January 7, 2026
As part of our ongoing commitment to transparency and accountability, I want to provide you with an important update. Recently, the Office of the Auditor General (OAG) completed an audit focused on Health PEI Excluded Employee Compensation. Their report will be available today, January 7, 2026.
In Spring of 2024, in response to concerns raised by staff about payroll practices, specifically related to excluded employees, Health PEI reached out to the Office of the Auditor General for assistance in auditing areas of potential non-compliance with policies and procedures related to compensation. At the same time, Health PEI implemented a number of measures to mitigate further risk and recover losses.
The findings of the Auditor General have helped us better understand the issues, which cover the themes of documentation, following PSC policy and process and ensuring controls are in place to identify risk. We accept all 12 recommendations outlined in the report and remain committed to ensuring that all appropriate protocols and processes are followed now and in the future.
Work is already underway to address all the Auditor’s recommendations; two of the recommendations were implemented in advance of the release of the audit findings. Additionally, with the support of the Treasury Board, we have engaged a third party to review and implement improvements to the policies and processes within the People and Professional Practice portfolio. The goal of this review is to ensure alignment and compliance with key policies and functions to provide assurance that payroll and HR functions are operating appropriately. Ongoing education on Treasure Board and Public Service Commission policies is supporting this work.
I want to assure you that concerns raised by staff are taken seriously. Audits offer Health PEI an opportunity to identify issues and continually improve. They support transparency and trust in our important public services.
Thank you for your continued dedication to Health PEI and the important work you do each day for the people of Prince Edward Island. And thank you to the individuals that supported this audit work and the improvements made.
Mel