Information regarding LPN and Related Classifications Occupational Review. ( Salary increases; Occupational Review application; JES; Red Circling; retroactive entitlement ).

Under the terms of the current collective agreement the hourly salary for an LPN at Step 3 was $23.44 per hour as of March 31, 2013. As a result of the retroactive provisions of the collective agreement the results of the Occupational Review were implemented on April 1, 2013. As of this date the LPN 1 classification was moved to from HS 26 to HS 30. At this point a determination has to be made as to which Step on the HS 30 scale an LPN 1 would advance to.

It is NAPE’s understanding, from officials with the Human Resource Secretariat, that the Step determination will be decided in accordance with Article 15:15, of the collective agreement. This article in summary states:

“The rate of pay of an employee promoted shall be established in the new pay range (HS 30) at the nearest step which exceeds the existing rate (HS26) by at least 5%.”

When 5% is added to Step 3 of the existing rate, as of March 31, 2013 ($23.44), the LPN falls between Step 1 and 2 of the HS 30 salary scale. As a result, the employee moves to Step 2 ($25.30) of the HS30 scale. It is our understanding employees will move to step 3 ($26.63) of the HS 30 scale on the anniversary date of employment.

Effective April 1, 2014, the Step 3 rate is increased by 2% ($27.16). By this point all employees who were permanent full time and on Step 3 of the old HS 26 scale should now be on Step 3 of the HS30 scale as a result of the anniversary date adjustment.

Effective April 1, 2015 the step 3 rate is increased by 3% ($27.97). The total change, as a result of the regular salary increases and the Occupational Review, is $4.53. This covers the period from April 1, 2013 to April 1, 2015.

To calculate retroactive pay, an LPN 1 needs to follow the hourly rate difference at each change between the HS 26 scale and the HS 30 scale. This would apply to all hours worked including overtime, stat holidays, etc as an LPN 1 retroactive to April 1, 2013.

The next significant event is the implementation of the JES on April 15, 2015. The LPN 1 classification under JES has been rated as CG 29. The top of the scale for CG 29 is $27.23. This is $0.74 lower at Step 3 than the HS 30 scale. The result is the LPN1 classification will be red circled by $0.74 per hour.

Red circling protects your salary and prevents a reduction in the hourly rate. The impact of red circling occurs when the next salary increase is negotiated. At that point, if the increase is not greater than $0.74, the hourly rate will not increase and the employee will receive the increase as a bonus paid out for each hour worked. The bonus is pensionable. There will be no significant impact on LPN’s as a result of the move to CG 29 and the subsequent red circling. Once the CG 29 rate catches up to the HS 30 rate, salary increases will be paid as normal.

Note the example used all the way through is for an LPN1 at the top of the scale. The same formula, generating different amounts, can be used for all other groups positively affected by the Occupational Review