Phoenix Agreement with Psac

On October 1, 2020, the Canadian government announced a new agreement with the Public Service Alliance of Canada (PSAC) to settle the ongoing issues surrounding the ill-fated Phoenix pay system. The agreement is intended to compensate federal employees who suffered financial losses and other hardships due to Phoenix`s payroll errors.

Under the agreement, the federal government will provide $2.5 billion in compensation to employees who experienced financial losses due to Phoenix. This compensation will cover both current and former employees, and it will be paid out over several years. In addition, the government has agreed to establish a new claims process that will allow employees to seek compensation for non-financial damages, such as stress and anxiety caused by the pay system`s errors.

The Phoenix pay system was implemented in 2016 as a way of streamlining the government`s payroll system. However, the system was plagued by glitches and errors from the start, leaving thousands of federal employees underpaid, overpaid, or not paid at all. The government has been working to fix these issues ever since, but the process has been slow and frustrating for many employees.

The Phoenix agreement with PSAC is a significant step towards resolving the issues caused by the pay system. However, it is important to note that the agreement only covers employees represented by PSAC. Other unions representing federal employees, such as the Professional Institute of the Public Service of Canada (PIPSC), will need to negotiate their own agreements with the government.

In addition, while the compensation provided under the agreement will undoubtedly be welcome news for many federal employees, it cannot undo the financial and emotional damage caused by Phoenix`s errors. The government must continue to work towards improving its payroll system and ensuring that employees are paid accurately and on time in the future.

Overall, the Phoenix agreement with PSAC represents an important step forward in resolving the issues caused by the pay system. It is a positive development for federal employees who have suffered financial and emotional losses due to Phoenix`s errors. However, it is important to remember that much work still needs to be done to ensure that the government`s payroll systems are accurate, efficient, and reliable.

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