No. 21

July 2, 1998

TRIBUNAL DECISION TO BE RELEASED THE WEEK OF JULY 27

The Human Rights Tribunal Registrar has notified the Alliance that the Tribunal's decision in our federal pay equity complaint will be issued during the week of July 27^th.

The Alliance will be sending a summary of the decision to all regional and Component offices as soon as possible after it is released. This summary will also be posted on the Alliance's web site (www.psac-afpc.com).

FLASH: New Treasury Board questions and answers

Treasury Board has prepared a new set of questions and answers in anticipation of the Tribunal decision. Most of these issues, such as the content of the Tribunal decision, have already been covered in our bulletin #20 or are dealt with in this bulletin.

The Treasury Board document indicates that the decision will not include the actual amounts to be paid. This is true, the Tribunal will decide on the methodology by which the actual amounts can be calculated. The Tribunal also will not say how to implement the decision. These are the administrative steps which have to be taken to turn the calculations into cheques. These steps are already being discussed with Treasury Board.

Treasury Board makes reference to Phase III of the Tribunal hearings. When the Tribunal was first set up, it was thought that the issues before them would be dealt with in three phases. Phase I would deal with the reliability of the study results - which the Tribunal did in 1996. Phase II would deal with matters such as methodology, retroactivity, interest, damages, etc. - which the Tribunal will do in July. Phase III would then deal with any outstanding issues such as the impact on indirect compensation, i.e. the various allowances and premiums paid to federal government workers. In fact, there is no need for a Phase III. The Alliance and Treasury Board discussed the issue of indirect compensation some time ago and, pending the final resolution of the pay equity complaint, agreed on a formula to deal with it. There may be a need to go back to the Tribunal if its decision is not clear on any point and clarification is required.

New address and phone number

In Bulletin No. 20, we noted that former government employees who are not receiving a federal superannuation cheque and who aren't sure who to contact to ensure they receive any retroactive pay equity payments to which they're entitled should advise the Human Resources Division of Treasury Board. They have advised that any such requests should be sent to: The Pay Equity Group, Treasury Board Secretariat, L'Esplanade Laurier, 300 Laurier Ave., Ottawa, Ontario K1A OR5. The telephone number to contact is now (613) 952-2946. We recommend putting any requests for retroactive payments in writing and keeping a copy of your request.

How to limit your taxes on pay equity payments

Treasury Board has advised the Alliance that Revenue Canada has prepared a special form which will be distributed in the departments over the next several weeks. Instead of obtaining a "Request for a Reduction of Tax Deductions at Source" form from Revenue Canada, current employees will be able to complete this special form to shelter up to $10,000 of their pay equity payments, for example, in RRSPs. A special bulletin from Revenue Canada will accompany the form. As soon as you receive the form, you can complete it and turn it in to one of the pay and benefits clerks in your department.

If employees wish to shelter more than $10,000, they cannot use the special form but must obtain the Request for a Reduction form from Revenue Canada. This also applies to former employees and retirees in all cases, regardless of the amount.

How soon will the cheques be issued?

Until we see the decision it is not possible to give an exact date.

Retroactive payments may have to be issued in two stages. According to Treasury Board, government pay data from April 1, 1989 is automated and very accurate and thus can be processed more quickly. Calculations before that date will take longer as they have to be done manually. Treasury Board has advised that there are ongoing upgrades to the pay system in order to prepare the system for the year 2000. This could also affect the length of time it will take to get the payments out if the payments coincide with one of these upgrades.

TO FEDERAL PSAC MEMBERS ON THE EVE OF THE PAY EQUITY DECISION:

A VERY LARGE THANK YOU FROM THE ALLIANCE EXECUTIVE COMMITTEE

Dear Members:

If anyone had said that we would be able to successfully stand up to 14 years of government legal, political and legislative tactics on the road to achieving pay equity, most people would have scoffed. But we're on the verge of doing just that.

In July the Canadian Human Rights Tribunal will issue its decision in the complaint filed by the PSAC on behalf of our members in the CR, EU, DA, HS, LS and ST groups. This will be a landmark decision because it will be largest pay equity decision to date in North America. We all have reason to be proud of our perseverance and our efforts which have taken us so far.

The work of our members has been evident from the beginning. Our member representatives on the joint committees during the four-year pay equity study had a long and difficult task which they performed well. This study and its results have been critical in our battle to obtain pay equity.

Soon after the union filed the complaint on behalf of the six groups in 1990, Alliance members started filing grievances backing up demands for what they were rightfully owed. Over 15,000 grievances were filed.

Throughout the six years of the Tribunal hearings and the subsequent charade of negotiations, Alliance members took every opportunity to put the government on the spot and to let its elected representatives know what they thought of its refusal to provide full pay equity. In 1992 for example, our members sent thousands and thousands of pay equity "overdue" invoices to then Treasury Board President Gilles Loiselle outlining what they were owed for services rendered.

Over the years, there have been tens of thousands of letters, faxes, greeting cards, e-mails and postcards sent to various Prime Ministers, Treasury Board Presidents, Cabinet Ministers and Members of Parliament. Hundreds of different regional activities including lobbying, demonstrations, marches, sit-ins and occupations have taken place. These activities have ranged from the funny to the serious but all have had one aim - to achieve full pay equity. In 1991 we even took strike action in support of our demand for pay equity. It is this continuing activity and support which has brought us so far.

We believe the Tribunal decision should be the last stage in our long struggle. Unfortunately, there may be more ahead. There is a possibility that the government will appeal the decision. If it does, the Alliance will take all the necessary legal steps to deal with the appeal and any attempts to stop payments being made. Once again, it will be your actions and your support which will ensure our success.

In spite of all the legal maneuvers, the threats of legislation, the threats of appeals and all the other tactics over the years, we have been strong, we have persisted and we have been successful Our heartfelt thanks to our members who have stood together throughout this 14 year struggle. You can be proud of your achievement.

In solidarity,

The members of the Alliance Executive Committee

Highlights of our 14 year battle

1984: PSAC files complaint with Canadian Human Rights Commission (CHRC) on behalf of CR group.

1985-89: Joint union management equal pay study takes place.

1990: Government makes interim pay equity adjustments.

PSAC files complaint with CRHC based on the joint study results.

CHRC supports complaint and rejects interim adjustments as inadequate.

1991: Human Rights Tribunal appointed.

Treasury Board goes to court to stop the Tribunal and loses - twice.

Government legislates an end to PSAC strike and any immediate hopes of a pay equity settlement.

1992-95: TB tries every tactic in the book to discredit the joint study and fails.

1996: Tribunal confirms reliability of study results.

1997: In spite of all the TB tactics, the Tribunal finally completes its hearings.

TB leaks an "offer" to Toronto Star as PSAC convention begins.

Between April and December TB walks away from negotiations twice.

1998: Long awaited Tribunal decision will be released.