Government of Canada launches consultation to review how to better protect the public interest in cases of public post-secondary educational institutions insolvency

OTTAWA, ON, May 1, 2023 /CNW/ - The Government of Canada has heard the concerns raised by Canadians about the challenges presented by the insolvency and restructuring of publicly funded post-secondary educational institutions. The impact of such situations can be far-reaching, affecting faculty members, staff, students and the entire community.

Today, the Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry, has launched a consultation seeking feedback from universities, experts, lenders and other stakeholders on how to better protect the public interest functions of public post-secondary educational institutions when they become insolvent.

Over the next 30 days, Innovation, Science, and Economic Development Canada will hold a series of roundtable discussions with specific groups.  The Government will then engage with provincial governments. To learn more or to become involved, we invite you to reach out to [email protected].  

Quote

"What happened at Laurentian University has raised concerns as to whether our current insolvency laws are fit for purpose to help publicly funded post-secondary institutions resolve financial distress. The impact this insolvency had on staff, students and the whole Sudbury community, was troubling and we need to make sure we learn from what happened.  I look forward to hearing from Canadians on how we can better support these organizations when faced with insolvency or restructuring situations."
– The Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry

Quick fact

• Canada's public post-secondary educational institutions play a crucial role in the nation's cultural, scientific and economic development. These institutions help to refine Canada's talent and act as vital partners for business and their communities. Seeking feedback from stakeholders and provinces on these matters is part of Minister's Champagne mandate letter.

Associated link

• The Government of Canada – Insolvency Law and Policy

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SOURCE Innovation, Science and Economic Development Canada

Laurie Bouchard, Director of Communications, Office of the Minister of Innovation, Science and Industry, [email protected]; Media Relations, Innovation, Science and Economic Development Canada, [email protected]