CBU approves 2025-26 operating budget that includes $6.8M deficit

CBC

07-05-2025

Cape Breton University has cut some programs and will eliminate a number of positions over the next year in the face of a budget shortfall.
On Tuesday, the university's board of governors passed a $106.5-million operating budget for the upcoming school year, which includes a $6.8-million deficit.
Gordon MacInnis, vice-president of finance and operations at CBU, said the budget is a reflection of the federal government's decision to restrict the number of international students permitted to study in Nova Scotia.
"It really has had a dramatic impact upon student enrolment across the country," said MacInnis. "Because about 77 per cent of our enrolment was international, we are disproportionately impacted and that is what you're seeing in the budget document."
A couple of years ago, CBU's enrolment peaked at 9,100 students. MacInnis said that figure is now expected to drop to about 5,400 students, translating to a revenue loss of about $33 million.
In an attempt to cut costs, CBU will move all of its operations back to its university campus on Grand Lake Road in Sydney. It also plans to pare at least 56 positions, 14 of which will be eliminated through attrition and by not filling vacancies.
The university has already launched an early retirement incentive program for eligible employees and will not be renewing 56 term positions.
MacInnis said CBU will prioritize the placement of full-time staff into new positions at the university's newly created medical campus, which is set to begin operations this summer.
The university has been preparing for a decline in revenues related to the international market, said MacInnis, with CBU now expected to balance its budget by 2027-28.
"The most significant risk for us is that the international markets do not rebound as we are expecting that they may over the next couple of years," he said. "And if that doesn't go well, then you know, it will certainly be another challenge that we will have to address in the coming years."
Three programs have been suspended at CBU in recent months due to the decline in international student enrolment. They include two post-baccalaureate programs centred on health-care management and business management.
CBU said it also expects there will be some increases in student fees in order to maintain the same student experience, although university officials did not specify how much they will go up.