The federal government has begun imposing financial sanctions on Canada Life after months of outcry from public servants, retirees and their families who were left fighting for medical claims to be covered.
Public Services and Procurement Canada (PSPC) said it “is taking steps to address startup delays faced by Canada Life and has begun to apply financial consequence mechanisms under the contract,” according to a statement from spokesperson Michèle LaRose.
She said PSPC is not yet in a position to share details about the nature of the sanctions.
On July 1, 2023, the federal government transferred responsibility for the public service health insurance plan from Sun Life to Canada Life.
The company had a six-month transitional period before the government could begin assessing the level of service, according to tendering documents for the $514-million contract.
For months, the federal government has repeatedly stated that it’s prioritizing collaboration with Canada Life to improve service, before resorting to financial penalties or withholding payments.
During that time, CBC News heard from several members of the Public Service Health Care Plan (PSHCP) complaining of long waits, failing to get through to an agent and claims denied without explanation.
A spokesperson for the Professional Institute of the Public Service of Canada (PIPSC) said she hopes the sanctions will serve as a warning to motivate change, but said they’re only a first stab at fixing what’s wrong.
“These sanctions really are only to acknowledge the fact that Canada Life is not respecting its contract,” said Stéphanie Montreuil.
“It is not compensating our members. It is not ensuring that there’s a plan in place so that this does not continue to happen, so it really just is a start — and the bare minimum at that.”
Canada Life says early challenges ‘resolved’
A Canada Life spokesperson said on Wednesday that early challenges related to the transition “have been resolved.”
“Canada Life is delivering benefits under this plan in Canada within expected service levels, including answering calls within 30 seconds and processing electronic claims within 1 day on average,” the spokesperson wrote in an email.
The president of the Professional Association of Foreign Service Officers (PAPSO) said her members are frustrated and angry about delays in coverage outside Canada.
Pamela Isfeld welcomed the news of sanctions as “a positive step,” but said the government is still responsible for actually fixing the underlying problem.
“As a taxpayer, I’m happy to learn that they are not going to continue to just keep paying this very lucrative contract, even when they’re not receiving the service,” she said.
“But as the representative of 2,000 foreign service officers here in Canada, we still have the same problem with the lack of an adequate health insurance plan, especially abroad and especially in the U.S. where the problems are the worst,” Isfeld added.
“That still needs to be fixed.”
Pamela Isfeld, president and chair of the Professional Association of Foreign Service Officers, says Canadian foreign service officers have reported challenges accessing health-care coverage since MSH International took over administration of out-of-country claims. (Jean-Francois Benoit/CBC)
Subcontractor MSH International handles the international side of the plan, including emergency travel coverage and comprehensive coverage.
As far as PSPC is concerned, though, the ultimate responsibility still rests with Canada Life.
“As the contractor for this project, Canada Life is responsible for ensuring that all deliverables set out in the contract are met, including work that is subcontracted out to other companies,” LaRose said.
Struggle to get claims covered abroad
Isfeld said delays in processing member claims and those of family members are “enormous.”
“In some cases, it’s a question of large sums of money, and when the refund comes, there’s just some amount in their bank account. It doesn’t match the amount claimed and there’s no explanation,” she said in French.
That’s what happened to Sonia Rioux, who lives in Europe with her military spouse. She was waiting for a refund for medical costs from a trip to Australia in July.
The couple was in a remote region preparing for a hiking excursion when Rioux began suffering abdominal pain. It was getting worse and worse, so she went to a clinic where nurses decided to send her to the closest hospital by air for an emergency operation.
She estimates the total cost at more than $8,000. It was the end of her trip — but only the beginning of her struggles with MSH International.
Sonia Rioux says she’s still waiting for a refund of medical expenses from a trip to Australia in July. (Submitted by Sonia Rioux)
Rioux said she began her claim with MSH International at the end of August. In mid-April, she received a refund of about $2,000, without any clarity on which bill was being covered.
Rioux said she feels powerless and trapped because nothing she’s tried seems to work, leaving her with “no escape.”
“It becomes almost anxiety-inducing,” she said in French. “I won’t give up, but I find it exhausting.”
Unions looking at legal remedies
PAFSO has decided to follow the example of the Public Service Alliance of Canada (PSAC) and study all possible legal remedies to force the government to provide a functioning health plan.
“It’s the responsibility of the employer, and it’s time they find a way to fulfil it,” said Isfeld. “We haven’t ruled out any legal options at this point. Everything is on the table.”
PAFSO’s lawyers are studying whether it would be possible to get a ruling forcing the government to put in place a temporary system that would allow employers to take out private insurance, she explained.
The union has also filed a policy grievance with the Treasury Board. The document obtained by Radio-Canada states that the switch to a new insurance provider violates the collective agreement because it “doesn’t take account of the members’ rights to a functioning health insurance system.”
PSAC, Canada’s largest public sector union, filed a similar grievance in February.
The two unions are demanding all affected public servants be compensated for the harm they’ve suffered including stress and pain, as well as financial losses.
PSAC national president Chris Aylward said in a written statement he encourages all its members to file individual grievances to put pressure on the employer.
Montreuil said PIPSC is now in the process of submitting a grievance.
Government ‘working daily’ with insurer
The federal government said it is still following up with Canada Life to ensure it meets its contractual obligations.
“We are working daily with Canada Life to make it understand that the company it subcontracted for international coverage must improve the situation and ensure that contractual obligations are respected to the letter,” Treasury Board President Anita Anand said in a written statement.
“All public servants deserve the highest quality of service for their healthcare plans.”
President of the Treasury Board Anita Anand speaks during a news conference, in Ottawa on Jan. 29. (Adrian Wyld/The Canadian Press)
Treasury Board Secretariat spokesperson Joie Huynh noted that Canada Life has taken several measures to improve service since November, and that there have been “important improvements in wait times and processing delays.”
She added that Canada Life is working with MSH International to put in place an action plan for international insurance coverage.
Employees of Global Affairs Canada who are living abroad can also count on interest-free cash advances from the government to cover medical costs until they can be refunded by MSH International.
A Canada Life spokesperson said in an email that the company working with MSH International and the federal government to improve the level of service for public servants and retirees living or travelling abroad.
MSH International’s program delivery director, Jina Park, said the company has put in place measures to speed up processing times, reduce call centre wait times and prioritize urgent cases.
“We have doubled our claims processing capacity and continue to add more staff to meet demand that was higher than projected in the RFP,” she wrote in an email.
All in a Day8:46The federal government is imposing financial restrictions on Canada Life
Pamela Isfeld is the president of the Professional Association of Foreign Service Officers.
MONTREAL – One expert says entry-level pay under the tentative deal between Air Canada and its pilots could be a stumbling block ahead of a union vote on the agreement.
Under their current contract, pilots earn far less in their first four years at the company before enjoying a big wage increase starting in year five.
The Air Line Pilots Association had been pushing to scrap the so-called “fixed rate” provision entirely.
But according to a copy of the contract summary obtained by The Canadian Press, the proposed deal announced Sunday would merely cut the four-year period of lower pay to two years.
John Gradek, who teaches aviation management at McGill University, says as many as 2,000 of Air Canada’s roughly 5,200 active pilots may earn entry-level wages following a recent hiring surge.
After the airline averted a strike this week, Gradek says the failure to ditch the pay grade restrictions could prompt pushback from rank-and-file flight crew and jeopardize the deal, which is up for a vote next month.
This report by The Canadian Press was first published Sept. 18, 2024.
ROME (AP) — Salvatore “Totò” Schillaci, the Italy striker who was top scorer at its home World Cup in 1990, has died. He was 59.
Schillaci had been hospitalized in Palermo following treatment for colon cancer.
The Palermo Civico hospital said in a statement that Schillacci died on Wednesday morning after being admitted 11 days ago.
Schillaci scored six goals for Italy during the 1990 World Cup. He came on as a substitute during Italy’s opener against Austria, scored in a 1-0 victory, and went on to earn the Golden Boot awarded to the tournament’s top scorer. He only scored one other goal for Italy in his career.
Italian soccer federation president Gabriele Gravina announced that a minute of silence would be held in memory of Schillaci before all games in the country for the rest of the week.
“The uncontrollable celebrations, in which his face was the symbol of shared joy, will remain forever part of Italian soccer (history),” Gravina said. “Totò was a great player, a symbol of tenacious desire and redemption. … His soccer was full of passion. And that fearless spirit made everyone appreciate him and will make him immortal.”
Schillaci also won the Golden Ball award at the 1990 World Cup as the tournament’s top player ahead of Lothar Matthaus and Diego Maradona.
Schillaci played for Messina, Juventus, Inter Milan and Japanese team Jubilo Iwata during his club career.
“You made an entire nation dream during the Magical Nights of Italia ’90,” Inter said on its social media channels.
West Germany won the 1990 World Cup, beating Argentina in the final, while Italy beat England for third place with a winning penalty kick from Schillaci.
Roberto Baggio, who scored Italy’s opening goal in the third-place match, wrote on Instagram, “Ciao my dear friend.”
Having been born and raised in Palermo, the Palermo soccer team announced that it would hold a public viewing of Schillaci at its Renzo Barbera stadium ahead of the funeral, the Gazzetta dello Sport reported.
French soccer player Wissam Ben Yedder will stay free ahead of his trial on charges of sexual assault while intoxicated, one of his lawyers told The Associated Press on Wednesday.
Marie Roumiantseva said Ben Yedder will remain under strict judicial supervision after a woman filed a lawsuit for sexual assault earlier this month.
The 34-year-old Ben Yedder, a prolific striker in the French league, was briefly detained then released after the alleged incident in his car on the French Riviera. Ben Yedder had been stopped by police after he first refused to do so. He was then put in a jail cell.
After he was summoned to appear in court on Oct. 15 and placed under judicial supervision, the Nice prosecutor’s office appealed the decision not to remand the player in custody. The investigative chamber of the Court of Appeal of Aix-en-Provence did not grant this request and kept Ben Yedder under judicial supervision.
Ben Yedder attended a hearing Tuesday during which he offered to go to rehab. He has admitted he drove while under the influence of alcohol but has denied any sexual assault.
In a separate legal case last year, Ben Yedder was charged with “rape, attempted rape and sexual assault” over another alleged incident in the south of France.
Ben Yedder has been without a club since his contract with Monaco expired at the end of last season.
