Re: Loans to Members facing financial hardship due to pay transformation system
Your Institute’s Board of Directors has approved a loan program for members experiencing financial hardship caused by problems with the new Phoenix pay system. As your union we feel we can help members in this time of need and uncertainty.
Attached are the guidelines for the loan program and an application.
As with any workplace issue you are having please contact your local Employment Relations Officer (ERO) in the regional office nearest to you.
Guidelines on Loans to Members Facing Financial Difficulties as a Result of the Pay Transformation
This policy is effective June 14, 2016.
On June 9, 2016, the Institute’s Board of Directors passed a resolution giving the President the authority to approve loans to members facing financial difficulties as a result of the pay transformation.
The objective of these guidelines are to provide a framework for the provision and administration of loans to members whose base pay has stopped being issued or has been issued in a drastically reduced amount as a result of the Government’s pay transformation initiative.
The President shall be responsible for reviewing loan applications and providing approval in accordance with these Guidelines.
A member will be eligible for a loan under these Guidelines if he/she:
i) Is a member of a bargaining unit for which the Institute is the Bargaining Agent;
ii) Has provided sufficient information to establish that his/her pay has not been issued or has been significantly reduced for some time as a result of the Government’s pay transformation initiative;
iii) Has provided sufficient information to establish that the reduced pay or absence of pay is causing significant hardship;
iv) Signs a promissory note and repayment schedule in a form required by the Institute.
Upon request, the member will provide any financial or other information required to process the application and that may be required from time to time by the Institute.
The maximum loan granted shall not normally exceed $5,000 and will be interest free.
The loan will become payable immediately upon receipt by the member of backpay owed by the employer and, in any event, no later than 6 months from the issuance of the loan.