Over 5,000 Jobs Lost in Canada’s Higher Education Sector After Study Permit Caps

By Advay May 12, 2025
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More than 5,000 jobs have been lost across Canada’s higher education sector following the federal government’s introduction of a cap on international study permits in early 2024. According to higher education expert Ken Steele, the abrupt implementation of visa restrictions has triggered a financial crisis in colleges and universities, with Ontario institutions bearing the brunt of the fallout.

The cap, which limits study permits to 473,000 annually, has forced significant staffing reductions and programme cuts nationwide. Steele’s analysis reveals that 5,267 positions have already been eliminated – a figure he believes underestimates the true extent of the impact, as many institutions have yet to disclose their losses publicly.

Among the worst affected are Mohawk College in Hamilton, which cut nearly 450 jobs, and the University of Windsor, which laid off 157 staff. Fanshawe College in London has suspended 50 academic programmes, including advanced live digital media and construction project management.

Ontario, which previously depended heavily on international student revenue, accounts for approximately 70% of all reported cuts. Institutions in British Columbia and Quebec have also seen steep declines. “The sudden visa caps have decimated Canada’s international education reputation and dismantled a key export sector,” Steele told The PIE News.

The financial toll is staggering. Institutions have reported budget reductions totalling CAD$2.2 billion, factoring in both immediate cuts and projected losses for the year ahead. As the crisis deepens, post-secondary institutions across the country are being compelled to lay off more staff, scale back spending, and cancel academic offerings.

In Vancouver, faculty protests are already underway following 60 confirmed layoffs at Vancouver Community College. Despite the severity of the crisis, the issue of education funding received minimal attention during the recent federal election, which was largely dominated by national security debates.

With one of Canada’s most vital knowledge-based industries in turmoil, calls are mounting for the new government to reconsider the international student permit cap. “Even if Canada reopens fully now, it could take until 2030 to regain the international student momentum we had just two years ago,” Steele warned.

As the uncertainty lingers, the future of Canadian higher education hangs in the balance.

Source: THE PIE NEWS

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