Claire Lavallee's kids will get a Christmas after all.

The single mom feared she would not be able to put presents under the tree for her two children after getting caught up in the Phoenix pay system fiasco.

But two days after the public servant's story aired on CBC News, the government agreed to give her nearly $1,000 to cover most of the out-of-pocket expenses she racked up while being paid improperly.

"Everything's going to be great," a relieved Lavallee said in a phone interview. "I'll be able to finish buying gifts for my kids this weekend."

Lavallee first went weeks without pay, and was then underpaid for months, after returning to work from a maternity leave in April.

Despite receiving emergency salary advances, she says it wasn't enough to cover her bills, including her mortgage.

At the same time, Lavallee was in the process of separating from her husband. She had arranged to buy him out of his half of the family home, but due to the financial instability caused by Phoenix, she says she had to abandon that plan.

Instead, she sold her family home in Gatineau, Que., and moved with her children to an apartment in Ottawa.

On Wednesday, Lavallee told CBC News that decision was "absolutely terrible. It was one of the worst things I've ever had to do."

The majority of her pay issues were resolved by September.

Public Services and Procurement Canada Deputy Minister Marie Lemay says the government is still dealing with 10,000 cases in its Phoenix backlog. (CBC)

Tens of thousands of public servants have been underpaid, overpaid, or not paid at all since the government launched its new payroll system last April.

Ottawa has hired more than 200 compensation advisors for satellite offices across the country to resolve the issues. It has also opened a call centre in Toronto with more than 100 agents to assist public servants.

In September, Public Services and Procurement Canada announced it would reimburse workers for certain types of expenses, like interest charges and penalty fees, incurred as a result of improper pay.

During the months she was underpaid, Lavallee maxed out her credit cards and missed bill payments. She says she collected nearly $1,000 in interest and penalty charges as a result.

Claim finally approved

Lavallee applied to be reimbursed in September, but when she submitted bank statements as proof of the financial hardship, she says the government didn't accept the documents.

"So it's like I'm stuck in this vicious circle, where I can't get any more information [and] the information I have isn't good enough," Lavallee said Wednesday.

On Friday morning, when Lavallee emailed departmental officials to inquire about her case, she says she was pleasantly surprised by the quick response.

"They emailed me back within like 15 minutes, telling me they had received a decision from Treasury Board last night, and that they were going to be reviewing it … and giving me an answer by the end of the day," Lavallee said.

By 3:30 p.m., most of Lavallee's claim was approved.

"They sent me an outline of everything that would be covered and the total amount, so I'm really pleased."