1.1 Effective Date
1.1.1 This Directive comes into effect January 1, 2021.
1.2 Purpose and Scope
1.2.1 The purpose of this directive is to ensure fair treatment of employees authorized by the employer to relocate to a new principal residence at a new regular workplace consistent with the principles above. The aim is to relocate an employee in the most efficient fashion, at the most reasonable cost to the public while having a minimal detrimental effect on the employee and his/her family and on departmental operations.
1.2.2 This directive provides a personalized approach for each participant’s particular needs. It has two facets:
- a policy formula that marries direct reimbursement of expenses, over which the employee has little control, and an individualized approach to benefits providing an opportunity for the employee to select what is best for him/her (within a given Fund) given his/her own family or unique circumstances; and
- a contract with a CRSP who will provide the employee with professional assistance at every step of the relocation with the view of presenting the employee with every reasonable opportunity to maximize the available benefits. This includes relocation planning, marketing assistance and destination services along with several other enhanced relocation services.
1.2.3 This directive will ensure access to professional relocation services advice at every step of the employee’s move. An employee makes the final decision to accept or reject professional advice provided.
1.2.4 This directive and any limitations thereto are published as policy and not as permissive guidelines. Discretion, be it at the employee, managerial or departmental level, shall be confined to those provisions where discretion is specifically authorized.
1.2.5 Relocation expenses must be directly attributable to the relocation, and must be clearly reasonable and justifiable. They must not upgrade the financial position of the employee and must be supported by receipts as stipulated within this directive. The provisions shall provide only for the employee’s legitimate expenses, without opening the way for personal gain or for the underwriting of extravagances.
1.2.6 Entitlements not identified within this directive will not normally be reimbursed unless deemed to result from exceptional circumstances. Deputy head or delegated departmental authority is required for payment of such expenses.
1.2.7 Employees requesting reimbursement of entitlements not identified within this directive must provide a written submission to the Departmental National Coordinator (DNC) who shall then forward the submission with its recommendation to the deputy head or delegated departmental authority for approval.
1.2.8 The applicable rates and allowances contained in the NJC Travel Directive, as modified from time to time by the NJC, shall form part of this directive unless otherwise stated within this directive. They shall be applied to all eligible participants irrespective of age, sex, marital or family status, or disability.
1.2.9 Travel and shipment of household goods and effects (HG&E) provisions shall comply with the provisions of the current NJC Travel Directive and the Household Goods Removal Service contract, unless otherwise specified in this directive.
1.3.1 Inquiries concerning the shipment of personal and household effects and automobiles should be directed to the Central Removal Service (CRS).
1.3.2 Inquiries concerning commercial travel and accommodation reservations should be directed to the Government of Canada Travel Service Supplier.
1.3.3 Inquiries concerning tax should be directed to Canada Revenue Agency (CRA).
1.3.4 Inquiries regarding the provisions of this directive should be directed to Departmental National Coordinators (DNC).
1.4.1 This directive applies to employees who work in:
- all departments and other portions of the public service of Canada listed in Schedules I and IV of the Financial Administration Act; and
- organizations listed in Schedule V of the Financial Administration Act that are members of the NJC and that have opted to follow this directive.
1.4.2 Subject to section 2.1 Authorization, this directive applies to:
- term employees appointed to indeterminate positions;
- term employees whose period of employment is to be longer than one (1) year;
- employees on assignment of more than one (1) year’s duration;
- employees on Leave Without Pay (LWOP) for less than one (1) year; or
- employees on priority status in accordance with the Public Service Employment Act (PSEA) and the Public Service Employment Regulations (PSER) or employer-specific priority status policies.
Where the assignment and/or term is for less than three (3) years, the provision on sale and purchase of property will not apply (see section 13.5).
1.4.3 The 40 km rule: should the relocation not meet the 40 km rule, relocation benefits may be taxable.
1.4.4 Normally, relocation shall only be authorized when the employee’s new principal residence is at least 40 km (by the shortest usual public route) closer to the new place of work than his/her previous residence, in accordance with subsection 248(1) of the Income Tax Act.
1.4.5 The formula for calculating the distance can be found in Appendix A (CRA’s form T1-M E (99) “Claim for Moving Expenses.”).
1.4.6 This directive does not apply to:
- employees whose relocation is governed by the Foreign Service Directives or other authorities (e.g. the RCMP, Canadian Armed Forces); or
- employees on educational or developmental leave within Canada and employees on assignment or interchange within and outside the public service for periods of less than one (1) year.
1.4.7 Public service organizations not referred to in subsection 1.4.1 of this directive may request to be included under this directive by the Program Authority at Treasury Board Secretariat.
1.5 Transitional Provisions
1.5.1 This directive only applies to relocations which were authorized on or after January 1, 2021. Relocations authorized prior to this date are subject to the provisions contained in the NJC Relocation Directive, effective April 1, 2009.