Conestoga College offering 160 employees early retirement

Conestoga College's Waterloo campus is pictured on Sept. 21, 2023. (Dan Lauckner/CTV Kitchener)

Conestoga College is looking to cut costs by offering 160 of its employees an early retirement package.

The school confirmed to CTV News on Wednesday that the “voluntary early retirement incentive program” would be available to full-time employees who met their eligibility criteria.

Conestoga College provided no further details about what that might include.

Vikki Poirier, the president of OPSEU Local 238 which represents the college’s support staff, said it applied to “those [aged] 60-plus with 10 years of college service, [aged] 55-plus with 15 years of service, and [aged] 50-plus with 20 years of service.”

The offers were sent to 54 support staff and 106 faculty members on Wednesday morning.

Each employee has until Jan. 8 to let the school know whether they intend to take early retirement, which would officially begin on April 30, 2025.

OPSEU Local 238 had 880 members as of September. The 54 employees who were offered packages reflect six per cent of their unit.

OPSEU Local 237, which represents the faculty, said they have 571 members and it affected 18 per cent of their unit.

Retirement reaction

Poirier said Conestoga College’s decision hit hard.

“Every single one of those members I know,” she told CTV News. “They are people that I have looked up to. Some of them have been my mentors. It’s sad to see a lot of that knowledge go.”

It wasn’t, however, all that surprising.

“I think people were wondering when – or if – that was going to happen, because it’s been happening at other colleges,” Poirier explained. “This isn’t the first time that this has been offered. It was offered earlier in the year.”

At that time, the packages were only for full-time employees who were over the age of 60.

Reaction to the new offer, meanwhile, has been mixed.

“Some are happy, some are ready to go,” Poirier said. “This is a window of opportunity, maybe. Some are not ready.”

“They’re just stressed out, they’re worn out,” confirmed Leopold Koff, president of OPSEU Local 237. “They’re happy they get something, and they were, maybe, ready to go anyway.”

Other employees had a very different reaction.

“They’re disappointed that they don’t actually qualify,” he said.

While no details of the offers were shared with CTV News, Koff described them as fair.

“Conestoga is certainly more generous than what the other colleges are offering for an incentive. Mind you, they have a bigger war chest too. That probably may explain that.”

College controversy

Conestoga College reported a surplus of $251,646,838 in May 2024, more than double its 2023 surplus of $106,220,863.

As for the school’s international enrolment, it increased 1,579 per cent over a seven-year period.

In January, Ottawa announced a temporary 35 per cent cap on international students. The following August, they called for a further 10 per cent reduction. As part of their plan, the federal government pledged to decrease the number of international student permits by 300,000 over a three-year period.

Impact on colleges

The move has had a significant impact on Ontario’s 24 colleges, who are having to make difficult decisions that impact their future.

GEORGIAN COLLEGE

Georgian College, based in Barrie, has seen a 30 per cent drop in student enrolment this fall.

They’re also projecting a $45 million deficit for the 2025-2026 school year.

The college said 100 full-time positions have already been impacted, including 23 employee layoffs.

Officials have not cancelled any programs, as of Dec. 4, but admitted they may have to make “tough calls” ahead of the fall semester.

FANSHAWE COLLEGE

At Fanshawe College in London, the union representing workers said they’ve been told to expect a 47 per cent drop in international student enrolment in the winter term.

SHERIDAN COLLEGE

Sheridan College said it’s suspending 40 programs and reducing staff. Students currently in the affected programs will graduate, but the school won’t be accepting any new first-years.

The program suspensions are expected to start as early as May and continue “on a rolling basis over the coming months and years.”

Additionally, 27 programs will undergo an “efficiency review.”

Sheridan College, with campuses in Brampton, Mississauga and Oakville, cited changing government policies and an expecting a 30 per cent decrease in student enrolment.

No details were shared about how many jobs would be affected.

ST. LAWRENCE COLLEGE

St. Lawrence College, with campuses in Kingston, Brockville and Cornall, has eliminated 30 administrative and support positions.

They also warned of further cuts due to the anticipated 50 per cent drop in international student enrolment.

MOHAWK COLLEGE

Staff at Mohawk College have been told to expect layoffs as the school projects a $50 million deficit for the 2025-2026 year.

The exact number of layoffs hasn’t been shared.

ALGONQUIN COLLEGE

Algonquin College said it’s facing a possible $32 million loss in revenue due to the enrolment cap.

SENECA POLYTECHNIC

Seneca Polytechnic said it would temporarily close its Markham campus at the end of the fall term.