Ontario report acknowledges financial dependence on international students

On Nov. 15, the Blue Ribbon Panel on Postsecondary Education Financial Sustainability issued a report providing recommendations to the Ontario government for enhancing the financial condition of the sector with a focus on improving the student experience.

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In a pivotal development for Ontario’s higher education landscape, a recent report from the Blue Ribbon Panel on Postsecondary Education Financial Sustainability sheds light on the intricate relationship between international students and the province’s economic well-being.

The rising cost of living in Canada has led some individuals to view international students as contributors to the issue, accusing them of occupying low-wage positions and relying on food banks. However, data indicates that Canadian post-secondary institutions, particularly in Ontario, are financially dependent on international students.

Enhancing the financial condition of international students

On Nov. 15, the Blue Ribbon Panel on Postsecondary Education Financial Sustainability issued a report providing recommendations to the Ontario government for enhancing the financial condition of the sector with a focus on improving the student experience.

The report outlines recommendations across six key areas: Funding, international students, financial accountability, cost efficiency and effectiveness, education in northern regions, and French-language education.

The report underscores the significant contributions of international students to population growth, Canada’s GDP, and Ontario’s post-secondary institutions. However, it also emphasizes that the “risk associated with unbridled or unmanaged growth is also very real.”

Report recommendations

It suggests that the international reputations of both Ontario and its institutions are critically dependent on providing appropriate levels of support for international students.

To address the risks associated with unmanaged growth, the report proposes that the province collaborate with the federal government to establish a “trusted institutions framework” for streamlined visa issuance, considering factors such as student completion rates.

Additionally, the report recommends a reassessment of the cap of 7,500 international students for each of Ontario’s colleges, taking into account their actual size.

Due to the limited revenue from domestic tuition and provincial grants, the substantial intake of international students by colleges may incentivize these institutions to prioritize the enrollment of international students over domestic ones.

The panel suggested that the Ministry of Colleges and Universities in Ontario collaborate with post-secondary institutions to assess plans for potential increases in international student enrollment.

The recommendation emphasizes the need for the ministry to adopt a “future-oriented” perspective on international student numbers, ensuring that institutions and their surrounding communities are adequately prepared, willing, and able to support them.

Student perspectives

During the spring of 2023, representatives from post-secondary institutions and other pertinent groups were invited to submit their recommendations for consideration in anticipation of the report’s release. Following this, the Ontario Undergraduate Student Alliance has issued a statement outlining its recommendations.

Vivian Chiem, the president of the student alliance, expressed concern that the report does not adequately address the role universities play in relation to international students.

She noted that the report primarily focuses on the province’s colleges, and although colleges may have a higher number of international students, OUSA represents nine student unions, including those from universities.

Chiem mentioned that OUSA advocates for and lobbies on behalf of almost 160,000 undergraduate students in the province.

The student alliance’s recommendations concerning international students include advocating for capped tuition increases and increased financial aid.

Additionally, it proposes the inclusion of international students as a distinct stream in express visa entry draws for permanent residency. The alliance also suggests offering employers tax credits to facilitate the sponsorship of more students through the Ontario Immigrant Nominee Program.

Facing a financial dilemma

Ontario’s higher education institutions are confronted with a financial dilemma. On one front, they are advocating for a five percent increase in tuition fees and a 10 percent rise in operating grants from the provincial government for the upcoming academic year. Simultaneously, this proposition has raised apprehensions among students, particularly those at the University of Waterloo, who are grappling with financial hardships.

Rory Norris, leading the Waterloo Undergraduate Student Association, strongly opposes the suggested tuition hike. Norris has underscored the severe financial hardships students currently face, encompassing instances of forgoing meals, working excessively long hours, and accumulating substantial debt. He expresses deep concern that this proposed increase will further compound these challenges.

“They [students] have already talked about cutting back on some pretty important things like skipping meals, things like working more hours, other things like taking on additional debt. Rory Norris, president of the Waterloo Undergraduate Student Association, said.

“So I worry that this is just another brick that is going to get laid on them that they’re going to have to sort of bear the burden with,” he added.

Norris, however, said he supports the call for increased operating grants, advocating for greater provincial support. He noted how colleges are having a hard time dealing with little government contributions in the middle of a tuition hike freeze.

Ontario eliminating Canadian work experience for immigrants

The Ontario government is set to enact groundbreaking legislation, potentially making it the first province in Canada to eliminate the mandatory requirement of Canadian work experience in job postings and application forms for internationally-trained immigrants.

This initiative comes in the wake of recent legislation that outlawed discriminatory Canadian work experience prerequisites in licensing for more than 30 occupations, scheduled to be effective from December 2023.

David Piccini, the Minister of Labor, Immigration, Training, and Skills Development, remarked on the longstanding issue of newcomers to Canada being directed towards underwhelming jobs for which they are overqualified. He emphasized the need to ensure these individuals can secure well-paying and fulfilling careers, addressing the ongoing labor shortage.

“We need to ensure these people can land well-paying and rewarding careers that help tackle the labor shortage,” he said.

Canada experiencing surge in population

Canada is currently experiencing a significant increase in its population as largely fueled by a surge in immigration, according to Statistics Canada.

The latest data revealed that the country is undergoing its most substantial population growth in over six decades, the CTV News reported.

The city of Moncton in New Brunswick in particular has witnessed a dramatic rise in newcomers, including permanent residents, temporary foreign workers, and international students.

“We’ve seen a drastic increase in the number of newcomers coming in both permanent residents, temporary foreign workers, and international students,“  said John Wishart, CEO of the Greater Moncton Chamber of Commerce.

In 2022, there were 4,700 new permanent residents welcomed to the Moncton CMA. “[T]hat’s far in away the most in any given year,” he added.

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