Bill C-25

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	Five-year Review
Review	252. Five years after the day on which this section comes into force, the minister designated by the Governor in Council for the purposes of this section must cause a review of this Act and its administration and operation to be conducted, and cause a report on the review to be laid before each House of Parliament on any of the first 15 days on which that House is sitting after the review is completed.
	PART 2
R.S., c. F-11	AMENDMENTS TO THE FINANCIAL ADMINISTRATION ACT
	*3. Section 3 of the Financial Administration Act* is amended by adding the following after subsection (6):**
Addition to Schedule IV or V	(7) The Governor in Council may, by order, add to Schedule IV or V the name of any portion of the federal public administration
	(a) to which Part I of the Canada Labour Code does not apply; and
	(b) in respect of which a minister of the Crown, the Treasury Board or the Governor in Council is authorized to establish or approve terms and conditions of employment.
Transfers between Schedules IV and V	(8) The Governor in Council may, by order, delete the name of any portion of the federal public administration named in Schedule IV or V, in which case the Governor in Council must add the name of that portion to the other one of those two schedules, but the Governor in Council need not do so if that portion
	(a) no longer has any employees; or
	(b) is a corporation that has been excluded from the operation of Part I of the Canada Labour Code.
Application of Canada Labour Code	(9) The exclusion of a corporation from the operation of Part I of the Canada Labour Code ceases to have effect if the corporation's name is deleted from Schedule IV or V without a corresponding addition to the other one of those two schedules.
	4. The Act is amended by adding the following before section 5:
	Establishment
1991, c, 24, s. 50 (Sch. II, s. 2) (F)	5. Section 6 of the Act is replaced by the following:
	Public Officers
Duties of President	6. (1) The President of the Treasury Board holds office during pleasure and presides over meetings of the Treasury Board.
Secretary of the Treasury Board	(2) The Governor in Council may appoint an officer called the Secretary of the Treasury Board to hold office during pleasure, which officer ranks as and has the powers of a deputy head of a department.
Comptroller General of Canada	(3) The Governor in Council may appoint an officer called the Comptroller General of Canada to hold office during pleasure, which officer ranks as and has the powers of a deputy head of a department.
Delegation	(4) The Treasury Board may delegate to the President of the Treasury Board, to the Secretary of the Treasury Board, to the Comptroller General of Canada or to the deputy head or chief executive officer of any portion of the federal public administration any of the powers or functions it is authorized to exercise under any Act of Parliament or by any order made by the Governor in Council. It may make the delegation subject to any terms and conditions that it considers appropriate.
Exception	(5) Subsection (4) does not apply in respect of the Treasury Board's power to delegate under that subsection or to its power to make regulations.
Sub-delegatio n	(6) Any person to whom powers or functions are delegated under subsection (4) may, subject to and in accordance with the delegation, sub-delegate any of those powers or functions to any person under their jurisdiction.
Officers and employees	(7) The other officers and employees that are necessary for the proper conduct of the business of the Treasury Board are to be appointed in the manner authorized by the Public Service Employment Act.
	Responsibilities and Powers
	6. Paragraph 7(1)(e) of the Act is replaced by the following:
	(e) human resources management in the federal public administration, including the determination of the terms and conditions of employment of persons employed in it;
1996, c. 18, s. 3	7. Subsection 7.1(1) of the English version of the Act is replaced by the following:
Group insurance and benefit programs	7.1 (1) The Treasury Board may establish or enter into a contract to acquire group insurance or benefit programs for the federal public administration or any of its portions, may set any terms and conditions in respect of those programs, including those relating to premiums, contributions, benefits, management and control and expenditures to be made from those premiums and contributions and may audit and pay premiums and make contributions in respect of those programs.
R.S., c. 9 (1st Supp.), s. 22(1); 1992, c. 54, ss. 81(1) and (3); 1995, c. 44, s. 51; 1996, c. 18, ss. 5 and 6; 1999, c. 31, s. 101(F)	8. Sections 11 and 12 of the Act are replaced by the following:
	Human Resources Management
Definitions	11. (1) The following definitions apply in this section and sections 11.1 to 13.
``core public administration '' « administrati on publique centrale »	``core public administration'' means the departments named in Schedule I and the other portions of the federal public administration named in Schedule IV.
``deputy head'' « administrate ur général »	``deputy head'' means
	(a) in relation to a department named in Schedule I, its deputy minister;
	(b) in relation to any portion of the federal public administration named in Schedule IV, its chief executive officer or, if there is no chief executive officer, the person who occupies the position designated under subsection (2) in respect of that portion;
	(c) in relation to a separate agency, its chief executive officer or, if there is no chief executive officer, the person who occupies the position designated under subsection (2) in respect of that separate agency; and
	(d) in relation to any portion of the federal public administration designated for the purposes of paragraph (d) of the definition ``public service'', its chief executive officer or, if there is no chief executive officer, the person who occupies the position designated under subsection (2) in respect of that portion.
``public service'' « fonction publique »	``public service'' means the several positions in or under
	(a) the departments named in Schedule I;
	(b) the other portions of the federal public administration named in Schedule IV;
	(c) the separate agencies named in Schedule V; and
	(d) any other portion of the federal public administration that may be designated by the Governor in Council for the purpose of this paragraph.
``separate agency'' « organisme distinct »	``separate agency'' means a portion of the federal public administration named in Schedule V.
Designation of certain deputy heads	(2) The Governor in Council may designate any position to be the position of deputy head in respect of
	(a) any portion of the federal public administration named in Schedule IV or V for which there is no chief executive officer; and
	(b) each portion of the federal public administration designated for the purpose of paragraph (d) of the definition ``public service'' in subsection (1) for which there is no chief executive officer.
Powers of the Treasury Board	11.1 (1) In the exercise of its human resources management responsibilities under paragraph 7(1)(e), the Treasury Board may
	(a) determine the human resources requirements of the public service and provide for the allocation and effective utilization of human resources in the public service;
	(b) provide for the classification of positions and persons employed in the public service;
	(c) determine and regulate the pay to which persons employed in the public service are entitled for services rendered, the hours of work and leave of those persons and any related matters;
	(d) determine and regulate the payments that may be made to persons employed in the public service by way of reimbursement for travel or other expenses and by way of allowances in respect of expenses and conditions arising out of their employment;
	(e) subject to the Employment Equity Act, establish policies and programs with respect to the implementation of employment equity in the public service;
	(f) establish policies or issue directives respecting the exercise of the powers granted by this Act to deputy heads in the core public administration and the reporting by those deputy heads in respect of the exercise of those powers;
	(g) establish policies or issue directives respecting
	(i) the manner in which deputy heads in the core public administration may deal with grievances under the Public Service Labour Relations Act to which they are a party, and the manner in which they may deal with them if the grievances are referred to adjudication under subsection 209(1) of that Act, and
	(ii) the reporting by those deputy heads in respect of those grievances;
	(h) establish policies or issue directives respecting the disclosure by persons employed in the public service of information concerning wrongdoing in the public service and the protection from reprisal of persons who disclose such information in accordance with those policies or directives;
	(i) establish policies or issue directives respecting the prevention of harassment in the workplace and the resolution of disputes relating to such harassment; and
	(j) provide for any other matters, including terms and conditions of employment not otherwise specifically provided for in this section, that it considers necessary for effective human resources management in the public service.
Limitation	(2) The powers of the Treasury Board in relation to any of the matters specified in subsection (1)
	(a) do not extend to any matter that is expressly determined, fixed, provided for, regulated or established by any Act otherwise than by the conferring of powers in relation to those matters on any authority or person specified in that Act; and
	(b) do not include or extend to
	(i) any power specifically conferred on the Public Service Commission under the Public Service Employment Act, or
	(ii) any process of human resources selection required to be used under the Public Service Employment Act or authorized to be used by the Public Service Commission under that Act.
Delegation by Governor in Council	11.2 (1) The Governor in Council may delegate to the minister of the Crown responsible for a separate agency, or to its deputy head, any of the powers or functions of the Governor in Council or the Treasury Board in relation to human resources management in that separate agency, subject to any terms and conditions that the Governor in Council directs.
Sub-delegatio n	(2) Any person to whom powers or functions are delegated under subsection (1) may, subject to and in accordance with the delegation, sub-delegate any of those powers or functions to any person under their jurisdiction.
Powers of deputy heads in core public administration	12. (1) Subject to paragraphs 11.1(1)(f) and (g), every deputy head in the core public administration may, with respect to the portion for which he or she is deputy head,
	(a) determine the learning, training and development requirements of persons employed in the public service and fix the terms on which the learning, training and development may be carried out;
	(b) provide for the awards that may be made to persons employed in the public service for outstanding performance of their duties, for other meritorious achievement in relation to their duties or for inventions or practical suggestions for improvements;
	(c) establish standards of discipline and set penalties, including termination of employment, suspension, demotion to a position at a lower maximum rate of pay and financial penalties;
	(d) provide for the termination of employment, or the demotion to a position at a lower maximum rate of pay, of persons employed in the public service whose performance, in the opinion of the deputy head, is unsatisfactory;
	(e) provide for the termination of employment, or the demotion to a position at a lower maximum rate of pay, of persons employed in the public service for reasons other than breaches of discipline or misconduct; and
	(f) provide for the termination of employment of persons to whom an offer of employment is made as the result of the transfer of any work, undertaking or business from the core public administration to any body or corporation that is not part of the core public administration.
Powers of other deputy heads	(2) Subject to any terms and conditions that the Governor in Council may direct, every deputy head of a separate agency, and every deputy head designated under paragraph 11(2)(b), may, with respect to the portion of the federal public administration for which he or she is deputy head,
	(a) determine the learning, training and development requirements of persons employed in the public service and fixing the terms on which the learning, training and development may be carried out;
	(b) provide for the awards that may be made to persons employed in the public service for outstanding performance of their duties, for other meritorious achievement in relation to their duties or for inventions or practical suggestions for improvements;
	(c) establish standards of discipline and set penalties, including termination of employment, suspension, demotion to a position at a lower maximum rate of pay and financial penalties; and
	(d) provide for the termination of employment, or the demotion to a position at a lower maximum rate of pay, of persons employed in the public service for reasons other than breaches of discipline or misconduct.
For cause	(3) Disciplinary action against, or the termination of employment or the demotion of, any person under paragraph (1)(c), (d) or (e) or (2)(c) or (d) may only be for cause.
Limitation	12.1 Section 11.1 and subsection 12(2) apply subject to the provisions of any Act of Parliament, or any regulation, order or other instrument made under the authority of an Act of Parliament, respecting the powers or functions of a separate agency.
Delegation by deputy head	12.2 (1) A deputy head may delegate to any person any of the deputy head's powers or functions in relation to human resources management, subject to any terms and conditions that he or she directs.
Sub-delegatio n	(2) Any person to whom powers or functions are delegated under subsection (1) may, subject to and in accordance with the delegation, sub-delegate any of those powers or functions to any other person.
National Joint Council agreements	12.3 (1) Despite any other Act of Parliament, if the employment of an employee is terminated under paragraph 12(1)(f), agreements of the National Joint Council, other than agreements of the National Joint Council that are related to work force adjustment, cease to apply to the employee immediately before the termination of employment, unless the termination of employment was the result of the transfer of any work, undertaking or business from the core public administration to any body or corporation that is
	(a) a separate agency; or
	(b) another portion of the federal public administration designated by the Governor in Council for the purpose of paragraph (d) of the definition ``public service'' in subsection 11(1).
Accrued benefits	(2) Her Majesty in right of Canada, as represented by the Treasury Board, continues to be responsible for any obligation of Her Majesty in respect of benefits arising out of agreements of the National Joint Council that had accrued to employees of a body or corporation immediately before the date of the transfer referred to in subsection (1).

Bill C-25

Five-year Review

PART 2

AMENDMENTS TO THE FINANCIAL ADMINISTRATION ACT