Arbitration panel awards 8,000 City of Ottawa workers 11.15 per cent raise over three years
CUPE 503's inside and outside workers will receive wage increases retroactive to January 2025 after an arbitration panel sided between the union's ask and the City's offer.
Reported. A news outlet found this. voche.me names the outlet and links its report. Read the original report on ca.news.yahoo.com.
An arbitration panel has awarded nearly 8,000 City of Ottawa employees a 11.15 per cent wage increase over three years, retroactive to January 2025, Yahoo News Canada reported Friday.
The workers are members of CUPE Local 503's inside and outside bargaining unit, which covers more than 500 roles across City departments. Their contract with the City expired on December 31, 2024, leaving them without an agreement for more than ten months.
What the panel decided
The panel set increases across a 2025 to 2027 contract: 3 per cent on January 1, 2025; 0.9 per cent on July 1, 2025; 3 per cent on January 1, 2026; 0.75 per cent on July 1, 2026; 3 per cent on January 1, 2027; and 0.5 per cent on July 1, 2027. The combined total is 11.15 per cent over the life of the contract.
The union had proposed 4.5 per cent annually. The City had proposed 3 per cent annually. The panel's award, at an average of 3.72 per cent per year, fell between the two positions. The panel found that the City's proposal would have given CUPE 503 workers smaller increases than other unionized City employee groups had already received, Yahoo News Canada reported.
Who is covered
The inside and outside workers of CUPE Local 503 work across City of Ottawa departments: parks, public works, facilities, transit support and other services that residents use day to day. The 8,000 figure covers both bargaining units within the local.
Budget impact
Mayor Mark Sutcliffe had said during the fall budget process that he aimed to hold property tax increases to 2.5 per cent. The arbitration decision adds a labour cost the City did not control. The City has not released a public statement on the fiscal impact of the award, and the retroactive pay from January 2025 adds a one-time cost on top of the ongoing wage increases.
The 2027 budget process, where the final year of this contract takes effect, will be the first full budget under the new council elected on October 26, 2026.
Ottawa residents can track council budget votes and council decisions through the Ottawa promise tracker.
Questions this story answers
What did the arbitration panel award City of Ottawa workers?
The panel awarded members of CUPE Local 503, which represents the inside and outside workers of the City, wage increases totalling 11.15 per cent over a three-year contract covering 2025 to 2027. The increases are: 3 per cent on January 1, 2025; 0.9 per cent on July 1, 2025; 3 per cent on January 1, 2026; 0.75 per cent on July 1, 2026; 3 per cent on January 1, 2027; and 0.5 per cent on July 1, 2027. Workers had been without a contract since December 31, 2024, so the January 2025 increase is retroactive.
How many City of Ottawa workers does this affect?
The arbitration decision covers nearly 8,000 City employees who are members of CUPE 503's inside and outside bargaining unit. These workers hold more than 500 different roles across City of Ottawa departments, according to Yahoo News Canada.
What did the union and the City each propose?
CUPE 503 proposed annual increases of 4.5 per cent for 2025, 2026 and 2027. The City of Ottawa proposed 3 per cent annually. The panel's award totals 11.15 per cent over three years, an average of 3.72 per cent per year, and fell between the two positions. The panel noted that the City's proposal would have given workers smaller raises than other unionized City employee groups had received.
When was the arbitration decision released?
The arbitration decision was rendered on Tuesday, November 10, 2026, and reported by Yahoo News Canada and CTV News Ottawa on Friday, November 14, 2026. Workers had been without a contract since December 31, 2024.
What does this mean for residents who use City services?
The workers covered by this agreement work in City departments across Ottawa, including public works, parks, facilities and other services. The City's 2026 budget and future budgets will need to account for the wage increases and any retroactive pay. Mayor Mark Sutcliffe had said during the fall budget process that he aimed to keep property tax increases to 2.5 per cent. The arbitration award adds a labour cost the City did not control. The City has not released a statement on the budget impact.
What is CUPE Local 503?
CUPE Local 503 represents the inside and outside workers of the City of Ottawa: the employees who work in City buildings and in the field across municipal departments. With nearly 8,000 members, it is one of the largest municipal unions in Ottawa. The local's members held the inside/outside bargaining unit contract with the City that expired on December 31, 2024.
What is arbitration in a labour dispute?
When a union and an employer cannot agree on a new contract, an arbitration panel hears both sides and issues a binding decision. The panel's award becomes the new collective agreement. Neither the union nor the employer can reject it. In this case, the panel reviewed the City's and CUPE 503's proposals and set wage increases that fell between the two positions.
Where can residents follow City budget decisions that affect this agreement?
Ottawa City Council sets the budget each year. Residents can track council votes on the City of Ottawa's meetings website and follow council decisions at the [Ottawa promise tracker](/on/ottawa-2026/tracker). Mayor Mark Sutcliffe's promises on fiscal matters, including his 2.5 per cent tax increase goal, are tracked at [/on/ottawa-2026/candidates/mark-sutcliffe](/on/ottawa-2026/candidates/mark-sutcliffe).
Sources
The pages this story draws on. Open one to check a claim yourself.
Found an error? Tell the editors with the corrections form. A correction is noted on the story it changes. Read our standards.
Topics
More from voche.me
