The federal government has paid nearly $137 million to IBM to maintain the Phoenix pay system in 2019 alone.
The original contract which was signed in 2011 was valued at $5.7 million. Today it stands at a total of more than $393 million.
The public service pay system has been plagued with inefficiency resulting in hundreds of thousands of over and under payments.
!function(e,t,s,i){var n="InfogramEmbeds",o=e.getElementsByTagName("script")[0],d=/^http:/.test(e.location)?"http:":"https:";if(/^\/{2}/.test(i)&&(i=d+i),window[n]&&window[n].initialized)window[n].process&&window[n].process();else if(!e.getElementById(s)){var r=e.createElement("script");r.async=1,r.id=s,r.src=i,o.parentNode.insertBefore(r,o)}}(document,0,"infogram-async","https://e.infogram.com/js/dist/embed-loader-min.js");Contract value between IBM and the federal government
Infogram
The new improvement will hire 170 IBM employees to provide technical support for the system.
Despite the rising maintenance costs, the government is still intent on replacing the inefficient system.
In 2018, the Liberal budget earmarked $16 million over two years to find a replacement for the system.
Join and support independent free thinkers!
We’re independent and can’t be cancelled. The establishment media is increasingly dedicated to divisive cancel culture, corporate wokeism, and political correctness, all while covering up corruption from the corridors of power. The need for fact-based journalism and thoughtful analysis has never been greater. When you support The Post Millennial, you support freedom of the press at a time when it's under direct attack. Join the ranks of independent, free thinkers by supporting us today for as little as $1.
Remind me next month
To find out what personal data we collect and how we use it, please visit our Privacy Policy
