Ottawa

Government delays collection of Phoenix overpayments

The government is pledging it will no longer collect overpayments from civil servants until their pay issues have been resolved.

Civil servants won't face collection until their pay issues are resolved, government announced Tuesday

A protest marking the two-year anniversary of the Phoenix pay system's launch was held in downtown Ottawa on Feb. 28, 2018. The government announced Tuesday it will stop collecting overpayments and emergency salary advances from civil servants until their pay issues are resolved. (CBC)

The government is pledging it will no longer collect overpayments from civil servants until their pay issues have been resolved.

Under new rules announced Tuesday, any collection of overpayments or emergency salary advances can't take place until an employee's pay is settled and they have been properly paid for three consecutive pay periods.

Previously, civil servants had complained they were having overpayments and salary advances collected while other parts of their pay were still not fixed.

Greg McGillis, a regional vice-president for the Public Service Alliance of Canada, said it's about time the government stopped the practise.

Greg McGillis, a regional vice-president for the Public Service Alliance of Canada, said it's about time the government stopped collecting overpayments until pay issues are resolved. (CBC)

'One step on a very long road'

"It took too long. We are really disappointed that it took over a year for the government to come to the realization that this was such a serious problem," he said.

And while the union is pleased this issue has been addressed, McGillis said there are still other Phoenix pay problems to fix.

"It's just one little battle, it's not the entire war. It's one step on a very long road," he said. "There are other issues with Phoenix. It's a complicated issue."

Under the government's proposal, employees will also be given the option of repaying overpayments in instalments, with deductions from future cheques, or in a lump sum, and that they will have the opportunity to discuss it in advance.