Almost a year after the number of international students coming to Canada was capped, resulting in a drop of almost 50 per cent for Ontario, colleges in the province have started to make deep cuts as the sector goes through a “rebalancing.”
Several colleges have announced massive changes and suspended programs, blaming the moves on the reduction in international students, which they relied heavily upon for funding.
Internal government documents obtained by Global News also lay out just how dependent the sector was on international students — with more foreign than domestic learners at colleges last year.
The same documents show last year that, on average, international student tuition was the largest source of revenue for all of the province’s public colleges.
Faced with layoffs and cuts, the government said it remained confident in public colleges — and their role in training graduates.
“We are currently focused on making sure that post-secondary programs get Ontario students into rewarding careers that address the province’s current and future labour market needs,” a spokesperson for Colleges and Universities Minister Nola Quinn said in a statement.
“Our post-secondary sector is going through a rebalancing right now and some difficult decisions are being made by our institutions to ensure they’re able to continue delivering a world-class education here for students.”
More international than domestic students
Documents obtained by Global News using freedom of information laws show that when Quinn was put in charge of colleges in the summer, he was briefed on just how reliant the sector had been on students from abroad.
A slidedeck presented to the minister when he was onboarded reveals almost 60 per cent of students across the sector were international.
A total of 160,000 domestic students were enrolled in 2023-24 — a three-per cent drop on the previous year. International students made up 215,000, which marked a 43-per cent increase from the previous year.
According to the document, the vast majority of those students were from India. Sixty-seven per cent of the students came from India, five per cent from the Philippines and five per cent from Nepal.
The province pointed out that the internal figures for international students are unaudited, so could still be subject to change.
A page of the handover presentation given to Minister Nolan Quinn.
Global News
In 2019, the Ford government lowered domestic tuition by 10 per cent and then capped it at that rate. For international students, the document states, “there is no policy/limitation on international student tuition fees.”
As a result, last year, 32 per cent of all college revenue came from international students. That was compared to just 11 per cent from domestic students.
Some colleges leant heavily into the international student market. The document shows the following had the highest international student enrollment compared to domestic:
- Northern (88 per cent international)
- Lambton (85 per cent international)
- Conestoga (77 per cent international)
- Canadore and Cambrian (75 per cent international)
- Niagara, Sault and Loyalist (72 per cent international)
That, the internal documents presented to the minister admits, left colleges vulnerable to changing environments.
“Enrolment or spending changes (such as international student declines from the new federal cap) can create fiscal pressures,” one line explained.
Cap hits colleges hard
As the number of international students attending colleges in Ontario fell off a cliff this year, so did the sector’s spending.
A recent report from the Financial Accountability Office of Ontario found spending across the post-secondary sector — which includes universities — dropped by seven per cent in the first half of the 2024-25 year.
The largest reason for that drop was “lower operating spending by colleges” which amounted to a drop of $752 million.
That decrease in spending has been felt on various campuses across Ontario.
Sheridan College, one of the largest post-secondary education institutions in the province, suspended 40 programs in November. Seneca College, another major player, is temporarily closing its Markham, Ont., campus altogether because of an enrolment “decline.”
At Mohawk College, 20 per cent of the administrative staff were let go and 16 programs were suspended for 2025.
“The layoffs are related to financial challenges that were brought on by the changes to (the) international student program,” a spokesperson for Mohawk College said.
One senior official working in the college system, granted anonymity to discuss internal concerns, told Global News the closures and layoffs represent the beginning of an extremely difficult period.
“The whole public college system appears to be shifting from a position of financial flexibility to one of uncertainty and constraint,” they said.
“That’s why individual colleges are projecting deficits and making hard choices about campus and program closures. No college will be spared because the whole sector is reaching a critical tipping point.”
Ontario NDP MPP and critic for post-secondary education Peggy Sattler said the drop in spending meant the government would take immediate action.
“Our colleges and universities are languishing while the government spends more on beer and vanity projects than on postsecondary education,” she said in a statement.
“Without proper funding, more college campuses and programs will close, making it harder to meet labor market demands.”
The government said it was “in constant contact” with colleges and universities “to ensure their long-term success and sustainability.”