To allow pay above the minimum where justified, in order to help departments recruit and retain the best qualified candidates.

The rate of pay on appointment to the Public Service shall be the minimum of the applicable pay scale unless one of the following conditions clearly applies:

• there is a shortage of skilled labour in the field involved, as evidenced by local or regional labour market surveys from recognized institutions;
• there are unusual difficulties in filling the position with properly qualified candidates (e.g., the minimum rate of pay is not competitive with the rates offered by local or regional employers for similar duties); or
• operational conditions require the presence of a highly skilled or experienced employee who can assume the full duties of the position immediately upon taking employment (e.g., no alternative left but to pay above the minimum as training a novice employee would impose an unacceptable burden on the employing department).

This policy applies to all departments and other portions of the Public Service listed in Part I of Schedule I of the Public Service Staff Relations Act.

Any pay rate set above the minimum on appointment from outside the Public Service must be approved by the deputy head or his or her delegate.

Departments must keep records for a period of three years of cases of pay above the minimum as described in this policy. In monitoring a department's administration of this policy, the Treasury Board Secretariat will rely on the evidence justifying the decision to pay above the minimum. Such evidence may include labour or wages survey reports and a description of the concerned positions.

• Relevant collective agreements
• Terms and conditions of employment (TBM, Compensation volume, chapter 1-1)
• Pay rate selection (TBM, Pay administration volume, chapter 3)

This chapter replaces chapter 1-21 of PMM volume 8.

Enquiries about this policy should be referred to the responsible officers in departmental headquarters who, in turn, may direct questions regarding policy interpretation to the following: