Canada is a nation that has benefited tremendously from immigration. At its core, the promise of immigration is this: that new Canadians can come here from around the world, contribute to our economy and society, and build a great life for themselves, and that when they do, we will all collectively be better off for it.
The problem is, we have not been delivering on that promise.
In recent years, Canada’s immigration system has strayed, and while there are still many positives, it hasn’t been delivering as well for established Canadians and newcomers alike. Perhaps most importantly—and most frankly—is that it’s not making everyone better off, and Canadians are getting poorer.
Right now, Canada’s economy has stagnated. In fact, Canadians are no better off today than they were in 2014. And, with future productivity expectations in the gutter, our economy will not grow at the pace required to deliver opportunities for a growing population. All this has created frustration among Canadians, both long-established and new ones. Less than one-third of Canadians believe that our current approach to immigration is effective, and one-third of immigrants are unsure of their decision to move to Canada.
That’s a bad sign for Canada’s future. Future prosperity requires that the Canadian economy generates more value, not just because there are more of us, but because each one of us is better off. To get there, we need an enhanced approach and a renewed focus on the actual purpose of economic immigration: to generate prosperity for all.
There are two main ways we need to do this:
- Attracting and selecting the best candidates for economic immigration
- Improving outcomes for newcomers themselves
On the selection of the best economic candidates, the statistics around this may surprise many Canadians. Today, about half of the people admitted into Canada in the economic category were not, in fact, selected for their economic contributions. They are the spouses and dependents of a primary economic immigrant. For every 10 newcomers to Canada, about three are personally selected for their economic contribution. While many of these additional people have great contributions to make to our economy as well, when we’re counting five-year-olds as economic immigrants, it’s no wonder we’re not seeing the level of economic boost we might expect.
Also, there are big gaps in how Canada decides which economic immigrants to select. Take as an example a person with a master’s degree in—because we need to pick something—Latin, versus a person with a certification as a heavy-duty mechanic.
All else held equal, the person with the master’s would receive more points than the mechanic, due simply to years of education, despite the fact that the mechanic has vastly higher average earning potential in Canada today. And, with full respect to both professions, Canada also needs far more heavy mechanics right now than we do TAs in Latin.
A clear needle-moving fix is to reform the points system used to better select economic immigrants, prioritizing those with higher earning potential over other measures. We should also make this system dynamic and update it frequently to account for changes in what skills our economy needs in real time.
On the second front, improving newcomer experience and outcomes, the fixes are clear but that doesn’t make them easy. The process needs to be streamlined and simplified. We need to connect newcomers to supports so they can find a home and a job as quickly as possible. More than all else, we need to make it much easier for newcomers to use their skills in the Canadian labour market. We must view it as economically and morally unacceptable to have people delivering Skip the Dishes who are trained as—and would prefer to be working as—physicians and engineers.
Finally, as every business person knows, what gets measured gets done. For our immigration system, we need to enhance it to deliver on its stated goal of making everyone better off. That requires tying our strategy to clear indicators of prosperity such as GDP growth per capita and directing our resources to best increase those metrics.
There is a mandate for change. In a poll from Abacus, nearly 70 percent of Canadians feel the current immigration targets are too high. We owe it to all Canadians, from those who have been here the longest to the newest, to deliver on the promise of immigration and make everyone better off from it.