The University of Saskatchewan will be reducing 75 senior employees’ salaries and benefits in an effort to address a funding shortfall.
“Following the substantial cut in our provincial grant, we must make strategic, deliberate decisions that provide sustainable answers to the serious financial challenge we currently face,” said university president Peter Stoicheff in a news release. “Given our history of strong financial management, we can manage the situation in the short term, but it is not sustainable.”
Read: Saskatchewan tells schools to cut benefits, wages
The 75 senior employees will see their salaries cut by five per cent. The university noted it would change its extended health and basic dental plan for the group to provide for co-insurance with the employer covering 90 per cent of costs and employees paying for the rest.
The group’s long-term disability plan will also change to have a lower termination age at 65, rather than 67; stop benefits payments upon retirements; and reduce the cost-of-living adjustment.
Read: Postmedia benefits changes include closure of DB pension, EAP
As part of its cutback efforts, the university is allowing 1,100 administrative staff to apply for voluntary buyouts until the end of June. So far, it has received about 40 applications.
According to the university, salaries and benefits make up about 70 per cent of its expenses. It also noted the executive team hasn’t received a pay increase in the past six years, while deans haven’t received one in the past three years.