Finance Matters
Budget Reductions |
Financial Ratios |
In order to balance the budget each year, the university implemented general budget reductions across all portfolios. A number of items such as energy, taxes, library holdings, graduate fellowships, entrance scholarships, etc. are protected from the general budget reduction. The general budget reductions were necessary to cover the budget shortfall due to the general government grant reductions. Memorial’s Voluntary Retirement Program (VRP) provided approved academic and non-academic staff members with a lump sum payment of one month of salary per year of service up to a maximum of 12 months of payment if they retired on or before Dec. 31, 2018. VRP enabled Memorial to better manage longer-term financial challenges while enabling an investment in the academy. Consideration was given to non-academic staff whose positions could be eliminated or filled in an alternate way that would result in substantive savings and contribute to the overall position reduction for the university. The VRP was a one-time program that has now concluded.
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These two financial ratios are based on the audited consolidated financial statements and may be used to measure the acquisition of, and use of, resources to achieve the university’s mission.
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