Immigration To Canada: Focus On Economic Immigrants, Researchers Urge

Immigration Canada

First Posted: 08/30/11 07:56 AM ET Updated: 10/29/11 06:12 AM ET

As Citizenship and Immigration Canada conducts ongoing public consultations on the mix and number of immigrants the country should take in, a pioneering study has offered a powerful argument for prioritizing “skill-assessed economic immigrants,” whose earnings levels, the study has found, far exceed those of other kinds of immigrants.

Motivated in part by the rapid rise in the overall level of immigration, which has continued despite the economic downturn, as well as changes in the type of immigrants admitted, a pair of Queen’s University economists are weighing on several contentious aspects of Canadian immigration policy just as that policy is being reviewed.

Their working paper on the differences in earnings across different categories of immigrants in Canada, which was released this month through the Canadian Labour Market and Skills Researcher Network, found that economic immigrants, whose admission is determined by a points system that measures education and experience, had median earnings that were as much as 56 per cent higher than other classes of immigrants.

A recession, meanwhile, was shown to have “very marked and long-lasting scarring effects” on the earning power of immigrants of all stripes.

Commonsense though the findings may seem, rarely have they been so definitive. In an effort to gauge how well immigrants are integrating into the Canadian labour market, Michael Abbott and Charles Beach tapped CIC for a decade’s worth of annual earning data for all immigrants that arrived as landed immigrants in 1982, 1988 and 1994.

“It’s not a sample. It consists of the totality of all immigrants who have arrived in … those respective years,” Beach told The Huffington Post. “That makes it really quite large and, if you wish, more reliable than any other study that’s out there.”

By comparing the annual earnings of four different classes of immigrants -- economic immigrants, those who accompanied them, family class immigrants, and refugees -- the researchers were able to quantify just how much skills matter.

What they found was that the 10-year median earnings levels of economic migrants significantly exceeded those of the other classes -- between 30 and 37 per cent higher for men, and between 39 and 56 per cent higher for women.

The study found that refugees and family class immigrants -- those who came to join family already here -- had the lowest earnings levels. The real earning levels of refugees declined over the each successive cohort, suggesting that it got more difficult over time for this group to make ends meet.

But regardless of their skill level, immigrants felt the sting of recession. In 1990-1991, there was a decline in the median real earnings of male immigrants in all four admission categories in both the 1982 and 1988 cohorts. Meanwhile, those who arrived in 1994 experienced relatively low initial annual earnings, suggesting that the downturn continued to take a toll on immigrants, even after it was officially over.

A similar trend was observed in the aftermath of the recession in the early 1980s for those who arrived in 1982.

“That was actually a bit surprising to us,” says Beach of the effect of recession on immigrant earnings. “Perhaps it shouldn’t be, because there’s an of old rule of thumb in labour economics that says, ‘Last in, first out.’ If a recession comes along, and people get laid off on the whole, it’s the most recently hired, people with less tenure or seniority in the firm. And immigrants in general are people who have recently arrived.”

It’s a finding he says should prompt policymakers to consider reducing the number of immigrants admitted during tough economic times.

“In this recent recession and period of slow growth, that’s not what’s happened. The tap not only has been kept on, it’s been increased,” he says, adding that there has also been a growing number of newcomers admitted as foreign temporary workers and provincial nominees.

Total immigration to Canada has risen from 84,000 in 1985 to more than 280,000 in 2010, the highest number in more than half a century.

Immigration numbers vary from year to year, but they have been on an upward trend for decades, and last year’s 281,000 arrivals was the highest number since 1957, when Canada took in 282,000 immigrants.

Family class immigrants currently make up 26 per cent of those admitted; immigrants chosen for their economic potential, meanwhile, make up about 30 per cent.

Beach says the outcomes of skill-assessed economic immigrants is a testament to their relative success -- and the fact that the proportion of those admitted under that category should not be reduced.

“If we want to get immigrants to do well in Canada, that category is the one [that] does consistently better than the others,” he says.

But changing the mix of immigrants Canada takes in could have a political cost. Earlier this year, Immigration Minister Jason Kenney came under fire after reports showed that CIC was planning to reduce the number of family reunification visas by five per cent in 2012.

On Monday, Kenney’s ministry launched an online online questionnaire -- the department’s latest attempt to get public input on the appropriate mix of immigrants.

“The online consultation provides an important opportunity to gather input from stakeholders and the public on key questions facing CIC,” says Minister Jason Kenney. “This is also a chance to highlight some of the considerations and difficult choices involved in managing a global immigration system.”

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As Citizenship and Immigration Canada conducts ongoing public consultations on the mix and number of immigrants the country should take in, a pioneering study has offered a powerful argument for prior...
As Citizenship and Immigration Canada conducts ongoing public consultations on the mix and number of immigrants the country should take in, a pioneering study has offered a powerful argument for prior...
 
 
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03:53 PM on 09/14/2011
Thanks for all the information on Canadian immigrants. I feel like the best way to do any type of immigration, especially a complicated one, is through an immigration lawyer. They can prepare all of the materials for you that you need. There are plenty at http://www.immigration-lawyer-us.com
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jamster88
11:14 PM on 08/31/2011
Forget economics.

No doubt I am very proud of Canada's ability to integreate new immigrants but we have a prevailing culture that will be wiped out by mass immigration in less than a generation.

How can Toronto - which is now 60% foreign born - be 'Canadian' in any way?

If you grow up exclusively around foreigners - you will effectively be 'foreign' - it doesn't matter where you were born, what culture your parents were, your economic background - irrelevant.

If you transplant any random group of 3 million people from around the world to a deserted island - and give them Canadian passports - does that make any of those people 'Canadian'? Would giving them Japanese passports make them 'Japanese' in any way?

YES - WE MUST HAVE IMMIGRATION. BUT WE CAN ONLY SUPPORT SO MANY FROM A SOCIAL PERSPECTIVE.

STOP MASS IMMIGRATION NOW - OR THERE WILL BE NO CANADA. JUST A PLACE ON A MAP WITH A LABEL.

RECOGNIZE THAT WE HAVE SOME SEMBLANCE OF AN ETHNIC IDENTITY.

A NATION CANNOT EXIST AS A LEGAL CONSTRUCT. A NATION IS AN EXTENDED TRIBE - NOT AN 'IDEAL'.

PS I'm from Mississauga - I know a thing or two about immigration.

20 years ago I was fully behind mass immigration. Now I have first hand experience and witnessed that MASS IMMIGRATION DESTROYS CULTURE and destroys nations. What's left is a bunch of big-box store consumers, politely going about their business working in their cubicle and shopping at the
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BCSLAVE
Got a key?
01:37 AM on 08/31/2011
This story should get Harper's anti-immigrant people all upset.
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dtairtime
It is what it is
10:15 PM on 08/30/2011
Hmm - go figure that immigrants who lack even a high school education and have lots of kids harm a country?

All they needed to do was look south to see that happening and all we need to do to see the future is to look south.
04:25 PM on 08/30/2011
I am a highly skilled immegrant with a PHD in engineering from one of the top engineering schools in the USA and licenced in Canada. I canot find a job in Canada. I am told I am over educated. Can any one of your readers help me.
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teresa1960
06:58 PM on 08/30/2011
Maybe it's because you can't spell!
08:14 PM on 08/30/2011
Good enough for USA. More money less taxes.
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jamster88
11:19 PM on 08/31/2011
I am very sorry to hear you are in this position.

The problem Nadim - is that Canada does not need people that are 'highly educated'.

Modern nations need people who are 'highly skilled' and have 'great communication skills'.

I know plumbers and laymen that make a lot of money. Why? They have skills that are in demand.

Also - if you were Canadian, and could communicate effectively in Western terms no doubt you could get hired in some unrelated field where they need 'smart' people - like financial sales. But since your an immigrant - you will be highly highly unsuccessful trying to sell financial packages to old white guys at golf and ski clubs - so you wont' get hired.

I've hired tons of foreigners, and they tend to suck at things that are culturally relevant - for example, software interfaces.

YOU ARE WALKING EVIDENCE THAT EVEN THE ECONOMIC MIGRANT CLASS IS NOT REALLY GOING TO WORK OUT.

That said Nadim - I wish you great success, and I know that eventually it will work out. Canada is a good place and you will find our way. I'd suggest learning a skill that people are interested in. There are a ton of software jobs out there. Remember - it's not up to you to decide what other people want, i.e. nobody cares about your educational needs - they care about the skills they need.

I have no doubt you will be successful Nadim.
08:12 AM on 09/01/2011
Excellent! Thank you. I appreciate the kindness. This is exactly the debate I wanted to be initiated. The innovation base in Canada unfortunately does not exist. It is more of a service economy and mineral based economy. I was teaching in one of your engineering programs and was sad to observe that the majority of the young engineers are not being employed in their professional field or not employed at all. While serving as an advisor in one of your prestigious engineering firms it was also sad to see that the design work was not being done in Canada but in the USA. Many of your proudly Canadian companies have become subsidiaries of US companies. Unfortunately the US companies end up gutting the research and development and only keep the service side alive. Highly skilled people like me unfortunately and others will simply have to move on to other shores, which is the nature of globalization. But don’t let down your own young down. No country can truly call themselves great without an intellectual base. Lack of engineering innovation will lead to Canada becoming an after thought to the global economic. The superpower to your south will use your country as a source of mineral resource and relegate your proud country to a dominion status.
03:39 PM on 08/30/2011
They should be the only immigrants. Why do we need to import poverty? We have our own.
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spinnerator
07:58 AM on 08/30/2011
Really? They had to do a study to conclude that skilled immigrants were better for the economy than refugees? You mean to tell me that the gov't can't operate from a commons sense position unless they wasted tax dollars studying it?