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Statutes of Newfoundland 1991


CHAPTER 3

AN ACT RESPECTING RESTRAINT OF
COMPENSATION IN THE PUBLIC SECTOR OF THE PROVINCE

(Assented to April 18, 1991)

Analysis

1. Short title

2. Definitions

3. Crown bound

4. Application

5. No increase in compensation

6. Extension of collective agreements

7. Effect on collective agreements

8. Arbitration awards

9. Pay equity

10. Commencement

Schedule

Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows:


Short title

1. This Act may be cited as the Public Sector Restraint Act.

1991 c3 s1

Definitions

2. In this Act

(a) "collective agreement" means an agreement in writing entered into between a public sector employer and a bargaining agent containing provisions respecting pay scales and working conditions for public sector employees and includes an arbitration award and an adjudication judgment;

(b) "pay scales" means pay scales and other monetary benefits paid or provided, directly or indirectly, by or on behalf of a public sector employer to or for the benefit of a public sector employee, and includes the monetary benefits contained in the Labrador Benefits Agreement between the Crown and various parties signed on May 7, 1990;

(c) "public sector employee" means every person employed by

(i) the government of the province,

(ii) a Crown agency, board, commission, authority or other body of the Crown funded in whole or in part from money voted from time to time by the Legislature, but does not include a municipality or city in the province,

(iii) a corporation in which not less than 90% of all the issued common shares are owned by the Crown in right of the province,

(iv) a corporation established by an Act under which the corporation is made an agent of the Crown in right of the province,

(v) a corporation, body or authority managing a hospital, included in the Schedule to The Hospitals Act, 1971,

(vi) the Memorial University of Newfoundland and any agency, board, commission or other body funded or owned by the University,

(vii) a provincial institute established or continued under The Provincial Institutes Act,

(viii) a community college established under The Community Colleges Act,

(ix) an employer to which The Public Service (Collective Bargaining) Act, 1973 applies,

(x) a denominational education council referred to in The Department of Education Act, 1990.

(xi) a school tax authority appointed under The Local School Tax Act,

(xii) a school board or a group of school boards constituted by or under or continued by The Schools Act, including every teacher to whom The Newfoundland Teacher (Collective Bargaining) Act, 1973 applies, and

(xiii) a public sector employer listed in the Schedule to this Act or added to the Schedule by order of the Lieutenant-Governor in Council;

(d) "public sector employer" means an employer which employs a public sector employee; and

(e) "restraint period" means the fiscal year beginning on April 1, 1991 and ending on March 31, 1992.

1991 c3 s2

Crown bound

3. This Act is binding on the Crown in right of the province.

1991 c3 s3

Application

4. (1) For the purposes of this Act,

(a) officers and employees of Government House;

(b) members of the Executive Council of Newfoundland and their staff;

(c) members, officers and employees of the House of Assembly;

(d) officers and employees of the Supreme Court of Newfoundland;

(e) Provincial Court judges and the officers and employees of the Provincial Court of Newfoundland; and

(f) statutory office holders including the Auditor General and the Comptroller General of Finance,

are deemed to be public sector employees.

(2) This applies to every public sector employee.

1991 c3 s5

No increase in compensation

5. (1) Notwithstanding the terms and conditions of employment whether under a collective agreement, other contractual arrangement respecting employment or otherwise, no increase shall be applied to the pay scales of public sector employees during the restraint period.

(2) Where there is a provision in a collective agreement or other contractual arrangement respecting employment which provides that pay scales applicable during the restraint period are higher than those pay scales in effect on March 31, 1991, that provision is void.

(3) Where a collective agreement or other contractual arrangement respecting employment provides for increases in pay scales after the restraint period, the pay scales shall be reduced as a consequence of this section and the 1st increase shall be applied to those pay scales in effect on March 31, 1991 and each subsequent increase shall be applied to the re-calculated pay scales in effect immediately prior to the date the subsequent increase is scheduled to take effect.

(4) Subsection (3) applies whether the collective agreement sets out increases in pay scales after the restraint period by means of a percentage increase, dollar increase, specified higher pay scales or by another method of providing an increase to pay scales.

(5) The President of the Treasury Board shall re-calculate the pay scales which

(a) are scheduled to come into force during and after the restraint period in accordance with this section; and

(b) are contained in all collective agreements affected by this Act.

(6) The re-calculated pay scales referred to in subsection (5) shall be published in the Gazette and shall upon publication be deemed to replace those pay scales as provided for in a collective agreement before being re-calculated in accordance with this section.

1991 c3 s5

Extension of collective agreements

6. (1) Notwithstanding section 5, the bargaining agent of public sector employees who are subject to a collective agreement in force on April 1, 1991 may elect to extend the collective agreement for 1 year beyond the expiry date set out in the collective agreement with the pay scales which but for this Act would have taken effect after March 31, 1991 to have effect 1 year later than the scheduled date set out in the collective agreement.

(2) Notwithstanding the terms and conditions of a collective agreement, no increase shall be applied during the restraint period to the pay scales of public sector employees whose bargaining agent has elected to extend the collective agreement under subsection (1).

(3) The bargaining agent of public sector employees shall give notice in writing of an election under subsection (1) to the public sector employer at least 60 days prior to the earlier of the expiry date in a collective agreement or March 31, 1992.

(4) Where the bargaining agent of public sector employees fails to give notice in writing of an election under this section, section 5 shall apply.

1991 c3 s6

Effect on collective agreements

7. Notwithstanding amendments to collective agreements by reason of this Act, all collective agreements remain in full force and effect for the term or if an election is made under section 6, for the extended term.

1991 c3 s7

Arbitration awards

8. Notwithstanding another Act, where the Lieutenant-Governor in Council determines that an arbitration award or adjudication judgment is made in contemplation of or to compensate for the restraint period even where there are no compensation increases during the restraint period, the Lieutenant-Governor in Council may set aside or modify that award or judgment in order to comply with the intent and purpose of this Act.

1991 c3 s8

Pay equity

9. (1) Notwithstanding the terms and conditions of a pay equity agreement contained in a collective agreement or added by agreement to an existing collective agreement, no pay equity agreement shall contain a provision which implements that pay equity agreement retroactively.

(2) Where there is a provision in a pay equity agreement which provides that the pay equity agreement shall be implemented retroactively, that provision is void.

(3) Notwithstanding the other provisions of this Act, a pay equity agreement may be negotiated or implemented, but the 1st pay equity wage adjustment date shall be the date on which the pay equity wage adjustment is agreed upon.

(4) This section applies whether the pay equity agreement is reached or the pay equity wage adjustment date is agreed upon before or after the date this Act comes into force.

(5) In this section "pay equity agreement" means an agreement between a public sector employer and a group of public sector employees to recognize the compensation practice which is based primarily on the relative value of the work performed, irrespective of the gender of employees, and includes a requirement that no employer shall establish or maintain a difference between compensation paid to male and female employees, employed by that employer, who are performing work of equal or comparable value.

1991 c3 s9

Commencement

10. This Act is deemed to have come into force on March 31, 1991.

 

Schedule

Agricultural Products Marketing Board

Alcohol and Drug Dependency Commission

Board of Commissioners of Public Utilities

C.A. Pippy Park Commission

Canada Games Park Commission

Churchill Falls (Labrador) Corporation

Economic Council of Newfoundland and Labrador

Economic Recovery Commission

Enterprise Newfoundland and Labrador Corporation

Farm Development Loan Board

Fisheries Loan Board of Newfoundland

Heritage Foundation of Newfoundland and Labrador

Livestock Owners Compensation Board

Lower Churchill Development Corporation Limited

Marystown Shipyard Limited

Newfoundland Cancer Treatment & Research Foundation

Newfoundland Chicken Marketing Board

Newfoundland Crop Insurance Agency

Newfoundland Egg Marketing Board

Newfoundland Farm Products Corporation

Newfoundland Hardwoods Limited

Newfoundland Hog Marketing Board

Newfoundland and Labrador Arts Council

Newfoundland and Labrador Computer Services Limited

Newfoundland and Labrador Housing Corporation

Newfoundland and Labrador Hydro Corporation

Newfoundland and Labrador Youth Advisory Board

Newfoundland Legal Aid Commission

Newfoundland Liquor Corporation

Newfoundland Liquor Licensing Board

Newfoundland Medical Care Commission

Newfoundland Milk Marketing Board

Newfoundland Public Service Commission

Provincial Advisory Council on the Status of Women Newfoundland and Labrador

Provincial Planning Appeal Board

Provincial Public Libraries Board

Workers' Compensation Commission

Workers' Compensation Appeal Tribunal

1991 c3 Sch

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