The Manchester-based Northern Caribbean University has announced a 10% salary cut for all its staff, effective June one.

In a statement, the Seventh Day Adventist institution says the salary cut is in response to reduced revenue inflows caused by the COVID 19 pandemic.

It says there will also be a temporary suspension of specified allowances, layoff of short term contract workers, and a freezing of non critical hiring.

NCU says it will also eliminate overtime payment and introduce flexible work hours.

It says staff salary could be reduced further, if the institution’s financial position does not improve to meet future payments.

The NCU says the pandemic came at a time when the university had been steadily improving its fiscal position through rationalization of the workforce, savings from increased efficiencies and the implementation of a growth agenda.

It says the pandemic has also affected many students’ sources of income, like working abroad during the summer.

It says that’s compounded by loss of family support due to closure of the tourism and other industries, reduced remittance inflows and inability of family members who’re farmers to sell their produce and students losing employment on campus.

According to the NCU, there’s also been reduced income from the Seventh-day Adventist conferences who traditionally assist in funding the university.