Taxpayers on hook for Federal Public Servants’ severance pay ( Keep BARF Bag handy !!)

Taxpayers on hook for Federal Public Servants’ severance pay

Federal public servants’ buyout packages could top $2 billion

By Jason Fekete, Postmedia News May 24, 2012 11:03 AM

Taxpayers could be on the hook for more than $1 billion in severance pay to federal public servants who remain in their jobs, …..voluntarily quit their positions …….or retire from government.

The eye-popping payout packages are in addition to an estimated $900 million in “workforce adjustment” payments — including 22 weeks pay for one year of service — that will be granted to thousands of federal employees losing their jobs due to federal budget cuts.

Combined, the two sets of payments could cost taxpayers $2 billion.

More than two dozen collective agreements signed between the federal government and public sector unions allowed, up to October 2010, for the accumulation of severance to be paid out to employees for resignations, retirements, lay-offs and other reasons.

The government is now in the process of settling the 27 collective agreements that allowed for the accumulation and voluntary pay-out of severance.

Hundreds of thousands of core public servants who accumulated the benefits are allowed to voluntarily cash out the severance while they remain in their jobs. They also can wait until they resign ……or retire to collect the cash, ……or receive some of it now and the remainder when leaving the public service.

To date, nine of the 27 agreements that allowed for the accumulation and voluntary payout of severance have been settled, while also eliminating the lucrative perk going forward, according to the federal government.

Those nine deals, which cover more than 100,000 of the 212,000 employees in the core public administration, already are costing the government $850 million in expected severance payouts.

Additional cash will be needed in the future as Ottawa slowly settles all of the collective agreements — which means the severance pay-out to remaining, resigning and retiring employees likely will top $1 billion.

The cash settlements are on top of an additional $900 million in compensation, announced in the March budget, that the government expects to pay out to public servants as Ottawa eliminates 19,200 federal jobs over the next three years.

The Privy Council Office, the hub of the public service that supports the Prime Minister’s Office and cabinet, paid $10.5 million in voluntary severance to 483 employees for the 2011-12 fiscal year that ended in March, averaging out to around $21,739 for every worker who requested the severance.

Paying severance to employees who remain in their jobs or voluntarily leave is “absolutely insane,” said Dan Kelly of the Canadian Federation of Independent Business, which represents more than 109,000 small-business owners across the country.

“The average Canadian who may have lost their job during the recession would be shocked to learn that civil servants, when they quit or choose to retire to their gold-plated pension, we as taxpayers give them a nice big fat [severance] cheque,” he said.

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COMMENT:
This Gravy Train, unless stopped ASAP… is going to drown the Average Canadian Citizen, the vast majority of whom do not work for Gov’t.
It has not proven sustainable in other countries.
How the F*ck was this ever allowed to happen ?
How can these people,  in all good faith, even accept this money which is the result of a lot of ” Blood Sweat and Tears ” from the Private Sector ?
” Socialism pays well  “, as my post yesterday re: the interview on Lincoln’s  Marxism .
We would not even be aware of this unless certain groups investigated these situations.
How can you give severance to someone who QUIT….or RETIRE ?   WTF is that all about ?
This simply adds more evidence to my premise that Gov’t is “THEM” Versus “US”…..The Politicians and the Civil Service /Bureaucrats are in bed together….” You scratch my back and I’ll scratch yours..and screw the Public “….and thus BACK each other up.
In my 50+ years….all I see Gov’t as is an ever rapacious  Vampire….the standard of living is GOING   D-O-W-N….we are not getting value for the taxes they suck out of us via sheer whims and agendas.  
Such sheer unadulterated GREED blinds people to their core role/job description, all we get is an insatiable entitlement mentality.
I never signed  on for this……never was able to vote for it…….and don’t see any reason why anyone should tolerate this.  The Civil Service has evolved for” Lower – Paid Job Security” to ” Gold- Plated Premium Wages , Pensions and Benefits “.
 
Time to end this…..we are simply creating a (2) class Socialist system, with the ultimate and inevitable extinction of the Middle Class.
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