Arbitration Award Issued on Delayed Payment of April 2023 Wage Rates and Retroactivity

Further to this CSSEA Info issued on May 5, 2023, CSSEA has concluded its hearing representing our member agencies in relation to the policy grievance filed by the CSSBA on delays in paying the April 2023 wage rates and retroactive wage entitlements. In this policy grievance, the CSSBA claimed many of their bargaining unit members had not yet received the wage increase and/or retroactivity. 

The CSSBA sought immediate payment of the April 2023 wage rates and all retroactive payments. As part of its make-whole remedy, the CSSBA also sought court-ordered interest on these outstanding entitlements.

The hearing was initially scheduled for September 11, 2023 but was rescheduled to October 21, 2023 as it appeared that the vast majority of employers had either paid, or were in the process of paying, the prevailing wage rates and retroactive payments. As of the date of the hearing, CSSEA was aware that only a small number of agencies had yet to implement current wage rates and/or make retroactive payments. 

These remaining agencies will have up to October 31, 2023 to make both payments. 

Please note that if your agency will not be able to make either the wage increase or the retroactive payment to unionized employees by October 31, 2023, you must notify CSSEA and provide the information set out in the Award. 

Under the Award, interest is payable if these amounts are paid to employees after October 31, 2023. If your agency does not make the payments on or before October 31, 2023, please ensure that the April 2023 wage rates and full retroactivity are paid out as soon as possible. Regardless, interest will be payable on the wage increases and retroactive payments owing from September 11, 2023 to the date that the current wages rate are implemented and retroactive payments are made.

The interest payable is governed by the rates specified under BC’s Court Order Interest Act. The rate is 4.95% for pre-judgment interest and 6.95% for post-judgment interest. 

This means that under the attached Award, an interest rate of 4.95% applies on outstanding amounts between September 11, 2023 and October 24, 2023 (the date of the “judgment”). From October 25, 2023 until the date of full payment, the interest rate of 6.95% will apply. 

If you have any questions, please contact your CSSEA Advocate or Consultant.