
Retirement incentives paid to N.B. Power employees who were already leaving, auditor says
An early retirement program offered by N.B. Power in the 2023 fiscal year to save money paid more than $1 million to a group of employees who had already announced plans to leave the utility for free, according to a review by New Brunswick Auditor General Paul Martin.
"Eight individuals accepted to the early retirement program had previously notified NB Power of their plans for retirement in advance of the program being offered," Martin wrote in his report.
But $1.15 million was still paid "in incentive costs" to get these people to retire, Martin said.
The finding was one of several criticisms by Martin of the utility's attempt to shed itself of older workers as one of several cost-saving measures it adopted in 2022 and 2023.
Martin estimated that most of the 148 employees who were paid to retire under the scheme likely would have left on their own without an incentive and "potentially only an additional 44 retirements" were generated by the program.
He said $17.1 million in cash and benefits were ultimately paid by N.B. Power to the retiring group.
N.B. Power has been under significant financial pressure for several years and in October 2022 announced the early retirement program as a way to save money. At the utility's rate hearing in front of the New Brunswick Energy and Utilities Board February 2023, N.B. Power president Lori Clark highlighted the retirement plan as an example of how seriously the company was about cutting costs.
"We have engaged the assistance of external expertise to assist us in finding these savings and have started the process with the elimination of almost 150 positions through a staff optimization program that will save approximately $13 [million] to $15 million in the upcoming fiscal year alone," Clark said.
To work, the retirement program required what was eventually 148 participating employees to leave by a mandatory retirement date of March 31, 2023 but Martin found 23 stayed longer than that, including one employee who was able to stay on until March of this year, two years past the mandatory date.
In addition, although participating in the program was supposed to permanently end an employee's relationship with the utility, Martin said three were eventually rehired on contracts that ran between six months and two years following their official retirement.
Martin noted that N.B. Power's board of directors had approved the plan unanimously at a meeting in September 2022 but said "limited analysis" was provided to board members to support that decision.
Martin also pointed out that despite the unanimous approval, electronic board records showed two of N.B. Power's 11 board members had not accessed a briefing note about the plan prior to the board voting on it.
N.B. Power has reported the early retirement program did eventually generate savings in labour costs of $11.3 million.
That is well below its own initial estimates of what would be achieved, and Martin made five recommendations for the utility to improve its planning, execution and monitoring of programs in the future.
In its response, N.B. Power agreed to all five recommendations and pledged to document in writing "the status of the positions eliminated in the 2022/23 Workforce Reduction Program and in any such program in the future, for a five-year period."
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Globe and Mail
24 minutes ago
- Globe and Mail
Blockmate Launches Bitcoin Treasury Division in Line with 'Mine-and-Hold' Strategy
TORONTO, July 24, 2025 (GLOBE NEWSWIRE) -- Blockmate Ventures Inc. (TSX.V: MATE) (OTCQB: MATEF) (FSE: 8MH) ('Blockmate' or the 'Company') is pleased to announce the launch of a dedicated Bitcoin treasury division, further aligning its corporate strategy with a long-term belief in the value of Bitcoin. The division has already been established, with secure wallet infrastructure in place and an initial purchase of one Bitcoin completed. This initiative reflects Blockmate's conviction that Bitcoin will play an increasingly important role as a strategic treasury asset for companies focused on preserving value and managing risk. This development complements Blockmate's existing operations through its wholly owned subsidiary, Blockmate Mining, which is pursuing a 'mine-and-hold' strategy aimed at accumulating Bitcoin on its balance sheet as operations scale. As announced on May 27, 2025, Blockmate Mining has secured a site with electricity costs of just USD 3.3 cents per kilowatt-hour — among the most competitive rates in North America. Once fully developed, the facility is expected to support up to 200 megawatts (MW) of mining infrastructure. While Blockmate does not currently own mining hardware to fully utilize this capacity, this figure represents the long-term potential of the site. For illustrative purposes only, based on current Bitcoin prices and network difficulty, a fully utilized 200MW site could generate approximately 200 Bitcoin per month. Similarly, under current market conditions, the site could support Bitcoin mining at an estimated 40% discount to the prevailing spot price. These estimates are subject to change based on network conditions, hardware availability, electricity pricing, and the market price of Bitcoin. There is no assurance that these conditions will remain favorable or that Blockmate will be able to achieve these projections. Justin Rosenberg, CEO of Blockmate Ventures, commented: 'Holding Bitcoin on Blockmate's balance sheet provides capital growth opportunities for shareholders, as well as liquidity options should Blockmate Mining or future investees seek to take advantage of elevated Bitcoin market prices. These scenarios represent a win-win, enabling the Company to realize value through both operational success and treasury appreciation.' As the Bitcoin market continues to evolve and Blockmate Mining progresses, the Company will regularly assess further treasury purchases to enhance balance sheet agility in parallel with its mine-and-hold strategy. The price of Bitcoin is highly volatile and may decrease significantly over time. As a result, any holdings or treasury strategies involving Bitcoin are subject to market risk and could lead to financial loss. Planned Bitcoin acquisitions are currently under review and will be disclosed through the TSX Venture Exchange in due course. On July 10th, Blockmate provided an online investor update covering the strategic rationale and rollout of Blockmate Mining, which can be viewed here: About Blockmate Ventures Inc. Blockmate Ventures (TSX.V: MATE) is a Blockchain & Web3 venture builder investing in and operating scalable blockchain, mining, and digital infrastructure companies. From decentralized computing with Hivello to Blockmate Mining, the Company's portfolio provides investors with diversified exposure to emerging sectors within Web3 and beyond. To learn more, visit Blockmate welcomes investors to join the Company's mailing list for the latest updates, webinars and industry research by subscribing at ON BEHALF OF THE BOARD OF DIRECTORS Justin Rosenberg, CEO Blockmate Ventures Inc justin@ (+1-580-262-6130) Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Forward-Looking Information This news release contains "forward-looking statements" or "forward-looking information" (collectively, "forward-looking statements") within the meaning of applicable securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on the assumptions, expectations, estimates and projections as of the date of this news release. Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those expressed or implied by forward-looking statements contained herein. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Raindrop disclaims any obligation to update any forward-looking statements, whether because of new information, future events or otherwise, except as may be required by applicable securities laws. Readers should not place undue reliance on forward-looking statements.


CTV News
24 minutes ago
- CTV News
Supreme Court won't hear thumbs-up emoji case involving Saskatchewan farmer
In this file photo, emojis in the Snapchat app are shown in Toronto on Monday, March 7, 2016. THE CANADIAN PRESS/Staff OTTAWA — The Supreme Court of Canada has given a thumbs-down to hearing a legal case involving an emoji. The country's highest court dismissed an application by farmer Chris Achter to appeal a decision by the Court of Appeal of Saskatchewan. The Appeal Court upheld a verdict that found a thumbs-up emoji met signature requirements and was a legally binding agreement between Achter and Kent Mickleborough, a grain buyer with South West Terminal. In 2021, Mickleborough sent a text of a contract to Achter for a delivery of flax, and the farmer responded with a thumbs-up emoji. Achter didn't deliver the product, and the company took him to court for breaching the contract. The Supreme Court says costs are to be given to the grain company. This report by The Canadian Press was first published July 24, 2025. The Canadian Press


CTV News
24 minutes ago
- CTV News
Honeywell raises 2025 forecasts on sustained demand for aerospace parts, services
This Aug. 15, 2014 photo shows the Honeywell InturVue weather radar in the cockpit of a Convair 580 plane during a flight demo over Florida. (AP Photo/Alan Diaz) Honeywell raised its annual forecasts after beating Wall Street expectations for second-quarter results on Thursday, buoyed by strong demand for its aerospace parts and maintenance services. Shares of the company rose 1.5 per cent in premarket trading. The company, which supplies avionics and flight control systems to Boeing and Airbus, has benefited from rising demand as planemakers ramp production after long delays due to supply chain issues. Honeywell has also capitalized on a shortage of new jets, providing aircraft maintenance and repair services as airlines continue to fly an older, cost-intensive fleet. The company's aerospace division, its biggest revenue generator, posted a 10.7 per cent jump in sales to US$4.31 billion in the second quarter. Honeywell now sees 2025 adjusted profit per share between US$10.45 and $10.65, up from its previous forecast of US$10.20 to US$10.50. The company also raised its revenue outlook and now expects between US$40.8 billion and US$41.3 billion for the year, up from the US$39.6 billion and US$40.5 billion it had previously forecast. The engines-to-switches conglomerate has been in the process of streamlining its portfolio under CEO Vimal Kapur, making acquisitions as well as shedding assets weighing on its business. After pressure from activist investor Elliott Management, Honeywell in February announced plans to separate its businesses. The company will spin off its aerospace business and retain the automation segment, which will be led by Kapur. Honeywell is reviewing alternatives for its productivity solutions and services unit and the warehouse and workflow solutions division, which have been a drag on the company's earnings in the past few quarters. The industrial automation unit, which houses the businesses, reported a five per cent fall in sales in the second quarter. Total sales, meanwhile, rose 8.1 per cent to US$10.35 billion, exceeding analysts' average estimate of US$10.07 billion, per data compiled by LSEG. Honeywell reported an adjusted profit of US$2.75 per share, also beating analysts' expectations of US$2.66. --- Reporting by Utkarsh Shetti in Bengaluru; Editing by Shinjini Ganguli