Since 2016, our EC and TR members have benefited from a moratorium on the automatic cash-out of excess vacation and compensatory leave accumulated above the limits allowed in their respective collective agreements.
Earlier this year, we were informed by OCHRO that they would not be renewing the moratorium on the automatic cash-out of excess vacation and compensatory leave beyond 2021. We were informed that the automatic cash-out of excess leave would be back in effect on March 31, 2022.
We are pleased to announce that CAPE negotiated and signed a memorandum of understanding with Treasury Board providing for the progressive lifting of the moratorium on the automatic cash-out of excess leave rather than a complete end of the moratorium on March 31, 2022.
Download EC MOU interpretation aid
Download TR MOU interpretation aid
The MOU is designed to smooth out the payment of excess leave at a rate of 20% per year from March 31, 2022, until March 31, 2026. All remaining excess leave in existence on March 31, 2026, will be paid out on that date and the normal terms and conditions in the collective agreement regarding the accumulation of excess leave will resume.
The Employer will proceed with the first payment of excess vacation and compensatory leave starting March 31, 2022.
As always, members can still request a cash-out of their entire excess vacation or compensatory leave balance as per their collective agreements.
Details regarding how the payments will be calculated
Cash-out of excess vacation leave:
Starting on March 31, 2022, and each year thereafter until 2026, the amount of leave you’ll have automatically cashed out will be as follows:
- 20% of the excess leave (i.e., beyond the 262.5-hour limit) accrued during the moratorium, and
- Up to all unused vacation from that fiscal year if the above leave balance remains above the 262.5-hour limit.
The total amount of leave cashed out will never place you below the 262.5-hour limit in your bank.
Cash-out of excess compensatory leave:
Members of the TR bargaining unit with a compensatory leave balance on March 31, 2022, will receive a cash-out of 20% per year from March 31, 2022, to March 31, 2026. All unused compensatory leave earned between April 1, 2021, to March 31, 2022, and each year thereafter will be paid according to the provisions of the collective agreement to avoid for the balance to increase.
Members of the EC bargaining unit with a compensatory leave balance above 37.5 hours on March 31, 2022, will receive a cash-out of 20% per year of the balance in excess of 37.5 hours payable over 5 years from March 31, 2022, to March 31, 2026. All compensatory leave in excess of 37.5 hours accumulated after March 31, 2021, will be paid according to the provisions of the collective agreement to avoid for the balance to increase.
Questions?
For questions about leave cash-out please contact your Labour Relations Officer.
