Merit Increases Directive

1. Effective date

March 18, 2011

2. Original date

December 1996

3. Date last revised

June 26, 2008

4. Purpose

The purpose of this directive is to specify the principles and responsibilities for granting merit increases. This directive is created under the authority of s. 43(1) of the Public Service of Ontario Act (PSOA), 2006, and supports the Management Board of Cabinet Compensation Directive and the Human Resource Management Directive.

5. Application and scope

Except where specifically set out in this policy, provisions of the Human Resource Management Directive apply.

This directive applies to public servants hired under s. 32 of the Public Service of Ontario Act, 2006 (PSOA) that includes regular employees in ministries and Commission public bodies, except those who are in the Senior Management Group and Deputy Ministers' Compensation Plan.

This directive encompasses all salary increases based upon merit.

6. Principles

All employees, provided their work is satisfactory, will progress to the maximum of the salary range of the class to which they are assigned.

7. Mandatory requirements

The application of individual anniversary dates varies between compensation groups. See relevant collective agreements, policies and directives for further information related to anniversary dates specific to a compensation group.

An anniversary date, where applicable, must be established for each employee, providing for systematic salary review and progression through the salary range.

The anniversary date, where applicable, must be the first of the month closest to the date of assignment. It must be retained while the employee is in a class with the same salary maximum, subject to discretionary deferral for reason of performance or extended absence. (see Merit Increase Guideline)

Providing the employee’s work performance is satisfactory, merit increases must be at least annual or semi-annual, as outlined in the Class Salary Schedules, until the employee attains the maximum of the range.

Special anniversary date/merit increase provisions must be applied under the following circumstances:

• promotion of bargaining unit and excluded employees in comparable bargaining unit classes. See relevant collective agreements, polices and directives for further information related to anniversary dates specific to a compensation group.
• involuntary demotion of bargaining unit and excluded employees in comparable bargaining unit classes. See relevant collective agreements, polices and directives for further information related to anniversary dates specific to a compensation group.

8. Responsibilities

All responsibilities in the Human Resource Management Directive and the HumanResource Management Delegation of Authority Directive apply to this directive.

Employees

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy.

Managers

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy. Additional responsibilities that are specific to this policy are set out below.

• Communicate the provision of merit increases to eligible employees in a timely manner.
• Communicate and documentthe reasons for any deferral of merit increases.

Human Resource Head (Director, Ministry Strategic Business Unit)

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy.

Deputy ministers and chairs/prescribed PSC officials of Commission public bodies (CPB)

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy.

HROntario, Ministry of Government Services (MGS)

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy.

Public Service Commission

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy.

Secretary, Management Board of Cabinet

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy.

Management Board of Cabinet (MBC)

All responsibilities in the Human Resource Management Directive and the Human Resource Management Delegation of Authority Directive apply to this policy.

Appendix A – Directive revisions