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Memorandum
From: Jean Ouellette, Director of Labour Relations
Subject: The Financial Incentive Plan (FIP) continues for another two years


March 19, 2008

CAPE and Treasury Board have agreed to continue the Financial Incentive Plan for 2008-2009 and 2009-2010 in the Professional Services sector, with a few changes. The employer has decided to abolish the FIP in the IPTD.

In view of the outcome of recent FIP negotiations, particularly those of 2007, your negotiating team had decided to bring only the main administrative issues to the bargaining table. Having consulted the membership, the team concluded that these could be resolved at meetings of the FIP Steering Committee, rather than at the bargaining table. We accordingly endeavoured in the negotiations to strengthen the role and responsibilities of the Steering Committee under the MOU.

We believe that the FIP’s operating problems could be resolved more efficiently through this consultation mechanism. For example, issues such as the accuracy of calculations, the prompt production of reports, the monitoring of reports and the impact of technological change could be discussed with the employer at meetings of the FIP Steering Committee, instead of having to wait for the next round of bargaining. Needless to say, input from members will continue to be required in order to identify problems.

It was agreed in the bargaining in January and February that the employer would make more effort to train and inform employees about the FIP. We also agreed with the employer to incorporate some of the basic principles of the Plan into the MOU, in order to enhance understanding of its objectives.

The employer’s representatives came to the table with instructions from the Translation Bureau's Senior Management Committee to demand the abolition of the FIP in the IPTD. The cost of managing the Plan in the IPTD, and the low rate of participation by employees, meant that, among other things, the FIP was not cost-effective in the Parliamentary sector. We let the employer know that we were deeply dissatisfied at seeing the efforts of the joint working group that reported in October 2007 reduced to nothing. At the employer's behest, therefore, the FIP will no longer apply to the IPTD.

As negotiator, I would like to thank the members of the negotiating committee and CAPE staff who enabled us to prepare well for this round of bargaining.

Special thanks are owed to Stephen Mullen, Lionel Perrin, André Picotte and Claude Poirier, who devoted many hours to efforts to secure better working conditions for their TR colleagues. I would also like to thank all the TR members who completed the questionnaire.

Financial Incentive Plan for 2008-2009 and 2009-2010