Toronto Community Housing aligns executive compensation with the City of Toronto, eliminates bonus provisions

Toronto Community Housing aligns executive compensation with the City of Toronto, eliminates bonus provisions

March 18, 2016

TORONTO, March 18, 2016-The Toronto Community Housing Board of Directors confirmed today that all executive employment contracts are aligned with the City of Toronto's compensation model, as reported by the board on December 3, 2015. 

Executives' contracts were restructured in 2015 to eliminate provisions of an annual 10- to 20-per-cent bonus and a car allowance. Executives' salaries for 2015 were adjusted based on the new compensation model approved by the board and in consideration for agreeing to restructure their employment contracts.

As a result, total compensation for 2015 for four executives will show an irregular increase over 2014 when reported through the annual public sector salary disclosure later this month. This reflects a one-time adjustment and will not recur in future years.

The four executives are President and CEO (Interim) Greg Spearn; Chief Financial Officer and Treasurer Jason Gorel; Vice President, Asset Management Graham Leah; and Vice President,
Facilities Management Sheila Penny.

Effective January 1, 2016, salaries for all TCHC executives are now aligned with the City of Toronto's salary bands for similar executive positions. Additionally, annual executive
merit pay cannot exceed 4.5 per cent, in line with the City of Toronto's model. 

Quote

"I want to thank the executives for understanding the need to restructure their contracts. Although the previous contracts were entered into in good faith, the generous bonus provisions and car allowances do not reflect our values as a social housing provider, nor can they be supported when we have an unsustainable financial model. The new contracts are fair and reasonable, and compensate the executives at levels similar to their counterparts at the City of Toronto.

"Toronto Community Housing is committed to transparency and fair treatment of all employees. It has released this information in advance of the 2015 public sector salary disclosure so that our shareholder the City of Toronto, our staff and residents, and our partners understand the irregular circumstances affecting the compensation paid to executives in 2015, and how we are moving forward with a new framework in 2016."

-Bud Purves, Chair, TCHC Board of Directors 

Key Facts

  • The TCHC Board of Directors approved an executive compensation framework in 2015, meeting a City Council directive that executive compensation at all city agencies and corporations be aligned with the model used by the City of Toronto.
  • The TCHC Board of Directors approved a pay-for-performance program in 2015 that is similar to the City's program. Management and exempt employees, including executives, are eligible for the program.

About Toronto Community Housing

Toronto Community Housing (www.torontohousing.ca) is Canada's largest social housing landlord, providing homes for nearly 60,000 low- and moderate-income households in neighbourhoods across the city. We are wholly owned by the City of Toronto and our 2,100 buildings represent a $9-billion public asset.

Media contact: Lisa Murray, 416-981-4252 or media@torontohousing.ca.


Toronto Community Housing key executive salaries for 2014 to 2016

Name and position Actual salary as at Jan 1 2016 2015 Salary* 2015 taxable benefits** 2014 Salary*** 2014 taxable benefits**
Greg Spearn

President &
CEO (Interim)/

Chief Development
Officer
$277,417.14 $321,753.74 $8,632.32 $267,445.89 $8,835.89
Jason Gorel

Chief Financial
Officer & Treasurer
$226,900.00

$250,474.57

$8,632.56 $225,079.43 $10,278.72
Graham Leah

Vice President,
Asset Management
$205,514.50 $223,472.58 $6,878.64 $190,388.96 $7,378.64
Sheila Penny,

Vice President, Facilities
Management
$195,750.00 $216,870.07 $6,417.12 $181,713.68 $6,878.66


* Includes base salary, 2014 bonus, and one-time salary adjustment in consideration of rescinding previous bonus structure and car allowance

** Includes car allowance

*** Includes base salary and 2013 bonus ​​