March 26, 2013
Backgrounder - Workforce Adjustment – Core Public Service
Human resource costs account for up to 55 per cent of the total provincial budget, and as high as 70 per cent of total budgets in some departments. This represents significant spending, and led the Provincial Government to engage in a critical review of all positions in the core public service. The core public service grew by approximately 20 per cent from 2004 to 2012 in response to the addition of new programs and services. In order to manage the size of the public service, the Government of Newfoundland and Labrador took steps prior to Budget 2013 to lessen the impact of job loss. This included attrition management, the voluntary retirement program announced in early March, implementing a suspension of recruitment activities and achieving savings through the elimination of vacant positions.
With just over 8,900 employees in the core public service, the Provincial Government will be laying off approximately 485 employees, which includes people who received layoff notice in early March. This includes 243 permanent positions, 206 temporary positions and 36 seasonal positions. This will result in a decrease of approximately 5.4 per cent in the size of the core public service.
In addition, the planned approach to workforce adjustment extends across all departments and includes the elimination of 246 positions that are currently vacant. An additional approximately 190 employees have also been approved for the Retirement Incentive Program, and some of these positions will remain vacant.
The temporary hiring freeze, which began on February 18, 2013, will continue until further notice. The staffing actions that will occur will require close analysis and proceed only if it is absolutely necessary. Once the hiring freeze is lifted, the province will be implementing new measures to ensure the core public service remains sustainable.
The Provincial Government is adjusting the size of its workforce to align with overall spending. Careful analysis has been given to areas where the province could reduce the size of the public service to a level that is sustainable over the long term, while maintaining the delivery of high quality programs and services. Departments will continue to explore opportunities to improve operational efficiencies and streamline various lines of business.
Affected employees are primarily based on the Avalon Peninsula. Of those impacted 73 per cent are bargaining unit, 27 per cent non-bargaining unit.
Departmental Breakdown
|
Department |
Total Number of Employees in Department |
Vacant Positions Eliminated |
Lay-offs |
|
Advanced, Education and Skills |
770 |
10 |
52 |
|
Child, Youth and Family Services |
734 |
3 |
2 |
|
Education |
130 |
4 |
16 |
|
Environment and Conservation |
324 |
18 |
42 |
|
Executive Council |
703 |
37 |
44 |
|
Finance |
399 |
13 |
12 |
|
Fisheries and Aquaculture |
121 |
23 |
8 |
|
Health and Community Services |
233 |
24 |
30 |
|
Innovation, Business and Rural Development |
202 |
6 |
19 |
|
Justice |
1648 |
52 |
147 |
|
Municipal Affairs |
126 |
1 |
3 |
|
Transportation and Works |
1896 |
21 |
55 |
|
Natural Resources |
564 |
4 |
17 |
|
Public Service Commission |
19 |
3 |
0 |
|
Service NL |
529 |
21 |
11 |
|
Tourism, Culture and Recreation |
377 |
6 |
27 |
|
TOTAL |
8,775 |
246 |
485 |
Some employees received notice of layoff in early March. The remaining employees will be advised of their status as soon as possible.
Where possible, individual meetings will be held with the employee, their management, and human resource staff, to advise the individual of their status. Employees will be offered employee assistance counselling and other transition supports. The Provincial Government is committed to a process that treats impacted employees in a professional, compassionate, and respectful manner.
The Provincial Government will follow the lay-off procedures outlined in the collective agreements. Additionally, a bumping tribunal will be established in collaboration with NAPE to oversee the bumping process.
The Government of Newfoundland and Labrador values the important role of public service employees in delivering core, effective programs in all regions of the province. These decisions do not take away from the programs and services delivered by departments. They are motivated by the need to carefully evaluate the budgetary framework, while ensuring programs delivered to residents in the province are both effective and efficient.
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Media contact:
Tansy Mundon
Director of Communications
Department of Finance
709-729-6830; 693-1865
tansymundon@gov.nl.ca
2013 03 26 2:45 p.m.