Civil servants in Ontario have won a pay increase worth almost 10 per cent for the three years their wages were frozen by Bill 124.
The pay increase for non-political staffers who work in the provincial government comes after mediation and arbitration between the union and the Ford government.
It comes as the union continues to win backpay deals from the province over its wage restraint law, Bill 124.
The Ford government introduced Bill 124 in 2019 to cap public sector wages at one per cent per year over a three-year period. It was struck down as unconstitutional by an Ontario court at the end of 2022, a decision the province is appealing.
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The re-opened negotiations cover civil servant pay for 2022, 2023 and 2024. Salaries for those three years were frozen at one per cent annually under Bill 124. The retroactive pay increase of 9.5 per cent instead of 3 per cent over 3 years is the largest pay increase unionized Ontario Public Service employees have received since 2012, their union said.
It means the arbitration gave civil servants an extra 6.5 per cent on top of the 3 per cent they were already set to receive.
“These historic gains will help reverse the harmful impacts of the Ford government’s unconstitutional wage restraint legislation, Bill-124, that were felt by all OPS Unified members and position us well for the next round of bargaining,” Ontario Public Service Employees Union president JP Hornick said in a Jan. 22 statement.
The union represents around 30,000 workers.
The union said that, after unsuccessful talks, the government and the union agreed to move arbitration.
A spokesperson for the Treasury Board previously told Global News they “respect” the result of the arbitration.
“While Bill 124 remains before the courts, employers are required to address existing collective agreement obligations, such as reopener clauses,” they said.
“We respect the decision of the arbitrator. As a result of the mediation-arbitration award, OPSEU Unified members will see compensation increases that are consistent with other recent outcomes in the OPS and broader public sector.”
Civil servants are the latest in a slew of unions to receive retroactive Bill 124 compensation. Those who have benefitted from retroactive awards include hospital workers, personal support workers, Ornge air ambulance paramedics and some college workers.