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HomeMy WebLinkAboutADMIN 82-84l0. IV.) CORPORATION OF THE TOWN OF NEWCASTLE 40 TEMPERANCE STREET BOWMANVILLE, ONTARIO L1 C 3A6 REPORT TO THE GENERAL PURPOSE AND ADMINISTRATION COMMITTEE MEETING HELD DECEMBER 13 1982 ADMIN. 82 - 84 SUBJECT: PROVINCIAL WAGE CONSTRAINT PROGRAM, UNION AND NON -UNION SALARIES RECOMMENDATIONS: TELEPHONE 623-3379 1. That this report be received; and 2. That Council adopt the following resolutions: "In accordance with the provisions of the Provincial Wage Constraint Program; Council hereby restricts 1983 salary increases for all union and non -union employees currently earning $20,000 or less to $1,000.00; and In accordance with the provisions of the Provincial Wage Constraint Program; Council hereby restricts 1983 salary increases for all union and non -union employees currently earning more than $20,000.00 to 5%; and further Council hereby authorizes the Treasurer to make the appropriate adjustments in compensation to reflect these wage restrictions for 1983." BACKGROUND AND COMMENT: As members of Council are aware, the Province of Ontario has introduced a Public Sector Wage Constraint Program and corresponding Legislation (Bill 179). Effective October 1 1982, any collective agreement or compensation plan that expires between October 1 1982 and September 30th 1983 is extended �a for a one year period from their expiry dates. ..2qG! �` !PA ADMIN. 82 - 84 In the Town of Newcastle, the collective agreements with C.U.P.E. Local 74 and the non -union compensation plan are therefore extended to December 31 1983. During the restraint period, increases in compensation (wages and benefits.) are limited to a maximum of 5%(i.e. are negotiable up to 5%)for employees not covered by collective agreements, and are mandated (i.e. are non-negotiable) at 5% for those employees which are covered by collective agreements. Any employee currently earning less than $20,000.00 per annum may receive an increase of up to $1,000.00 during the extended agreement period. Any employeesearning $15,000.00 or less are to receive a minimum of $750.00. Any employee currently earning in excess of $35,000.00 per annum will be entitled to receive up to a maximum of 5% but unlike employeesearning less than $35,000.00 will not be entitled to any "merit" or "progressional" increases. The restraint policy applies to: " All Ontario municipalities, municipal and provincial corporations, commissions, boards and agencies," ... and to: "... elected members of municipal councils, local boards and school boards." The restraint program applies to all part-time and seasonal employees as well as full-time staff. Increases to those persons are contemplated with the recommended resolution and would be appropriately pro -rated over their hourly rates. The application of the Wage Constraint Program to the compensation plans in the Town as contemplated by the recommendations, allow for employees currently earning $20,000.00 or less to receive percentage increases in salary ranging from 5% at the $20,000.00 level to approximatley 8.9% at the lowest paid salary level. The relatively higher percentage increase at the lower salary levels, as contemplated by the Restraint Program, aids those lower paid employees considered to be financially. less capable of meeting inflationary costs. ..3 -3- ADMIN. 82 - 84 Employees earning more than $20,000.00, but not exclusively non -union staff, would receive a 5% salary increase as contemplated by the recommendation. The C. A. 0. and Treasurer have discussed the application of the Restraint Program and share the opinion that the adoption of the recommendations or some modified version thereof, at this time will allow for payroll adjustments to be made now for 1983, therefore avoiding future time consuming, more complicated retroactive payroll adjustments. Respectfully submitted, d4lw� DNS:nof D. N. Smith, M.C.I.P. Administrator