Overview

This directive describes options for employees whose positions have been abolished. These options include resignation, retirement, and priority placement.

Unless otherwise specified, this directive applies to bargaining unit, opted out, excluded, and management employees whose positions are abolished.

Please note: This is suspended to March 30, 2020 for permanent Bargaining Unit employees due to Letter of Understanding #17 in the Collective Agreement (Employment Security). Bargaining Unit employees must refer to the Collective Agreement for the most current information.

Employee options

An employee whose position has been declared abolished and for whom the employer has not arranged continuing other employment in the Alberta Public Service or with any successor employer, or with any employer under the Public Service Employee Relations Act or with any Crown agency (including boards, corporations, agencies, and commissions) can elect to:

  • resign and receive up to two months' pay instead of notice
  • retire if eligible
  • receive consideration for priority placement within the Alberta Public Service

Resignation

Employees may resign in writing at any time before the 90-day notice period expires and be paid their regular rate to a maximum of two months' pay instead of part of the notice period.

The date of resignation determines the amount of pay employees receive. For example, if employees resign immediately or within 30 calendar days of notification, they will receive two months' pay. If they resign 60 calendar days after notification, they will receive one month's pay.

Retirement

Employees may retire under the applicable pension legislation. An employee who retires before the end of the notice period is not entitled to receive pay instead of notice.

Employees who retire at the end of the notice period receive position abolishment severance pay when they waive vested rights.

Priority placement

Employees may receive consideration for priority placement within the Alberta Public Service (see the directive Priority Placement Option).

Separation payment

Bargaining unit employees can choose to receive the separation payment for restructuring (SPR) as set out in the Letter of Understanding as an alternative to the above options. Non-bargaining unit employees can choose to receive the severance payment as set out in the Termination and Release of Employee Treasury Board Directive as an alternative to the above options. It is not necessary to have a position abolished to use the SPR. These payments are subject to the concurrence of the Public Service Commissioner or designate and the Department of Justice and Solicitor General. Departments must send copies of the signed agreements to Labour Relations, PSC.

Bargaining unit employees select this alternative during the first 14 calendar days of the written notice period. Employees who receive the separation payment are not eligible for any other position abolishment rights.

Non-bargaining unit employees select this alternative within the timeframe determined by the employer.

Time off and expenses

During the written notice period, the employing department will give the employee reasonable time off with pay to allow for interviews with prospective employers.

The employer will reimburse all reasonable associated expenses of an employee during the notice or vesting periods, including job training, interview, and relocation expenses for placement in the Alberta Public Service.

Payment of interview and relocation expenses will be in accordance with the Travel, Meal and Hospitality Expenses Policy and the Public Service Relocation and Employment Expenses Regulation (PDF, 70 KB).

Note: The department that abolishes the position is usually responsible for paying these expenses. In some cases, the receiving department may elect to pay all or part of the expenses. Advise employees to confirm these arrangements before they incur any expenses.

Refusal of arranged continuing employment

An employee who does not accept the arranged continuing other employment in the Alberta Public Service or with any successor employer, or with any employer under the Public Service Employee Relations Act or with any other Crown agency (including boards, corporations, agencies, and commissions) does not gain subsequent rights to the severance payment or consideration for priority placement within the Alberta Public Service.

About this directive

Authority: Collective Agreement, Article 15
Public Service Employment Regulation (PDF, 880 KB)
Treasury Board Directives 03/92, 09/92 and 05/93
Letter of Understanding on Separation Payment for Restructuring
Application: Organizations under the Public Service Act
Effective Date: October 1, 1997 (updated August 1, 2013)
Contact: Alberta Public Service Commission:
Labour and Employment Practices; Talent Acquisition and Mobility