PSAC has filed a policy grievance and unfair labour practice (ULP) complaint in response to the federal government’s unilateral implementation of the Early Retirement Incentive (ERI) program.
PSAC does not oppose early retirement options, but any program to prevent involuntary layoffs must be negotiated, lawful, and protect workers’ rights. No one should be pressured into giving up hard-won protections
Workers were notified about potential ERI eligibility before full program details were available and without a formal workforce adjustment situation. This bypasses key obligations under our collective agreements and creates confusion at a time when clarity and transparency are essential.
Choosing ERI could strip workers of important protections and benefits under the Workforce Adjustment Appendix and Employment Transition Policy, including the transition support measure (a cash payment based on your years of service), the education allowance (reimbursement of up to $17,000 for receipted educational expenses), and counselling services of up to $1,200 to support potential re-employment or retirement, such as financial counselling or job placement assistance.
Why this matters
This legal action challenges the employer’s violation of Article 6 and the Workforce Adjustment Appendix and Employment Transition Policy, which undermines our collective agreements. Specifically, the employer has:
- Treated ERI like a Voluntary Departure Program without meeting the requirements for such programs or consulting PSAC as required.
- Contacted employees before full details were available, failing to properly advise members of their rights under workforce adjustment.
Workforce adjustment is a well-established, negotiated process that protects workers. ERI does not meet the same standards. For those affected by job cuts, incomplete or premature information can lead to irreversible decisions about careers, pensions, and entitlements. The rushed rollout has created confusion and pressure, and workers are being asked to make decisions without all the facts.
What we’re asking for
The legal action calls on the employer to ensure that any early retirement program falls under the negotiated workforce adjustment process and that the union is consulted before any notifications or decisions are made.
PSAC is pressing the government to meet immediately and provide full details so workers can understand the potential impact of this program. Members deserve access to every tool available to protect their jobs, and those tools must be lawful, transparent, and consistent with collective agreements.
Impact on members
The government has not yet released all the necessary details about ERI, so it is not possible to fully assess how choosing this option could affect workers’ career, pension, or entitlement.
Once full information is available, PSAC will provide a clearer breakdown of potential impacts. In the meantime, members are encouraged to carefully consider their options, know their rights, and speak with their union representative before making any decisions about early retirement.
This article was first published on the PSAC website.
