Politics, Americas

Tentative agreement signed between striking workers, Canadian government

Union tells 35,000 members to return to work by 11:30 am Thursday

Barry Ellsworth  | 04.05.2023 - Update : 04.05.2023
Tentative agreement signed between striking workers, Canadian government

TRENTON, Canada

The union told its 35,000 striking members to return to work Thursday after a tentative agreement was reached with the Canadian federal government.

The Public Service Alliance of Canada-Union of Taxation Employees (PSAC-UTE) “has secured a fair contract for members that exceeds the employer’s original offer before the launch of strike action,” the union said in a press release Thursday.

More than 155,000 federal employees went on strike on April 19, with 120,000 Treasury Board workers reaching a tentative agreement on May 1. The Canada Revenue Agency (CRA) workers, who are also members of PSAC but under a different contract, remained on strike until Thursday.

The PSAC-UTE release said the employees received a 12% increase over four years, retroactive to 2021. It is the same pay raise the 155,000 Treasury Board workers agreed to under a tentative contract with Ottawa.

Another provision includes a one-time CAN$2,500 (US$1,800) lump sum payment.

The Canada Revenue Agency, which checks and processes income tax forms filed by individuals and businesses, said in a release Thursday that under the agreement, workers will be able to do remote work some of the time. This was a key demand from the union as employees wanted to continue to work from home, which they did during the pandemic.

“The CRA continues to be committed to a modern, hybrid workplace that provides employees, where applicable, with the flexibility to continue to work up to three days from home a week,” the CRA statement said, adding that both sides also agreed to review virtual work arrangements.

The union will now present the details of the tentative agreement to its members and a ratification vote will take place in the coming weeks.

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