WINNIPEG, MB – Senior administrators at The University of Winnipeg will take a pay freeze in 2010/11 in an effort to balance the operating budget. This group, which includes the President, Vice-Presidents, Associate Vice-President and equivalents, and Deans, will not receive their general salary increases.
Meanwhile, employees in the Association of Employees Supporting Education Services (AESES) will receive a 1.5% increase in their general salary increase as prescribed in their current collective agreement. Members of the Confidential, Management and Professional (CMP) group will also receive a 1.5 % increase consistent with past practice as they follow the AESES agreement. Members of the University of Winnipeg Faculty Association (UWFA) and the International Union of Operating Engineers (IUOE) will be entering collective bargaining this year. As well, CMP and AESES staff have been offered the option to take up to 10 days off without pay. All employees will still be eligible for performance increases.
These measures are in response to the Government of Manitoba budget released on March 23, 2010. In it, the Province announced an overall increase of 4.5% in spending for post-secondary education. However, much of this new spending will go towards special programs at other institutions. For the University of Winnipeg, the Province is increasing the base operating grant by 2% and allowing tuition and other fees to rise by up to 5%. In addition, there will be continued support for Access programs and deferred maintenance.
Identifying efficiencies
“While these measures announced by the Province are certainly appreciated, they are still not enough to meet all of the University’s budget needs for the coming year,” said UWinnipeg President & Vice-Chancellor Lloyd Axworthy. “After several years of increases of 5% or more to the operating grant, this year’s increase has been reduced by more than half. Although tuition fees will rise again for the second year in a row, revenues from tuition still only represent less than a quarter of the overall budget. We will need to take steps to address the shortfall. The pay freeze for the University’s senior administrators is the first step in this direction, but additional adjustments may be necessary.”
The University of Winnipeg already took steps in the 2009-2010 budget to reduce costs through salary reductions of up to 10% for senior administrators and deans along with donations to support scholarships and bursaries, unpaid days taken by CMP and AESES support staff, and donations made by some faculty. The University also continues to manage vacancies in existing positions in order to balance the budget.
“These difficult measures enabled the University to present and deliver a balanced budget for 2009-2010,” added Axworthy. “The efforts and sacrifices made by all staff were certainly appreciated.”
However, the University has limited revenue sources at its disposal to meet the rising costs of salaries -which make up 70% of the annual operating budget – in addition to costs related to energy, equipment and infrastructure. While the campus renewal plan is well underway, it will be another year before UWinnipeg students, faculty and staff fully realize the benefits of new buildings, classrooms and labs, and the renewal of the existing campus that will follow. As well, although the University’s “A World of Opportunity” Capital Campaign has generated more than $70 million to date, all of these funds are committed to specific projects and programs. None of these funds can be used to address annual operating budget deficits.
As a result of the reduced grant increase from the Province, all UWinnipeg departments and units are now in the process of identifying ways to find efficiencies, reduce costs, and generate new forms of revenue as the 2010/11 budget is developed for Board of Regents approval later this spring.
MEDIA CONTACT
Diane Poulin, Communications Officer,
The University of Winnipeg
P: 204.988.7135, E: d.poulin@uwinnipeg.ca
