"It's going to take a lot of hard work, a lot of creativity on my colleagues part, on my part in managing the government's fiscal resources to find the money," he said.

"But, I think with a determined effort, with co-operation with our partners in the process, the UNW, we will be able to accomplish that. There's a sincere desire on my part as finance minister to conclude this difficult pay-equity issue prior to division in April 1, 1999."

When asked by ordinary MLAs where the money is going to come from, Todd said he will tighten the budget and find $34 million for pay equity and another $6 million for salary increases -- all without cuts or layoffs.

"I believe that with prudent fiscal management of our programs we can find a way to pay the $25 million on the retroactivity side and the $9 million dollars on the ongoing side. But what we can't do is pay any more," he said.

Todd said 68 per cent of current government employees will see an increase in pay of between nine and 16 per cent. There would be no decrease for the remainder of employees.

"I'm confident we can pay the bill, assuming we can get the agreement in place with our colleagues in the UNW, our partners, and get on with resolving this issue and putting some additional dollars in the hands of our employees by April ... of this year."

UNW president Jackie Simpson, however, said she is appalled by the deal, which was made public before it was discussed in detail at the negotiating table.

"I don't know what they're basing their factors on because the information has not been downloaded yet," said Simpson. "I tend to wonder whether these percentages are just going to bounce around? Are these percentages just pulled out of the air?"

The UNW has not received a complete employer package from government, Simpson said.

"I think there's a certain amount of arrogance in that information. I think there's a certain amount of hope from the government that people will just swallow that and not ask for too much input."

People coming into this government will receive less, she warned.

If he could push it through right now and convince the people that it doesn't matter what they do three months down the road, Todd would be happy, said Simpson. "Well, it does matter to people what you do three months down the road. They saw what Todd did 24 months previous. Now they're not as willing to jump to what seems like ice cream."

Negotiations will continue on the issue, said Simpson and the union is willing to go to a tribunal sometime this month to settle the pay equity issue.