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Progress on fixing Phoenix pay system backlog could be short-lived: Ottawa

Feds have said they wonB次元官网网址檛 try to recover money overpaid until all outstanding issues are fixed
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The Public Service Pay Centre in Miramichi, N.B. (Ron Ward/The Canadian Press)

The federal government offered a temporary glimmer of hope Friday to employees suffering through serious pay issues as it moved ahead in talks with civil service unions toward a settlement for the B次元官网网址渦ndue stress and hardshipsB次元官网网址 caused by its troubled Phoenix pay system.

Figures released by Public Services and Procurement Canada, which oversees the beleaguered system, suggest a long-awaited reprieve from the ever-growing backlog of problems created since Phoenix was brought online just over two years ago.

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There were about 626,000 transactions awaiting processing at the governmentB次元官网网址檚 pay centre in Miramichi, N.B., as of Feb. 21, the department said on its web-based pay dashboard.

But while thatB次元官网网址檚 fewer than the peak of 633,000 problem pay files reached in January, the decline may be short-lived, PSPC warned.

B次元官网网址淭his decrease is promising,B次元官网网址 it said. B次元官网网址淏ut with additional work left to do on overpayments and collective agreements, a continual decline is not expected until later this spring.B次元官网网址

The latest backlog figures were released just days after Ottawa said it would no longer try to recover money overpaid to its employees until all of their outstanding pay issues have been resolved, and only if their paycheques were correct for at least three two-week pay periods.

The government had blamed recent escalations in the backlog at least partly on a shift of pay centre employees to deal with changes brought about after the ratification of several civil service contracts, which required complex pay rate adjustments and calculations of retroactive back pay.

More than half of all federal employees have experienced pay problems ranging from being underpaid or overpaid or not paid at all since Phoenix was brought online just over two years ago, the government said.

Last monthB次元官网网址檚 federal budget allocated $16 million over two years to the search for a Phoenix replacement, but that could be years away. In the meantime, federal employees continue to struggle with a pay system that has repeatedly failed.

The budget also opened the door to compensating civil servants for what it called the B次元官网网址渞eal mental and emotional stressB次元官网网址 caused by Phoenix.

Talks between the government and the unions that represent its workers over damages B次元官网网址渉ave been advancingB次元官网网址 since then, said the Public Service Alliance of Canada, although neither the unions nor Treasury Board Secretariat have revealed details of those discussions.

B次元官网网址淔or two years, our members have lived in fear every pay day; they have had their lives turned upside down; and through it all they have continued to show up to work and deliver the services Canadians depend on,B次元官网网址 said PSAC national president Robyn Benson.

B次元官网网址淎n agreement on damages wonB次元官网网址檛 solve everything, but it is an important part of making our members whole.B次元官网网址

It is so far estimated that the total cost of the debacle, from the creation of Phoenix to dealing with its problems, will reach or exceed $1 billion by the end of this year. When it was first adopted, the previous Conservative government had predicted the system would save taxpayers $70 million annually.

Terry Pedwell, The Canadian Press





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