Ontario Reaches New Agreement with PEGO
New Government Protecting Jobs, Services
The Ontario Government has ratified a new collective agreement with the Professional Engineers, Government of Ontario (PEGO) that includes a two-year wage freeze.
This is the first Ontario Public Service agreement negotiated by the new government and is part of its plan to ensure that all collective agreements are aligned with the province's fiscal framework.
The agreement will result in $1.5 million in savings in 2013 and $1.5 million in 2014 for a total of $3.0 million in savings over the life of the agreement.
The agreement was ratified after about 160 hours of bargaining and is consistent with the government's fiscal plan to balance the budget by 2017-18 while protecting front-line public services such as health care and education.
The agreement includes:
• No entitlement to salary progression from April 1, 2013 to December 31, 2014.
• Reducing the entry-level starting salary by three per cent.
• Reducing Compensation Option Credit days by five over the agreement.• Restructuring short-term sickness benefits.
- PEGO represents about 615 professional engineers and land surveyors that work directly for the Ontario government.
- The previous collective agreement with PEGO expired on December 31, 2012.
- The Ministry of Government Services is responsible for collective bargaining with all Ontario Public Service bargaining agents.
“This agreement shows that our government is moving forward with its plan to eliminate the deficit while protecting jobs and the public services families rely on every day.”
“Our government is committed to eliminating the deficit by 2017-18 by taking a balanced approach and making smart investments for long-term economic growth. This is the fourth year in a row that Ontario has reported a lower deficit than forecast and we’re already beating our target for 2013-14 by $1 billion. We are the only government in Canada to achieve this level of success.”