Economic Stability Dividend (ESD) announced for 2018
The Public Service Agency has calculated the Economic Stability Dividend (ESD) for 2018. The BCGEU has confirmed these calculations.
Under the terms of our Memorandum of Understanding with public sector employers, the ESD will produce a 0.4 per cent increase, which amounts to $0.1212 per hour.
The ESD was negotiated in collective agreements covering workers in direct government, health, social services, crown corporations, universities, K to 12 and other post-secondary institutions. This percent applies to all collective agreements with this memorandum. The ESD is included in several collective agreements the BCGEU negotiated in 2013 and 2014. Hourly rates of pay will reflect these increases beginning February 2018. These agreements also include general wage increases and other important improvements.
For members in direct government, the increase works out to $8.48 bi-weekly.
The ESD is also calculated on other collective agreements outside of direct government services. Those bi-weekly amounts may be different. We will communicate out as more information becomes available.
The Economic Stability Dividend is calculated on the variation between the actual growth in provincial real Gross Domestic Product (GDP) and the projected real GDP growth, provided by the provincial Economic Forecast Council. Real GDP is adjusted for inflation and is measured by Statistics Canada. It's published on a provincial basis in their report titled Real Gross Domestic Product at Market Prices in November of each year.
Similar calculations will be conducted over the next two years and could lead to ESD pay increases in February of 2019.
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