Subject: Changes to the Terminable Allowance for the Architecture, Engineering and Land Survey (NR) Group
April 18, 2012
1.1. The purpose of this directive is to provide information on the modifications to the terminable allowance as described in the NR group's collective agreement signed on January 25, 2012.
2.1. This collective agreement requires that each employee receives all pay adjustments within 120 calendar days from the date of signature. Consequently, as this provision forms part of the collective agreement, it must be implemented within the 120-day implementation period, which expires on May 24, 2012.
2.2. The terminable allowance is payable to all employees occupying a position in the AR, EN-ENG and EN-SUR groups and sub groups. The allowance shall not be paid to or in respect of a person who ceased to be a member of the bargaining unit prior to the date of signing of this Agreement.
2.3. Effective October 1, 2011, 50% of the terminable allowance has been replaced by an increase in the basic pay and the remaining 50% will continue to be paid as an allowance. For employees who continued to receive the full allowance (instead of the reduced allowance of 50%), the compensation advisors will need to recover the amounts overpaid. If these amounts are not recovered, the employee would receive 100% of the allowance as well as the increased salary.
2.4. Effective October 1, 2012, the remaining 50% of the allowance will be eliminated and replaced with an increase in the employee's salary. As a result, the allowance is no longer required and should be stopped.
2.5. Acting Pay
2.5.1. When an NR employee is required by the Employer to perform the duties of a higher classification level within the NR group, the terminable allowance payable shall be proportionate to the time at each level.
2.6.1. Part-time employees are entitled to this allowance on a prorated basis based on the hours worked in the eligible group.
2.7. Leave Without Pay (LWOP)
2.7.1. An employee shall not be entitled to the allowance for periods of LWOP or periods of suspension.
3. Procedures and Instructions
3.1. The existing entitlement code 251 (Recruitment and Retention Allowance) will continue to be used to pay the terminable allowance.
3.2. Effective October 1, 2011, the terminable allowance is to be paid in accordance to the rates below, which represents 50% of the allowance prior to this date.
|Groups and Subgroups||Annual||Daily|
3.3. As indicated previously, for employees who are currently receiving the full allowance, the compensation advisor will be required to recover the amounts overpaid. Since this represents a significant amount, it is recommended that the amounts recovered be taken from the retroactivity payment, which will result in one payment.
3.4. The following sections provide instructions for processing the retroactivity, the recoveries and the procedures to amend the allowance for employees who received the full terminable allowance after October 1, 2011
3.4.1. Compensation advisors are responsible for processing all retroactivity by completing "Entitlement Amend" ENA 210 – Pay Action Code (PAC) 18A transactions for dates prior to signing date, and a "Revision" (REV – Pay Action Code (PAC) 09) from the signing date. Please refer to the Pay Rate Implementation Bulletin (PRIB) PRIB 2012-004 for more details.
3.4.2. Compensation advisors are to amend the allowance by completing an "Entitlement mend" (ENA – PAC 18A) transaction with entitlement code 251, rate base 9 (Yearly), and the new rates effective October 1, 2011.
3.4.3. Compensation advisors are also required to process recoveries for every day that the allowance was paid in full following October 1, 2011, by completing a ENTITLEMENT -- ONE TIME RECOVERY - CLOSED PERIOD (ENR – PAC 18R) transaction. The calculation of the amount to be recovered is to be done manually by the compensation advisors based on the new rate of the allowance and the number of days the employees received the allowance at 100% between October 1, 2011, and the processing pay period.
3.4.4. The following table provides the input requirements to process the retroactivity, amend the allowance and process the recoveries.
|PAC||Effective From||Effective To||Rate Base||Rate Amount||Field 67||Field 68||From Rate (Field 69)|
|18A 210 (ENA 210)||2011-10-01||2011-12-21||9||New Salary||D||Days in the closed period||Former Rate|
|18A 210 (ENA 210)||2011-12-22||2011-12-31||9||New Salary||D||Days in the closed period||Former Rate|
|18A210 (ENA 210)||2012-01-01||2012-01-24||9||New Salary||D||Days in the closed period||Former Rate|
|09A001 (REV 001)||2012-01-25||Open||9||New Salary||D||Days in the retroactive period||Former Rate|
|18A 251 (ENA 251)||2011-10-01||2011-12-21||9||New Rate||D||Days in the closed period||Former Rate|
|18A 251 (ENA 251)||2011-12-22||2011-12-31||9||New Rate||D||Days in the closed period||Former Rate|
|18A 251 (ENA 251)||2012-01-01||Open||9||New Rate||D||Days in the retroactive period||Former Rate|
|18R 251 (ENR 251)||2011-10-01||2011-12-21||0||Amount to be recovered for that period||N/A||N/A|
|18R 251 (ENR 251)||2011-12-22||2011-12-31||0||Amount to be recovered for that period||N/A||N/A|
|18R 251 (ENR 251)||2011-10-01||The day prior to the pay period that the 18A 251 was input.||0||Amount to be recovered for that period||N/A||N/A|
3.4.5. When completing the PAC 18R, compensation advisors should enter "OV" in field 71. This will ensure that the recoveries are made directly from the supplementary revision payment and not from regular pay.
3.4.6. For pay input instructions, please refer to Personnel-Pay Input Manual (PPIM) sections PPIM 4-4-09, PPIM 4-4-18-4-1, PPIM 4-4-18-5-1, PPIM 4-4-18-5-2 and PPIM 5-9.
4.1. Any inquiries on the information contained in this document should be addressed to your Public Works and Government Services Canada (PWGSC) Compensation Services Office.
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