Canada’s Largest Federal Public-Service Union Commences Strike Amid Ongoing Negotiations

The Public Service Alliance of Canada, the country’s largest federal public-service union, commenced a strike at 12:01 a.m. ET today. However, negotiations between the government and the union are still ongoing despite this development. The Treasury Board of Canada Secretariat announced in a news release on Tuesday that the two parties have not yet reached an agreement on key contract issues. The union represents around 155,000 federal public servants, including 35,000 Canada Revenue Agency workers.

The union considers the strike as one of the largest in Canadian history, and they plan to set up picket lines in over 250 locations. Nonetheless, union officials remain optimistic about reaching a tentative agreement despite the strike. One of the primary issues discussed in the negotiations is wage increases. The union is pushing for annual raises of 4.5% over three years to keep pace with inflation and the cost of living. On the other hand, the Treasury Board has offered a nine per cent raise over three years, following the recommendation of the third-party Public Interest Commission.

If the strike continues, it could lead to significant disruptions, such as a complete halt of the tax season, slowdowns at the border, and delays in EI, immigration, and passport applications. The negotiations started in June 2021, but the union declared an impasse in May 2022, and both parties filed labour complaints. Mediated contract negotiations began in early April 2023, which the union described as the government’s final attempt to reach a deal. Several federal ministers, including Treasury Board President Mona Fortier, are expected to provide updates later today on the progress of the negotiations.