Ontario To Introduce Wage Increase Cap To Teachers, Health Care Workers And More

Wednesday June 5th, 2019

Posted at 5:15pm

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The Government of Ontario has introduced legislation that would limit future annual wage increases to a maximum of 1% per year for three years across the provincial public sector upon the expiry of existing collective agreements.

This legislation, if passed, would apply to bargaining and non-bargaining employees, managers and leadership whose compensation is not otherwise moderated, across the provincial public sector, including Provincial authorities, boards, commissions, corporations, offices or organizations in which a majority of directors, members or officers are appointed or chosen by the province (including Ontario Power Generation, Independent Electricity System Operator and Ornge).

It also will apply to school boards, colleges, universities, hospitals, long-term care homes, children’s aid societies, transfer payment recipients who received more than $1 million in annual funding in 2018 and the Ontario public service.

The Government says with this change a public sector employee making $64,000 could be eligible to receive up to an additional $1,900 over a three-year period.

“Since being elected, our government has made great strides in restoring sustainability to the province’s finances,” said Peter Bethlenfalvy, President of the Treasury Board.

“We must do all we can to protect front-line services and public sector jobs while ensuring a strong and sustainable fiscal situation now and for future generations. Through the legislation introduced today, we are proposing a fair, consistent and time-limited approach to moderating compensation that applies across the provincial public sector.”

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