Replacing Phoenix pay system cheaper than fixing its mess, PBO reports

Buying a new computer system for public servants’ pay, testing it and training people to use it should cost about $57 million

Parliament’s spending watchdog says the cost of building and putting in place a new pay system for federal civil servants should pale in comparison to stabilizing the failed Phoenix system.

In a report released today, the Parliamentary Budget Office says buying a new computer system for public servants’ pay, testing it and training people to use it should cost about $57 million over six years.

That’s on top of the $2.6 billion the PBO estimates it will cost to stabilize Phoenix and correct the data that’s currently being used to calculate paycheques for government employees.

But the PBO says much depends on the complexity of the new system and whether it will work any better than the current one.

READ MORE: Government to take ‘entirely different approach’ to replace Phoenix pay system

The PBO also predicts it will cost between $101.9 million and $105.7 million annually to operate a new pay system, beginning in 2024, which is says should result in significant savings compared with what the government has spent on pay systems previously.

In 2018 the Trudeau government earmarked $16 million over two years to begin searching out a replacement for Phoenix. But there was no new money set aside in the latest budget for a new system.

Phoenix has caused massive headaches for federal employees since it was launched in 2016, delivering underpayments, overpayments and in many cases no pay at all.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

“Let’s break the silence because we can”

Missing and Murdered Indigenous Women’s awareness walk held Saturday in Fort St. James

New community library aims to foster positive community feelings

Vanderhoof resident has set up a little library in front of her property at the end of Lebler Road.

Vanderhoof politician running for president of UBCM

Brian Frenkel, municipal councillor, was the first Vice-President for the Union of BC Municipalities in 2019.

“Nature defines my art”: Bethany Giesbrecht, painter

This story is part of a weekly series showcasing artists in the region

Vanderhoofian nominated for the Premier’s Awards

Phil Turgeon has been nominated by the Ministry of Children and Family Development under the Leadership category.

STANDING TALL: For some, B.C.’s forest industry is the best office in the world

A look at the forest sector in B.C. – and those hoping for the best – amid mill curtailments

Teen killer Kelly Ellard gets day parole extension, allowing up to 5 days at home

Ellard is serving a life sentence for the 1997 murder of 14-year-old Reena Virk

Andrew Scheer likely marking last day in House of Commons as Opposition leader

Today’s Commons sitting is one of two scheduled for August

Deaths feared after train derails amid storms in Scotland

Stonehaven is on the line for passenger trains linking Aberdeen with the cities of Edinburgh and Glasgow

DFO says 5 aggrieved B.C First Nations were consulted on fisheries plan

Nuu-chah-nulth First Nations calls response ‘a sham,’ adding DFO never incorporates their views

Lower Mainland woman gives birth on in-laws’ driveway

Frédérique Gagnon new son is appropriately named after Norse trickster god

Man, 54, charged in connection with fatal attack of Red Deer doctor

Doctor was killed in his walk-in clinic on Monday

UPDATE: Two dead after fishing boat sinks off southern Vancouver Island

Shawnigan Lake-registered Arctic Fox II went down off Cape Flattery, west of Victoria

Most Read