[Canada] Historic settlement from government in Phoenix pay system class-action suit

[Canada] Historic settlement from government in Phoenix pay system class-action suit
29 Nov 2024

The Government of Canada has settled out of court to compensate non-unionised and casual federal employees affected by the ongoing payroll issues caused by the Phoenix pay system failure, CBC reports.

A Quebec judge authorised the class-action suit against the federal government in April 2018.

If the Quebec Superior Court approves it, this historic agreement will provide individual payments to suit members, calculated by the number of eligible years they worked in one of the affected employment categories, according to Quebec city law firm Saraïlis Avocats, which handled the case.

"The negotiations have resulted in a fair and equitable settlement for class members to compensate for the moral damages they endured," Christian Saraïlis, from the firm, said in a press release.

"This is, in our view, a compelling example of justice achieved."

The suit alleged that some employees were paid too much before being forced to reimburse the difference, while others were not paid at all or did not receive proper remuneration.

The suit did not include the majority of public servants with a union process for grievances, however, it did include students, retirees and occasional workers who are not covered under those collective agreements.

Saraïlis Avocats's website states that class members can submit a claim form online or by mail. They may be entitled to compensation up to a maximum amount of $350 for the 2016/2017 financial year and a maximum amount of $175 for the three financial years between 2017 and 2020.

Lawyers had reportedly sought a base amount of $500 for all those allowed to join the lawsuit plus an additional $1,000 for those who experienced mistakes in their pay, regardless of whether the wages they received were too high or too low.

Launched in 2016, the Phoenix pay system cost taxpayers nearly $4 billion yet routinely failed to deliver timely and accurate pay to Canada’s public servants. For the full picture of this lengthy and devastating national scandal listen to the GPA’s six-part podcast Phoenixed.


Source: CBC

(Quotes via original reporting)

The Government of Canada has settled out of court to compensate non-unionised and casual federal employees affected by the ongoing payroll issues caused by the Phoenix pay system failure, CBC reports.

A Quebec judge authorised the class-action suit against the federal government in April 2018.

If the Quebec Superior Court approves it, this historic agreement will provide individual payments to suit members, calculated by the number of eligible years they worked in one of the affected employment categories, according to Quebec city law firm Saraïlis Avocats, which handled the case.

"The negotiations have resulted in a fair and equitable settlement for class members to compensate for the moral damages they endured," Christian Saraïlis, from the firm, said in a press release.

"This is, in our view, a compelling example of justice achieved."

The suit alleged that some employees were paid too much before being forced to reimburse the difference, while others were not paid at all or did not receive proper remuneration.

The suit did not include the majority of public servants with a union process for grievances, however, it did include students, retirees and occasional workers who are not covered under those collective agreements.

Saraïlis Avocats's website states that class members can submit a claim form online or by mail. They may be entitled to compensation up to a maximum amount of $350 for the 2016/2017 financial year and a maximum amount of $175 for the three financial years between 2017 and 2020.

Lawyers had reportedly sought a base amount of $500 for all those allowed to join the lawsuit plus an additional $1,000 for those who experienced mistakes in their pay, regardless of whether the wages they received were too high or too low.

Launched in 2016, the Phoenix pay system cost taxpayers nearly $4 billion yet routinely failed to deliver timely and accurate pay to Canada’s public servants. For the full picture of this lengthy and devastating national scandal listen to the GPA’s six-part podcast Phoenixed.


Source: CBC

(Quotes via original reporting)

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