Change in Reserve Force pay structure

From: National Defence

As promised in Canada’s defence policy Strong, Secure, Engaged, Reserve Force pay is being restructured to align with Regular Force pay where the demands of service are similar.

The new methodology for the Reserve Force applies the same base pay the Regular Force receives, plus the elements of the Military Factor that apply to reservists.

The Honourable Harjit S. Sajjan, Minister of National Defence, announced the change today at the 4th Battalion, Royal 22e Régiment in Laval, Quebec.

The restructuring of pay is part of an overall vision outlined in our defence policy, Strong, Secure, Engaged, which also includes increasing the Reserve Force by 1,500 members and further integrating reservists into operations. The Reserve Force is crucial to the success of our Canadian Armed Forces. Reservists come from all walks of life, and include students, civil servants, labourers, business people, academics, and former members of the Regular Force.

Reservists will receive more money in this new system in order to more fairly compensate them for their important service. Previously, Reserve Force pay was a simple 85 percent calculation of the total Regular Force pay. Regular Force pay is composed of two parts: base pay and Military Factor. The Military Factor is a percentage added to the base salaries of Canadian Armed Forces members that compensates them for additional requirements that don’t affect most public servants.

“This important initiative laid out in Canada’s defence policy, Strong, Secure, Engaged will ensure that our Reserve Force members are fairly compensated for their service. It is a clear demonstration of how our government and all Canadians value the dedication and sacrifices of all members of our Canadian Armed Forces.”

The Honourable Harjit S. Sajjan, Minister of National Defence

“Because of the sacrifices that our military personnel make every day, Canada remains among the safest and most secure countries in the world. Whether assisting in the recent spring flood relief efforts in New Brunswick, Quebec, and Ontario, or deployed on a peacekeeping mission halfway around the world, the Reserve Forces are a vital part of the Canadian Armed Forces as a whole, and the new pay structure reflects that.”

Lieutenant-General Charles Lamarre, Command, Military Personnel Command

“The Reserve Force is an integral component of the Canadian Armed Forces and restructuring pay is just another way of integrating both components into a total force that can deliver on our defence mandate. As an organization we are always learning, growing and reviewing our programs and policies to reflect the changes we think are best for CAF, our members and their families. It’s wonderful to see this change because I think it recognizes the operational and professional commitment of the Reserves to the defence of Canada.”

Major-General Rob Roy MacKenzie, Chief of Reserves and Employer Support

Quick facts

  • The Military Factor is calculated using three military and two additional elements. The military considerations are: personal limitation and liability, separation, and posting turbulence. The two additional elements are overtime and acting for supervisors without an increase in pay.

  • The Military Factor elements that apply to reservists under the new system are: personal limitation and liability, overtime, and acting for supervisors.

  • Reservists cannot be posted to a different geographic location or be sent away from their families on an operation or exercise without their personal consent. This is different from Regular Force members, who are expected to move or deploy when directed, often frequently and on short notice; therefore separation and posting turbulence are not applied as part of the Military Factor

  • The change of calculation from 85 percent to a base pay plus Military Factor approach will result in an increase of 7.8 percent. For example, the pay rate for a first year corporal will increase from $140 to $153 a day. Basic pay for a lieutenant “A” will increase from $147.62 to $161.18 a day.

  • Reservists on Class A and Class B periods of service are paid on a daily rate, based on their rank and time in that rank. Reservists on Class C periods of service, such as those who deploy on operations, receive the same pay as Regular Force members, which is calculated at a monthly rate.

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