Schools in the province have actively pursued the enrollment of international students, and the newly imposed cap could result in a 50 percent reduction in the number of new students that schools are allowed to admit.
Schools in the province have actively pursued the enrollment of international students, and the newly imposed cap could result in a 50 percent reduction in the number of new students that schools are allowed to admit.
The recent cap on international students in Canada could disproportionately impact schools in Ontario. Schools in the province have actively pursued the enrollment of international students, and the newly imposed cap could result in a 50 percent reduction in the number of new students that schools are allowed to admit.
Immigration Minister Marc Miller announced the cap on Jan. 22, specifying that his department will limit the issuance of new visas to no more than 360,000 this year, marking a 35 percent reduction from the previous year and will be maintained for two years.
The allocation of visas will be proportional to the provinces based on their population, leading to even more significant cuts at certain schools.
Miller is currently collaborating with provinces to determine specific allocations, but it is anticipated that Ontario, British Columbia, and Nova Scotia will be required to implement the most substantial reductions.
Masters, PhD students exempted
The federal government has explicitly exempted Masters and PhD students from the alteration. However, for other categories, the decision on how to utilize the allocations will be left to provincial governments, putting premiers in the position of choosing between sending more international students or allocating additional funds to schools.
Mikal Skuterud, an economics professor at the University of Waterloo, suggested that provinces facing the need to reduce their international student numbers should consider assessing the schools that yield the best long-term financial outcomes for graduates.
In addition to the implications on the labor market, provincial governments will need to grapple with the effects on universities and colleges. Particularly in Ontario, these institutions have grown dependent on the revenue generated by international students.
Previous warning
In 2022, Ontario’s Auditor General, Bonnie Lysyk, issued a warning that the province’s institutions were becoming overly dependent on international students to maintain their financial stability.
Lysyk conducted a comprehensive examination of the education system, including detailed audits of specific schools. Her findings revealed that many Ontario schools heavily depended on international students to ensure their financial viability.
An example highlighted by Lysyk’s audit was Algoma University in Sault Ste. Marie, Ont., which maintained a satellite campus in Brampton. Remarkably, 90 percent of students at the Brampton campus were international.
The audit revealed that this campus accounted for half of the school’s enrollment and contributed to 65 percent of its revenue.
Unfortunate timing
Steve Orsini, President and CEO of the Council of Ontario Universities said the cut to international students is coming at a time when universities are struggling with a tuition freeze and no new money coming from the provincial government.
Orsini emphasized that universities have been responsible in managing international student admissions and urged the government to provide them with additional time to adjust to the new circumstances.
Ontario’s Advanced Education Minister Jill Dunlop wasn’t available for an interview, but in a statement following Miller’s decision she said the province would focus on bad actors in the system.
Rushed changes
Brenda Bereczki, director of communications for Conestoga College, which has seen huge growth in international students, said they worry these changes are being rushed and coming in the middle of recruitment season for the fall semester.
“We worry the timelines for such substantive changes are too short to engage in the kind of meaningful consultation we need,” she said.
Bereczki also emphasized that the international students they enroll play a crucial role in addressing key labor shortages and should not be excluded from the educational system.
Public-private partnerships
Ontario colleges not only attract international students to their campuses but have also initiated partnerships with private colleges. In these collaborations, the college’s curriculum is taught at private institutions under licensing agreements, accompanied by associated fees.
Students attend private colleges but receive diplomas from public colleges upon graduation. Algonquin College in Ottawa has a partnership with CDI College in North York and Mississauga, generating $4.3 million annually.
Fanshawe College in London operates a comparable program, reporting an almost 20% higher enrollment than anticipated in 2022, though specific revenue figures are not disclosed in financial statements.
In addition to imposing a cap, Minister Marc Miller declared that participants in these programs would no longer be eligible to apply for a postgraduate work permit, reducing their appeal for international students.
