Memorandum

To: Deans, Directors, and Department Heads
From:

Warwick A. Arden
Executive Vice Chancellor and Provost

Charles A. Maimone
Executive Vice Chancellor, Finance and Administration

Subject: Abolishment of Positions Vacant for Six Months or More and Lifting of OSBM Compensation Restrictions
Date: August 18, 2025

Thank you for your diligent work over the past year to abolish positions vacant for six months or more across all employee categories and all funding sources. Collectively, we have made significant progress in reducing our long-term vacant positions across the university. However, we have more work to do in addressing the remaining number of long-term vacant positions as per the directive below. We appreciate your attention to this consequential matter and efforts to ensure NC State is positioned as strongly as possible regarding active position management and our stewardship of this important responsibility.

 

Abolishment of Positions Vacant for Six Months or More

Due to the recent enactment of HB125, we are directing all two-digit OUC leaders to abolish vacant positions across all employee categories and all funding sources that have been vacant for six months or more as of August 1, 2025, unless they are under active recruitment. Abolishment of these long-term vacant positions must be completed by September 14, 2025, prior to September payroll closeout.

Some exceptions may be warranted due to difficult to fill roles requiring specific expertise such as faculty and research related positions; proven operational necessities such as high-turnover seasonal, part-time and extension positions; and positions vacant because the incumbent is serving in an administrative or interim role. For these categorical exceptions, UHR will work with OUC leaders to ensure a strong justification exists for not abolishing a position.

The DAVE Act, Division of Accountability, Value and Efficiency, enacted in HB125, requires every state agency to provide a description of all vacant positions (six months or more) and instructs the new division, by December 31, 2025, to provide an assessment to the General Assembly with recommendations to eliminate positions, among other recommendations.

 

Lifting of OSBM Compensation Restrictions

Without an enacted state budget as of the July 1, 2025, start of the fiscal year, the Office of State Budget and Management (OSBM) issued guidance on continuing budget authority and the UNC System Office issued further guidance, limiting or stopping most types of salary adjustments until further notice.

Due to the recent enactment of HB125, regarding compensation of state employees, some compensation restrictions have been lifted specific to the use of existing budgets toward compensation adjustments, the creation of new positions and the ability to issue employee bonuses – as long as current approval processes are followed and these actions do not increase the total base salary cap or the administrative headcount cap for your two-digit OUC as compared to April 2025 caps for your two-digit OUC. Please continue to work closely with your budget and HR leads in assessing personnel and budgetary impacts.

Thank you for your attention to these directives. As noted above, please continue to work closely with your budget and HR leads on these matters. If you have further questions, please contact Tim Danielson, Associate Vice Chancellor, University Human Resources (tjdanie4@ncsu.edu) and/or Barbara Moses, Associate Vice Chancellor, Budget and Resource Management (bamoses@ncsu.edu).

 

cc:  Tim Danielson, Associate Vice Chancellor, University Human Resources

Barbara Moses, Associate Vice Chancellor, Budget and Resource Management

3D Memo Information

Subject Abolishment of Positions Vacant for Six Months or More and Lifting of OSBM Compensation Restrictions
Originator(s)

Warwick A. Arden
Executive Vice Chancellor and Provost

Charles A. Maimone
Executive Vice Chancellor, Finance and Administration

Fiscal Year
Effective Date August 18, 2025
Category Governance and Administration
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