the largest federal public service union who have been directly or indirectly impacted by the problem-plagued federal payroll system, are set toThe compensation includes money for the late implementation of collective agreements over the years when the government was trying to get the program under control. The payments are broken down by year, with $1,000 for fiscal year 2016-17 and $500 for each of the three years since.

The deal was reached on July 9. In a statement, Treasury Board President Jean-Yves Duclos said he is “pleased,” with the “tentative agreement.” Over the course of the implementation of the now years-old payroll system, thousands of employees experienced being underpaid, overpaid, or not paid at all as the government tried to triage what quickly became a massive backlog in cases of pay issues that left many workers in financial hardship for months.

These severe cases included workers who accumulated outstanding debts due to missing payments, or who lost their cars, homes, or other major financial assets as a result of not being paid properly.negotiated by other federal bargaining agents

 

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