UNIVERSITY ENROLMENTS DEFY DEMOGRAPHY - AND THAT'S GOOD FOR THE REGION

• Between 1980 and 2010, the region’s population of 18-21 year olds fell 30% while university enrolment among this same group increased 75%.^[2] Canadian men with a BA earn 50% more than their counterparts with only secondary school education or less. For women, this wage premium is even more significant.

• Overall, the wage premium for university graduates in Atlantic Canada is higher than the national average.

• Demand for university graduates will continue to grow in the economy as Canada’s population ages and its older workers retire.

• Increasing labour-market demand for university graduates is a trend that can be traced back to the 1970s. In the past two decades, 80 per cent of 1.67-million new jobs in professional and management occupations have been taken by university grads in Canada. In this region, university grads filled 67,000 of the 79,000 new professional jobs created between 1990 and 2010.

• Between 2008 and 2010, during an extended economic slowdown, 300,000 new jobs were created for university graduates and about 78,000 additional jobs were created for college graduates. Those with no post-secondary education suffered by comparison - 433,000 jobs were lost among that group of Canadians that had only high-school education or less.

In general, Canadian labour market statistics reveals that the market for university graduates is continuously strengthening as enrolment rises and the population of young people declines. To put it another way, supply has yet to meet demand in the job market for knowledge workers.  In addition, the trends that will drive ongoing demand for knowledge employees, an aging workforce and the exodus of boomers from the workforce, are more dramatically evident inside Atlantic Canada than in the nation as a whole. More than other regions of the nation, then, this one needs to promote its universities and their graduates.  

Indeed, the research clearly makes the case that ongoing, substantial public investment in university education is not merely preferred; it is also essential. University-educated Canadians thrive as individuals; they also make a greater contribution to the public good. Growth in university enrolment has moved in tandem with the growth in government funding for the past decade or longer; and the outcomes underline the soundness of this investment. In Atlantic Canada, university graduates account for only 19 per cent of taxpayers but 36 per cent of taxes paid. AUCC research also shows that university education generates a 7-10% per return on investment through innovation, knowledge creation, knowledge “spillovers” to less educated workers, reduced crimeand other social benefits.

Canada’s economic performance in the 21^st Century will depend primarily on its people, on their knowledge, their capacity to innovate, and their ability to absorb new information and adapt accordingly.  In short, this nation requires educable knowledge workers who have acquired the skills that universities most effectively teach. In Atlantic Canada, this need will be deepened by a relatively older population that will continue to place higher demands on health care dollars and other public resources. Our best and surest way forward, then, is through continued, serious support for our universities, which face the vital task of educating the future generation of highly productive workers and thinkers who can help this region succeed.  

Key Questions for Consideration

• What would you do to foster development of an even stronger university system in Atlantic Canada, given how essential graduates are to the region’s success?

• Do you believe that governments now have educational and funding policies in place that will help ensure long-term prosperity in Atlantic Canada?

• Given the benefits of university education to students, should tuitions be adjusted upward to reflect this reality?