The Division will pay interest at its average cost of borrowing money for the period beginning of the contract year up to the date of payment of the amount of the retroactive pay increase awarded for that contract year.
Such interest will be paid on the gross amount of retroactive pay due, less the amount of Statutory deductions (Canada Pension Plan, Employment Insurance, Income Tax and Teachers’ Retirement Allowance Fund).
(The Association agrees to waive interest on retroactive pay for the 2018-2022 round of bargaining.)