The University of Toronto's Centre for Comparative Literature, founded by literary critic Northrop Frye, will be around for another school year.

The university had planned to merge the internationally renowned centre with six other humanities programs at the end of this school year to cut costs. It would have been rolled into a new School of Languages and Literature.

The proposal drew an outcry from graduates, current students and scholars around the world.

Centre director Neil ten Kortenaar said he has been assured it will stay open as a standalone entity.

However, it has been asked to propose ways to cut costs in the face of a $55-million deficit at the Faculty of Arts and Sciences.

The centre, closely associated with Frye, teaches the study of critical theory and literature across cultures and languages. Students in the program must study at least two literatures, and be fluent in at least one language other than English at the master's level and at least two at the PhD level.

Frye was born in 1912 in Sherbrooke, Que., and raised in New Brunswick. He died in 1991.