2015-16 PERSONAL SUPPORT SERVICES WAGE ENHANCEMENT Questions and Answers Overarching 1. What is the objective of the Personal Support Worker (PSW) Wage Enhancement Initiative in Year 2? As part of the broader PSW Workforce Stabilization Strategy (announced on April 29, 2014), the objective of the wage enhancement initiative is to improve the care of seniors in their homes and communities by investing in the recruitment and retention of the PSW workforce. 2. How is Year 2 (2015-16) of the PSW Wage Enhancement Initiative being implemented differently than Year 1 (2014-15)? The implementation of Year 2 of the PSW Wage Enhancement Initiative is as follows: Eligibility has been expanded to include individuals providing publicly-funded personal support services (PSS) in three additional programs/services. The required increase in additional three programs is retroactive to April 1, 2014. The required minimum base wage for individuals who provide LHIN funded personal support services will increase from $14.00 per hour to $15.50 per hour, effective April 1, 2015. The hourly wage will increase by up to $1.50 for individuals providing LHINfunded PSS and currently earning less than $19 per hour. The required increase is retroactive to April 1, 2015. 3. Can my employer choose not to pass on the wage increase? Under the terms of the ministry-local Health Integration Network (LHIN) accountability agreement, it is expected that all LHINs will comply with directives issued by the Ministry of Health and Long-Term Care and ensure their health service providers are compliant with those directives as well. Employers that received funding in 2014-15 for the wage enhancement initiative will continue to receive the funding required for the full implementation of the 2014-15 wage increase in 2015-16. They will be expected to continue to provide the wage increases 1
Eligibility June 2015 initiated in 2014-15 in accordance with the Ministry s Personal Support Services Wage Enhancement Directive. The ministry has issued two further Directives to the LHINs to build upon the wage increase and minimum base wage requirements set out in the Directive (dated April 1, 2014): 2014 Directive Addendum sets out requirements for the retroactive funding (April 1, 2014 to March 31, 2015) related to the three additional programs/services; and 2015 Directive Addendum sets out Year 2 requirements regarding the additional $1.50 per hour up to $19.00 per hour to be applied to all eligible LHIN funded hours of personal support service between April 1, 2015 and March 31, 2016. 4. Who is eligible to receive this wage increase? In accordance with the Ministry s Personal Support Services Wage Enhancement Directive to LHINs, individuals are eligible for the PSW wage increase if they provide LHIN funded personal support services in the home and community care sector on behalf of: Service Providers who provide LHIN funded personal support services under contract with CCACs; and Other home and community care agencies that provide LHIN funded personal support services, including: o LHIN funded hours for PSS provided by individuals under the ministry s policy Self-Managed Attendant Services in Ontario Direct Funding Pilot Project Policy Guidelines administered by the Centre for Independent Living in Toronto; o LHIN funded hours for PSS provided by individuals as part of an Adult Day Program provided by an Approved Agency under the Home Care and Community Services Act, 1994 (HCCSA); and o LHIN funded hours for PSS provided by individuals, specifically for respite as part of Caregiver Support Services provided by an Approved Agency under the HCCSA. The increase applies only to direct hours of work providing LHIN funded personal support services within the meaning of the Home and Community Care Services Act, 2
1994 in the home and community care sector and does not apply to indirect hours of work (e.g. sick time, training time, travel time). 5. How will I know if I am eligible for the Year 2 wage enhancement? Individuals eligible for this wage increase are to be provided with written notification of their new hourly wage rate by their employer by no later than August 1, 2015. Individuals should speak to their employers to determine their eligibility. If you believe you are eligible for the wage increase and did not receive a notification from your employer, you may wish to discuss your individual circumstances with your employer. 6. Who is not eligible to receive this wage increase? This wage enhancement initiative does not apply to persons who provide personal support services in long-term care homes or hospitals. It also does not apply to non- LHIN funded personal support services (i.e. private care). Additionally, services provided by LHIN funded agencies in the home and community care sector that are not personal support services (within the meaning of the Home and Community Care Services Act, 1994) are not to receive the hourly wage increase (e.g. homemaking services). 7. Why are PSWs who work in mental health/supportive housing not considered eligible to receive the wage increase? The PSW Wage Enhancement Initiative is targeted to individuals providing LHIN funded personal support services (as defined in the Home Care and Community Services Act, 1994) delivered in the home and community care sector. 8. Are personal support services provided as CCAC approved services in retirement homes included as part of the PSW Wage Enhancement funding? All LHIN funded personal support services provided by a CCAC contracted service provider organization are eligible for the wage enhancement, including those services delivered in a retirement home setting. 9. Under the Directive Addendum 2015, are you giving the $1.50 increase to PSWs who are already making more than the new minimum $15.50 base wage? All individuals providing LHIN funded hours of personal support services in the home and community care sector are eligible to receive the $1.50 wage increase, up to a 3
maximum amount of $19.00 per hour. PSWs earning $19.00 per hour and above as of April 1, 2015 will not be eligible for the increase. See the following examples below for greater clarity. a. If an individual s current rate of pay as of April 1, 2015 is $17.50 per hour, a wage increase of $1.50 per hour must be applied by the employer to all LHIN funded hours of personal support services provided by that individual. b. If an individual s current rate of pay as of April 1, 2015 is $18.00 per hour, a wage increase of $1.00 per hour must be applied by the employer to all LHIN funded hours of personal support services provided by that individual. c. If an individual s current rate of pay as of April 1, 2015 is $19.00 per hour and above, no wage increase is required to be applied by the employer to LHIN funded hours of personal support services provided by that individual. 10. Will employees who are sub-contracted or casual workers be eligible to receive the $1.50 wage increase? The wage increase applies to LHIN funded hours of personal support services in the home and community care sector irrespective of casual, part-time or sub-contracting agency status. 11. What about PSW work that is not done in the home like travel and educational training? The increase applies only to direct hours of work providing LHIN funded personal support services (within the meaning of the Home and Community Care Services Act, 1994) in the home and community care sector and does not apply to indirect hours of work (e.g. sick time, training time, travel time). The Personal Support Services Wage Enhancement Directive specifies the types of personal support services hours to which it applies, as well as the types of providers that are subject to the Directive. Specific instructions about how to report all services, including personal support services, have been provided to CCAC contracted service providers and LHIN funded home and community care agencies subject to the Directive. If you have questions about your eligible hours of service, you may wish to discuss your individual circumstances with your employer. 4
12. Do individuals have to possess a PSW certificate or register with the PSW Registry in order to be eligible for the new wage enhancement and minimum wage? The wage enhancement and new minimum base wage applies to individuals providing LHIN funded personal support services in the home and community care sector on or after April 1, 2015. Eligible workers do not have to complete a PSW educational certification course or register with the PSW Registry. 13. Is an individual eligible if they possess a PSW certificate or are registered with the PSW Registry but are not currently providing personal support services? The wage enhancement and new minimum base wage applies only to direct hours of work providing LHIN funded personal support services in the home and community care sector. 14. Can you please confirm if this wage enhancement applies to PSWs who are entitled to pay increases through collective agreements or employment contracts (e.g. merit increases)? The hourly wage increase is to apply over and above any current wages and future wage increases or entitlements available to individuals providing LHIN funded personal support services through collective agreements or employment contracts in effect on April 1, 2015 (e.g. general wage increases, wage grid movement or step provisions, merit, any other planned wage increases), including those set out in pay equity plans. 15. Will an eligible individual who has been providing personal support services after April 1, 2015 receive the wage enhancement if they have left the organization before the wage enhancement is applied? All individuals who provide LHIN funded personal support services in the home and community care sector on or after April 1, 2015 would be eligible. If an individual leaves the organization before the increase is applied in August 2015, the employer would be responsible for ensuring retroactive payment is provided to that individual. This would include a wage increase with a minimum of no less than $15.50 per hour during the period between April 1, 2015 until the last day of employment. 5
Additionally, with regard to the three additional programs (covered by the Directive Addendum 2014), all individuals who provided LHIN funded personal support services in the home and community care sector between April 1, 2014 and March 31, 2015 would be eligible for a retroactive wage enhancement. If an individual leaves the organization before the retroactive increase is applied in August 2015, the employer would be responsible for ensuring retroactive payment is provided to that individual. This would include a $1.50 per hour wage increase with a minimum of no less than $14.00 per hour during the period between April 1, 2014 until the last day of employment (up until March 31, 2015). Implementation 16. When should eligible individuals receive the wage enhancement? The Ministry s Personal Support Services Wage Enhancement Directive Addendum 2014 and Directive Addendum 2015 require that: The wage increase applies to LHIN funded personal support services hours worked on or after August 1, 2015; and Retroactive payment for LHIN funded personal support services hours worked between April 1, 2015 and July 31, 2015 are to be paid in August 2015. 17. How will the government ensure that employers provide the wage increase to PSWs and do not use wage enhancement funding for some other purpose? By no later than September 15, 2015, health service providers are required to confirm compliance with the Directive Addendum (2014 and 2015) by completing Certifications of Compliance to the LHINs (and to CCACs). In addition, PSW Wage Enhancement Initiative funding will be reconciled as part of the ministry s annual settlement process and audits undertaken as deemed necessary. 18. The government originally announced the PSW Wage Enhancement Initiative on April 29, 2014 with a Year 2 increase as of April 1, 2015. Why was the Year 2 increase not applied as of April 1, 2015? The Year 2 increase applies retroactively for hours worked since April 1, 2015. The ministry undertook extensive consultations with the LHINs and sector representatives to understand and address concerns associated with PSW Wage Enhancement initiative. In response to these concerns, an approach to Year 2 and future years was developed that has attempted to address a number of these challenges. 6
Employer-Specific 19. Why have some employers not accepted government funding to provide the wage increase? Any questions about employers participation in the PSW Wage Enhancement initiative should be directed to the employer. 20. What is the government doing to address the concerns raised by some stakeholder groups with regards to the PSW wage enhancement (i.e. wage compression, harmonization, benefits pay, eligible hours, etc.)? The ministry, LHINs and sector representatives began meeting in Year 1 (2014-15) to discuss a variety of issues and concerns associated with PSW Wage Enhancement initiative. The government is aware of the challenges expressed by representatives of both employees and employers. In response to these concerns, an approach to Year 2 and future years was developed that will help address a number of these challenges. 21. The organization I work for has opted-out/ not signed up to receive the PSW wage enhancement funding. What are you going to do when employers are not providing the wage increase to eligible employees? The ministry and LHINs will continue to work with these employers to ensure compliance with the ministry s Directive and Addenda. Non-compliance with the Directive and Addenda may impact an employer s eligibility to continue receiving LHIN funding for services in the home and community care sector. The ministry considers non-compliance with the Directive to include the following: LHIN-funded organizations that have accepted funding for this initiative but have not, as yet, submitted their Certification of Compliance to the LHIN; and Eligible LHIN-funded organizations that have not signed back their amended agreement to the LHIN. 22. Can the employer who is paying over $19.00/hour receive this funding and apply it to other cost items, such as pay equity plans or training? Funding for the PSW Wage Enhancement Initiative will be provided to support an increase of up to a maximum rate of $19.00 per hour. Funding is to be used exclusively to increase hourly wages and support 22.7% towards employer statutory contributions 7
in accordance with the Ministry s Personal Support Services Wage Enhancement Directive and Addenda (i.e. 2014 Directive Addendum and 2015 Directive Addendum). 23. Does the government intend to support employers by funding statutory benefit costs (e.g. CPP, EI, EHT, Holiday Pay)? The government is providing funding towards statutory contributions for employer benefits, an additional 22.7% of employee wages in connection with the PSW Wage Enhancement Initiative. 24. In addition to compensation, what are the other components of the broader strategy? In addition to compensation, the broader PSW Workforce Stabilization Strategy will address recruitment and retention issues through several other initiatives, including: Developing measures to help new PSW graduates transition into practice in the home and community care sector through on-the-job orientation ; Developing measures to create more permanent and less casual employment for PSWs in the home and community care sector in partnership with unions, employers, Community Care Access Centres (CCACs) and the ministry; and Providing opportunities to strengthen sector leadership across the profession. 8