Public Sector Compensation Restraint Act

Short title

1 This Act may be cited as the Public Sector Compensation Restraint Act. 1991, c. 5, s. 1.

Interpretation

2 In this Act,

(a) "Board" means the Board established pursuant to the regulations;

(b) "collective agreement" means

(i) a collective agreement as defined in the Civil Service Collective Bargaining Act,

(ii) a collective agreement as defined in the Corrections Act,

(iii) a professional agreement as defined in the Teachers Collective Bargaining Act,

(iv) a collective agreement as defined in the Trade Union Act,

(v) an agreement between a unit of employees established for collective bargaining and an employer for defining, determining or providing for working conditions and terms of compensation,

(vi) a decision or order that, by operation of law or agreement, governs working conditions and terms of compensation;

(c) "compensation plan" means a collective agreement or, where employees do not have a collective agreement, terms of employment;

(d) "compensation rates" means single rates of remuneration or ranges of rates of remuneration, including costs of living adjustments, or, where no such rates or ranges exist, any fixed or ascertainable amounts of remuneration;

(e) "date of expiry" means

(i) the day, on or after the fourteenth day of May, 1991, that a compensation plan expires but for this Act, or

(ii) the day immediately preceding the day of the first scheduled increase in compensation rates on or after the fourteenth day of May, 1991, provided for by the plan,

whichever is earlier;

(f) "employee" means a person who performs duties and functions that entitle that person to compensation on a regular basis but does not include a consultant or independent contractor;

(g) "employer" means the employer or the person, association or entity in the position of the employer, and includes a person, association or entity providing compensation to an employee;

(h) "finalized" for the purpose of this Act, in respect of a compensation plan, includes a compensation plan that is described in its entirety in a written memorandum but that is subject to a vote by employees to whom it applies or to any necessary ratification by an employer;

(i) "service commission" means a service commission as defined in the Municipal Affairs Act;

(j) "teacher" means a teacher as defined in the Teachers Collective Bargaining Act;

(k) "village commissioners" means village commissioners incorporated pursuant to the Village Service Act or to whom that Act applies. 1991, c. 5, s. 2.

Conflict with other enactment

3 Every enactment, whether enacted before or after the coming into force of this Act, shall be read and construed as subject in all respects to this Act and, in the case of conflict with a provision of this Act, the provision of this Act prevails. 1991, c. 5, s. 3.

Act binds Crown

4 This Act is binding on Her Majesty in right of the Province. 1991, c. 5, s. 4.

PART I

PUBLIC EMPLOYEES

Application of Part

5 This Part applies to

(a) persons appointed pursuant to the Civil Service Act;

(b) officers and employees appointed pursuant to the Corrections Act;

(c) persons appointed by the Governor in Council to the public service;

(d) officers and employees of an "agency of government" as defined in the Auditor General Act;

(e) officers and staff of the House of Assembly;

(f) judges of the Provincial Court and judges of the Family Court;

(g) adjudicators of the Small Claims Court;

(h) employees of a municipality as defined by the Municipal Affairs Act and employees of an authority, board, commission, agency, corporation or other organization thereof including a joint or regional body of two or more municipalities;

(i) employees of a school board;

(j) employees of the Nova Scotia Community College;

(k) employees of universities to which the Universities Assistance Act applies;

(l) employees of hospitals within the meaning of the Hospitals Act;

(m) employees of a facility that is required to be licensed pursuant to the Homes for Special Care Act; and

(n) an employee of a person, agency, authority, board, commission, corporation or organization of a type similar to those listed in clauses (a) to (m) where the Governor in Council declares that this Act applies to those employees. 1991, c. 5, s. 5.

Restriction on changing existing compensation plan

6 A compensation plan finalized before the fourteenth day of May, 1991, shall not be changed except in accordance with this Act. 1991, c. 5, s. 6.

2-year freeze on compensation rates

7 (1) Where a compensation plan was finalized before the fourteenth day of May, 1991, then, notwithstanding anything contained in the plan, the plan continues in effect in respect of that employee or group of employees, as the case may be, for a period of two years from the date of expiry of the plan with the implementation on or after the fourteenth day of May, 1991, of any change in terms of employment set out in the plan except that

(a) there shall not be any increase in compensation rates; and

(b) the plan itself shall not be changed,

on or after the fourteenth day of May, 1991.

Compensation after 2-year freeze

(2) Upon completion of the two-year period referred to in subsection (1),

(a) the compensation plan continues for a further period of time equal to the period of time that remained for the plan when the two-year period began; and

(b) any change in compensation rates scheduled by the plan to be effective on or after the fourteenth day of May, 1991, takes effect two years after the date specified in the plan.

Renegotiation after 2-year freeze

(3) Notwithstanding subsection (2) or anything contained in a compensation plan,

(a) a collective agreement may, at the option of the bargaining agent of the employees to whom the agreement applies, be renegotiated; and

(b) a compensation plan that is not a collective agreement may be changed,

in respect of any period remaining in the plan after the two-year period referred to in subsection (1). 1991, c. 5, s. 7.

Compensation plan expired before May 14, 1991

8 (1) Where

(a) a compensation plan has expired before the fourteenth day of May, 1991; and

(b) a new compensation plan is not finalized before the fourteenth day of May, 1991,

the expired plan is continued, effective from when it expired but for this Act, except that the compensation rate for each position covered by the compensation plan shall be increased by five per cent effective the date the compensation plan expired.

Compensation plan expired before May 14, 1990

(2) Where the compensation plan expired more than one year before the fourteenth day of May, 1991, the compensation rate for each position covered by the compensation plan shall be increased by a further five per cent effective one year after the compensation plan expired.

Deemed date of expiry

(3) The date of expiry for the purpose of this Act of a compensation plan continued by subsection (1) is deemed to be one year after the effective date of the last increase provided by this Section.

Continuation for 2 years after deemed date of expiry

(4) The compensation plan referred to in subsection (1) continues in force for a period of two years from the deemed date of expiry of the plan, without change in the plan. 1991, c. 5, s. 8.

First collective agreement

9 (1) Notwithstanding Sections 7 and 8, where

(a) a union was certified or recognized pursuant to the Trade Union Act before, on or after the fourteenth day of May, 1991, as the bargaining agent for employees who immediately before the certification or recognition did not have a certified or recognized bargaining agent; and

(b) a first collective agreement was not finalized before the fourteenth day of May, 1991,

the employer and the bargaining agent may conclude a first collective agreement.

Restriction on collective agreement

(2) A first collective agreement concluded pursuant to subsection (1) shall not contain

(a) any increase in compensation rates where such an increase is precluded by Section 7; or

(b) any increase in compensation rates in excess of that provided by Section 8 where Section 7 does not apply. 1991, c. 5, s. 9.

Permitted increase in compensation rates

10 (1) During any period a compensation plan is continued by Section 7 or 8, an increase in compensation rates may be paid to or received by an employee

(a) as a result of an increase in the minimum wage or in accordance with an order pursuant to the Labour Standards Code;

(b) for or in recognition of

(i) meritorious or satisfactory work performance,

(ii) the completion of a specified work experience,

(iii) the successful completion of a course of professional or technical education,

(iv) length of time in employment,

if such provisions have been expressly contained in the compensation plan that applied to the employee immediately before the fourteenth day of May, 1991.

Bona fide promotion of employee

(2) Nothing in subsection (1) prevents increases in compensation or compensation rates greater than those permitted by this Act as a result of the bona fide promotion of an employee to a different or more responsible position. 1991, c. 5, s. 10.

Effect of excessive compensation rates

11 A compensation plan to which this Act applies, entered into or established at any time, is of no force or effect to the extent that it provides for compensation rates in excess of compensation rates permitted by this Act. 1991, c. 5, s. 11.

Report

12 Every employer to which this Act applies shall report to the Board, at the time and in the form and manner determined by the Board,

(a) every compensation plan of the employer in effect immediately before the fourteenth day of May, 1991, and, where no compensation plan has been finalized before that date in respect of an employee or group of employees, the most recent compensation plan that before that date applied to that employee or group of employees, as the case may be; and

(b) every change in a compensation plan referred to in clause (a). 1991, c. 5, s. 12.

PART II

MINISTERS OF THE CROWN AND

MEMBERS OF THE HOUSE OF ASSEMBLY

Application of Part

13 This Part applies to

(a) members of the Executive Council; and

(b) members of the House of Assembly. 1991, c. 5, s. 13.

Remuneration freeze until January 1, 1994

14 The indemnities, allowances and salaries paid pursuant to the Executive Council Act and the House of Assembly Act immediately before the coming into force of this Act are continued until the first day of January, 1994, without change. 1991, c. 5, s. 14.

PART III

MUNICIPAL COUNCILLORS,

VILLAGE COMMISSIONERS,

MEMBERS OF SERVICE COMMISSIONS

AND MEMBERS OF SCHOOL BOARDS

Application of Part

15 This Part applies to

(a) the mayor or warden and aldermen or councillors of a city, incorporated town or municipality of a county or district;

(b) village commissioners;

(c) the members of a service commission; and

(d) the members of a school board. 1991, c. 5, s. 15.

Remuneration freeze until May 14, 1993

16 The remuneration of a person to whom this Part applies, in effect immediately before the fourteenth day of May, 1991, continues until the fourteenth day of May, 1993, without change. 1991, c. 5, s. 16.

Report

17 Every city, incorporated town, municipality of a county or a district, village, service commission and school board shall report to the Board, at the time and in the form and manner determined by the Board, every remuneration plan of the city, town, municipality or board, as the case may be, in effect immediately before the fourteenth day of May, 1991, for a person to whom this Part applies. 1991, c. 5, s. 17.

PART IV

MEDICAL SERVICES

Application of Part

18 This Part applies to every tariff of fees or other system of payment for insured medical services or under the insured prescription drug plan. 1991, c. 5, s. 18.

Continuation of tariff of medical or drug fees

19 Every tariff of fees or other system of payment for insured medical services or under the insured prescription drug plan, in effect immediately before the fourteenth day of May, 1991, continues in effect for a period of two years from the date of expiry of the last increase in the tariff or system of payment before that date. 1991, c. 5, s. 19.

PART V

PAY EQUITY

Application of Part

20 This Part applies to increases in compensation rates made pursuant to the Pay Equity Act. 1991, c. 5, s. 20.

Postponement of payments

21 Notwithstanding the Pay Equity Act, pay equity adjustments to which an employee is entitled on the first day of September, 1991, pursuant to that Act shall not be made until April of 1992 but shall be retroactive to the first day of September, 1991, and nothing in this Act, except this Section, affects the Pay Equity Act. 1991, c. 5, s. 21.

PART VI

GENERAL

Questions for Board to decide

22 (1) Where a question arises pursuant to this Act as to

(a) whether a compensation plan is a compensation plan to which this Act applies;

(b) whether a compensation plan complies with this Act;

(c) the date of expiry of a compensation plan;

(d) what information or documentation is required by the Board;

(e) who is an employer for the purpose of this Act;

(f) who is the employer for a particular compensation plan;

(g) the date when a compensation plan has expired;

(h) the date when a compensation plan was finalized;

(i) whether the increase in compensation rates is to effect an order made pursuant to the Labour Standards Code or is in recognition of

(i) meritorious or satisfactory work performance,

(ii) the completion of a specified period of work experience,

(iii) the successful completion of a program or course of professional or technical education,

(iv) length of time in employment,

(v) the bona fide promotion of an employee to a different or more responsible position,

the Board shall decide the question and the decision or order of the Board is final and conclusive and not open to question or review but the Board may, if it considers it advisable to do so, reconsider any decision or order made by it pursuant to this Act and may vary or revoke any decision or order made by it pursuant to this Act.

Application for change in compensation rates

(2) Where

(a) a compensation plan provides for staged increases in compensation rates over a one-year period that includes the fourteenth day of May, 1991; or

(b) there is an historical relationship between a compensation plan and another compensation plan with the same employer,

then, notwithstanding anything in this Act, upon application to the Board by an employer or, where the employees are represented by a bargaining agent, by the employer and the bargaining agent, the Board may

(c) authorize an increase in compensation rates in the compensation plan; and

(d) adjust, where appropriate, the date of expiry of the compensation plan for the purpose of this Act,

and any such increase may be retroactive but the total of all increases for the year immediately preceding the two-year period referred to in subsection (1) of Section 7 shall not exceed five per cent in respect of any position.

Application for change in terms of employment

(3) Upon application to the Board by an employer or, where employees are represented by a bargaining agent, by the employer and the bargaining agent, the Board may authorize a change in a term of employment, other than compensation rates, in the employees' compensation plan where the Board is satisfied that

(a) failure to make the change before the expiration of the compensation plan would be detrimental to the interest of the employer and employees; and

(b) making the change would not be contrary to the intent and purpose of this Act.

Additional powers

(4) Where the Board determines that a compensation plan does not comply with this Act and that the employer is implementing, has implemented or is likely to implement an increase in compensation rates that do not comply with this Act, the Board may make an order

(a) prohibiting in the manner it specifies the employer from implementing the increase in compensation rates that do not comply with this Act;

(b) requiring a recipient of compensation to pay back to the employer any increase in compensation that does not comply with this Act.

Conflict of compensation plan with order

(5) To the extent that the compensation plan is inconsistent with an order of the Board, the order prevails and is deemed to be part of the compensation plan.

Inspection of order

(6) An order of the Board is a public document and shall be made available for inspection at the office of the Board during regular business hours. 1991, c. 5, s. 22.

Offence and penalty

23 Every person who fails to comply with this Act, the regulations or an order of the Board is guilty of an offence and is liable on summary conviction to the penalty provided for in the Summary Proceedings Act. 1991, c. 5, s. 23.

Regulations

24 (1) The Governor in Council may make regulations

(a) designating any compensation plan or class thereof to which this Act applies and the date as of which this Act is applicable thereto and, where necessary, prescribing the manner in which this Act is to be applied.

(b) determining whether the Act applies to a person, agency, authority, board, commission, corporation or organization;

(c) establishing the Board for the purpose of this Act;

(d) providing for the management and administration of the Board;

(e) conferring powers, privileges and immunities on the Board;

(f) respecting procedures of the Board for giving notices, making demands, issuing instructions and directions;

(g) providing for the filing of orders of the Board at the prothonotarys office to make the same a judgment of the Supreme Court;

(h) further defining "compensation plan" or prescribing the person or the class of persons whose method of compensation is deemed to be a compensation plan for the purpose of this Act;

(i) further defining "compensation rates";

(j) defining any word or expression used in this Act and not defined therein;

(k) respecting any matter that the Governor in Council considers necessary or advisable to carry out effectively the intent and purpose of this Act.

Retroactive regulation

(2) A regulation made pursuant to this Act may, if it so provides, be made retroactive in its operation to a date not earlier than the fourteenth day of May, 1991.

Regulations Act

(3) The exercise by the Governor in Council of the authority contained in subsection (1) shall be regulations within the meaning of the Regulations Act. 1991, c. 5, s. 24.

Effective date

25 This Act has effect on, from and after the fourteenth day of May, 1991, and shall accordingly be read, construed, interpreted and given effect on, from and after that date. 1991, c. 5, s. 25.