
Ontario’s economy is approaching a make-or-break moment – colleges are crucial to the province’s resilience

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Ontario is at a critical juncture – punishing U.S. tariffs are the new reality.
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Ontario has now wrapped up an election called because of an economic threat from south of the border has arrived. A trade war can only be won with a skilled, resilient workforce that is ready to protect Ontario’s economy.
As our province faces growing global challenges, one of our most critical economic engines – our publicly funded colleges – is at risk.
The fact is Ontario’s college system is in a financial crisis with a long-standing position of having the lowest publicly funded operating grants in Canada. It is simply unsustainable. Since the federal announcement in January 2024 that international student permits would be capped, 302 programs have closed at 16 colleges with three campus closures, and there is certitude that more will follow.
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In this last short election period alone, colleges have announced cuts resulting in the loss of 115 programs and 318 jobs.
In every corner of the province, Ontario’s colleges are training tomorrow’s workforce today and they are primed to support workers through re-training and upskilling. Ontario’s colleges are an essential part of local communities, and the main source of the skilled workers companies will need to thrive and grow during this challenging time and beyond.
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Colleges certify the tradespeople who build our homes and highrises; the technicians who operate and maintain our energy infrastructure, and who power our advanced manufacturing; the mining workers who unearth our critical minerals; the logistics workers who manage our supply chains; the programmers who build AI systems; and so many more.
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To stiffen that backbone against tariffs, to realign our workforce, and to produce the talent that meets current and future labour opportunities, Ontario must invest in its publicly funded colleges that serve global and regional communities.
Fighting a trade war is about much more than applying counter-tariffs or buying Canadian.
To fight a military war, you need well-trained and battle-ready soldiers.
To fight a trade war, you need a well-trained and competition-ready workforce.
And that’s precisely what Ontario colleges provide for the province’s employers.
As Colleges Ontario pointed out in its pre-budget submission to Queen’s Park, last year there were 30 college programs directly related to the trades that were so popular they were oversubscribed – yet they were still operating at a financial loss.
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The hard truth is the current combination of provincial grants and domestic tuition fees are not enough to make ends meet at public institutions. Colleges relied on international students to fill low-enrolment programs and cross-subsidize money-losing programs – vital career-focused programs that domestic students want and need.
As a result, the sector is currently facing a combined deficit that could be as high as $1 billion in just two years, threatening the viability of many more valuable programs and campuses in communities large and small.
Campus closures and program suspensions at colleges are now daily news. Ontario must find a way to keep its colleges viable.
Last year, Queen’s Park invested $1.3 billion over three years to help address systemic funding shortfalls faced by colleges and universities. It’s not enough.
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Most domestic programs at colleges, in key labour market areas, lose between $2000 to $20,000 per student, per year. Yes, up to $20,000.
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As a first step, the Ontario government could extend that funding beyond its current 2027 expiry date, making it a permanent addition to ongoing base funding. Operating grants for our domestic students and programs must be improved so that they can continue to meet the needs of Ontario employers and the economy.
Closing these otherwise insurmountable gaps would allow colleges to plan with a greater measure of stability and predictability to deliver the training programs the provincial economy relies upon. College graduates are the workforce needed to prosper.
There’s no time to lose. We are not just responding to tariffs; we are now preparing to secure our future.
Investing in Ontario’s colleges is an essential part of the preparations.
Investing in Ontario’s colleges will strengthen our workforce, support economic growth and ensure our province remains competitive in an uncertain world. Our colleges stand ready to provide the hands-on training and skilled talent Ontario needs to secure its economic future.
– Maureen Adamson is the interim president and CEO of Colleges Ontario and the incumbent president of Fleming College
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