PSAC welcomes a recent decision from the Federal Public Sector Labour Relations and Employment Board that allows our grievances over problems with the Public Service Health Care Plan to move forward.
The Employer had made objections to the grievance being heard at all in an attempt to prohibit us from obtaining damages or other resolutions for the failed transition. But in a clear victory for PSAC, this decision confirms that our union can challenge the ongoing problems members have faced since the government moved the health care plan to Canada Life. Members have dealt with long delays, unpaid claims, and poor service, and the Board agreed these are not one-time issues but problems that have continued over time. This ruling means PSAC can keep pushing for accountability and real solutions for members who have been affected.
The ruling also provides important context about how these issues can be addressed. While individual claim denials continue to go through a separate appeal process, the Board confirmed that broader failures in how the plan is run can still be challenged through the grievance process. Since the transition from Sun Life to Canada Life in July 2023, PSAC has raised serious concerns about service breakdowns and their impact on workers and their families.
Next steps
PSAC will continue this fight to make members whole, which aligns with what the parliamentary committee has recommended. We expect the hearing on the grievance itself to be scheduled in the coming months.

