Canadian colleges lay off 10,000 employees after sharp decline in Indian student enrolment

Canada’s colleges are facing a significant employment crisis as a sharp drop in Indian student enrolment forces institutions to lay off approximately 10,000 faculty and support staff.

The Ontario Public Service Employees Union (OPSEU) reports that job losses are widespread across teaching, administrative, and support roles, highlighting the heavy reliance of Canadian colleges on international tuition fees, particularly from Indian students.The decline in international enrolment follows a federal government cap on study permits introduced earlier this year, aimed at easing pressures on housing and public services.

However, this policy has had unintended consequences for colleges, which depend heavily on international students to sustain their budgets.Impact of federal cap on international studentsThe federal cap has led to a dramatic reduction in new international student arrivals, with Indian students representing the largest affected group. In many colleges, especially in Ontario, Indian students accounted for more than half of the international student population and contributed significantly to tuition revenue.

According to OPSEU President JP Hornick, “The loss of international students is having a devastating impact on college staff,” as reported by the immigration.ca.Colleges across Canada have responded by cancelling programmes, reducing course offerings, and laying off workers. The financial shortfall caused by fewer international students has put immense strain on college operations, particularly as provincial funding has remained stagnant.Financial challenges facing Canada’s collegesOntario’s 24 public colleges have become increasingly dependent on international tuition fees to offset limited provincial funding. The drop in Indian student enrolment has exacerbated financial instability within the college system. OPSEU has warned that without emergency government support, the situation could worsen, leading to further cuts in staff and programmes.The union is urging both federal and provincial governments to increase investment in post-secondary education to stabilise funding and protect jobs. “Reinvesting in public education is essential to avoid long-term damage to college infrastructure and staffing levels,” OPSEU stated, as cited by the immigration.ca.Concerns over private college partnershipsThe layoffs come amid scrutiny of public colleges partnering with private institutions to boost international student numbers.

Many private affiliates, heavily reliant on Indian students, have been disproportionately affected by the federal cap. Questions have been raised about the oversight of these partnerships, including academic standards and student support.The federal cap has disrupted these private-public relationships, which previously helped expand international enrolment but now face significant operational challenges.Economic and employment impact on Canada’s college sectorThe reduction in Indian international students has had a profound economic and employment impact on Canada’s college sector. With roughly 10,000 jobs lost, colleges are struggling to maintain operations and programmes. OPSEU continues to call on governments to address funding gaps and stabilise the sector to prevent further layoffs and programme cuts, as reported by the immigration.ca.TOI Education is on WhatsApp now. Follow us here.