July/August 2003
(Letter sent to 11 newspapers and French version sent to four newspapers. An abridged English version sent to 14 newspapers)
Dear Editor:
I want to set the record straight with respect to misinformation contained in a June 30th article by Bill Curry, "Top civil service pay could soon top $500,000."
The conclusion that Mr. Ouellet could make more than $500,000 this year as President and Chief Executive Office of Canada Post is misleading. The statement that Mr. Ouellet could make up to $408,000 in salary this year is another error in fact. Had Mr. Curry taken the time to check the Order-in-Council (a public document) he would have known that Mr. Ouellet's salary is considerably less than he reported.
While the Privacy Act prohibits the release of the exact salary and benefits of any individual, I can tell you that Mr. Ouellet's salary range as President and Chief Executive Officer of Canada Post stands between $256,600 and $301,900 per year. Governor-in Council approved a 2.3% increase for Mr. Ouellet effective January 1, 2002, and although the Advisory Committee recommended a 2.8% raise this year, he will receive 2.5%.
The salaries of the heads of Crown corporations are determined by a private-sector advisory group and are subject to approval by the Governor-in-Council. The Advisory Group on Executive Compensation in the Public service makes recommendations on compensation to the heads of Crown corporations that are appointed by the Government. The recommendations made by this independent committee are considered by the Governor-in-Council in determining appropriate compensation for these positions.
It should be noted that Mr. Ouellet accepted the position of President and CEO of Canada Post at a salary below that of his predecessor and well below what was recommended by the Advisory Committee.
As for Mr. Ouellet's re-appointment to the position of President and CEO last year, the National Association of Major Mail Users, the Canadian Marketing Associations and our Unions were among those who supported his appointment.
He is very qualified for the job. The Honourable André Ouellet served as Canada's Postmaster General on two separate occasions, 1972 to 1974 and again from 1980 to 1981. Mr. Ouellet guided through Parliament the Act that transformed the Post Office Department to a Crown Corporation, and in 1981, he became the first Minister responsible for Canada Post Corporation, a position he held until 1984.
Mr. Ouellet was appointed as Chairman of the Board of Directors of Canada Post in 1996 and became President and CEO three years later. Canada Post has turned a profit every year since then and has grown to a $6 billion a year company.
It's because of Mr. Ouellet's experience and knowledge of the postal business that Canada Post is recognized around the world as a leader in postal technology and is poised to meet the challenges of the future.
Sincerely,
John Caines
Manager, National Media Relations
(613) 734-7675
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