Future Proofing: Federal Leadership for Post-Secondary Education & Research - Submission to Finance Canada's Pre-Budget 2021 Consultation - CAUT

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Submission to Finance Canada’s
Pre-Budget 2021 Consultation

Future Proofing: Federal
Leadership for Post-
Secondary Education &
Research
February 
Submission to Finance Canada’s Pre-Budget  Consultation                                                 February 

Summary                                                       economic crisis, and struggling to address significant
The Canadian Association of University Teachers is            social inequities, particularly those driven by racism
pleased to participate in the pre-budget consultations        and colonialism. The recommendations outlined in
in advance of the 2021 Budget. In this time of unique         this submission highlight how the post-secondary
circumstances, we recommend investment in the                 education sector can respond and assist with these
following four critical areas:                                crises and build a better, stronger, and more equitable
                                                              Canada after the pandemic.
   A national strategy with the provinces and
    territories that provides adequate, stable federal        COVID-19 has demonstrated the importance of our
    funding to support quality post-secondary                 research and science community in providing advice
    education and protect jobs;                               and solutions towards navigating through this crisis.
    Supporting Francophone and bilingual post-                Post-secondary education institutions, through the jobs
                                                             they provide and the knowledge they generate,
    secondary education institutions to ensure the
    vitality of Canada’s Francophone minority                 alleviate the impacts of the current economic crisis,
    communities;                                              reduce inequalities, and increase social cohesion.

   Accelerating research through enhanced                    The impact of the pandemic has amplified many of the
    investments in the Tri-Councils’ granting                 pre-existing problems in the post-secondary sector,
    programs and increasing graduate student                  including the weaknesses in the funding model with
    scholarships; and,                                        its over-reliance on student fees and dependence on
    Securing opportunities for Canada’s youth and             precarious workers. Post-secondary institutions were
                                                             not eligible for the wage subsidy program and were
    unemployed Canadians through increased access
    to higher education through a free tuition model          left out of the Safe Restart Agreement. Some
                                                              institutions have had no choice but to lay off staff, cut
    for low- and middle-class Canadians who attend a
                                                              educational and research programs, and raise the cost of
    public university or college.
                                                              tuition, just when students and families can least
Introduction                                                  afford it.
The Canadian Association of University Teachers (CAUT)        Budget 2021 will be the blueprint for Canada’s post-
is the national voice of academic staff. CAUT represents      pandemic future. It must set out a path forward to
more than 72,000 teachers, librarians, researchers,           carry Canadians through this crisis and build the
general staff and other academic professionals in 125         foundation for a better and more just society and
Canadian post-secondary institutions including                economy. It must build on our strengths and address
universities, colleges and polytechnics.                      the weaknesses revealed through this crisis. Strategic
                                                              investments in universities and colleges must be made
A strong and vital post-secondary education sector is an      now to ensure a safe re-opening, a strong recovery
essential foundation for social cohesion, innovation,         and a more resilient future.
science and economic success in Canada. It creates the
knowledge needed to meet national and international
challenges, trains the talent necessary to make Canada a      Develop a national plan for post-
competitive leader, and contributes to social mobility,
                                                              secondary education
decent work, reduced inequality, and a robust culture
                                                              In cities and communities across the country, universities
and democracy.
                                                              and colleges are job-creating institutions, cultural
The COVID-19 pandemic has drastically changed our             centres, and regional economic drivers. They employ
nation in the span of months, leaving not only                local people, contribute to community well-being,
governments, but many Canadians, working to find              bring in students that support local businesses, and
ways to navigate through the pandemic and recover             attract research and innovation. Whether in smaller
from its financial and social impacts. As a country, at       municipalities, or in larger urban centres, universities
this moment we are a facing a public health crisis, an        and colleges are significant employers that create and
                                                              train people for family-supporting jobs. Nationally,
Canadian Association of University Teachers                                                                             2
Submission to Finance Canada’s Pre-Budget  Consultation                                              February 

Canada’s post-secondary education system drives our              To ensure that provinces are active partners in
prosperity and global competitiveness, underpins our              supporting the post-secondary education sector,
democracy, and develops solutions to existing and                 this federal funding must include accountability
future challenges.                                                mechanisms to ensure that these funds are spent
                                                                  by the provinces as designated.
The impacts of COVID-19 have put in stark relief the
broken funding model for post-secondary education.               Establish a federal post-secondary education
Public spending on post-secondary education in                    secretariat or branch within the federal
Canada has not kept pace with enrolment over the                  government to facilitate intergovernmental
past several decades. In 1990, just over 80 per cent of           collaboration and coordinate initiatives such as
university operating funding came from public                     research and science, student assistance, data and
funding. As of 2018, that figure had plummeted to                 innovation.
about 47 per cent. With years of declining
government funding in real terms, institutions are            Invest in French-language post-
adjusting their budgets by cutting jobs, increasing           secondary education institutions
student tuition fees, and reducing programs.
                                                              This government recognizes our linguistic duality is
The last federal top-up to the transfer to the provinces      essential to Canada's success and has committed to
for post-secondary education was in 2008. Canadians           support policies and programs to “enhance the vitality
need a stronger federal partner for post-secondary            of official-language minority communities, protect
education and research if we are to meet the                  their institutions, and support and increase
challenges in building back better from the pandemic,         bilingualism across the country.”
including reskilling workers, reducing barriers to
                                                              Last year this government committed $63 million
educational attainment for marginalized groups, and
                                                              over 5 years to support the Université de l'Ontario
ensuring young people are not burdened by education
                                                              français to help meet the needs of 620,000
debt before entering the workforce. The sector is
                                                              Francophones in Ontario, particularly those in the
suffering under years of chronic underfunding all
                                                              Central-Southwestern region. As well, through
despite the fact that post-secondary education has
                                                              the Action Plan for Official Languages 2018-2023, the
become an essential part of Canada’s economic
                                                              government is investing $5 million over 5 years in five
growth. The Department of Finance’s Advisory
                                                              post-secondary institutions to expand their health-
Council on Economic Growth calculated in 2017 that
                                                              specific training programs to cover regions where it is
the additional funding required for adult reskilling
                                                              difficult to access French-language programs.
through post-secondary education over the next
decade is $3 billion. Investment is necessary to ensure       The government needs to go further by committing
that quality education remains accessible to students         additional funding in Budget 2021 to support existing
and to provide fair and sustainable employment                Francophone and bilingual institutions that are at risk
opportunities in communities across our country.              due to chronic underfunding and recent events.

Recommendation: Develop a national strategy                   Recommendation: Dedicate $200 million over 5
with the provinces and territories that provides              years to directly support Francophone and
adequate, stable federal funding to support quality           bilingual post-secondary education institutions to
post-secondary education.                                     ensure the vitality of Canada’s Francophone
                                                              minority communities and safeguard Canada’s
   A minimum of $3 billion in direct federal
                                                              linguistic duality.
    funding through a dedicated education transfer to
    provinces and territories will ensure universities        Making headlines are the financial troubles of both
    and colleges can make education more affordable           Laurentian University in northern Ontario and the
    for all, increase access for those who need it, and       Campus Saint-Jean at the University of Alberta.
    address issues of precarious work.                        Reductions in public funding are chief among the
Canadian Association of University Teachers                                                                            3
Submission to Finance Canada’s Pre-Budget  Consultation                                                   February 

issues facing all universities and colleges, however          Restarting research activities across the country will
those serving minority communities are particularly at        take a concerted and planned effort. Without continued
risk, due to higher per student costs.                        investment, Canada risks falling even further behind
                                                              in its competitiveness internationally. Canadians need
Their educational missions are intertwined with a             new knowledge and new ideas to improve our quality
commitment to retain a connection with the historic           of life and to help us meet the critical challenges we
Francophone communities in the region and the                 face. The final report from the Advisory Panel on
preservation and interpretation of archival and               Federal Support for Fundamental Science, released in
cultural material in the communities. They provide an         2017, provides the blueprint to ensure Canada is a
opportunity for Canadians to pursue higher education          world leader in research. The report recommended
entirely in French and train a bilingual workforce.           increasing base funding for Canada’s research granting
                                                              Tri-Councils (the Canadian Institutes of Health
This fund should provide operating funding needed to          Research, the Natural Sciences and Engineering
secure programs, staff and the long-term future of            Research Council, and the Social Sciences and
these institutions.                                           Humanities Research Council) from $3.5 billion to $4.8
                                                              billion over four years. This investment would raise
                                                              funding to a level that is equal to those of other G7
Support and expand research & science                         countries which would ensure long-term viability and
infrastructure                                                competitiveness.
The COVID-19 pandemic has highlighted the
importance of research as we look to scientists and           Despite increases in 2018, there remains a shortfall of
researchers for the information and tools necessary to        approximately 40 per cent to reach the levels
guide us through this pandemic. This public health            recommended by the Advisory Panel on Federal
crisis has also emphasized that, as a country and a           Support for Fundamental Science to stay competitive
global partner, we need research infrastructure—              on the international stage. Additionally, support for
including physical and human resources—ready at any           early career researchers still falls significantly short, at
given moment to respond to challenges and crises that         only 22 per cent of the levels recommended by the
arise. We simply cannot develop solutions to our              same committee.
country's challenges without having highly trained
                                                              Support for basic research will be essential to
and well-supported researchers alongside laboratories,
                                                              rebuilding our social infrastructure, growing our
equipment, tools, and a working knowledge base.
                                                              economy, and ensuring that Canada trains and retains
Throughout the pandemic, financial support and                global research talent. With this support, Canada’s
flexibility from the Tri-Council funding agencies have        world-class researchers will help to solve emerging
assisted many research teams to pay their staff and           problems, such as mitigating the impacts of climate
extend the timelines of their research. Despite this          change.
assistance, there have been unavoidable setbacks. The
intense focus on emergency remote teaching and                Recommendation: Accelerate research through
learning, the physical closure of labs, and the public        enhanced investments in the Tri-Councils
health measures that limited physical contact have led        granting programs and increase graduate student
to a sharp decline in research activities. A survey of        scholarships.
CAUT members demonstrated that 19 per cent have
been unable to do any research at all, and another 45            Annual increases to the Tri-Councils granting
per cent had to reduce their research activities after            programs are needed until Canada reaches funding
public health measures were put in place. This hiatus             that falls proportionally in line with other G7
in research work will have significant downstream                 countries. This funding will increase the sustainability
impacts on the innovation and knowledge that                      of Canada’s innovation and research capacity and
supports Canada’s economy, health research, and                   ensure that Canadians are not left behind in an
social supports.                                                  adapting world—both socially and economically.

Canadian Association of University Teachers                                                                                  4
Submission to Finance Canada’s Pre-Budget  Consultation                                                February 

   Increasing scholarships for graduate students to          tuition fees for Canadian families will diversify the
    the recommended levels in the Fundamental                 student populations, provide opportunities for
    Science Review is necessary to support early              Canadians struggling in the current economic climate,
    career researchers and offer much needed balance          reduce education and income disparities, and create a
    to the diversity of our research workforce where          more just society. To this, the top-up to the Post-
    currently women and racialized researchers are            secondary Student Support Program that helps fund
    underrepresented due to limited options for early         First Nations and Inuit education was capped at an
    career researchers.                                       annual 2 per cent growth in 2016, even as inflation
                                                              and population growth exceeded these benchmarks.
Improve student financial assistance                          As a result, the program is falling short in addressing
The pandemic and other macroeconomic conditions               the backlog of Indigenous students for this program.
have displaced many workers. In these times of high
unemployment, more Canadians than ever could                  Recommendation: Secure opportunities for
benefit from training and retraining. Unfortunately,          Canada’s youth and unemployed Canadians by
the impact of COVID-19 has imposed significant                moving to a free tuition model for low- and middle-
financial barriers on current and would-be students.          class Canadians at public universities and colleges.
The escalating costs of tuition and the rapidly
changing world of work are putting post-secondary                Current federal programs for post-secondary
education out of reach for some and contributing to               education and training encompass a complex mix of
unsustainable levels of debt for others. Although the             limited opportunities. Streamlining these programs
federal government has expanded student loans and                 should focus government spending on eliminating
grants, the grants remain lower than the average                  direct costs for students, as opposed to measures that
undergraduate tuition fees which are on the rise.                 increase student debt. This would include
                                                                  repurposing the Canada Training Benefit to ensure
Historically, when federal student loan and grant                 that Canadians looking to build their skills and
programs have been increased, tuition has also risen,             knowledge have meaningful access to opportunities
making the impact on Canadians trying to access higher            and redirecting the $900 million in unused federal
education negligible. A new system that removes the               funding from the failed Canada Student Service
barrier of direct costs for Canadians to access education         Grant program to direct student support.
is needed. Access to higher education will provide
opportunities to young Canadians and workers, and act            Improve education funding options for students and
as an equalizer across the country—increasing social              families and reduce generational debt by moving
mobility, growing and supporting the middle class,                towards a 50:50 grants and loans model.
and reducing inequities.                                         Reducing generational economic inequities by
                                                                  permanently eliminating interest on federal
Federally, the enhancements to the Student Loans and              student loan debt.
Grants program since its introduction in 2009-10
have had some impact in reducing need for loans. Yet             Eliminating the gap in post-secondary attainment
the federal government still disburses $2 in loans for            between Indigenous students and non-Indigenous
each $1 in grants, while upwards of $150 million in               students by increasing funding for Indigenous
loans is written off each year. A more equitable                  post-secondary education by a minimum of $650
disbursement, particularly with a focus on low-                   million annually.
income and middle-income families, would be to
move to a 50:50 grants and loans model.

A national plan to strengthen higher education should
include support for targeted free tuition programs.
Many marginalized communities have been excluded
from higher education as a result of cost. Removing

Canadian Association of University Teachers                                                                           5
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