Budget updates

Concordia is currently facing significant financial challenges. Despite efforts to mitigate deficits, the university is projecting a deficit of more than $35 million for the 2024-25 fiscal year.

Several factors have contributed to the university’s financial situation, including a drop in student enrolment, changes in government policies affecting tuition fees and rising operating costs, including salaries and inflation-driven expenses.

The recent budget announcement from the Quebec government did not include any new funding for universities. The government’s decision has placed an additional strain on Concordia's financial situation.

In the coming weeks, the university will learn through the Régles budgetaires how the Ministry of Higher Education plans to allocate its budget for 2024-25 and what those allocations will mean for Concordia.

Concordia implemented a hiring freeze and appealed to departments and sectors to identify ways to reduce their budgets objectively and creatively. The university is also exploring revenue-generating opportunities and reviewing expenses across all sectors.

Concordia's approved recovery plan sets a maximum deficit of $34.5 million for the 2024-25 fiscal year. However, the university needs to identify additional opportunities for savings and revenue to ensure the budget is compliant with the recovery plan approved by the Board of Governors and submitted to the Ministry of Higher Education.

Reaching the deficit target for the 2024-25 fiscal year requires a concerted, coordinated effort across the university.

Concordia is implementing various strategies to identify savings and new revenue, including:

• optimizing student admission and retention rates;
• exploring partnerships for micro-programs and training;
• reviewing ancillary service prices;
• maintaining a hiring freeze, and;
• conducting a comprehensive review of activities and programs.

Over the next six to 12 months, Concordia will need to design a future-focused business plan that reflects the university’s changing reality. Once again, the university community will be asked to contribute its best ideas and creative thinking.

By working together and drawing on the best from the community, Concordia will emerge even stronger after these difficult times.

Concordia’s pension plan is a separate legal entity that will remain unaffected by cost-saving measures.

Enrolment encompasses both recruitment — attracting new students to Concordia — and retention — ensuring currently enrolled students remain in their programs. Concordia reviews its recruitment strategies at the undergraduate graduate levels regularly to develop appropriate plans. At the same time, the university continues to work closely with departments and faculties to ensure students receive support in their programs and studies.

Each sector leader, whether in an administrative or academic unit, will be responsible for cost-cutting measures. The Budget Review Working Group will provide global oversight.

Faculty deans are working with departments on reviews of programs. The academic sector as a whole will participate in collective thinking on how to best to structure programs so they respond to the student expectations, as well as to the needs of the market and society.

Yes. Sector leaders will head reviews of non-program and administrative expenditures.

The university will review all services to identify cost-savings opportunities. The only program that will not be under review is the pension fund. Concordia will maintain a defined benefit pension fund.

The university does not plan to lay off staff at the moment. However, the hiring pause for staff positions will remain in place for the 2024-25 fiscal year.

Concordia will continue to look for options to deal with the budget situation and reduce its deficit.