Pension fund shortfall could put Dal in financial crunch

April 15, 2010

The financial collapse that led to the 2008-09 downturn didn't spare Dalhousie University's pension funds. Even after recent market gains, the institution's pension plan is over $100 million in the hole. If a solution cannot be worked among the plan's members, the Nova Scotia government, and Dal, it will fall to the university -- the plan's sponsor -- to find the money, and that means cuts equivalent to 5% for every program and service this year, followed by a 7.6% cut next year. Dal's president says he will "wait and see" the outcome of a process aimed at solving the pension solvency crisis before finalizing a budget. He expects a solution that will allow him to go to the board of governors with "no substantial program cuts, and certainly nothing as draconian as five or seven per cent." Dal News