Georgian College Cuts 45 Jobs as International Student Numbers Drop

Dive Right Into

Key Takeaways

• Georgian College laid off 45 staff and saw a 30% drop in international student enrolment due to policy changes in 2024.
• Canada capped study permits at 360,000 for 2024, leading to a projected 47% drop compared to 2023 approvals.
• Georgian College faces a $45 million budget shortfall by 2025-26, affecting regional economic contributions and restructuring efforts.

Georgian College in Ontario, 🇨🇦 Canada, has announced layoffs of 45 staff members due to a significant drop in international student enrolment. This development comes in the shadow of recent federal policy changes, which have had a ripple effect across the country’s post-secondary institutions. The decline in student numbers is causing serious financial strain not only for Georgian College but for many colleges and universities in Canada.

Since January 2024, when Immigration, Refugees and Citizenship Canada (IRCC) introduced sweeping changes to study permit policies, institutions like Georgian College have faced declining enrolment rates. This has led to tough decisions, like workforce reductions, across the board. President Kevin Weaver of Georgian College revealed that international student enrolment has dropped by 30% this year alone, with further declines anticipated in the future. For Georgian College, which depends heavily on tuition fees from international students, this is a significant financial setback.

Georgian College Cuts 45 Jobs as International Student Numbers Drop

Why Is Enrolment Declining?

The broad decline in international student enrolment stems from federal policy adjustments introduced early this year. The federal government decided to impose a cap on study permits for foreign nationals to address Canada’s housing shortage, particularly in regions that also host international students. By limiting new study permits to 360,000 in 2024—a 35% cut from the permits approved in 2023—the policy aimed to curb population growth tied to international students. However, the actual numbers have fallen far below the 360,000 target.

Reports from ApplyBoard, a student admissions organization, suggest that Canada is on track to process 39% fewer study permits this year compared to last year. If these trends continue, only 231,000 new study permits will be approved by the end of 2024—a steep 47% drop compared to 2023. This is far below even the government’s set cap and has caused instability for students and institutions alike.

Financial Implications for Georgian College

The financial ramifications of these changes are becoming increasingly clear. Georgian College faces a projected $45 million shortfall in its 2025-26 academic year budget. The decline in revenue stems from a 15% reduction overall, directly tied to the drop in students. Like many colleges in Ontario, the institution relies significantly on international students, whose tuition is higher than that of domestic students. A 30% decline in enrolment represents not only lost tuition revenues but also a diminished economic impact on the college’s surrounding community.

Georgian College estimates its total economic contribution in its region to be approximately $1.7 billion annually, supporting one out of every 15 jobs locally. Alumni from Georgian College alone contribute $1.4 billion in economic benefits. With fewer students, this impact is expected to shrink in the coming years, affecting employers, businesses, and local services.

Staff Layoffs and Restructuring

In total, 146 positions at Georgian College have been affected since January 2024. This includes 23 direct layoffs, with over 100 full-time roles being impacted. While Georgian College emphasizes that program cancellations have been avoided, they have suspended intake for certain programs and merged some classes to reduce costs. Notably, the Georgian@ILAC partnership with the International Language Academy of Canada has been cancelled entirely since students from this program are no longer eligible for work permits after graduation under the revised policies.

The college has also tried to handle the crisis by restructuring internal operations. Areas within the institution are being combined or streamlined, and Georgian College is evaluating opportunities for more efficient operations or potential sources of new revenue. Despite these painful adjustments, Georgian aims to maintain its core commitment to supporting students and engaging the community.

A Growing National Crisis

Georgian College’s challenges mirror a wider crisis facing Canadian post-secondary institutions. Across Ontario, colleges have seen similar declines as federal policy changes brought a sharp halt to growing international enrolment. Conestoga College, another institution within Ontario, has offered early retirement packages to 160 employees to cut costs. Mohawk College has also begun workforce reductions, targeting areas like administrative roles, equity initiatives, and student services.

Universities and colleges across Canada are bracing for financial challenges due to the combined effects of declining international enrolment and the uncertainties these policies have caused. Universities Canada, representing nearly 100 institutions, estimates that international student enrolment at universities may fall by around 45%, a drop even greater than the government likely anticipated when imposing the cap. For colleges, the picture is even bleaker, with a projected 54% decrease. These combined enrolment declines will result in major losses, such as $330 million this fiscal year for Ontario universities alone, rising to $600 million next year.

Obvious Impacts on Students

At the heart of these challenges are the students affected by declining enrolment and policy unpredictability. While fewer new students are arriving, those currently enrolled are seeing reduced services across institutions. For instance, cuts to funding have resulted in shorter library hours and reduced access to academic advisers on multiple campuses. For many students, these changes have made their education experience more difficult at a time when international education was already a complex and costly endeavor.

Moving Forward: Georgian College’s Next Steps

Despite current hardships, Georgian College is working on developing a roadmap for the future. They continue to focus on their strategic mission to support education for local communities. One significant effort is the creation of “Vision 2030,” their long-term plan for development, which is expected to launch in April 2025. The college sees this framework as essential for navigating financial challenges and keeping its programs relevant and sustainable.

To address financial gaps, the college is actively evaluating further budget adjustments. While any decisions will be influenced by rapidly changing market conditions, Georgian College acknowledges that more measures may be needed to ensure financial stability. For now, the college maintains its commitment to supporting students, developing relationships with employers, and serving as an educational leader in Ontario.

Broader Impact of Federal Policy Changes

The broader financial implications of the new policies have led to budget cuts across universities and colleges. Institutions have implemented hiring freezes, postponed new building projects, and significantly reduced programming to save costs. But as noted in VisaVerge.com’s analysis, the direct effect of these decisions extends well beyond the institutions themselves. Regional economies feel the pressure as well, with fewer student-related spending and cascading impacts on businesses that rely on students as customers or workers.

Closing Thoughts

The layoffs at Georgian College flow directly from a sharp decline in international student enrolment, itself spurred by Canadian federal policy. This policy has profoundly reshaped the educational landscape in Ontario and beyond, triggering difficult decisions for colleges, universities, and their communities. While Georgian College and others strive to adapt, the challenges remain steep, and the future will demand further flexibility. Yet, amid the evolving landscape, institutions like Georgian College are taking deliberate steps to mitigate impacts, uphold their missions, and ensure that Central Ontario continues to benefit from a strong educational presence.

For official updates and more information about current study permit policies, you can visit the Government of Canada’s official page on immigration and visas at IRCC’s website.

Learn Today

Study Permit → Authorization document allowing foreign nationals to study at designated institutions in Canada under specific conditions.
Tuition Fees → Financial charges paid by students, often significantly higher for international students compared to domestic students.
Economic Contribution → The positive financial impact generated by an entity, such as a college, within its local region through revenue and employment.
Policy Adjustments → Changes implemented to existing rules or guidelines, often by governments, to address emerging issues or priorities.
Enrolment Decline → A reduction in the number of students registering or being admitted to educational institutions over a specific period.

This Article in a Nutshell

Georgian College faces a 30% drop in international enrolment after Canada’s study permit cap. This shift led to 45 staff layoffs, program cuts, and a $45M budget shortfall. Reliant on international tuition, the college’s woes mirror a nationwide crisis, highlighting the ripple effects of policy changes on education and local economies.
— By VisaVerge.com