Yellowknife (June 20/03) - The threat of a mass resignation by the NWT's physician specialists is over.

The government and the NWT Medical Association agreed on a new two-year contract yesterday, ensuring doctors will stay on the job. The deal is retroactive to April 1, 2002.

Both sides hope the new deal will help alleviate the shortage of doctors in the NWT.

The new agreement amounts to a 38 per cent pay increase compounded over two years.

When talks broke off in late May, the two sides were far apart on wages. Doctors wanted $500,000 a year at the end of the deal while the territorial government offered $400,000.

Twelve of the territories' 15 physician specialists were set to resign on July 1 if a new contract wasn't in place.

With the deal in place, doctors said the resignations will not take effect.

Yellowknifer was unable to reach Health Minister Michael Miltenberger or NWTMA president Ken Seethram for comment.

The agreement marks an end to a contentious bargaining process that saw both sides draw fire for their tactics.

The NWTMA sent a controversial letter to the Alberta Medical Association urging potential replacement doctors to boycott the territory in the event of a strike.

"I was totally taken aback when I heard about the letter," said NWT Chief Medical Officer Andre Corriveau. "This is not something you would expect professionals to do."

"Patients should have a right to medical care ... regardless of the (labour) situation," said Corriveau.

The government also drew criticism from some of its own members who questioned its contingency plan.

"The contingency plan is not sustainable," warned Range Lake MLA Sandy Lee earlier in the week.