Canadian Manufacturing

Ontario NDP wants to cut public sector executive bonuses

Premier Dalton McGuinty has promised to review the performance pay system

August 20, 2012  by The Canadian Press

TORONTO—The Ontario New Democrats are calling for a ban on bonuses for managers and executives in the broader public sector.

NDP Leader Andrea Horwath says she plans to introduce a bill that would put a freeze on bonuses while the province is trying to rein in spending.

Her comments come after The Canadian Press reported that 98 per cent of eligible managers in the Ontario Public Service were awarded bonuses last year.

The CEO of eHealth Ontario—an embattled provincial agency mired in controversy over lavish spending—returned his $81,250 bonus after the news agency reported it.

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The bonuses have come back to haunt the governing Liberals, who are pushing for a wage freeze to help eliminate Ontario’s $15-billion deficit.

Premier Dalton McGuinty has promised to review the performance pay system, saying it doesn’t seem to be working the way it should.