(Montreal) The ax falls at Montréal International, which lays off nearly 19% of its workforce, while the organization loses certain mandates from Quebec and the federal government and its budget envelope has not kept pace with inflation.
Montreal International announced to 16 of its 85 employees that they were being laid off on Wednesday, The Canadian Press has learned. The organization also sent an email to its partners reiterating that the missions of attracting international investments and recruiting foreign workers will continue.
The president and CEO of Montréal International, Stéphane Paquet, confirmed the news in an interview. “We had to talk to people this morning to explain (the decision) to them. »
He attributes this decision to three factors, but “the most important” is the loss of mandates to attract foreign students granted by the Ministry of Immigration, Francisation and Integration (MIFI). “Last December, I was notified that the student retention attraction mandates were going to end on March 31. »
At MIFI, we respond that the recruitment of foreign students will be ensured by other partners. “By focusing on foreign labor recruitment activities, Montréal International will be able to respond well to the needs of the labor market for priority sectors in Quebec,” explains Maude Méthot-Faniel, spokesperson for Minister Christine Fréchette, in a written statement.
The MIFI decision also affects Quebec International, which laid off 3 of its nearly 100 employees, confirmed its spokesperson Isabelle Cloutier in an email.
PHOTO MARTIN TREMBLAY, LA PRESSE ARCHIVES
The President and CEO of the Chamber of Commerce of Metropolitan Montreal (CCMM) Michel Leblanc
The president and CEO of the Chamber of Commerce of Metropolitan Montreal (CCMM), Michel Leblanc, finds this to be sad news for the professionals at Montreal International, whom he praises in an interview. He judges that Montréal International is an “essential” and “strategic” organization for the economy of the metropolitan region.
Mr. Leblanc, however, believes that it is normal for a government to revise certain agreements when needs change. The CCMM itself found itself in the same situation in the past.
The greater Montreal region perhaps no longer needed to make as much effort to recruit foreign students, according to Mr. Leblanc. He emphasizes that Montreal now has a strong power of attraction among foreign students and that the context of difficult access to housing is changing the situation. “We were spending money to do what is currently going very well, perhaps even too well. »
The “most glaring” need at the moment is not so much to recruit foreign students, but to find a way to accommodate students, regardless of whether they are Quebecers or internationals, believes Mr. Leblanc.
For his part, Mr. Paquet emphasizes that the efforts of Montréal International will have made it possible to reach nearly 14,000 international students, who have registered in its application bank.
“These are people who study 75% in cutting-edge sectors such as science, technology, engineering and mathematics. Then, there are many who are in the second cycle, there are many who are in the third cycle. So, these are people that the planet is tearing away. »
Mr. Paquet does not know how many candidates pursued studies in Montreal. He emphasizes that in 2022, the organization generated 1,155 foreign student registrations.
Montréal International is also preparing for the non-renewal of three mandates from the Economic Development Agency of Canada (DEC) for aerospace, clean technologies and the eastern Montreal sector.
The organization will continue its efforts to attract investments in these sectors, but the loss of the dedicated budget means that it will be able to allocate fewer resources, explains its boss. “There will be fewer people working on this. »
These warrants amounted to approximately “around a quarter of a million” per warrant, or approximately $750,000. “It’s not a lot, but it made a difference. »
In the office of Minister Soraya Martinez Ferrada, who is responsible for the Economic Development Agency of Canada for Quebec, it is emphasized that the mandates entrusted to Montréal International had a limited duration. “When they are granted, the due dates are clear and known by the organization. Although these one-off mandates have been completed, Montréal International still has access to other CED funds,” responds spokesperson Marie-Justine Torres.
The effects of inflation
Montréal International’s budget envelope also remained stable in a context of high inflation, underlines Mr. Paquet. “When inflation is at 2%, we are capable, we become more productive and then we make gains, but when inflation is as high as what we have experienced in the last four years, well, that’s very bad. »
The organization is taking steps with Quebec, the federal government and the Montreal Metropolitan Community to obtain more funding.
Mr. Paquet assures that he does not intend to make any other layoffs in the coming months. “16 people out of a total of 85 is a lot. I do not intend to make any further layoffs in the coming months, in the coming quarters. »