Perfect storm

Structural issues, job evaluations and retro-pay drive County staff earnings higher

A combination of one-time factors and long-standing structural issues led to a sharp increase in the number of County employees on Ontario’s Sunshine List, according to a new report presented to Council.

The 2025 Public Sector Salary Disclosure shows 92 Prince Edward County employees earned more than $100,000, up from 64 in 2023—a 43 per cent increase.

Director of Finance Arryn Mc- Nichol told Council the spike was largely the result of a “perfect storm” of circumstances.

“This year was certainly atypical in that we had a number of things happen that increased the number of employees that ended up on the list,” McNichol said. “We had joint job evaluations that came into play and the retro-pay associated with that. And then we had some collective agreements that were negotiated that Council’s aware of where there was also retro payments. We thought it was important to outline the context around some of these increases.”

His report notes the Sunshine List also reflects gross taxable earnings, not base salary, meaning figures can include overtime, retroactive pay, and lump-sum payments. It also captures earnings paid within a calendar year, regardless of when they were earned.

Despite those explanations, several councillors raised concerns about the scale of the increase and its financial implications.

Councillor Braney called the growth “deeply concerning,” noting the number of employees on the list has risen significantly without a comparable increase in population. The total compensation for those 92 employees now exceeds $12 million.

“At a time when our municipality is facing a significant infrastructure gap, rising water rates, and increasing financial pressures, this figure becomes a lightning rod for taxpayers,” said Braney.

He questioned how the increase occurred without noticeable improvements in service delivery.

“Residents are asking valid questions about priorities and fiscal responsibility,” he added.

CAO Adam Goheen said the municipality is already taking steps to address concerns through a series of reviews approved in the 2026 budget. Those include a service delivery review, an organizational review, and a non-union compensation review.

The service delivery and organizational review is about halfway complete, with an interim update expected in April and final results later this year.

“That’s part of making sure we’re the right size for the services we provide and have the right people in the right places,” said Goheen.

The compensation review will compare County salaries to similar municipalities to determine whether pay levels are appropriate.

“We need to be accountable to taxpayers and ensure that compensation is in line,” he added.

Councillor Phil St. Jean said it is important to ensure the County is neither overpaying nor underpaying staff, noting past challenges with employee retention.

“We’ve seen higher voluntary exits because we were not paying what the market bears,” he said.

Goheen confirmed the compensation review will include benchmarking against comparable roles and municipalities.

Some councillors questioned whether the Sunshine List remains a useful measure.

Councillor John Hirsch said the outdated $100,000 threshold limits its value.

“$100,000 in 1995 is roughly equivalent to $200,000 today,” he said. “On that basis, we only have four people on a properly revised sunshine list. So it’s become something that everyone likes to focus on and it’s not a real thing anymore in my view,” he said.

Councillor Nieman added that compensation is not typically the primary reason employees leave jobs.

“People do not leave their job because of money — it’s their manager,” he said.

Councillor Roy Pennell expressed frustration with past council decisions and transparency, saying wage growth had accelerated in recent years.

“In the last four years, I just saw things skyrocket,” he said. “We’re now trying to correct it.”

Pennell also alleged Council had previously been misled about reasons for staff departures, calling that unacceptable.

“If you were running a business and handled wages the way this County has in the past, you’d be broke,” he said. “There’s only one taxpayer at the end of the day.”

Results from the ongoing service delivery and compensation reviews are expected later this year and will help inform future staffing and budget decisions.