News release

Arbitration Decision Accepted

About 5,700 provincial government employees will have a new contract that provides wage increases and other benefits over three years.

The Public Service Commission today, April 5, received an arbitration board's decision affecting members of the Nova Scotia Government and General Employees Union (NSGEU). The previous contract between the province and the union expired March 31, 2004.

"Now that we have accepted the decision the next step will be to implement the terms included in it," said Ron Russell, minister responsible for the Public Service Commission. "I think there are a number of positive aspects in the contract for employees. We are glad this issue has been resolved for the benefit of those directly involved and all Nova Scotians."

Highlights of the decision are:

  • a three-year contract ending March 31, 2007;
  • annual wage increases of 2.9 per cent in each of the three years and an additional two per cent wage increase on the base rate in the first year;
  • an annual mileage adjustment based on the Nova Scotia Private Transportation Index, which calculates the cost of running a vehicle; and
  • an increase in the meal allowance.

Negotiations between the province and civil servants who are members of the NSGEU are conducted under the framework of the Civil Service Collective Bargaining Act. In circumstances where government and the NSGEU cannot agree on a collective agreement, the act provides that the dispute is resolved through interest arbitration.