Phoenix Error Sparks Retirement Fears for Federal Worker

A federal public servant in Ottawa expressed deep concerns over the government's early retirement incentive program, stating she is too afraid to participate after receiving a demand to repay approximately $10,500 due to an error in her pay records handled by the troubled Phoenix payroll system.

Jennifer MacDougall, who works for the federal government, received the notice from the pay centre in February. The issue dates back to 2014 through 2018, when her position was reclassified, resulting in underpayment. She received retroactive compensation in 2019, but officials now claim the adjustment was entered incorrectly into Phoenix, creating an overpayment that requires repayment. MacDougall is contesting the decision, noting her case remains under review. Under the Crown Liability and Proceedings Act, the government has six years to pursue such debts.

"The whole thing is just so crazy," MacDougall said. The situation has caused significant stress, she added: "It's giving me anxiety, it's giving my husband anxiety and it's affecting my ability to confidently retire."

The early retirement offer stems from the most recent federal budget, aimed at reducing the public service...