Ontario board dismisses complaints from 4 former employees of OPG excluded from settlement worth thousands

The Ontario Labour Relations Board has ruled that a union did not breach its duty of fair representation when it negotiated a Bill 124 settlement that limited compensation to workers still actively employed, excluding retirees who worked during the wage restraint period.

Vice-Chair Jerry Raso dismissed complaints from four former Ontario Power Generation employees who argued the Power Workers' Union discriminated against them by accepting an agreement that provided a $10,000 lump sum payment and 2.5% wage increase only to those employed on specific eligibility dates in 2024.

The Dec. 30, 2025 decision provides guidance for employers and unions across Ontario's public sector as they navigate remedy negotiations following court rulings that declared Bill 124 unconstitutional. The wage restraint legislation had capped annual compensation increases at 1% for three years for most employees of a large range of public sector employers.

Active versus retired: drawing the line on eligibility

Ontario Power Generation offered its final position on Bill 124 remedies during 2024 collective bargaining: an additional 2.5% increase applicable to wages earned on or after April 1, 2024, and a $10,000 lump sum payment to each regular and term employee employed on the Nov. 20, 2024 ratification date. The Power Workers' Union had initially sought compensation for all employees affected...

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