# 2021-273 Pay and Benefits, Post Living Differential, Recovery of Overpayment

Case summary

F&R Date: 2023-02-06

The grievor contested the interpretation of the Post Living Differential (PLD) policy for the Montreal region and the recovery of the related overpayment. The grievor argued that the Canadian Armed Forces (CAF) were negligent in repeatedly authorizing the payment of a PLD allowance for an extended period in error and failing to advise him of the error in a timely manner. The grievor further argued that the geographical boundaries of the places of duty within the Montreal region, including Saint-Jean-sur-Richelieu, are incongruent and unjust in comparison to other places of duty.

The Director General Compensation and Benefits, as the Initial Authority (IA), partially granted the grievance directing that the issue of ineligible PLD payments be examined. The IA determined that while the assessment of geographical boundaries is a Commanding Officer's responsibility, a review of PLD areas would be considered as part of the regular cyclical review of the PLD policy. However, the IA found that the grievor was not entitled to receive payments of PLD based on the location of his principal residence and that he was financially obligated to return all monies paid in excess of his entitlement.

The Committee found that the grievor was overpaid an allowance to which he was not entitled for almost two years, despite his diligence in confirming his eligibility on multiple occasions and that he was aggrieved by the actions of the CAF overpaying him and the decision to recover the overpayment.

The Committee recommended that the Final Authority (FA) afford the grievor redress by directing CAF authorities to prepare a submission to Treasury Board seeking a remission order for deletion of the overpayment or in the alternative that the FA refer the grievor's claim to Director of Claims and Civil Litigation. Should neither of those options be feasible, the Committee recommended that the Chief of the Defense Staff using the authority vested in him by the the Crown consider to effect an ex gratia payment.