Home Workplace Legislation/Press Releases Federal unions demand ongoing compensation for workers affected by Phoenix pay system debacle

Federal unions demand ongoing compensation for workers affected by Phoenix pay system debacle

by HR Law Canada

Unions representing over 260,000 federal public sector workers are intensifying their call for the government to address ongoing damages resulting from the notorious Phoenix pay system debacle.

The Public Service Alliance of Canada (PSAC), The Professional Institute of the Public Service of Canada (PIPSC), and the Canadian Association of Professional Employees (CAPE) have formally urged the Treasury Board to commence negotiations for an extension of the Phoenix general damages agreements and the severe damages claims process. Their goal is to ensure that workers receive compensation until they are consistently paid accurately and on time.

Despite previous settlements negotiated in 2019 and 2020, the ordeal persists for federal workers who continue to grapple with pay issues paycheck after paycheck.

Chris Aylward, PSAC National President, lamented the enduring struggle faced by tens of thousands of workers, stating, “Workers deserve to be compensated for the pain and suffering they still face at the hands of a broken pay system.”

The consequences extend beyond financial strain. With over 380,000 federal workers uncertain about meeting basic financial obligations due to recurring errors on their paychecks, the situation exacerbates stress and uncertainty.

PIPSC President Jennifer Carr underscored the government’s failure to rectify the situation, emphasizing that despite assurances to fix Phoenix, the federal government falls far short of meeting its service standards, with accuracy rates at a mere 25%, significantly below the targeted 95%.

The ramifications are profound, impacting workers’ career decisions and mental well-being. The persistence of pay issues not only disrupts their financial stability but also hampers their professional advancement and retirement plans.

Nathan Prier, President of CAPE, denounced the protracted ordeal endured by federal workers, asserting, “Federal public sector workers deserve better than having their contracts broken on a biweekly basis for eight years.”

In addition to ongoing compensation, the unions demand increased resources to stabilize the pay system and expedite the resolution of the mounting backlog of pay issues. However, their efforts are complicated by the government’s focus on recovering Phoenix overpayments, diverting resources away from addressing the root cause of the problem.

As federal workers continue to grapple with the fallout from the Phoenix pay system debacle, the unions remain steadfast in their pursuit of justice and resolution for the affected employees.

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