Budget updates
Learn more about the current state of Concordia’s budget
Last updated: January 15, 2025, 2:59 p.m.
Overview
Concordia continues to face significant financial difficulties. However, a clear framework with achievable targets has been developed to ensure the university meets its financial obligations while maintaining its teaching, research and innovation strengths.
Progress on recovery plan
- 2023-24 fiscal year: The approved deficit of $29.1 million was achieved.
- 2024-25 fiscal year: The university is on track to meet the approved deficit of $34.5 million.
- 2025-26 fiscal year: The university must close with a deficit of no more than $31.6 million.
Despite this progress, a starting deficit of $79.4 million is forecasted for the 2025-26 fiscal year, due to:
- The carryover of the $34.5 million deficit from the 2024-25 fiscal year.
- An additional shortfall of $44.9 million, driven by factors such as declining enrolment, changes to government funding formulas, salary increases and rising service contract costs.
Failure to meet deficit goals could result in a downgrade of Concordia’s credit rating and increased borrowing costs.
Results of community efforts so far
Concordia has already taken steps to address the financial situation. These efforts include:
Payroll management
- Staff hiring freeze and strategic attrition: Approximately 80 positions have been closed since May 2024, with more than 180 roles unfilled.
- Faculty hiring has been paused for two years, with some strategic recruitment planned for 2025-26 to address key areas.
Cost reduction initiatives
- Reduction or elimination of non-essential expenditures (e.g., travel, external contractors).
- Proactive management of vacation time and other credits.
- Reductions in borrowing interest costs and lower management fees for university benefits.
Operational efficiencies
- Streamlining software and IT systems.
- Adjusting building services (e.g., HVAC systems, cleaning, security).
- Securing grants for energy savings.
Increased revenue
- Self-funded units like Residences, Parking and Recreation and Athletics have contributed additional funds.
- Improved returns on university investments.
Key focus areas for 2025-26
Maintaining the hiring freeze
- The hiring freeze will remain in place to control payroll growth, the university's largest expense.
- Strategic faculty recruitment will occur to ensure sustainability in key teaching and research areas.
Stabilizing enrolment
- Concordia experienced a decline of 1,400 students (3.4 per cent) in the 2024-25 fiscal year, driven by changes in government policies.
- To offset this, the university aims to recruit an additional 1,000 students for the 2025-26 academic year, requiring collective effort from all areas of the university.
Path to a balanced budget
Deficit reduction plan
- Total payroll savings of $15 million in the 2023-24 fiscal year.
- An additional $12 million in savings is expected for the 2025-26 fiscal year through the hiring freeze.
Additional savings needed
- By recruiting 1,000 students and generating payroll savings, the forecasted deficit will be reduced to $53.4 million, down from the starting $79.4 million.
- The university must still find an additional $21.8 million in savings or increased revenue to meet the mandated deficit of $31.6 million.
Flexibility and future projections
Adapting to changes
- Since planning is based on partial information, including uncertainty about government grants and tuition increases, projections may need to be adjusted in the spring.
- The community’s flexibility during this process is appreciated.
Ongoing dialogue
- All members of the Concordia community are invited to engage during regular budget conversations in January.
- Feedback and input from the community are crucial as the university works together to navigate these challenges.
Messages to the community
Year-end update on the budget and our campus community
Update on budget planning for 2025-26
Update on the fiscal year 2024-25 budget
Concordia’s budget for fiscal year 2024-25
Detailed follow-up on 2023-24 budget
FAQ
Services and operations
Concordia is continually reviewing all services and programs across units to identify opportunities for cost savings and operational efficiencies, ensuring the university meets its financial obligations while maintaining core academic and research priorities.
Recent measures have included pausing certain research-support programs, such as the Horizon Postdoctoral Fellowships and the Concordia University Research Chairs (CURC) program and scaling back funding to initiatives like the District 3 Innovation Hub. Operational changes, such as adjustments to HVAC systems during off-peak hours and the review of the KnowledgeOne operating model, have also been implemented.
Going forward, all units will be asked to carefully evaluate their activities and services to identify potential changes that align with budget targets while minimizing impacts on students, staff and faculty.
Concordia is conducting a comprehensive review of its technology and digital portfolio to identify optimization opportunities and efficiencies, and to prioritize future technological needs.
In the research sector, certain programs, such as the Horizon Postdoctoral Fellowships and the Concordia University Research Chairs program, have been paused. These decisions were made at the sector level and not as part of departmental budget cuts.
Additionally, faculty hiring has been paused since 2022, with exceptions made for strategic recruitment in key areas of teaching and research to ensure long-term sustainability.
All buildings and key facilities, such as libraries, labs and sporting facilities, will remain open. However, some services may operate at reduced hours to optimize costs.
The shuttle bus service underwent schedule reductions for the 2024-25 academic year due to financial challenges. Initially designed to facilitate inter-campus travel during regular working hours, the service had expanded to early mornings and late evenings. Unfortunately, these extended hours are no longer sustainable. Concordia remains committed to reviewing cost-effective solutions and the possibility of electrifying the shuttle bus fleet, but public transportation is recommended when the service is unavailable.
Job security and benefits
While Concordia does not currently have plans for staff layoffs, budget constraints mean that some units may need to evaluate their workforce to meet financial targets. Any potential changes would be carefully considered to minimize impacts on the community.
A hiring freeze and strategic attrition, where vacant positions are closed, will remain in place for the 2025-26 fiscal year. Since May 2024, approximately 80 positions have been closed, and more than 180 roles remain unfilled. Strategic faculty recruitment will continue in key teaching and research areas to support long-term sustainability.
Cost-control measures are focused on freezing new hires and managing vacancies. Existing contracts are reviewed upon termination to determine whether they will be extended, as part of the attrition strategy.
The scope of health and dental benefits remains unchanged. Administrative costs have been reduced to achieve savings.
Concordia’s pension plan is a separate legal entity and remains unaffected by cuts to the university’s operating budget. Retirement contributions are also not impacted.
Decision-making and communication
Regular updates will be shared during budget conversations and leadership messages. This web page will also be updated regularly.
Yes, leadership will host budget-related conversations to answer questions and gather feedback. Employees are also encouraged to contribute ideas during community engagement sessions.
Yes, Concordia is committed to transparency by sharing budget and leadership updates.
Future planning
Concordia is following an approved plan to balance the budget by the 2028-29 fiscal year. This includes payroll savings, cost reductions, operational efficiencies and efforts to increase enrolment and revenue.
The university is implementing a Strategic Enrolment Management Plan to stabilize student numbers, explore new revenue opportunities and develop strategies to adapt to changing demographics and government policies.
Academics and curriculum
Course offerings and section sizes are under review to optimize resources, which may result in larger class sizes.
Yes, Concordia is encouraging curriculum and course delivery reviews to foster innovation and improve efficiency.
The university also recently launched its first comprehensive teaching and learning strategy. This strategic plan is a result of broad consultations with the entire university community. With this plan, the university aims to ensure every student who chooses Concordia has a transformational experience, no matter the discipline, level, modality or duration of their study.
Yes, the university sees this as an opportunity to innovate in teaching, research and curriculum design while focusing on its academic priorities.
Faculties and schools are currently reviewing their course and program offerings as well as the number of sections they deliver. Deans are leading this activity, with the participation of department chairs and faculty members. Program costings are also under review to identify opportunities for savings in programs and activities.
Tuition and fees
Tuition fees and annual increases for Quebec and Canadian students are set by the Government of Quebec. These fees typically increase by an average of 2 to 3 per cent per year, as prescribed by the government. The fixed increase for the 2024-25 academic year is 3 per cent. Based on preliminary information from the Ministère de l'Enseignement supérieur (MES), Concordia can anticipate a 2 per cent increase for the 2025-26 academic year.
For international students enrolled in undergraduate and non-research master’s programs, tuition fees increase annually by a rate of 4.25 to 8.25 per cent, depending on the program. Once determined, the annual rate of increase is fixed for the duration of the program for each cohort.
For international students research master’s and PhD programs, tuition fees typically increase at the same rate as those for Quebec and Canadian students, as prescribed by the MES.
Programs and institutes
Budget cuts and a divergence between MIGS projects and the academic orientations of Concordia researchers led to the decision to phase out the institute. Researchers and faculty had pursued other initiatives and collaborations, further reducing alignment. This process concluded in 2024.
Concordia ended KnowledgeOne’s commercial activities to focus on eConcordia’s online course delivery. Concordia also reviewed KnowledgeOne’s operating model to achieve efficiencies and savings. These changes do not affect the quality of eConcordia courses or students’ experience in the online learning environment.
There are no plans to close CUCCR. The university values its contributions to the community and continues to evaluate its operations.
Facilities and campus life
Maintenance and building services, including HVAC operations, cleaning and security, are being adjusted during off-peak hours to reduce costs.
In the summer of 2024, the government announced significant reductions in funding for capital projects supported by the Plan québécois des infrastructures (PQI). As a result, Concordia must limit its investments to essential and grant-funded projects.
