Nova Scotia agrees $470 million payout to public workers over Bill 148 wage limits
The Nova Scotia government will pay an estimated $470 million to about 81,000 public-sector employees as compensation for the wage-restriction law Bill 148.
Nova Scotia’s government has committed to a $470 million compensation package for roughly 81,000 public-sector employees impacted by Bill 148. Finance Minister John Lohr said the cost is reflected in the province’s 2025-26 budget. The settlement stems from a provincial Supreme Court decision by Justice Ann Smith, which found the 2015-introduced, 2017-enacted legislation substantially interfered with union Charter rights.
Bill 148 imposed wage caps and eliminated long-service awards for nearly all public workers over a four-year span. A lawyer for the Nova Scotia Justice Department explained that the remedy addresses the rights breach caused by the law. The government must obtain Justice Smith’s sign-off before the payout can be implemented.
Why it matters
It shows how courts can force governments to financially remedy policies that infringe workers' constitutional rights.
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