HST a potential boon to Ontario’s tax collectors
March 11th, 2010 by katekaySource: Globe and Mail (Original Article)
Karen Howlett and Justine Hunter
Toronto and Victoria —
From Friday’s Globe and Mail
Published on Thursday, Mar. 11, 2010 8:14PM EST
Last updated on Friday, Mar. 12, 2010 10:50AM EST
Tax collectors in Ontario will fare much better than their colleagues in British Columbia as both provinces move to harmonize their retail sales levies by July 1.
The 1,250 public-sector employees in Ontario who will transfer to the federal government’s tax-collection arm will pocket as much as $45,000 in severance pay, even though they won’t lose a single day of work.
But the 300 civil servants in British Columbia who are also joining the federal government won’t get a similar generous sendoff.
Why the different approaches? Ontario Finance Minister Dwight Duncan said the government is simply honouring the terms of the province’s collective agreement with its public-sector workers. The union representing the employees said they are entitled to severance pay because, even though they will immediately land new jobs with the federal government, they will no longer work for the public service in Ontario.
“Rightly or wrongly, that’s part of the collective agreement that has been there for many years and we wanted to respect that,” Mr. Duncan told reporters Thursday.
“
Why are tax collectors getting hefty, six-month severance packages simply for changing
job titles? ”— Ted Arnott, Ontario Progressive Conservative MPP
His counterpart in British Columbia is taking a decidedly different view. These employees are not entitled to severance because their jobs are not being terminated, B.C. Finance Minister Colin Hansen asserted. They are getting transferred from one level of government to another.
“They wind up with the same job security, they wind up with the same pay rates,” Mr. Hansen said Thursday.
The transfer, however, is welcome relief for the B.C. government, which is seeking to trim cheap flights Townsville to Cairns the size of its public service by …continue reading

