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Bill 5: The Public Sector Compensation Transparency Act

January 15, 2016

Government expands ‘sunshine’ list of publicly disclosed salaries.

The Public Sector Compensation Transparency Act increases transparency by requiring the disclosure of compensation paid to a wide variety of public sector employees, appointees and others. The legislation will expand the so-called ‘sunshine’ list to include certain employees who work for agencies, boards, commissions, post-secondary institutions and health service entities.

News release: Bill 5: The Public Sector Compensation Transparency Act

Exemptions

The Public Sector Compensation Transparency Act requires public sector bodies to disclose compensation paid to employees who earn more than $125,000 by June 30, 2016. Employees may be exempted only if disclosure could unduly threaten their safety. An exemption application process is being developed, and is expected to be ready this spring. Government is consulting public sector bodies, and they will be asked for their feedback on the exemption process, as well as other subjects having to do with implementation of the act.

Fee-for-service and other payments made to physicians and other medical practitioners will also be disclosed. However, due to the complexity of physician compensation, details on implementation will be developed in consultation with Alberta Health Services and other health service entities; physician groups such as the Alberta Medical Association; physicians and other medical practitioners; and other stakeholder groups. The framework for disclosure of these types of payments will not be ready by June 30. Development of an exemption process for these types of payments will follow.

We invite you to check back periodically to see if the exemption policy and application form have been posted.

Act summary

This table summarizes the Public Sector Compensation Transparency Act:
 

Employees of public sector bodies
(Includes agencies, boards and commissions governed by the Alberta Public Agencies Governance Act, like Alberta Health Services and post-secondary institutions, and independent offices of the Legislature) as well as employees of Covenant Health and other entities identified in the regulations

Disclose names and compensation for employees whose earnings are over the $125,000 threshold. 

All remuneration, including severance, is included in the threshold calculation. The threshold calculation does not include employer pension contributions.  

If the threshold is met, all remuneration, including severance, will be disclosed. Employer pension contributions will also be disclosed.

Board members

(Includes governing boards of agencies, boards and commissions, Alberta Health Services, post-secondary institutions, Covenant Health and other entities identified in the regulations.)

Disclose names and all compensation. No threshold requirement. All remuneration, including severance, will be disclosed. Employer pension contributions will also be disclosed.

Government of Alberta employees

Rules from the existing Treasury Board Directive are moved into the act. 

Disclose names and compensation for those employees whose base salary OR severance is greater than $104,754. The threshold calculation does not include anything other than base salary or severance. 

If the threshold is met, all remuneration, including severance, will be disclosed. Employer pension contributions will also be disclosed. 

Employment and severance contracts will continue to be disclosed.

Physicians and other health service providers

Regulations will require disclosure of fee-for-service payments. 

Regulations will also require disclosure for other types of payments made by the Government of Alberta, Alberta Health Services, the Alberta Medical Association and other health-care entities such as Covenant Health.

Municipalities and school boards

Enabled, but not required to disclose the names and compensation paid to employees. 

Can create own rules around threshold amounts, etc. 

(Note: School boards are already required by the School Act to disclose the compensation paid to board members, superintendents and secretary treasurers.  

Municipalities are already required by the Municipal Government Act to disclose the salaries of councillors, the chief administrative officer and designated officers of the municipality.)