Local 441 Members,
The Provincial Framework Agreement provides for a wage increase that comes into effect on May 1, 2016 in the amount of whatever the Economic Stability Dividend is, should there be one. The government announced their figures today. The result is that there will be a wage increase of 0.45% on May 1, 2016.
CUPE BC Secretary- Treasurer Paul Fauro this communique shortly after the announcement.
The negotiated wage increases set out in the collective agreement are as follows. As stated at ratification we did not expect anything by way of this economic stability dividend so this .45% increase, although small, is a pleasant surprise.
Wages will increase by 5.5%. Increases will be effective on the following dates:
July 1, 2015 1.0%
May 1, 2016 Economic Stability Dividend
July 1, 2016 0.5%
May 1, 2017 1.0% plus Economic Stability Dividend
July 1, 2017 0.5%
May 1, 2018 1.0% plus Economic Stability Dividend
July 1, 2018 0.5%
May 1, 2019 1.0% plus Economic Stability Dividend
It is a very complex document that governs what the economic stability dividend will be (or not be). In short the BC government projects beforehand what they believe the increase in Gross Domestic Product will be. If the actual GDP increase surpasses the projection, as did this year by .9 % above projection, we get an increase equal to 50% of the overage. Thus the .45% increase onMay 1, 2016.
Wage grids in our Collective Agreement should be changed to reflect this increase. However that also means that the printed version will be inaccurate going forward from May 1, 2016 because each increase compounds.