March 11, 2024

Canada Immigrants Achieving Greater Employment Opportunities and Higher Pay this 2024

A Statistics Canada analysis indicates that although immigrants are more likely than before to obtain work and higher income, they still fall short of the Canadian population overall in terms of employment and income.

When comparing recent immigrants in the 25 to 54 age range to their Canadian-born counterparts, the employment rate growth has been faster since the early 2010s. Also, since the mid-2010s, recent immigrants' incomes have grown more quickly than those of workers who were born in Canada, according to the statistics and demographic services agency.

Statistics Canada's Feng Hou reports that there was a 10.7 percentage point increase in the employment rate of recent immigrants between 2010 and 2023 in The Improvement In The Labour Market Outcomes Of Recent Immigrants Since The Mid-2010s?

The employment rate of people who were born in Canada increased by just 4.1% over that time.

As a result, according to Hou, the difference in the employment rates between the two categories shrank from 13.1 percentage points in 2010 to 6.5 percentage points in 2023.
"The unemployment rate among recent immigrants in the 25–54 age range decreased from 12.1% in 2010 to 6.2% in 2022 and 6.6% in 2023, in accordance with the improvement in employment rates.”

The difference in the unemployment rate between recent immigrants and workers who were born in Canada shrank from 5.7 percentage points in 2010 to 2.6 percentage points in 2023 as a result of the decline in the unemployment rate for recent immigrants.

The goal of achieving economic parity with native Canadians is now closer for immigrants.

According to the research, "the gap in weekly earnings between recent immigrants and Canadian-born workers decreased from 19.9% in 2015 to 13.4% in 2020 among men and from 20.4% to 15.5% among women."

The current trend deviates from the long-standing pattern of recent immigrant men's relative earnings stagnating and recent immigrant women's relative earnings declining between 2000 and 2015, despite the fact that recent immigrants still earn significantly less than workers who were born in Canada.

According to the survey, "new immigrant men earned 17.3% less in 2015 and 16.7% less in 2000 than their Canadian-born counterparts with similar socioeconomic characteristics."

Similarly, in 2000 and 2015, recent immigrant women made 22.1% and 25.4% less respectively than women who were born in Canada. The 2020 wages gap for recent immigrants was the tightest in the previous 20 years because of the recent improvements.

According to Hou's study, there is less certainty that this pattern will last much longer because job growth is expected to be surpassed in the near future by the rate at which new workers are arriving through permanent and temporary immigration programs.

As immigration levels rise, the trend of improving outcomes for immigrants may shift.

Hou says, "The dynamics of labor supply and demand are poised to change."

In addition to adding at least 148,000 workers to the labor pool annually, Canada accepted an average of 276,000 new immigrants annually between 2010 and 2019. At the same time, the number of employed temporary residents increased from 14,000 in 2011 to 108,000 by 2019.

During that period, all of those additional workers had an easier time finding employment because Canada saw an average yearly increase in employment of 234,000 between 2010 and 2019.

Therefore, during the 2010s, the annual increase in labor supply from new immigrants and temporary residents typically stayed below the overall expansion in employment in the economy. Longer-term immigrants and people born in Canada took up the remaining growth, according to Hou.

Over the next few years, that is anticipated to change.
"Planned immigration levels rise from 465,000 in 2023 to 500,000 in 2025, representing an approximate 80% increase over the average level in the 2010s," according to Hou.

"In addition, there has been a significant increase in recent years in the admission of international students and temporary foreign workers."

Hou acknowledges in his study that it is uncertain if the Canadian economy can provide enough job openings to handle the anticipated rise in the labor supply from new immigrants and temporary foreign workers.

He observes, "How artificial intelligence will affect net job creation in the years to come adds another layer of uncertainty."


In conclusion, the evolving trends in Canada's labor market offer promising opportunities for immigrants, with increasing employment rates and improving income levels over recent years. Despite historical disparities, immigrants are now closer to achieving economic parity with native Canadians, marking a significant milestone in their integration into Canadian society. As Canada continues to welcome a growing number of immigrants through various immigration programs, the potential for newcomers to thrive and contribute to the country's prosperity is on the rise.

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