GLP Retro Pay Grievance

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On November 22, 2022, the PEA voted to ratify the 17th Main Collective Agreement. As you will recall, the agreement contained several financial improvements. Employees were to be paid the financial improvements retroactively to April 1, 2022 (“Retroactive Pay”).

On January 24, 2023, the PEA filed a grievance alleging the Employer had not provided retroactive general wage increases and salary grid adjustments to its members and sought that its members receive retroactive general wage increases and salary grid adjustments.

The PEA also alleged that the Employer did not implement the Employment Standards Amendment Act, SBC 2022, (“ESAA”) requirement to provide five paid sick leave days to employees effective March 31, 2022.

On April 29, 2024, the parties met to mediate a resolution to the policy grievance with the assistance of Arbitrator Corinn Bell. We were successful in achieving a positive resolution through this mediation process. The settlement is similar to the one achieved by the BCGEU.

The PEA wishes to thank the BCGEU leadership and staff for advancing their grievance and getting this settlement. It constitutes a higher settlement than would be achieved through arbitration. (In previous arbitration awards where unions were successful, arbitrators have awarded nominal monetary amounts such as $50 per employee or simple interest for late payment.)

The Employer acknowledges that it made mistakes when implementing the retroactive pay requirements and that it could have done better. As a result of those mistakes, it took too long to get the retro payments into the hands of employees and those delays may have impacted and caused uncertainties to employees.

Here are the highlights:

For Current Employees

  1. As a one-time only event, the Employer will add 3.5 hours of vacation time to the displaced vacation bank (V99) of each PEA bargaining unit employee, excluding government lawyers and articled students, currently employed on April 29, 2024.  This applies to regular and benefited auxiliary employees. This additional vacation time will not be prorated based on FTE status.
  2. As a one-time only event, the Employer will add 3.5 hours of vacation to the displaced vacation bank (V99) of each PEA bargaining unit employee, excluding government lawyers and articled students, currently employed on April 29, 2024, who were paid a retroactive top-up of sick time for the 5-day paid sick leave entitlement under the ESAA from March 31, 2022, to February 23, 2023. This applies to regular and benefited auxiliary employees. For clarity, this is in addition to the vacation time outlined in paragraph 1.
  3. As a one-time only event, the Employer will pay to unbenefited auxiliary employees the equivalent monetary value of the vacation time to which they are entitled pursuant to paragraphs 1 and/or 2.
  4. All additional vacation time outlined in paragraphs 1 and 2 will be added to a regular and benefited auxiliary employee’s displaced vacation bank (V99) or paid to unbenefited auxiliary employees as outlined in paragraph 3 as soon as practicable but no later than August 31, 2024.
  5. Permission to take the vacation time outlined in paragraphs 1-2 will not unreasonably be withheld.  This will be communicated to all managers and employees by the Employer.  The vacation time will be treated pursuant to the Main and Subsidiary Agreements except it will be available for use until fully used and will not be subject to carryover or be archived.
  6. Should the Employer, without a reasonable explanation, fail to add the additional vacation time outlined in paragraphs 1 and 2 or provide payment outlined in paragraph 3, the Employer will pay $50 to the employee.  Lack of resources or multiple payroll transactions to complete will not constitute a reasonable explanation.
  7. The Employer will pay all outstanding Retroactive Pay to all active employees as soon as practicable and by no later than August 31, 2024. The Employer will pay pre-judgment interest pursuant to the Court Order Interest Act on all amounts outstanding as of April 29, 2024. The Parties agree that interest on all such amounts is deemed to accrue beginning March 3, 2023, until payroll submits the rapid load to commence the direct deposit payment process.

For Former Employees

  1. The Employer will pay all outstanding Retroactive Pay to all former employees as soon as practicable and by no later than August 31, 2024. The Employer will pay pre-judgment interest pursuant to the Court Order Interest Act on all amounts outstanding as of April 29, 2024. The Parties agree that interest on all such amounts is deemed to accrue beginning March 3, 2023, until payroll submits the rapid load to commence the direct deposit payment process.
  2. The Employer will execute Retroactive Payments to former employees on the following basis:
  1. a)     Former employees will be paid via the direct deposit authorization the Employer received, provided it has not been revoked by the employee;
  2. b)    If revoked or deposit returned by bank for any reasons, the Employer will attempt to contact the former employee at their last known address by sending a letter by priority post/registered mail within two weeks of notice that the direct deposit attempt was not successful.  The letter will indicate that in order to receive their Retroactive Pay, they need to reply to the letter, confirming the appropriate bank account and authorization for making a direct deposit to that account, or a malling address to which a cheque can be sent;
  3. c)     If no response is received within 30 days, the Employer will advise the PEA of the employee’s last known address and request confirmation of whether they have an updated one.  The Employer must include the employee number with the inquiry to the PEA;
  4. d)    If the PEA provides an updated address, then the Employer will send the letter to that updated address within 7 days of receiving that updated information from the PEA (the “2nd Letter”); and
  5. e)    If either advised by the PEA there is no updated address or no response to the Second Letter is received within 30 days of it being sent, then pay the funds to the administrator under the Unclaimed Property Act within a further 7 days.
  1. If the Employer fails, without a reasonable explanation, to pay to an active or former employee all outstanding amounts and accrued interest by August 31, 2024, it will pay to the employee an additional $50 in addition to any accruing interest. Lack of resources or multiple payroll transactions to complete will not constitute a reasonable explanation.

Unbenefited Auxiliary Employees
For unbenefited auxiliaries, the 3.5 hours vacation will be paid out.

Payroll Services
As part of this settlement agreement, the Employer will have meaningful discussions with the PEA and the BCGEU prior to 2026 about the future of government payroll. Government payroll services were contracted out years ago by the former B.C. Liberal government. Though employees who deliver payroll remain BCGEU members, they are no longer members of the public service. The BCGEU has long believed that payroll services should not have been contracted out and should be brought back into the public service. This agreement will allow the Unions to make this argument to government.

Next Steps
While we are pleased with the outcome of this mediation, we recognize the impact it has had on members. The PEA would like to reiterate an ongoing commitment to holding the Employer to account.

The Employer has agreed to confirm to the PEA in writing by August 31, 2024, that all eligible employees have been provided the remedies outlined here. Arbitrator Bell remains seized with issues arising out of this agreement.

In solidarity,

Melissa Moroz
Labour Relations Officer

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