March 14, 2025
Questions and Answers - 2025 Cyclical Review of the Foreign Service Directives
The National Joint Council (NJC) Foreign Service Directives (FSD) Committee has developed the following questions and answers in order to provide departments, agencies and employees with clarification on the application of certain new and existing FSD provisions, effective April 1, 2025.
NJC Guide to Rates and Allowances
(1) What is the Guide to the NJC Rates and Allowances?
- The Guide to the NJC Rates and Allowances outlines the methodology used to establish various rates and allowances which apply to the FSDs. For each rate and allowance, there is a description, references to the specific provisions of the FSD, the agreed upon methodology to establish the rate or allowance, the review process, the approval process, and the communication of the decision process.
(2) Where can I find the Guide to the NJC Rates and Allowances?
- The Guide is available on the NJC website: Guide to NJC Rates & Allowances - Foreign Service Directives.
FSD 2 – Definitions
(3) Why are some definitions in FSD 2 – Definitions and others at the beginning of specific directives?
- Definitions which apply to more than one directive are found in FSD 2 – Definitions in order to simplify the directives and lighten the language. When a definition appears at the beginning of a specific directive, the definition is specific to that directive.
(4) Why is there reference to the Department of Foreign Affairs, Trade and Development in the FSD when the department is referred to as Global Affairs Canada (GAC)?
- The department’s legal name is the Department of Foreign Affairs, Trade and Development and it is referred to as such in the FSDs.
(5) When an employee becomes or ceases to be a career foreign service employee while abroad on a posting, when does the change in the headquarters occur?
- The change in the headquarters city, when applicable, commences at the time of the relocation of the employee from the post. Therefore, any FSD travel entitlements under FSD 50 – Post Travel Assistance or FSD 51 – Family Reunion will continue to be calculated based on the employee's previous headquarters city as applicable. Where there is a change in headquarters city, employees should consult FSD 16.18 – Assistance for a Principal Residence.
FSD 10 – Posting Loan
(6) Why was the minimum amount for early repayment of a posting loan increased?
- The minimum amount for early repayment was increased to recognize the administrative cost of adjusting the posting loan repayment schedule.
(7) Can post-dated cheques still be used if financial arrangements must be made to make posting loan payments?
- Yes. Post-dated cheques can still be used. The language was modernized to recognize that financial arrangements other than post-dated cheques can also be made.
FSD 15 – Relocation
(8) How was the list of provisions, which can contribute to the Relocation Expense Flexible Fund, determined?
- The list of provisions was determined based on items which employees could opt out of using and which could generate a financial incentive to build the Relocation Expense Flexible Fund.
(9) Can an employee choose to not avail themselves of other provisions to increase the amount of the Relocation Expense Flexible Fund
- No. There is no authority to increase the amount in the fund by not using provisions other than those listed in Appendix G.
(10) How was the list of items which can be claimed under FSD 15.1.8 established?
- The list of items was determined based on questions asked by employees during their relocation process and frequently requested items.
(11) Can other expenses be claimed under the Relocation Expense Flexible Fund?
- Other expenses can be considered with prior approval. Requests will be considered on a case-by-case basis. Where an expense would normally be covered by the incidental relocation expense allowance, consideration will only be given where the employee can demonstrate that the full amount of the allowance has been spent on relocation expenses as specified in FSD 15.1.10.
(12) There is a list of expenses in Appendix C of FSD 15 – Incidental Relocation Expenses Allowance. Why is there a list of expenses when this allowance is non-accountable?
- The list of expenses is provided for information. Although the allowance continues to be non-accountable, with the introduction of the Flexible Relocation Expenses Fund, expenses which are normally covered by the incidental relocation expense allowance will only be considered if an employee elects to demonstrate that the full amount of the incidental relocation expenses allowance has been used.
(13) The Relocation Travel Allowance is non-accountable. Why were clarifications added to address situations where there are different modes of travel?
- The intent of the Relocation Travel Allowance is to cover the costs of travel for the employee and the dependants. Where different modes of travel are possible, the allowance is based on the mode of travel chosen by the employee. The employee is then responsible for travelling based on the mode of travel selected.
FSD 16 – Assistance for a Principal Residence
(14) Why was the amount for house inspections added in Appendix A of FSD 16?
- The amount was added in the appendix to allow the amount to be adjusted as and when required in accordance with the methodology approved by the NJC FSD Committee and described in the Guide to NJC Rates and Allowances.
(15) Why were the amounts and rates for mortgage associated expenses added in Appendix B of FSD 16?
- The amounts and rates were added in the appendix to allow the amount to be adjusted as and when required in accordance with the methodology approved by the NJC FSD Committee and described in the Guide to the NJC Rates and Allowances.
FSD 28 – Safe Storage Expense Benefit
(16) Why was FSD 28 deleted?
- This benefit was integrated within FSD 25.15 as it relates to employees shelter during a temporary absence from post when the conditions are met. Including these benefits into FSD 25 – Shelter will make it easier for employees and administrators to find the provisions.
FSD 32 – Daycare Assistance
(17) Why was a revised methodology agreed to outside of cyclical review?
- In 2022, Ontario signed onto the new Canada-wide Early Learning and Child Care (CWELCC) Agreement, which is a five-year plan to reduce the cost of childcare to an average of $10 per day for eligible families. To limit the negative impact on employees of applying the methodology in effect on April 1, 2023, the FSD Committee requested and received approval from the NJC Executive Committee to continue to apply the April 1, 2022, rates for April 1, 2023, and to proceed with co-developing a revised methodology outside of the cyclical review process to ensure a timely implementation of a revised methodology. Refer to the communiqué issued on December 14, 2023 for more information.
FSD 39 – Health Care Expenses
(18) When do the provisions of FSD 39 – Health Care Expenses apply when Public Service Dental Care Plan (PSDCP) coverage does not cover all expenses?
The following scenarios are for an employee living abroad incurring dental services at post and assumes that the annual deductible has been paid. The amounts listed are for illustrative purposes only.
Scenario 1: An employee incurs a $100 cost for a dental exam, a routine preventive dental service.
Details
- The cost of the service is deemed to be reasonable and customary for the location, and the service is within the allowable timeframe.
- The amount submitted is within the Ontario fee guide.
- The PSDCP reimburses 90% of the cost, at $90.
- The employee pays the full co-payment amount, which is 10%, or $10.
Application of FSD 39
No part of this expense is eligible for reimbursement under FSD 39.
Scenario 2: An employee incurs a $900 cost for a crown, a major dental procedure.
Details
- The cost of the service is deemed to be reasonable and customary for the location, and the service is within the allowable timeframe.
- The amount submitted is within the Ontario dental association fee guide, which is $1,000.
- The PSDCP reimburses 50% of the cost incurred, at $450.
- The employee pays the full copayment amount, which is 50%, or $450.
Application of FSD 39
No part of this expense is eligible for reimbursement under FSD 39.
Scenario 3: An employee incurs a $1,000 cost for a crown, a major dental procedure.
Details
- The employee received a crown on the same tooth one year ago, while in Canada.
- As coverage for crowns is only once every 60 months on the same tooth, the treatment is not eligible for reimbursement under the PSDCP.
Application of FSD 39
The employee is responsible for the full amount. No part of this expense is eligible for reimbursement under FSD 39.
Scenario 4: An employee incurs a $1,200 cost for a crown, a major dental procedure.
Details
- The cost of the service is deemed to be reasonable and customary for the location, and the service is within the allowable timeframe.
- The amount submitted is above the Ontario dental association fee guide, which is $1,000.
- The PSDCP reimburses $500, which is 50% of the expense allowable under the Ontario fee guide.
- The employee remains responsible for 50% of the copayment they would have been required to pay had the service taken place in Ontario, which is $500.
Application of FSD 39
The employee may submit a claim for $200 under FSD 39. The amount reflects the $200 extra cost incurred abroad broken down as follows: $100 for the co-payment (50% of $200) and $100 for the cost of treatment not covered by PSDCP as it exceeded the Ontario fee guide. The co-payment would be reimbursed under subsection 39.1.8 and the other $100 would be covered by subsection 39.1.1.
FSD 40 – Provincial Health Insurance Premiums – Dependants Resident in Canada
(19) Why was this directive deleted?
- The provisions for provincial health insurance premiums that might be required when an employee’s dependants remain in Canada have been integrated within FSD 18 – Special Family Separation Assistance. Including the provisions in FSD 18 will ensure the provisions are known to employees in those circumstances.
FSD 49 – FSD Travel Bank
(20) Will employees be required to submit travel plans prior to receiving the allowances for FSD 50 – Post Travel Assistance and FSD 51 – Family Reunion?
- No, travel plans will no longer be required. The allowances will be issued into the FSD Travel Bank for the employee and any eligible dependants as applicable and employees will be required to certify the use of the allowance once the travel has occurred. Subsequent allowances will be issued as applicable. Approval continues to be required for family reunion to take place away from post in accordance with FSD 51.11.
FSD 56 – Foreign Service Incentive Allowances
(21) FSD 56.11 – Post Specific Allowance is also included in the FSD Travel Bank. Do employees now need to certify its use?
- No. The Post Specific Allowance is included in the FSD Travel Bank but employees do not have to certify its use.