August 1, 1982
25.4.9
The grievor was given notice of a posting abroad and secured a posting loan within the Foreign Service Directives. Subsequently the posting was cancelled due to the grievor being successful in a promotional competition. The grievor had expended funds from the loan in preparation for the cancelled posting.
The grievor sought initially the following corrective action.
(1) a repayment schedule of $50.00 per month
(2) waived of interest charges
(3) purchase by the department of some of the goods purchased in anticipation of the posting
However, this position was modified prior to the hearing at the third level to a reduced payment schedule and waiver of interest charges.
The Administrative Committee considered and agreed with the report of the Foreign Service Directives Committee that in accordance with FSD 3.07(c) the Deputy Head should recommend to the Treasury Board that:
(1) The accumulation of interest on the loan waived for the period up to and including June 30, 1982.
(2) The repayment period of the loan be recalculated to provide for a repayment period of three years commencing July 1, 1982 on the basis of the interest rate in effect on June 30, 1982.