FSD 56 - Foreign Service Incentive Allowances

Scope

Introduction

Foreign Service Incentive Allowances consist of two tax-free allowances provided as incentives to foreign service.

The Foreign Service Premium is provided as an incentive to foreign service and as such recognizes that there are disutilities and disincentives, some of which may be financial, resulting from service outside Canada. The premium varies according to the employee's family size and service outside Canada and is payable to employees to whom the Foreign Service Directives apply in accordance with FSD 3 - Application and FSD 8 - Short-Term Assignments outside Canada.

The Post Specific Allowance is a non-accountable travel allowance designed to assist employees in travelling from post and reflects 80% of return full (Y) economy air fare between the employee's post and the headquarters city or where a Y fare is not available for a specific post, 100% of the Y2 fare. This allowance is only available when an employee is not subject to the provisions of FSD 46 - Post Leave/Option.

Please refer to the Instructions at the end of this Directive for additional information or greater clarification of certain sections.

Definitions

Note: These definitions only apply to this directive.

Child (enfant) refers to a dependant as defined in FSD 2 - Definitions.

Reside with the employee at the post (partage la résidence du fonctionnaire au poste) means that the dependant resides with the employee at the post for at least 8 months of any consecutive 12-month period.

Single parent (parent célibataire) is the parent in a family unit comprising the employee and a child.

Directive

56.1 Application

56.1.1 Unless otherwise indicated, this directive applies to career foreign service employees and to foreign assignment employees. (Note: Refer to Instructions)

56.2 Foreign Service Premium

56.2.1 In accordance with this directive, the deputy head shall authorize the payment of a Foreign Service Premium to an employee on the basis of the employee's family size and service outside Canada, calculated in accordance with:

(a) Appendix A for employees who arrive at post on or after April 1, 2009, and

(b) Appendix C for employees at post prior to April 1, 2009, until the rate under Appendix A is equal to or greater than the rate under Appendix C, or the completion of posting, excluding any extension, which ever comes earlier.

56.2.2 Appendices A and C to this directive shall be updated on April 1st, 2009, and annually thereafter on April 1st, to adjust rates of Foreign Service Premium in accordance with the methodology agreed to by the National Joint Council Committee on Foreign Service Directives, and published on the Department of Foreign Affairs and International Trade's website.

56.2.3 An employee serving at a post who is receiving a Foreign Service Premium in accordance with Appendix C, shall not receive a lesser premium on April 1st than that which would have been payable on the basis of the applicable salary group in effect on the preceding March 31st.

56.3 Employee-Couple

56.3.1 Each employee of an employee-couple who is assigned to the same post shall receive the unaccompanied rate of Foreign Service Premium except that, where a dependant resides with the employee-couple at the post, one employee shall be considered as unaccompanied and the other employee as accompanied at the appropriate dependant rate.

56.3.2 Each employee of an employee-couple who is assigned to different posts shall receive the unaccompanied rate of Foreign Service Premium except that, where a dependant resides with the employee, the employee shall be considered as accompanied at the appropriate dependant rate.

56.4 Premium Rates

56.4.1 Subject to Sections 56.8 and 56.9, an employee shall be entitled to a Foreign Service Premium:

(a) at the accompanied by one dependant rate, only if:

(i) one dependant resides with the employee at the post, or

(ii) the employee is a single parent and has a child who is a dependent student as defined in FSD 2 - Definitions;

(b) at the accompanied by two or more dependants rates, only if two or more dependants reside with the employee at the post and at least one of the dependants is a child.

56.5 Foreign Service Steps

56.5.1 In determining the appropriate step of Foreign Service Premium, an employee shall receive credit for service outside Canada and progression shall be based on points earned for such service.

56.5.2 On initial assignment outside Canada, an employee shall receive the applicable Step I rate of Foreign Service Premium.

56.5.3 Subject to Section 56.10, an employee shall receive:

(a) the Step II rate of Foreign Service Premium upon accumulation of 24 points;

(b) the Step III rate of Foreign Service Premium upon accumulation of 60 points;

(c) the Step IV rate of Foreign Service Premium upon accumulation of 96 points;

(d) the Step V rate of Foreign Service Premium upon accumulation of 132 points; and

(e) the Step VI rate of Foreign Service Premium upon accumulation of 168 points.

56.6 Foreign Service Points

56.6.1 Points shall be calculated for service outside Canada:

(a) before July 1, 1975, for foreign assignment employees, at the rate of one point per month of service from October 1, 1972, or from January 1, 1973 for those employees subject to the Foreign Service Regulations on December 31, 1972,

(b) before July 1, 1975, for career foreign service employees, at the rate of one point per month of service,

(c) between July 1, 1975, and April 1, 1979, for all employees, at the rate of:

(i) 1 point per month of service at posts which were not listed in Appendix B to FSD 58 (1975),

(ii) 1.25 points per month of service at posts which were rated at Levels I and II in Appendix B to FSD 58 (1975), and

(iii) 1.5 points per month of service at posts which were rated at Levels III and IV in Appendix B to FSD 58 (1975),

(d) effective April 1, 1979, for all employees, at the rate of one point per month of service.

56.6.2 For the purpose of calculating points under this directive, an employee shall be deemed to have a completed month of service where there is an entitlement to ten compensation days of Foreign Service Premium in a calendar month, including Foreign Service Premium which is part of a maternity or parental allowance as referred to in FSD 69.4, except that during a cross-posting an employee cannot accumulate credits on the basis of two periods of ten compensation days within the same calendar month.

56.6.3 Subject to Section 56.10, points accumulated for service outside Canada are portable and non-lapsing. Consequently, progression from one step to the next higher step may occur in mid-tour.

56.6.4 In determining the rate of Foreign Service Premium under this directive, an employee shall receive credit for Foreign Service Premium points earned under the Military Foreign Service Instructions (MFSI). This provision extends to public service employees with service under the MFSI and to members of the Canadian Forces where such service qualifies as continuous employment in the public service for leave and severance pay purposes.

56.7 Effective Date

56.7.1 Except where otherwise provided, unless an employee is cross-posted from one post to another post, in which case the Foreign Service Premium shall continue without interruption, an employee's entitlement to a Foreign Service Premium shall:

(a) commence on the first compensation day following the employee's arrival at the post; and

(b) cease on the first compensation day following the employee's last day on duty at the post.

56.8 Change in Family Size

56.8.1 Where an employee is in receipt of a Foreign Service Premium in accordance with Section 56.2, the premium shall be adjusted to reflect a change in family size where a dependant:

(a) takes up permanent residence with the employee at the post; or

(b) ceases to be a dependant or takes up a separate domicile; or

(c) departs the post permanently in advance of an employee.

56.8.2 The change shall be effective on the first compensation day following the event except that, where a dependant has left the employee's post in advance of a cross-posting, such departure shall be considered as a temporary absence and the provisions of subsection 56.9.1 shall apply.

56.9 Temporary Absence of Dependant

56.9.1 Where an employee receives an accompanied rate of Foreign Service Premium in accordance with subsection 56.4.1, the premium shall be adjusted to reflect a change in family size where a dependant is temporarily absent from the employee's post for more than 25 compensation days. The change will be effective on the 26th compensation day and shall resume on the first compensation day following the return of the dependant to the employee's residence, except that:

(a) this section shall not apply to an employee who is in receipt of the "accompanied by one dependant" rate of premium where the dependant is a child under subparagraph 56.4.1(a)(ii); and

(b) in cases of absence of a dependant from the employee's post, the deputy head may authorize continued payment of the Foreign Service Premium at the appropriate accompanied rate for a period of up to six months from the date of departure of the dependant, where, in the deputy head's opinion, such continuation will facilitate operational objectives. Such cases shall be reported to the appropriate foreign service interdepartmental co-ordinating committee.

56.10 Termination of Premium

(Note: Refer to Instructions)

56.10.1 Notwithstanding Section 56.5, no premium is payable, without the approval of the deputy head, to an employee who has served seven consecutive years at the same post.

56.10.2 Notwithstanding subsection 56.6.1, where payment of the premium has been terminated in accordance with subsection 56.10.1, the employee shall cease to accumulate points for service outside Canada during the period in which payment of the premium is not authorized.

56.11 Post Specific Allowance

(Note: Refer to Instructions)

56.11.1 Subject to the provisions of subsections 56.11.4 and 56.11.5, an employee is entitled to a non-accountable Post Specific Allowance, payable on a monthly basis to reflect one-twelfth of the annual rate, in accordance with Appendix B to this directive.

56.11.2 Appendix B to this directive shall be updated annually on June 1st, to reflect 80% of return full (Y) economy air fare from the post to the employee's headquarters city. Where a Y fare is not available for a specific post, 100% of the Y2 fare shall be used for that post.

56.11.3 The intent of this allowance is to assist an employee with miscellaneous travel requirements, which are a consequence of foreign service, formerly provided under FSD 45 - Foreign Service Travel of the 1993 and 1997 Foreign Service Directives. There is no requirement for employees to maintain or provide proof of travel.

56.11.4 The Post Specific Allowance becomes payable:

(a) on June 1, 2001, for employees on posting who have not elected for the provisions of FSD 46 - Post Leave/Option, and/or who are not subject to the transitional provisions of FSD 46.2;

(b) on or after June 1, 2001, as applicable, for employees who arrive at post on or after this date and who have not elected for the provisions of FSD 46 - Post Leave/Option; or

(c) on such date as may be determined by the deputy head, subsequent to June 1, 2001, for employees who are on posting and are subject to the provisions of FSD 46.1.3(b) of FSD 46 - Post Leave/Option, having accumulated 40 days of post leave credits.

56.11.5 Except that, following receipt of a Posting Confirmation Form (or equivalent) and prior to arrival at post, an employee may request an advance of one year's Post Specific Allowance, for the purpose of a spousal job-hunting trip at the post, or for making arrangements at post for education of one or more accompanying dependants. (Note: Refer to Instructions)

Instructions

Instruction for 56.1.1 - Application

The provisions of subsection 56.1.1 also apply to employees on assignment in accordance with FSD 8 - Short-Term Assignments Outside Canada.

Instruction for 56.10 – Termination of Premium

Where an exception is made to Section 56.10, a report shall be made to the Treasury Board Secretariat outlining the program-related circumstances which justify this exception.

Instructions for 56.11 – Post Specific Allowance

1. The Deputy Minister of Foreign Affairs has been authorized to revise Appendix B to this directive, on the recommendation of the appropriate foreign service interdepartmental co-ordinating committee, in accordance with the methodology agreed to by the National Joint Council Committee on Foreign Service Directives.

2. No Post Specific Allowance is payable when an employee is subject to the provisions of FSD 46 - Post Leave/Option. Unless an employee makes an election for Post Leave (or is subject to the transitional provisions of FSD 46), the Post Specific Allowance will automatically apply, and will continue to apply until the employee requests a change.

3. An employee may elect for post leave, in accordance with FSD 46 - Post Leave/Option, in lieu of the Post Specific Allowance, at any time after the commencement of payment of the Post Specific Allowance, by advising their FSD administrator by e-mail 2 months in advance of the desired change. Employees may change their election no more than once per year.

Instruction for 56.11.5 – Post Specific Allowance

Where an advance has been authorized in accordance with subsection 56.11.5, the employee will be required to provide evidence that the allowance was used for the purpose it was issued.

Appendix A - Foreign Service Premium - Section 56.2

April 1, 2012

UNACCOMPANIED 

Steps

I

II

III

IV

V

VI

Points

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

Premium

6,502

9,751

12,678

13,945

15,340

16,567

ACCOMPANIED BY ONE DEPENDANT

Steps

I

II

III

IV

V

VI

Points

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

Premium

9,102

13,652

17,749

19,524

21,476

23,194

ACCOMPANIED BY TWO DEPENDANTS

Steps

I

II

III

IV

V

VI

Points

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

Premium

10,922

16,383

21,299

23,428

25,771

27,833

ACCOMPANIED BY THREE DEPENDANTS

Steps

I

II

III

IV

V

VI

Points

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

Premium

11,468

17,201

22,364

24,599

27,059

29,224

ACCOMPANIED BY FOUR OR MORE DEPENDANTS

Steps

I

II

III

IV

V

VI

Points

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

Premium

12,041

18,062

23,481

25,830

28,413

30,686

Note:

The dollar amounts shall be adjusted annually on April 1st in accordance with the methodology agreed to by the National Joint Council Committee on Foreign Service Directives.

Appendix B - Post Specific Allowance (PSA) - Section 56.11

The Table below reflects the PSA rates effective June 1, 2012. (Canadian Dollars Per Annum) 

Post
(alphabetical order)
PSA
2012
Abidjan, Côte d'Ivoire 5699
Abu Dhabi, United Arab Emirates 4022
Abuja, Nigeria 4250
Accra, Ghana 4234
Addis Ababa, Ethiopia 3578
Algiers, Algeria 3988
Almaty, Kazakhstan                       3820
Amman, Jordan 4148
Anchorage, Alaska, USA 3561
Ankara, Turkey 5046
Astana, Kazakhstan 3817
Athens, Greece 4482
Atlanta, Georgia, USA 3010
Auckland, New Zealand 7079
Baghdad, Iraq 4148
Bamako, Mali 5062
Bandar Seri Begawan, Brunei Darussalam 6680
Bangkok, Thailand 5992
Barcelona, Spain 4613
Beijing, China 5602
Beirut, Lebanon 3323
Belgrade, Serbia 4702
Berlin, Germany 4223
Berne, Switzerland 6871
Bogotá, Colombia 1701
Boston, Massachusetts, USA 3433
Brasilia, Brazil 4090
Bratislava, Slovakia 3533
Bridgetown, Barbados 1859
Brussels, Belgium 4837
Bucharest, Romania 4619
Budapest, Hungary 4355
Buenos Aires, Argentina 3864
Buffalo, New York, USA 1687
Cairo, Egypt 2745
Canberra, Australia 8670
Caracas, Venezuela 2678
Chandigarh, India 5003
Chennai, India 4900
Chicago, Illinois, USA 3053
Chongqing, China 6143
Colombo, Sri Lanka 5263
Colorado Springs, Colorado, USA 2401
Copenhagen, Denmark 5026
Dakar, Senegal 4928
Dallas, Texas, USA 3643
Damascus, Syria 2885
Dar es Salaam, Tanzania 4353
Denver, Colorado, USA 2280
Detroit, Michigan, USA 1609
Dhaka, Bangladesh 6022
Doha, Qatar 4097
Dubai, United Arab Emirates 4022
Dublin, Ireland 4321
Düsseldorf, Germany 4230
Geneva, Switzerland 6511
Georgetown, Guyana 5613
Guadalajara, Mexico 2042
Guangzhou, China 6170
Guatemala, Guatemala 1937
Hague, Netherlands 3958
Hamburg, Germany 4224
Hanoi, Vietnam 6050
Harare, Zimbabwe 4636
Havana, Cuba 1589
Helsinki, Finland 5323
Ho Chi Minh City, Vietnam 6064
Hong Kong, China 5609
Houston, Texas, USA 2949
Islamabad, Pakistan 3366
Istanbul, Turkey 4934
Jakarta, Indonesia 6056
Johannesburg, South Africa 4206
Juba, Sudan 7412
Kabul, Afghanistan 4573
Kandahar, Afghanistan 4809
Kathmandu, Nepal 6314
Khartoum, Sudan 6224
Kigali, Rwanda 3749
Kingston, Jamaica 1471
Kinshasa, Democratic Republic of Congo 5183
Kuala Lumpur, Malaysia 6254
Kuwait City, Kuwait 3845
Kyiv, Ukraine 4736
La Paz, Bolivia 4137
Lagos, Nigeria 4685
Libreville, Gabon                   5217
Lima, Peru 2687
Lisbon, Portugal 4877
London, England 3225
Los Angeles, California, USA 3602
Lusaka, Zambia 4206
Madrid, Spain 4866
Managua, Nicaragua 1765
Manila, Philippines 6068
Maputo, Mozambique 4061
Mexico City, Mexico 1967
Miami, Florida, USA 3245
Minneapolis, Minnesota, USA 2133
Monterrey, Mexico 2073
Montevideo, Uruguay 3752
Moscow, Russia 5363
Mumbai, India 4851
Munich, Germany 4236
Nagoya, Japan 9513
Nairobi, Kenya 3995
New Delhi, India 4871
New York, New York, USA 3117
Oslo, Norway 5347
Ouagadougou, Burkina Faso 5676
Palo Alto, California, USA 2666
Panama City, Panama 1589
Paris, France 4703
Philadelphia, Pennsylvania, USA 2486
Phnom Penh, Cambodia 6122
Phoenix, Arizona, USA 3773
Port-au-Prince, Haiti 1809
Port of Spain, Trinidad and Tobago 2268
Prague, Czech Republic 6101
Pretoria, South Africa 4206
Quito, Ecuador 1823
Rabat, Morocco 4694
Raleigh-Durham, North Carolina, USA 2221
Ramallah, West Bank 3119
Reykjavik, Iceland 1679
Riga, Latvia 4545
Rio de Janeiro, Brazil 3831
Riyadh, Saudi Arabia 4031
Rome, Italy 3681
San Diego, California, USA 3306
San Francisco, California, USA 5364
San José, Costa Rica 1307
San José, California, USA 2658
San Salvador, El Salvador 3005
Santiago, Chile 4172
Santo Domingo, Dominican Republic 1525
São Paulo, Brazil 3828
Sarajevo, Bosnia and
Herzegovina                    
4669
Seattle, Washington, USA 3211
Seoul, South Korea 3787
Shanghai, China 5605
Singapore, Singapore 6157
Stockholm, Sweden 4882
Sydney, Australia 8373
Taipei, Taiwan 6590
Tegucigalpa, Honduras 1719
Tehran, Iran 5348
Tel Aviv, Israel 3040
Tokyo, Japan 9122
Tripoli, Libya 4881
Tucson, Arizona, USA 2488
Tunis, Tunisia 3419
Ulaanbaatar, Mongolia 4550
Vatican City, Vatican 3681
Vienna, Austria 3478
Vilnius, Lithuania 5273
Warsaw, Poland 4855
Washington, D.C., USA 2980
Wellington, New Zealand 7061
Yaoundé, Cameroon 4687
Zagreb, Croatia 5315

Note:

The dollar amounts shall be adjusted annually on June 1st in accordance with the methodology agreed to by the National Joint Council Committee on Foreign Service Directives.

Appendix C - Transitional Table - Foreign Service Premium - Section 56.2

April 1, 2012

UNACCOMPANIED

Salary ranges

Steps

 

I

II

III

IV

V

VI

 

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

$105,974 to
$132,468

6,593

9,898

13,192

14,510

15,829

17,150

$ 132,469
& over

6,885

10,327

13,765

15,141

16,522

17,899

ACCOMPANIED BY ONE DEPENDANT

Salary ranges

Steps

 

I

II

III

IV

V

VI

 

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

$105,974 to
$132,468

9,073

13,610

18,142

19,682

21,772

23,583

$ 132,469
& over

9,464

14,197

18,929

20,540

22,717

24,607

ACCOMPANIED BY TWO OR MORE DEPENDANTS

Salary range

Steps

 

I

II

III

IV

V

VI

 

(0-23)

(24-59)

(60-95)

(96-131)

(132-167)

(168+)

$105,974 to
$132,468

11,134

16,700

22,261

24,491

26,712

28,935

$ 132,469
& over

11,619

17,422

23,222

25,553

27,870

30,201

Note:

The dollar amounts shall be adjusted annually on April 1st in accordance with the methodology agreed to by the National Joint Council Committee on Foreign Service Directives.