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Tentative Agreement Reached on Public Service Health Care Plan

Mar 26, 2014

The bargaining agents through the Partners Committee have come to a tentative agreement with Treasury Board on changes to the Public Service Health Care Plan (PSHCP).

Summary of Changes

  • Deductibles for all PSHCP members (active and retired) will be removed as of January 1, 2015.  The $100 per family or $60 for a single member will no longer be required.
  • Three new benefits to begin as of October 1, 2014:
    • Laser eye surgery to be included under the plan with a lifetime cap of $1,000
    • Repairs and replacement parts for CPAP (sleep apnea) machines to be covered up to $300 per year
    • Increase the psychological services cap to $2,000 from $1,000
  • Current and future pensioners will move to paying 50% of PSHCP premiums.  This will be phased in over four years, starting on April 1, 2015.
  • Regardless of age, current retirees with incomes that make them eligible for the Guaranteed Income Supplement (approximately $16,728 for a single person and $22,080 for a couple) will continue to pay only 25% of the premiums.
  • Six-year service requirement to access retiree benefits.  This will apply to current employees with the following exceptions:
    • All current retirees and deferred annuitants
    • Veterans’ Affairs Client Group as described in the plan
    • Medical retirees, permanently disabled retirees
    • Spouses and dependents of employees who die with less than 6 years’ service
    • Members with more than 2 years’ service who are separated as a result of the Workforce Adjustment Appendix (WFAA)
  • Letter of Understanding committing to ongoing negotiations of the PSHCP with a written commitment from the Employer not to bring any negative changes to the table before March 2019.

This is a very positive outcome in light of the Federal Government’s threat to legislate changes on active and retired plan members.  We expect the Federal Government to approve the agreement today.

In solidarity,

Daniel J Boulet
Business Manager / Financial Secretary