Despite PSAC working with the Canada Revenue Agency to review the taxability of the Phoenix damages, the Liberal government has chosen to ignore this appeal and advised that it will issue the negotiated $2,500 – with tax deductions – on March 3rd. This is a blatant disregard for a fair administrative process.
Regardless of the fact that, after taxes, the settlement would equal more than the 5 days of pay that the government was initially offering, this action represents a violation of the negotiated language.
All this is playing out on the 5th anniversary of the Phoenix Pay debacle.
While PSAC is continuing to pursue every legal route available to stop this, members need to take action and voice their disapproval.to be taken to a letter that you can send to Minister Jean-Yves Duclos and Minister Anita Anand demanding that your settlement not be taxed.
Please visit this page often for updates to the situation.
For more info you, go see PSAC article