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Court approves Phoenix pay settlement for casual federal workers

by HR News Canada
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Federal employees who worked on casual or short-term contracts during the Phoenix pay system crisis now have until October to claim compensation from a recently approved class action settlement.

The Superior Court of Quebec gave final approval April 15 to the Bouchard class action settlement, which provides compensation for casual, student, short-term and part-time federal workers who experienced pay problems between February 2016 and March 2020.

“Eligible individuals must file their claim no later than October 24, 2025,” said the Treasury Board Secretariat in a statement.

Who qualifies

The settlement covers government employees who worked as:

  • Casual workers
  • Students
  • Term employees with contracts shorter than three months
  • Part-time workers with less than one-third of normal hours
  • Governor in Council appointees

To qualify, these workers must have experienced pay issues due to the Phoenix system during the four-year period covered by the settlement.

Compensation structure

Payment amounts vary depending on the fiscal year when problems occurred. Affected workers can receive up to $350 for issues during 2016-17, and up to $175 for each subsequent fiscal year through 2019-20.

Workers who received or qualify for compensation under other Phoenix-related settlements are not eligible for additional payments for the same fiscal years under this agreement.

The Bouchard settlement, signed by the government on September 6, 2023, represents one of several compensation agreements related to the Phoenix pay system, which caused widespread payroll problems for federal public servants after its launch in 2016.

For information on how to submit a claim visit: Bouchard (Phoenix pay system) class action: Notice of approval of settlement agreement.

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