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.

Just Posted

Housing provided for women and children fleeing violence in Penticton

Announcement on Friday is part of a provincewide initiative to construct additional housing.

People’s Party of Canada leader talks B.C. trade to Penticton supporters

Maxime Bernier, head of the new federal political party, spoke at Time Winery on Friday

Luke Skywalker makes an appearance in Penticton court

KVR Middle Schoolers get firsthand experience at the Penticton Courthouse

Keremeos council members plant tree to celebrate local government

It is the 100th anniversary of the Local Government Management Association of B.C.

Okanagan-Shuswap weather: weekend rain

Environment Canada forecasts continuing bad weather for the start of the weekend

New airline regulations bring compensation for tarmac delays, over-bookings

Some of the new regulations will roll out in July, while others are expected for December.

Five takeaways from the Court of Appeal ruling on B.C.’s pipeline law

It’s unclear how many tools are left in B.C.’s toolbox to fight the project

PPC leader wants to appeal to voters’ intelligence

Maxine Bernier says his right-wing populist political movement differs from that of U.S. President Donald Trump and other similar European leaders

Sit-in on Saturday will protest move to curb loitering in Penticton’s downtown

Nanaimo Square Sit-In is taking place from 10 a.m. to 2 p.m.

Friend of accused Kelowna murderer takes the stand

Elrich Dyck’s testimony continued Friday with details from the night Chris Ausman was killed

Crews respond to smoke at Penticton thrift store

The rooftop A/C unit began filling the building with smoke, prompting them to evacuate

Princeton RCMP recover stolen homework and save the grade

It’s a slightly better excuse than “the dog ate my homework.” Earlier… Continue reading

New Summerland distillery has received recognition

Alchemist Distiller won audience choice award at recent competition

Scheer says it would take Conservatives five years to balance budget

Scheeraccused the Liberal government of spending $79.5 billion of previously unbudgeted funds

Most Read