Settlement of the Pay Equity Complaint - Questions and Answers - For former CSE Employees
Q1. How was the CSE Pay Equity Settlement reached?
A1. CSE was named in a pay equity-related complaint launched in 2000 by the Public Service Alliance of Canada (PSAC). On March 1st, 2013 CSE and the PSAC were able to reach a mutually satisfactory settlement to the dispute. The settlement agreement is similar to other recent pay equity settlements reached by separate employers.
Q2. How will information about the settlement reach former CSE employees?
A2. CSE employees have been contacted to request their assistance to reach out to as many former eligible CSE employees as possible.
Other efforts to contact former CSE eligible employees will include CSE Retirees Association, Public Works and Government Services Canada and any other means available to CSE.
Notification of a settlement also appears on the CSE and PSAC websites.
All communication about the CSE settlement of the pay equity complaint should be sent to email@example.com.
Q3. To whom does this settlement apply?
A3. The settlement applies to employees who were in positions at CSE classified in the Clerical and Regulatory (CR) Group or the Data Conversion (DA-CON) sub-occupational Group ("eligible employees") during the period from March 8, 1985 to July 22, 1997 ("retroactive period").
Time worked as a temporary office assistant, a casual employee, or on secondment to the CSE from another employer will not be counted in the calculation of the settlement.
Q4. I believe I am a former CSE employee eligible for the settlement. What should I do?
A4. If you believe you are entitled to the settlement for the pay equity complaint you must complete an Acknowledgement Card and forward it to CSE by March 31, 2014. In order to obtain an Acknowledgement Card you should contact CSE at firstname.lastname@example.org.
Q5. What will CSE do with the information I provide?
A5. Once your information is received CSE will:
- send you an email or letter together with an Acknowledgement Card.
- CSE will request the documents associated with your work history from the archives or from your current employer.
- CSE will calculate your eligible service period to determine the settlement amount.
Again former employees must complete and return the Acknowledgement Card to CSE before March 31, 2014. Any former employees completing the Acknowledgement Card and forwarding it to CSE after March 31, 2014 will not be eligible for the settlement.
Q6. If I know other former CSE employees who may also be an eligible employee. What should I do?
A6. Please refer other former CSE employees to the CSE external website at www.cse-cst.gc.ca, Media and Public Relations. They must also provide their contact information, via email, to CSE at email@example.com.
Q7. I know of a deceased CSE colleague who may have been eligible. Is he/she eligible?
A7. Former CSE employees who are now deceased are eligible for the settlement. The executor of the estate must contact CSE at firstname.lastname@example.org.
The executor of the estate will be asked to provide appropriate documentation.
Q8. How much will an eligible employee receive as a result of this settlement?
A8. The answer is an individual one which will be calculated in accordance with the terms of the settlement and its schedule. The payment calculation is based on 55 percent) of the amounts listed on the TB Settlement Table.
Q9. How is the settlement calculated?
A9. Payments will be calculated based on the number of working days when an eligible employee entered and left a relevant occupational group and was in receipt of a salary, an allowance (maternity allowance or parental allowance), disability benefits or workers' compensation benefits.
The settlement will be prorated for periods of part-time service and will be reduced for LWOP periods except for those periods of LWOP where an employee was in receipt of an allowance (maternity allowance or parental allowance), disability benefits or workers' compensation benefits.
We remind you that time worked as a temporary office assistant, a casual employee, or on secondment to the CSE from another employer will not be counted in the calculation.
Q10. I was acting at a different level during the period outlined. How is the acting time considered?
A10. If you were in an acting appointment during the outlined period, the settlement will be calculated based on the time that you worked in that pay category.
For example, if you spent over 6 months of a year working at a CR-4 level and accepted an acting position at a CR-5 level for the remaining 6 months of the year, your payout will be a combination of 6 months of the CR-4 payout and 6 months of the CR-5 payout.
Q11. Will my overtime be included in the calculation of the settlement?
A11. Overtime worked during the period outlined does not form part of the settlement.
Q12. The Treasury Board Pay Equity Settlement included interest. Will we be paid interest under this settlement?
A12. The Memorandum of Settlement for CSE does not include interest.
Q13. Will the Settlement of the Pay Equity Complaint be subject to deductions and how will I receive the payment?
A13. The Pay Equity Settlement provides for the following:
- Fifty per cent of the settlement, up to a maximum of $20,000, will be paid as compensation pursuant to section 53(2)(e) of the Canadian Human Rights Act by the Comptroller Group (Finance) through means of direct deposit. This payment will be non taxable consequently should not be included in your income tax return.
- b) The balance of the settlement, "Lost Wages Compensation": will be paid by Compensation and Benefits through means of direct deposit and subject to regular statutory deductions and considered as wages for superannuation purposes. The payments will be issued no later than June 30, 2014.
Q14. Can I direct this settlement to a Registered Retirement Savings Plan (RRSP)?
A14. Yes, you may direct a portion of the money to an RRSP if you have room.
If you believe that payment under (A.12.(b) to be less than $10,000 and you wish to benefit from a tax exemption at source on a full or partial amount, you must complete the attached Annexe A and return it to the attention of Pay Equity, Corporate Compensation and Benefits, P.O. Box 9703, Ottawa Ontario, K1G 3Z4.
Q15. What form do I need to complete to receive my Canadian Human Rights Act payment (Finance) through Direct Deposit? (Refer to Q.12.a)
A15. Employees that have not previously provided their bank account information to the Finance group will need to complete the Vendor Request Form and attached a void cheque. The form will be available at a later date.
Q16. How does a retroactive lump sum payment affect my income tax for this year?
A16. This may result in a greater tax liability than if the payment had been received in the year or years to which it related.
Q17. Why did I receive a Statement of Qualifying Retroactive Lump-Sum Payment (QRLSP) Form - T1198 from my Compensation and Benefits Advisor?
A17. Further to question 15, a special tax calculation is available to individuals who receive a QRLSP that relate to any year after 1977. The calculation applies if the total of all principal amounts that relate to prior years (after 1977) is $3,000 or more.
Q18. What do I need to do if I am a recipient of the Statement of Qualifying Retroactive
Lump-Sum Payment (QRLSP) form T1198?
A18. The employee must attach Form T1198 to their return for the year of payment to ask for a special calculation.
We recommend that you contact a CRA client service representative or a financial advisor to fully understand the implication.
Q19. What kind of information will the Qualifying Retroactive Lump-Sum Payment (QRLSP) form T1198 include?
A19. The Qualifying Retroactive Lump-Sum Payment (QRLSP) form will include the following information:
- The year in which the lump-sum payment was made;
- A description of the lump-sum payment and the circumstances that required it to be paid;
- The principal amount of the lump-sum payment that relates to the current and each of the preceding years covered by the payment.
Q20. When can eligible employees expect to receive their settlement?
A20. Current CSE employees who are eligible can expect payment by September 30, 2013. Former CSE employees who are eligible can expect a Notice of settlement to respond to by December 30, 2013 and payment by June 30, 2014.
Q21. Why does the period end in July 1997 when the TB and PSAC agreement goes later?
A21. In March 2000 CSE and PSAC reached an agreement to pay a special pay adjustment to CSE employees in positions classified CR for the period 23 July 1997 to 22 January 2000. After the latter date, CSE's pay rates for its CR positions had salary relativity without adjustment with those in the core public administration.
Q22. Where can eligible employees obtain additional information?
A22. Questions should be sent to the general email address at email@example.com. Please note that questions will only be read starting September 2013.
Q23. If I do not believe my settlement was calculated properly, what recourse do I have?
A23. If you feel there is an issue with your settlement calculation, you should send an email to firstname.lastname@example.org within sixty (60) days of receipt of the settlement.