A tentative agreement for a new contract for public service employees throughout British Columbia has been reached with the B.C. Government and Service Employees' Union, Finance Minister Michael de Jong announced today.

The settlement covers approximately 26,000 BCGEU members working in a wide range of occupations that provide British Columbians with the services they rely on, including health care, public safety, social services, education, environmental management and others.

The two-year agreement provides for modest wage increases, which are being funded from savings found within existing budgets, as required under government's Cooperative Gains Mandate.

As part of the agreement, the Negotiated Request for Proposal process for the privatization of liquor distribution was cancelled.

A memorandum of settlement was also reached between Professional Association of Residents of British Columbia (PAR-BC) and the Health Employers' Association of BC earlier in the month, closing out two years under the 2010 Net Zero mandate and settling a new two-year term with modest increases found within Cooperative Gains.

Further details about each agreement will be available following the ratification process by the respective members.

Quotes:

Minister of Finance Michael de Jong -

"This is a significant tentative agreement reached under the 2012 Cooperative Gains Mandate. It recognizes the respect we have for the employees who deliver important public services, and provides for modest wage increases. I would like to thank the negotiators from both sides of the table who worked hard to bring this tentative agreement forward."

"The tentative agreements announced this week show significant progress is being made, despite the tough fiscal environment. Each settlement is unique, as under this mandate, agreements depend on factors specific to each employer and sector, particularly the ability to generate savings to fund modest compensation improvements. I encourage employers and unions across the public sector to continue negotiating, because agreements can be reached.

Quick Facts:

• The new 2012 Cooperative Gains Mandate applies to all public sector employers whose collective agreements expire on or after Dec. 31, 2011.

• The key feature of the Cooperative Gains Mandate is that it provides public sector employers with the ability to negotiate modest wage increases using savings found within existing budgets.

Learn More:

Updated bargaining information is available at: http://www.fin.gov.bc.ca/psec/

Media Contact:

Jamie Edwardson
Communications Director
Ministry of Finance
250 356-2821