Unions and veterans decry privatization of rehabilitation services


“Our veterans fought for this country. It should be the country, the federal public-service employees that provide those services back to our veterans.”

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The Public Service Alliance of Canada and the Union of Veterans’ Affairs Employees are calling for the reversal of a multimillion-dollar federal contract that has privatized mental and physical health services for veterans.

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Last November, the federal government began contracting out all medical, psycho-social and vocational assistance services to Partners in Canadian Veterans Rehabilitation Services, a joint venture between Loblaws-owned Lifemark Health Group and the employment firm WCG International Consultants LTD. The contract was developed ahead of the expiration of the previous vocational rehabilitation services contract in December.

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At a news conference Thursday, Virginia Vaillancourt, the national president of UVAE, said the $570-million deal was hurting veterans and their families, having a disastrous impact on case managers and putting service providers out of work.

“This was a poorly thought-out plan that only benefits the contractors and its owners,” Vaillancourt said. “Our veterans fought for this country. It should be the country, the federal public-service employees that provide those services back to our veterans.”

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Chris Aylward, national president of PSAC, which represents almost 230,000 federal workers in Canada and abroad, echoed those remarks and noted that the decision to implement the new contract was made without consultation with veterans, unions or employees providing services.

“Any time public services are contracted out, it costs more money for the taxpayers with less accountability for the provider, and we don’t feel that that’s right,” Aylward said. “This was done behind closed doors with mega-corporations.”

Vaillancourt said that implementation of the new program had been delayed for months, leaving veterans without much-needed rehabilitation services.

“Veterans should never be made to wait for the services they need, but they still are waiting to this day,” she said, noting that delays had revolved around training and the transfer of information from Veterans Affairs Canada to the contractor.

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Virginia Vaillancourt, national president of the Union of Veterans Affairs Employees, says the $570-million privatization deal is hurting veterans, their families, case managers and service providers.
Virginia Vaillancourt, national president of the Union of Veterans Affairs Employees, says the $570-million privatization deal is hurting veterans, their families, case managers and service providers. Photo by Catherine Morrison /Postmedia

Steven Harris, assistant deputy minister of Veterans Affairs Canada, said in an emailed statement that PSAC had presented inaccuracies about the situation, specifically adding that consultation processes about the new contract were underway and that veterans continued to receive services and support in a timely manner.

“This program has been in place since 2006 and we have used contracted specialists to deliver rehabilitation services since then,” Harris said. “This contract does not take work away from VAC employees. The decisions related to a veteran’s rehabilitation plan remain with VAC case managers.”

According to Harris, PCVRS has a national network of more than 9,000 rehabilitation-services professionals, including psychologists, chiropractors and psychotherapists.

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“All rehabilitation program clients have access to services through PCVRS service providers and the option to continue with their existing service providers,” Harris said, adding the department was working on transitioning veterans to the new contract.

Harris said veterans were being consulted during the transition to the new PCVRS contract, with the third round of consultations underway.

“Phase A began the end November through December and included all active vocational rehabilitation participants, as well as any new participants in the program,” Harris said. “Phase B was paused in early February. It is scheduled to resume March 15 for all active medical and psychosocial participants and will continue through into Summer of 2023.”

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Harris said VAC and PCVRS staff from across the country met this week to continue to refine processes. “The knowledge and expertise established this week will assist the employees with the new rehabilitation processes,” he said.

Clayton Goodwin, a veteran and CEO of the Veterans Accountability Commission, said delivery of veterans services had been lacking for years.

“The first two years that I was a client of Veterans Affairs Canada, it was run in-house, and those were the best years,” he said. “This is a repeat of the old system. Nothing has been fixed.”

On top of rescinding the contract, Goodwin said he would like to see a review of how the veterans affairs department was being run to see how it could better serve Canada’s veterans.

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“We have gone through Conservative governments, Liberal governments, back-to-back and nothing has changed,” he said.

Christopher Banks, a veteran who served 20 years in the Canadian army, said he was concerned about whether veterans would be able to obttain the care they needed under the new contract. Diagnosed with post-traumatic stress disorder, Banks said he had “traumatizing” experiences under the previous contract and worried the new contract would offer only more of the same.

“I was treated not so much like a veteran or a client, but more as someone to get in, get paid, and then push them out the door,” he said. “I’m fortunate that I was able to be grandfathered-in on my services, but veterans who are leaving the military today, tomorrow and over the last few months are not as fortunate. They’re not being put into the system because the system under this new contract is still being developed.”

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