Workforce Adjustment Appendix

What is it?

Protections laid out in our Collective Agreement when public service cuts are underway. These are designed to ensure minimal negative impacts for affected employees, limit job losses, limit involuntary lay-offs, and to protect indeterminate employees.

What is Workforce Adjustment?

A Workforce Adjustment situation occurs when your employment is jeopardized by lack of work, discontinue of a function, the relocation of your work unit, the closure of a facility, and/or the transfer of work to another employer (private sector or outside the federal public service).

What are the announced cuts?

The Government of Canada has announced $15.8 billion in cuts by 2027–2028 and $4.8 billion per year after that.

Which departments will be affected?

ALL departments in the public service will be affected. There will be restructuring and Workforce Adjustments throughout the federal public service.

Why are budget cuts happening?

There is a misguided perception that the public service is overinflated.

However, the reality is that the federal service has increased its reliance on outsourcing, spending $15 billion in 2021. Budget cuts have not actually reduced overall costs. Spending has merely shifted to the private sector1.

  1. Statistics on outsourcing are from the 2023 federal budget: Budget 2023. ↩︎

What is going to happen? what are my options?

Click through each tab below for information on WFA timelines, processes, and options and resources available to you.

  • WFA Timeline
  • Affected Status
  • Voluntary Departure
  • SERLO Process
  • Surplus Status
  • Opting Status
What will happen if WFA affects my Local?

The Workforce Adjustment process is outlined in order below.

  • Notice of WFA

    The Notice of Workforce Adjustment for ESDC will be announced.

  • ESDC will notify PSAC and CEIU

    The Employer informs PSAC and CEIU at least 2 days before the public notice. The Employer will inform the Treasury Board Secretariat (if at least 10 employees are affected).

  • ESDC will consult with each Region

    ESDC will discuss WFA timelines and specific cuts to each Region, as well as discuss their impact. Each Region will then discuss specific cuts and impacts to each Local.

  • Your Management team will consult with your Local Union

    PDOC’s Management team will have a mandatory consultation with your Local Union to discuss who is affected, how many will be affected, options for affected employees, and timelines.

  • Notice to affected employees

    A written notice will be sent to employees confirming their status as an “affected employee”. This is just a first notice that merely informs employees that their position COULD be eliminated. It is therefore brief and contains few details. More details will be provided throughout the WFA process.

  • Voluntary departure program

    Allows unaffected employees who are retiring or already planning to leave the public service to leave early and “switch” with affected employees. Only an obligatory process if 5 or more members of the same group are affected without guaranteed job offers.

  • SERLO process

    All affected employees will undergo the SERLO process (selection of employees for retention or lay off). Affected employees will be evaluated on essential qualifications, additional short and long-term assets for ESDC, and will be subject to operational and administrative needs.

  • Lay-offs and reassignments will now occur

    All affected employees will receive a written notice detailing their status as either a surplus employee with guarantee of a reasonable job offer or will be considered opting. These options are further discussed below this section.

If you receive notice of affected status

important

Stay calm

Take a moment first to acknowledge the emotions you are experiencing.

Remember that this is just a first notice that merely informs you that your position could be eliminated. Until the selection process has been completed, the employee is not yet considered surplussed.

This first notice is therefore often brief and contains few details.

specialty cases

Employees on Leave

People on leave (maternity, parental, sick leave, etc.) will receive notice at the same time as others.

However, a final decision will NOT be made until the employee returns from leave.

reach out

Learn about your options

While this page will briefly outline options and supports available to you above, we heavily encourage all members to read the Workforce Adjustment Appendix in the PA Collective Agreement and go through the PSAC Workforce Adjustment page.

Remember you do not have to go through this alone. We are always here to guide you through the options and supports available to you.
Click here to contact us!

WHAT IS IT

Allows unaffected employees who are retiring or planning to leave the public service to volunteer to be laid off in order to “switch” with affected employees.

objective

Provides a voluntary alternative and offer affected employees another option BEFORE going through the SERLO Process. The process also reduces the number of employees going through SERLO, and can limit lay-offs.

KEY PRINCIPLES

When WFA is announced, the number of eliminated positions is determined in advance. If 5 or more members of the same group are affected without guaranteed job offers, the voluntary departure program is obligatory.

if you want to volunteer

Your pension reduction for retiring early can be waived during WFA.

YOU MUST: be within 5 years of pension eligibility; have at least two years of pensionable service; and must have worked at least 10 years in the public service.

WHAT IS IT

Allows allows affected employees to switch places with an unaffected employee who would like to quit the public service.

objective

To facilitate mobility and limit the impact of job cuts.

KEY PRINCIPLES

All departments and agencies must participate in the alternation process. The alternation must be direct and eliminate a position (no chain reactions). The alternation cannot be rejected for operational or administrative reasons.

WHO CAN ALTERNATE?

Opting employees (without a guaranteed job offer); Surplus employees who chose the priority hiring option (12 months); Unaffected employees who want to quit the public service

WHAT IS IT

The Selection of Employees for Retention or Lay-Off used by management to determine who is retained and who is laid off if the voluntary departure program (if needed) does not eliminate all surplus positions.

Evaluation criteria

Essential qualifications: Public service workers must possess each of the required essential qualifications of the role, including official languages. Additional short- and
long-term assets for the organization will also be considered. The process also subject to operational and administrative needs.

important note

SERLO is not an appointment process. The criteria may differ from a staffing competition. It must also be consistent with the Employment Equity Act.

how is it assessed?

Assessment methods will be chosen per Public Service Employment Regulations.

OPTIONS FOR SURPLUS employees

After the SERLO Process, all affected employees will be given written notice of their SURPLUS STATUS and whether they have a guarantee or a reasonable offer or whether they are considered opting (no guarantee of a reasonable job offer).

surplus or opting

If the employer anticipates that a
position will be available
, the surplus employee will receive a guarantee of a reasonable job offer, which means that they will receive reassignment priority to another position within the public sector.

If the employer cannot guarantee a position to a surplus employee, the employee will be considered opting. Click on the next tab to learn about opting options.

reasonable job offer

A permanent public sector position either at the same level or lower. If the position is at a lower level, your salary will be protected (not changed).

The position will also be withing your headquarters’ area, if possible (relocation if new position is 40km or more away).

There will also be a seamless transfer of benefits (seniority, leave, severance pay).

if you accept

Your salary is protected if the position is at a lower level.

Your name is added to a
reinstatement priority list for
reappointment to your former level.

Retraining will be offered, if
required.

if you refuse

You will be laid off six months after your surplus period began.

You will have at least one month of lay-off notice.

Your will be placed on a lay-off priority list with the Public Service Commission for at least
one year.

You will receive severance pay minus any monies already paid out.

You will not be eligible for any WFA one-time payment.

options for opting employees

Employees considered opting (no guarantee of a reasonable job offer) will have 120 days to choose between the three options below. If no choice is made, Option A is applied by default.

option A

Surplus Employee

The employee receives priority hiring status for a period of 12 months (plus the remaining portion of the 120-day reflection period, for a possible total of 16 months).

Within this time period, the employee must find a position within the public sector. If no reasonable position is offered after 12 months, the employee is laid off.

While the employee is still reporting to work during this 12-16 month period, the employee’s main “job duties” are to find another position.

option B

Transition Support Measure (TSM)

Voluntary departure with severance pay based on years of service (e.g., 10 years = 40 weeks of pay).

Payment can be received in one or two lump sum amounts over two years for favourable tax treatment.

The department establishes the employee’s departure date.

No priority hiring is applied after leaving.

option C

Education Allowance

Sub-option 1: Combination of TSM (Option B) and up to $17,000 for education.

Sub-option 2: Leave without pay for up to two years. The departure date is delayed so the employee retains benefits and retirement coverage.

Proof of registration must be provided within 12 months or the employee will be laid off.

Entitled to an additional $1,200 for counselling (including career reorientation, financial planning).

Partial reimbursement may be required if the employee returns to work in the public service (tuition fees and supplies not included).

FOR MORE INFO:

Attend PSAC’s Virtual WFA Info Sessions