Health PEI Retirement Retention Incentive Program

The Retirement Retention Incentive Program (the “Program”) will provide financial incentives to help stabilize the healthcare workforce and retain retirees past their 2023 retirement date. Subject to the Program terms and conditions set out below, the Retirement Retention Incentives that will be paid to eligible Employees are as follows:

• Up to $2500 for eligible unionized employees employed by Health PEI in exchange for a six (6) month Return in Service Agreement for the applicable Program Term. The calculation of Retirement Retention Incentive payments will be prorated based on hours worked to a maximum of 975 hours.  
• Up to $5000 for eligible unionized employees employed by Health PEI in exchange for a one (1) year Return in Service Agreement for the applicable Program Term. The calculation of Retirement Retention Incentive payments will be prorated based on hours worked to a maximum of 1950 hours.  

The calculation of Retirement Retention Incentive payments will be prorated based on hours worked in the UPSE, CUPE, IUOE, and PEINU bargaining units only.  

The following is an overview of the specific terms and conditions for application and participation in the Program. 

Application Deadline 

All applications to the Program must be made no later than June 30, 2023.

Applications will be processed as they are submitted.

Eligibility Requirements

Unionized employees who belong to the UPSE, CUPE, IUOE, or PEINU bargaining units and are employed by Health PEI (collectively referred to as the “Employees”) who are retiring in 2023 are eligible to apply for the Program.  

To be eligible for the Program, Employees must be eligible to retire as defined by the Public Sector Pension Plan (PSPP) and provide in writing their intended 2023 retirement date. Employees who are at least 55 years of age and have two years of continuous service from the date they begin to contribute into the PSPP are eligible to retire and access their pension as per the Public Sector Pension Plan Act. The Employee’s Program Term, outlined below, would begin on their intended 2023 retirement date.   

Full-time and part-time Employees are eligible to apply for the Program. 

Employees on leave (e.g., sick leave, leave of absence, compassionate leave, injury on duty leave, etc.) are eligible to apply for the Program. However, the Retirement Retention Incentives for employees on leave would be prorated based on their hours worked during the term of the Program to a maximum of 975 hours for a six (6) month or 1950 hours for a one (1) year Return in Service Agreement.  

Only hours worked within the UPSE, CUPE, IUOE, and PEINU bargaining units are eligible and will be prorated to a maximum 975 hours for a six (6) month or 1950 hours for a one (1) year Return in Service Agreement.  

To be eligible for the Program, Employees must be employed by Health PEI, submit an application to participate in the Program prior to the deadline of June 30, 2023 and agree to a Return In Service Agreement containing the terms and conditions for participation in the Program. All applications will be reviewed for eligibility.

Program Term

Employees may agree to an initial Program Term in the Return in Service Agreement of six (6) months or one (1) year, beginning on the Employee’s intended retirement date and ending on the Employee’s effective retirement date. At the expiration of the Program Term, the Employee’s retirement from Health PEI will be effective.   

For the purposes of clarity, if an eligible Employee agreed to a six (6) month Return in Service Agreement and their intended retirement date was November 1, 2023, their Program Term would commence on November 1, 2023 and end on the adjusted date of May 1, 2024 at which point they would retire. 

For the purposes of clarity, eligible Employees must remain employed with Health PEI during their applicable Program Term. Subject to an exception for extenuating circumstances, which is discussed in the Retention Incentive Payments section below, an eligible Employee who voluntarily leaves employment with Health PEI or has their employment terminated for just cause during their applicable Program Term would not be eligible for payment of the incentive.  

Retention Incentive Payments

Subject to the exceptions outlined below, payments of the Retention Incentive to eligible Employees who applied to participate in the Program prior to the deadline, and agreed to a Return In Service Agreement containing the terms and conditions for participation in the Program will be made in the following manner: 

1. Payments to Employees who agreed to a Return in Service agreement under this Program would be made on or prior to their final pay with Health PEI.   

The calculation of the Retirement Retention Incentive will be prorated based on hours worked by the employee in their bargaining unit (e.g. UPSE, CUPE, IUOE, or PEINU). To achieve the maximum amount for a six (6) month Program Term the employee must work 975 hours and 1950 hours for a one (1) year Program Term.  

The calculation of the proration of the incentive hours will include time worked plus paid time off from the utilization of paid banks (e.g. Sick, Vacation, etc.).

Retirement Retention Incentive Payments are being made at the end with the Employee’s completion of the Program Term. This will require Health PEI to conduct a payroll reconciliation to determine the payments up to maximum amounts described for each agreed upon Program Term.  

For purposes of clarity, if the eligible employee is a Service Worker, has agreed to a six (6) month Return In Service Agreement:

1. In the six (6) month Program Term, the Employee worked 780 hours therefore they would receive a payment of $2000 (780 hours/975 hours X $2500) on or prior to their final pay with Health PEI.    

In the event that an eligible Employee voluntarily leaves employment with Health PEI or has their employment terminated for just cause during the Program Term, the Employee would not be eligible to receive an incentive for the Program Term that was not completed.  

The exceptions are as follows: 

In the event that an Employee who is faced with extenuating circumstances and is unable to complete their Program Term, they may be released from the Return In Service Agreement at the discretion of the Employer. Employees who are faced with extenuating circumstances, receive approval from the Employer to be released from their Return In Service Agreement, and has completed at least six (6) months of their Program Term would receive a prorated incentive amount based on their hours worked in the associated Program Term.  

Employees who are faced with extenuating circumstances and are unable to complete their Program Term are required to contact their Human Resources Coordinator. Employees who have informed the Employer in writing they can no longer continue with the Program will not be required to work beyond the date they have informed the Employer; however, if the employee is able to continue to provide a working notice, this would be preferred, and the working notice period shall not exceed (4) weeks.