Federal unions call for Phoenix fixes in budget
As the Liberal government prepares to table the 2024 federal on April 16, two of Canada's largest public service unions are calling for fixes to the Phoenix pay system and more emphasis on developing in-house expertise and capacity as the government reduces outsourcing.
In their pre-budget consultation submissions, the Professional Institute of the Public Service of Canada (PIPSC) and the Public Service Alliance of Canada (PSAC) also call for more funding for research within departments and agencies; updating the Federal Public Sector Labour Relations Act; and settling the Black Class Action and Indigenous Class Action lawsuits.
In its submission, PSAC said that while the last budget and the fall economic update committed to cutting outsourcing, there has been “no obvious corresponding investment” to in-house staffing.
“This suggests that either the work was not necessary in the first place, or that when it is brought in house, cuts will be made elsewhere,” the submission read.
PSAC said a system-wide staffing plan should be developed, adding that the government should create a body within the public service to provide services now done by consultants.
PIPSC also highlighted the need for developing in-house capacity, especially when it comes to IT work.
“We have ways to help the government save money and be accountable,” PIPSC president Jennifer Carr said in an interview, adding that the government should also be encouraging work-fromhome arrangements. “The more in-house capacity that we develop, the less we become over-reliant on contractors.”
Two of the unions' key recommendations called for greater transparency and more inclusion of unions in government processes.
In its submission, PIPSC said the union was “concerned” with the legislation around artificial intelligence, under Bill C-27, as well as its implementation within the federal government.
“We'd like to make sure that we can have oversight of AI expand to all the federal departments and agencies and Crown corporations so that we can have clarity and how they're using it,” Carr said, noting that Bill C-27 is limited to the federally regulated private sector, excluding the government itself. “We want to make sure that they clarify and prohibit conducts that may harm any kind of individual groups.”
The union said it would also like all government decisions made using AI to be subject to human review, with Carr adding that PIPSC wants the creation of an ombudsperson or a commissioner position on AI so there is better oversight of the technology's use.
PSAC said it would like the government to consult more with unions about its refocusing spending initiative, adding that all proposed cuts to federal public services should be paused until then.
The Canadian Space Agency recently announced its plans to close Ottawa's space technology laboratory, the David Florida Laboratory, in 2025 following a “strategic” review of operations.
Carr said unions were not part of the discussions on the government's refocusing exercise, adding that they're not sure about “what's coming down the pipe.”
“If we continue to see the arbitrary cuts that were announced last year in the refocusing of government spending, then that's going to be problematic,” PSAC national president Chris Aylward said in an interview. “We will be watching closely and we will be fighting any reductions in the public service.”
In its submission, PSAC recommended that the government pause all proposed cuts to public services, even those relating to reducing workforce size by attrition, until a process is “developed and enacted” in consultation with unions.
Fixing the Phoenix pay system was also a key recommendation for the unions, who held a joint press conference last month asking the government to negotiate additional damages for public servants.
PSAC recommended the government eliminate the backlog of Phoenix pay problems and prevent further problems by “hiring, training, and retaining” more compensation advisers. As of Feb. 28, the number of transactions ready to be processed stood at 430,000, according to the government's Public Service Pay Centre dashboard.
The union called for the government to extend its general damages and claims process from 2020 to today as well as negotiate an agreement for parliamentary workers in the House of Commons and Senate, who PSAC said were not included in the original agreement.
It also asked that the government pause the collection of overpayments and that the claims process for expenses and major losses be available to workers.
PSAC also recommended a national inquiry into the Phoenix pay disaster.
PIPSC made similar recommendations around Phoenix, noting that “timely and accurate pay is crucial.”
“We have to make sure that the government is going to put investments in people to ensure that the backlog is cleared,” Carr said.
The National Association of Federal Retirees also mentioned the need to address issues with the Phoenix system in its pre-budget submission, noting that in a 2022 Federal Retirees survey of members, nearly 70 per cent of respondents said they experienced a problem.
“Many new retirees delayed or abandoned their retirement plans and replaced those plans and dreams with stress and anxiety,” the submission indicated. “The damage will take a long time to heal, but the government could begin repairing that relationship by addressing these issues rapidly and compassionately.”
If we continue to see the arbitrary cuts that were announced last year … then that's going to be problematic.