ARCHIVED CD 2003-008
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June 19, 2003
SUBJECT: Human Drugs Clinical Review Allowance for the Biological Science (BI) Group
1.1 The purpose of this directive is to provide information on the new Human Drugs Clinical Review Allowance described in the memorandum of settlement (MOS) and the memorandum of understanding (MOU) signed on October 11, 2002, for the Biological Science (BI) Group of the Applied Science and Engineering (AP) Bargaining Unit. The MOS/MOU will be available shortly at the following Treasury Board Secretariat (TBS) Web site address:
1.2 In this text, use of the masculine is generic and applies to both men and women.
2.1 The employer (Treasury Board) is offering a new allowance "Human Drugs Clinical Review Allowance" to certain Health Canada employees within the BI group. This allowance is to settle all existing complaints from Health Canada employees in respect of the compensation for employees in the BI group undertaking the review of drugs for human use in the Therapeutic Products Program of Health Canada. Please refer to the following agreements for more information: "MOU between the Treasury Board and the Professional Institute of the Public Service of Canada in respect of an Allowance for Certain Health Canada Employees in the BI Group of AP Bargaining Unit" and "MOS between the Treasury Board and the Professional Institute of the Public Service of Canada in respect of the Amending of the Terms and Conditions of Employment Applicable to AP Bargaining Unit".
3.1 Human Drugs Clinical Review Allowance - Ongoing
3.1.1 Effective October 1, 2002, this new ongoing allowance will be paid to Health Canada employees at BI-04 and BI-05 levels (Bargaining Unit Designator [BUD] Code 20500) in the BI group performing human therapeutic product assessments.
3.1.2 This allowance is based on an annualized amount to be paid bi-weekly including the pay period plus (PP+). The employee should be paid the daily amount shown below for each calendar day for which the employee is paid pursuant to Appendix A of the AP collective agreement found at the following Web site:
The daily amount is equivalent to the annual amount set out below for each position and level divided by 260.88.
|Group Level||Annual Amount||Daily Amount|
A part-time employee in the BI group shall be paid the daily amount shown above divided by 7.5 for each hour paid at his hourly rate of pay pursuant to clause 40.03 of the AP agreement.
An employee is not entitled to this allowance for any period of leave without pay (LWOP) regardless of the reasons or while he is under suspension. Also, an employee on leave with income averaging (LIA) is not entitled to this allowance while he remains on LIA.
3.1.3 Employees required to perform the duties of a higher classification level, in accordance with clause 46.08 of the AP collective agreement, will be paid the allowance amount proportionate to the time worked at each level. If the person is acting out of the BI group, he is not performing the required duties and therefore would not be entitled to this allowance.
3.1.4 This allowance shall not be paid to a person who ceased to be a member of the bargaining unit prior to the signing date of these MOU/MOS.
3.1.5 This allowance does not form part of an employee's salary except for the determination of the Supplementary Unemployment Benefit provided in clauses 17.04, 17.05, 17.07 and 17.08 of the AP collective agreement. Therefore, entitlements related to pay situations (such as promotions or acting pay) will not be recalculated. This allowance is not to be used in calculating the 4% gratuity or other entitlements such as premium pay in lieu of statutory holidays.
3.2 Human Drugs Clinical Review Allowance - Lump Sum Settlement Payment
3.2.1 Employees in the BI group who on October 11, 2002, are entitled to the Human Drugs Clinical Review Allowance shall receive a lump sum settlement payment of $28,000 in lieu of retroactivity.
Part-time employees who on October 11, 2002, are entitled to the Human Drugs Clinical Review Allowance shall receive the lump sum settlement payment pro-rated to the employee's assigned work week (AWW).
Employees who on October 11, 2002, are on LWOP or under suspension are not entitled to the lump sum settlement payment.
3.2.2 Employees on pre-retirement transition leave (PRTL) who on October 11, 2002, are entitled to the Human Drugs Clinical Review Allowance shall receive the lump sum settlement payment pro-rated to the number of hours worked in the week as compared to the scheduled work week. The days of LWOP in the week do not count towards the lump sum payment.
3.2.3 Employees who on October 11, 2002, are entitled to the Human Drugs Clinical Review Allowance as a result of performing the duties of a higher classification level, in accordance with clause 46.08 of the AP collective agreement, shall receive the lump sum settlement payment.
4.1 Compensation advisors are responsible for commencing the Human Drugs Clinical Review Allowance and for reporting the lump sum settlement payment for all eligible employees.
4.2 The Human Drugs Clinical Review Allowance and the lump sum settlement payment are subject to the following:
- Federal and Provincial Income Tax;
- Employment Insurance;
- Quebec Pension Plan or Canada Pension Plan;
- Disability Insurance Plan and Long Term Disability Insurance Plan;
- Public Service Superannuation Plan; and
- Supplementary Death Benefit Plan.
4.3 The Human Drugs Clinical Review Allowance, identified as Entitlement Code 333, was created in the Regional Pay System and in the Contributor System on March 12, 2003. In cases where Entitlement Code 227 (Terminable Retention Allowance) was used to pay this new allowance, clients should stop the allowance and recommence payment using the new Entitlement Code 333. Please note that these pay transactions must be processed in the same pay period. The retroactive amount is automatically calculated by the system, but compensation advisors should input the number of days worked for all eligible part-time employees for payment of this ongoing allowance.
Examples for part-time employees:
- The allowance of an employee at the BI-04 level, whose AWW is 20 hours per week, would be automatically calculated as follows: $53.66 ÷ 7.5 = $7.15 per hour X 20 hours per week = $143 per week.
- If the above employee works an additional five hours in a week, those five hours are paid using Entitlement Code 049 (Additional Hours - Part-time). Since Entitlement Code 049 is to be included in the calculation of Entitlement Code 333, an adjustment will be required ($53.66 ÷ 7.5 X 5 = $35.77). It will be the department's responsibility to pay this additional amount.
4.4 Please note that the lump sum settlement payment should be paid to eligible employees using the existing Entitlement Code 087- Lump Sum Payment. The "Effective From" and "Effective To" dates of the transaction are the signing date of the MOS. Compensation advisors may be required to provide information about tax waivers and related application procedures if the employee requests a reduced amount of income tax. General information concerning tax waivers can be found in Compensation Directive 2002-020.
4.6 The PPIM will be updated to incorporate the relative information contained in this compensation directive.
5.1 Any inquiries on the information contained in this document should be addressed to your Public Works and Government Services Canada (PWGSC) Compensation Services Office.
Original Signed by
Accounting, Banking and Compensation
Reference(s): CJA ENT 227, 333, and 087
- Date modified: