FSD 34 Exchange rate

The grievor sought that the applicable Canadian dollar ceiling be converted to Swiss francs on the basis of the exchange rate in effect on the date which the education allowance was approved.

At issue in the grievance was the exchange rate used to pay the educational allowance which was based on an exchange rate in effect when the cheque was requisitioned on August 20, 1993 rather than on the date when the amount was authorized on July 5, 1993. The actual cost for the junior college was SF24,900. The Canadian dollar ceiling was $19,955. On the basis of the exchange rate of 0.8503 on July 5, 1993, when the allowance of Cdn $19,955 was approved, this converted to SF 23,468.19. The SF cheque was not issued until August 26, 1993, the SF amount was based on the exchange rate of August 20, 1993 (0.8931) when the cheque was requisitioned, and was issued for SF 22,346.02. It left a balance of SF 2554 (payable by the grievor) instead of SF 1432.

The Executive Committee considered the report and the majority agreed with the report of those members of the Foreign Service Directives Committee in that the grievor was treated within the intent of the Directive given that there are no provisions in the FSD 34 that would permit the Department to exceed the pre-determined Canadian maximum with respect to admissible education expenses.

The grievance was denied.