Federal government apologizing for mammoth problem with Phoenix pay system
Posted Jul 19, 2016 04:23:58 AM.
Last Updated Jul 19, 2016 06:46:29 AM.
This article is more than 5 years old.
OTTAWA – The federal government has apologized for a massive problem with its new pay system that affects more than one-quarter of its roughly 300,000 employees.
The problem is rooted in the new Phoenix pay program which was brought online several months ago.
Since then, civil servants have complained about being short-changed on their pay stubs, not being paid enough, or in rare cases being paid more than they should.
Some said they hadn’t been paid in months, forcing them to max out credit cards, miss mortgage payments and default on student loans.
The government says about 400 civil servants can expect emergency payments by the middle of next week but warn it could take months to fully correct the system.
In the meantime, the government is exploring ways it can compensate employees for out-of-pocket expenses such as bank and credit card fees.
The union representing most federal civil servants has already gone to court over the issue and is vowing to take “significant action” as early as next week if more urgent problems aren’t fixed immediately.