Retroactive salary modifications due to Bill 124 wage-reopener
To: All TFA Members
On May 2, 2023, Toronto Metropolitan University (TMU) and the Toronto Metropolitan Faculty Association (TFA) reached a settlement as a result of a mid-contract wage reopener negotiation.
Bill 124 and negotiations timeline
In a decision on November 29, 2022, the Ontario Superior Court found that Bill 124, Protecting a Sustainable Public Sector for Future Generations Act, 2019 was unconstitutional and it was declared to be “void and of no effect.”
Bill 124 capped compensation and benefit increases for public sector workers (including members of the TFA) for a three-year moderation period. The July 1, 2020 to June 30, 2023 collective agreement between TMU and the TFA complied with the legislation with compensation increases capped at one percent each year.
In December 2022, the university received notification from the TFA that they would like to reopen wages in the 2020-2023 collective agreement as a result of the voiding of Bill 124. The negotiation process continued over the next four months resulting in the abovementioned settlement, which was ratified by the membership of the TFA on May 23, 2023, and by the university on May 25, 2023.
The settlement also addressed the fact that on December 29, 2022, the Ontario Government appealed the Superior Court decision, which remains ongoing. The parties agreed that if Bill 124 is upheld through the appeal process, the university and the TFA will meet to negotiate how to address the outcome of the appeal.
The agreed-upon terms of the settlement are as follows:
- Term of agreement: Three (3) years from July 1, 2020 to June 30, 2023
- Compensation elements: Across-the-Board (ATB):
1.75% effective July 1, 2020 (0.75% on top of the 1% provided per Bill 124)
3.0% effective July 1, 2021 (2.0% on top of the 1% provided per Bill 124)
3.5% effective July 1, 2022 (2.5% on top of the 1% provided per Bill 124)
The base salary minima for faculty, librarians and professional counsellors each year were also increased by the percentages set out above. No other compensation or benefit changes were negotiated.
TMU and the TFA agreed that retroactive salary adjustments as noted above will be implemented on the September 2023 monthly pay for those employed at the last date of ratification.