UPEI is warning that steps must be taken to deal with what it describes as a "serious financial challenge" as a result of the elimination of its mandatory retirement policy.
The university has posted an open letter on its website where it outlines some of the steps it will be taking to deal with an increase in cost of about $1 million to $1.5 million annually for the next five years.
Gary Bradshaw, vice-president of finance at UPEI, said in his letter that there will be a reduction in new hiring and overtime, a reallocation of teaching loads that will affect part-time and term teaching positions, deferral of renovation projects and maintenance, elimination of selected software licences, and a reduction in travel budgets, including athletic team travel.
As an immediate cost-saving measure, the university has cancelled a recently advertised position for an executive director of student affairs.
Bradshaw hints this is just the beginning.
"We will announce additional budget-reduction measures over the next several weeks," he writes.
In February, the Human Rights Commission found that UPEI had discriminated against two professors - Thomy Nilsson and Richard Wills - and Yogi Fell, a member of the support staff, by forcing them to retire at age 65.
UPEI is now appealing that decision through a judicial review in P.E.I.'s Supreme Court. That process could take up to 14 months.
In the meantime, the university is bound to comply with the order and reinstate the three workers.
Yogi Fell, who was a shipper at UPEI, calls Bradshaw's letter "disgusting" and said the university didn't save any money when they forced her to retire.
Two people were hired to replace her and they reclassified her job, giving her replacements $8,000 more than what she was making.
Fell said UPEI should be looking at the top if they want to cut costs.
"They quadrupled, quadrupled the management at the university during (UPEI President) Wade MacLauchlan's tenure," she said. "We haven't quadrupled the number of students."
Wayne Peters, a spokesman for the UPEI Faculty Association, described Bradshaw's letter as rhetoric. He said they understand the budgetary challenge in compensating the three individuals.
But he doesn't understand the university's argument that they will continue to have significant ongoing costs.
Peters said only two of the three are professors. The university would probably save about $50,000 each annually replacing a senior professor with a new hire, which would amount to about $100,000 annually.
"I'm not sold on the credibility of that kind of assessment," Peter said.
"While the university is taking this position with respect to budgetary issues, it still continues to put resources into the legal aspect of this to pursue a judicial review of the Human Rights decision. That money is coming from somewhere."
The three at the centre of the discrimination case have been locked in a battle that is now five years old.
They are scheduled to return to work in September.
Three others who were forced to retire are now examining their options.
Bradshaw was not available for an interview on Friday, but in his letter he says the cuts will be felt all across the campus.
But he adds, "... We are doing everything we can to protect our core operating areas over the coming year."
.jpg)
.jpg)
