For the past three years, the automatic cash out of compensatory and vacation leave balances in excess of the carry over limits contained in the collective agreement with Treasury Board have been suspended because of issues related to the Phoenix Pay System. The carry over limit for compensatory leave is 75 hours and for vacation leave it is 262.5 hours. Appendix D to the collective agreement is attached below for your reference.
The Treasury Board indicated this week that they would like to continue this suspension for the next fiscal year. Treasury Board also indicated that they believe that next fiscal year (2021/2022) will be the final year for the suspension of the cash out provisions.
If you want to cash out some of your accumulated leave, you may still do so voluntarily - just make the request to your manager. This suspension only effects the automatic cash out of excess accumulated leave at the end of the fiscal year.
With Appendix D now in place, the CFPA sees no reason to object to the continued suspension of the mandatory cash out provisions.
As with any Phoenix related timelines, there is a lack of certainty of what the future will bring. We expect that it will be late next fiscal year when the decision can be made as to whether or not next fiscal year is actually the final year for the suspension of the provisions.
If you prefer to take your accumulated leave as time off (as opposed to having it cashed out), you will most likely find out during the winter of 2021/2022 that you will have to use your excess leave during the final few months of the fiscal year in order to avoid having it cashed out on March 31st, 2022. So, if you prefer taking your vacations during the summer, plan to use your excess accumulated leave during 2021.
We recommend to all members that you confirm your accumulated leave balances and make a plan for any excess balance well in advance of March 2022.
For your consideration.
Mark Laurence
National Chairperson
**Appendix “D”: Memorandum of Understanding
Temporary Suspension of Pay-Out: Vacation Leave and Compensatory Leave Credits
This is to confirm the parties understanding concerning the application of paragraphs 19.04(b) (overtime) and 23.07(a) (carry over of vacation leave) during the period that the Human Resources Information Notice entitled Vacation and Compensatory Leave Cash-out for years 2018 and 2019 issued on February 23, 2018, and the addendum issued on March 22, 2019, remain in effect.
The parties agree that notwithstanding clause 19.04 of the Article 19 (overtime) and paragraph 23.07(a) of Article 23 (vacation leave), payouts of earned but unused vacation leave credits and earned but unused compensatory leave credits, in accordance with the Notice concerning Vacation and Compensatory Leave Cash-out for years 2018 and 2019 issued on February 23, 2018, and the addendum issued on March 22, 2019, or any future addenda, will not be paid out automatically during the period the Notice and any relevant addenda remain in effect.