The provincial government and the province’s second largest public sector union have reached a collective agreement.
Under the deal, ratified last week and set to expire in 2020, 4,500 members of Canadian Union of Public Employees’ (CUPE) seven bargaining units agreed to no wage increases, the elimination of severance where employees qualify, and changes to group insurance for new employees who qualify.
Government says the current projected savings of the severance payout across the entire public service is approximately $25 million annually.
Details around severance payouts for CUPE members will be announced in the coming weeks.
Negotiations with other public sector unions, meanwhile, are ongoing.