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Update on NSGEU Local 77 negotiations

As was communicated on March 26, conciliation between Dalhousie University and NSGEU Local 77 was unsuccessful. The University presented a final offer, which the NSGEU did not endorse, but agreed to present to its members for a vote. The vote was held on April 6 and the membership rejected the offer. This vote does not mean that NSGEU Local 77 members are going to strike. It does mean NSGEU Local 77 staff are serious about the issues being discussed at the negotiating table. The University takes them seriously, too. Dalhousie remains committed to working with NSGEU to reach a fair collective agreement. We are hopeful that this will be resolved without labour disruption.

Below is a summary of the University’s proposal that is informed by two factors - pension sustainability and the COVID-19 pandemic.

Pension Sustainability

We believe in the value of our defined benefit pension plan and in continuing to invest in retirement savings for our employees. However, our current plan is not sustainable and we need to find solutions that will make it more affordable.

The challenge we face is a new pension funding regulation that will require millions of dollars a year in additional annual contributions, and new Canadian Pension Plan (CPP) rules that will result in an extra $3.2 million in employee pension contributions and $3.2 million in employer contributions by 2025. Our pension plan is currently well funded, and it is well managed. However, it is very expensive and provides a retirement benefit that is greater than others in the public service in Nova Scotia and in other defined benefit plans in universities across Canada. Our final offer is a step towards addressing these challenges. 

The changes we are seeking will not impact employees’ current pension plans, will not be retroactive, and will be net neutral, regardless of the employees’ income level. The goal of this change will be that employee pensions will be the same amount as they would have been prior to the introduction of the new CPP rules.

We all want a healthy defined benefit pension plan that does not place too much pressure on our operations. See our pension modules for more information.

Financial Impacts of COVID-19

Thanks to the work of our faculty and staff, University enrolment has remained stable through the COVID-19 pandemic. Nonetheless, the University’s finances have been impacted mostly due to lost revenue in areas such as residence, parking and Dalplex and increased cost to support moving our classes online. We have made an offer to NSGEU that is a fair one, that contains the same monetary offer we made to DFA and that reflects these challenging times.

Summary of Offer outlining the University’s proposal is available on this site.