26 September 2023

CANADA: Province puts cap on PS pay

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CANADA

The Canadian Province of Ontario has passed legislation to cap Public Sector wage increases at an average of one per cent annually for the next three years.

President of the Treasury Board, Peter Bethlenfalvy (pictured) said the Protecting a Sustainable Public Sector for Future Generations Act would let the Government manage Public Sector compensation in a fair and reasonable way.

“The legislation reflects a balanced and collaborative approach to engaging with stakeholders and responding to their feedback,” Mr Bethlenfalvy said.

“Taking action to ensure increases in Public Sector compensation reflect the Province’s fiscal reality is part of our Government’s balanced and prudent plan.”

He said the legislation would also apply to Provincial authorities where the majority of directors, members or officers were appointed by the Province.

Reaction was swift from four of the Province’s education unions – all of them currently in negotiations with the Government for new collective agreements.

In a joint statement, the unions condemned the legislation and announced they were preparing a court challenge.

“The Protecting a Sustainable Public Sector for Future Generations Act tramples on collective bargaining rights and targets Public Sector workers with unfair austerity measures for the next three years,” the statement said.

The unions said the legislation was passed “just one day after the Minister of Finance bragged to Ontarians that the economy is thriving and that the Government is more than a billion dollars ahead of its deficit reduction targets”.

Toronto, 10 November, 2019

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