[ Backgrounder ]
November 4, 2003
OTTAWA - The Honourable Lucienne Robillard, President of the Treasury Board of Canada and Member of
Parliament for Westmount - Ville-Marie, today welcomed the Senate's passage of Bill C-25, the Public Service
Modernization Act.
"The Act is the first wide-ranging legislative reform of human resources management in 35 years. The public
service is entering a new era characterized by an increasing emphasis on values and ethics. The Public Service of
Canada is a vital, national institution," said Minister Robillard. "I am very pleased that this bill will soon become
law. The needs of Canadians are changing and the public service must adapt to meet them. The Public Service
Modernization Act is an important tool to meet the challenge of change."
Minister Robillard thanked Senators and Members of Parliament for their hard work on the bill. "This was not an easy
task. The Act will help ensure modern, responsive public service, which will deliver better service to
Canadians."
The Public Service Modernization Act updates several critical components of the public service human
resources management system. The Act will:
- Streamline the often cumbersome staffing system to improve the ability to attract and hire the people we need, when
and where we need them;
- Balance increased flexibility with new safeguards such as the Public Service Staffing Tribunal;
- Strengthen accountability and provide clearer roles for managers;
- Foster more constructive labour-management relations;
- Help create a more productive and supportive working environment; and
- Change the way that the public service approaches corporate learning and development.
"The Act upholds the principles we all hold dear: fairness, competency and non-partisanship," said Minister
Robillard. "It also supports our need to reflect the increasingly diverse public we serve and as well as to work and
serve Canadians in both official languages."
The Minister noted that the reforms set out in the Act will not happen overnight. "Parliament's approval is
a tremendous step forward. We will now begin work on a staged implementation process to take place over the coming
months and years. Training will be required for managers, employees, human resources professionals and bargaining
agents in order for each to understand their roles and responsibilities under
the Act."
Learning is the key enabler of reform. The first step of the process will be the creation of the Canada School of
Public Service. This new organization will amalgamate the Canadian Centre for Management Development, Language Training
Canada, and Training and Development Canada. It will be responsible for offering such services as expert learning
advice, courses and e-learning opportunities to meet core learning needs of employees and managers aimed at improving
the learning agenda in the public service.
Through the Act and other non-legislative reforms, the Government of Canada is strengthening its management
of financial and human resources thereby increasing value for money. The Act will also enhance accountability
by creating a supportive and effective workplace and providing the professional development required to attract the
talented people needed to continue offering excellent service to Canadians.
See the attached documents for details on content of the Public Service Modernization Act.
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For more information, contact:
Daniel Grenier
Press Secretary
Office of the President of the Treasury Board of Canada
(613) 957-2666
Mario Baril
Media Relations
Treasury Board of Canada Secretariat
(613) 957-2391
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Improving people management in the federal public service
The Public Service Modernization Act (PSMA) will bring about the biggest changes in how the
federal public service hires and manages its employees in more than 35 years. The PSMA is a major building
block in the Government of Canada's overall strategy to modernize human resources management. The new legislation, to
be phased in over the next two years, reflects the 2001 Speech from the Throne commitment to "ensure that the public
service is innovative, dynamic and reflective of the diversity of the country [and] able to attract and develop the
talent needed to serve Canadians in the 21st century."
The PSMA covers three main areas of human resource management. First, it modernizes the staffing system to
improve the federal public service's ability to attract and hire the right people when and where they are needed to
deliver programs and services. Second, the PSMA is intended to foster more constructive and harmonious labour
management relations to improve the quality of the workplace. Third, the new legislation will promote a more corporate
approach to learning and development by creating a new Canada School of Public Service, amalgamating the Canadian
Centre for Management Development and Training and Development Canada. In addition, in order to provide employees with
single-window access to learning resources throughout their public service careers, a decision has been made that
Language Training Canada also will become part of the new Canada School.
The context
Public service work is increasingly more complex and fast-paced, requiring greater innovation, more horizontal
cooperation across departments and agencies, and the need for building stronger, more strategic partnerships with other
jurisdictions, including the private and voluntary sectors.
Like all large organizations worldwide, the federal public service is facing stiff competition for talent in an
increasingly tight labour market. The accelerated pace of change due to globalization and technological advances will
continue to challenge the federal public service's innovative capacity, underscoring the need for flexible and
adaptable human resources management strategies.
What it means for employees
Employees will benefit from more transparent and faster staffing. Employees who have questions about staffing
decisions will be able to speak directly with the decision-maker about their concerns. If these concerns cannot be
resolved through dialogue, a new independent third party, the Public Service Staffing Tribunal, will review them to
ensure that managers used their authority appropriately and that employees were treated properly. The new legislation
will also ensure that people continue to be appointed based on merit. The Public Service Commission (PSC) will continue
to play its critical role in protecting the integrity of government-wide hiring processes.
The new legislation will also require departments and agencies to set up labour-management consultation committees
to provide a forum for dialogue. This is intended to create a climate for co-developing solutions to workplace
challenges. Employees, managers and unions will all be expected to work together on improving the workplace.
The PSMA will promote lifelong learning and career development. The Canada School of Public Service will be
open and accessible to employees at all levels in departments, agencies and in all regions. Core learning for the
public service will include: orientation for new public service employees; career and professional development; public
administration courses; management and leadership development; and statutory language training.
What it means for managers
The new Act reinforces safeguards to sustain a merit-based, non-partisan public service based on the values of
transparency, fairness and respect. Deputy Heads will continue to be able to set the qualifications for the work that
must be performed within their respective organizations and, once the PSMA is fully implemented, managers will
have greater flexibility in the area of staffing.
A new independent Public Service Staffing Tribunal (PSST) will hear complaints of alleged abuse of authority in
internal appointment processes and will have the power to order that appointments be revoked or corrective action be
taken.
Under the new Public Service Employment Act, the Public Service Commission will retain all appointment authority and
maintain the power to delegate to Deputy Heads or amend or rescind that delegation, subject to terms and
conditions.
In consultation with the bargaining agents, the PSC will continue to have full authority to set policies on how
staffing is conducted. It will be able to investigate external appointment processes to ensure they were based on
merit, with the power to revoke appointments and take any corrective action it considers appropriate.
The Commission will continue to have the authority to conduct staffing audits including auditing how Deputy Heads
set qualifications for positions within their respective organizations and establish their operational requirements and
organizational needs.
Deputy Heads will also have more flexibility in the areas of awards and recognition, continuous learning, and career
and professional development and they will have the authority to demote, discipline and terminate employees, subject to
Treasury Board policies and directives.
What it means for labour-management relations
The PSMA will set the stage for better dialogue between labour and management to improve the workplace. It
will:
- Improve dialogue through mandatory departmental union-management consultation committees and informal dispute
resolution;
- Enable co-development of workplace improvements;
- Improve collective bargaining through enhanced mediation and conciliation, negotiated essential services
agreements, compensation research and analysis services; and
- Provide more comprehensive grievance and adjudication mechanisms.
Under the new Act, the Chair of the Public Service Labour Relations Board will take a more proactive role in
mediating disputes and helping parties to reach agreement. The Chair will also be able to recommend the appointment of
a Public Interest Commission, a non-permanent body to assist in resolving specific disputes and make recommendations
for settlement.
Implementation
Changes to how people are managed in the federal public service will not happen overnight.
The PSMA enacts a new Public Service Employment Act, a new Public Service Labour Relations
Act, and amends
the Canadian Centre for Management Development Act and the Financial Administration
Act. The PSMA will be
implemented in stages. The following is an anticipated schedule:
- The Canada School of Public Service will be established on April 1, 2004;
- The establishment of the new Public Service Commission and the new Public Service Staffing Tribunal is planned for
fall/winter 2003/2004;
- The Public Service Labour Relations Act, amendments to the Financial Administration Act, and the
provisions of the Public Service Employment Act on political activities will be done in the fall of 2004;
- The rest of the new Public Service Employment Act will come into effect in 2005.
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