A new study shows that New Brunswick Community College (NBCC) has a significant impact on the social and economy prosperity of the province and the communities it serves, fuelling billions in provincial GDP and supporting more than 70,000 jobs.
NBCC Economic Impact Report, prepared by Stiletto Consulting, examines NBCC’s current economic impact and forecasts the future potential of the College. It finds that NBCC is an economic engine, driving growth for the province.
“This report confirms what we at NBCC have always believed – that in terms of economic impact from direct spending, there is almost no better public investment than the community college sector,” said Mary Butler, President and CEO of NBCC. “Based on 2019-20 data, in one year the taxes generated from college operations and graduates exceeds our provincial grant, demonstrating that NBCC is a full cost-recovery investment for the Province.”
Among the highlights of the study are:
- The community college sector, including NBCC, has one of the largest GDP multipliers of any industry in the NB economy.
- In 2019-20, NBCC’s graduates and operations contributed as estimated $463.8 million in GDP, $309.7 million in labour income, and $120.3 million in tax revenue.
- In 2019-20, NBCC’s 53,000+ alumni boosted provincial GDP by an estimated $7.2 billion and supported 70,500 jobs.
- In 2019-20, the $21 million in taxes generated by NBCC operations, combined with $56.9 million taxes induced by NBCC graduates, exceeded the Government of New Brunswick’s grant to NBCC that year.
What makes this report different from other studies is a forecast that specifically considers NBCC’s future impact in a New Brunswick context. Over the next 20 years, the cumulative economic impact of NBCC graduates is expected to grow substantially. Between 2019-2020 and 2039-2040, NBCC graduates are projected to induce $5.8 billion in labour income, $4.3 billion in household spending, and $1.5 billion in provincial and municipal tax revenue.
The report also highlights the benefits of a community college education for students, indicating that NBCC graduates will earn an incremental $420,000 (in 2020 dollars) more than their peers with a high school education only over a 40-year career.
“Put another way, the average college graduate will recover the investment in their two-year program within just over seven years of work after graduation,” said Butler. “We know that our students sacrifice their income and their personal time to pursue post-secondary education, so it’s gratifying to know that they reap the rewards of those sacrifices.”
With six campuses across New Brunswick, NBCC contributes to New Brunswick’s social and economic prosperity by supporting the aspirations of individual learners, seizing the opportunities of the labour market, and collaboratively solving the challenges of communities and industry. In addition to more than 90 certificate and diploma programs, NBCC also provides specialized and customized training to meet the needs of specific sectors and communities. Find out more information on NBCC programs by visiting: www.nbcc.ca.
Tanya Greer, Lead, Strategic Communications
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