Why are new skilled workers leaving Canada soon?
Canada has been known to be a welcoming country for decades for all kinds of immigrants and refugees, offering them the highest quality of life, stability, and prosperity. It also has a key role in building Canada’s economy and reputation as a welcoming, inclusive country.
However, in recent years skilled immigrants have started to think about leaving Canada, even permanent residents too, after a short time of their arrival in Canada; this phenomenon is called “onward migration”. This phenomenon doesn’t only affect the Canadian economy but also the country’s ability to attract new skilled workers in the future.
Meanwhile, Canada plans to reduce immigration targets to provide better housing rights and job prospects for current immigrants and natives. But unless it gets to the root cause of why immigrants are driving away, it faces serious unemployment and lost opportunities longer-term.
Changes to Canada’s immigration policy
Between 2023 and 2024, Canada’s population grew at its fastest rate in history, adding more than one million people in only one year. Large inflows of immigrants, international students, and temporary workers are driving this growth.
However, concerns about high housing prices, healthcare programs, and underdeveloped infrastructure have prompted the federal government to reconsider its immigration policy. Furthermore, this decline is believed to be the first in 10 years.
The main reduction target is to reach 500,000 by 2024 and 395,000 by 2025. Immigration will be reduced by 20%. This is a radical departure from the earlier attempts to increase immigration to Canada to meet the labour and human resource requirements. While developing future immigration plans, Canada has overlooked the key challenge of retaining Canadians with existing skills. Studies show that many of these newcomers, especially those arriving through economic immigration programs, leave Canada within just a few years.
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Why are skilled immigrants leaving?
Immigrants who leave Canada are not those who struggle the most. They are highly educated professionals, fluent in multiple languages, and also selected based on their ability to fill in labour shortages in critical occupations. In the following we’ll discuss the four main reasons for them to leave Canada:
1. Housing Costs and the High Cost of Living
Canada’s housing is one of the main reasons for skilled immigrants to leave Canada. Toronto and Vancouver are two of the cities that face high housing prices, making it impossible for newcomers to buy a home or save money.
Many immigrants move to Canada thinking they will have a stable life in Canada, but they find it hard to build wealth, afford homes, and achieve financial stability, so they decide to move to countries that offer them the future they plan for.
2. Underemployment and Career Challenges
Most of the time it takes time for skilled workers to get the credential recognition and the licensing requirements; however, they have advanced degrees and years of professional experience. And a preference for “Canadian work experience” often prevents them from securing jobs in their fields.
Instead, skilled workers may end up working in low-paying or unrelated jobs, unable to fully use their skills. This unfair employment makes skilled workers look for better opportunities elsewhere to exploit their skills.
3. Struggles with Healthcare and Social Services
Canada’s healthcare system is known for its long wait times, which frustrate immigrants. For people living in countries with better healthcare, getting timely care in Canada can be frustrating and sometimes overwhelming.
4. Global Competition for Skills
The United States, Australia, and Germany are competing to attract skilled workers because they pay more. Provide better support for new immigrants and speed up the immigration process. On the other hand, Canada has a higher cost of living and higher labour costs, making it less attractive to talent with international options.
The impact of losing skilled immigrants
Immigrants leaving the country is not only a personal loss for these individuals, but also impacts the Canadian economy, as they are considered an essential part of various industries such as healthcare, education, construction, and technology.
- Healthcare: Immigrants make up a significant portion of Canada’s healthcare workforce; they include doctors, nurses, and other healthcare professionals. Losing any number of them can cause a severe shortage in the Canadian workforce.
- Education and Childcare: Many of the current immigrants work in the education and childcare fields; these two sectors already face worker shortages. Their absence puts pressure on these vital services.
- Construction: Immigrant workers are vital for the construction sector due to Canada’s aging population and growing needs; their absence will only result in delayed projects and cost overruns.
The economic contribution of immigrants goes well beyond the labour shortage. Immigrants drive innovation, launch businesses, and contribute to Canada’s tax base. Losing those immigrants won’t only affect the Canadian economy for a short-term period but also the long-term benefits for the economy.
Public Concerns About Immigration
In the past, Canada has been known to give strong support to immigrants. However, some recent studies stated growing Canadians’ concerns. Nowadays Canadians think that Canada is accepting a large number of immigrants, which affects their lives in different ways, such as overcrowded healthcare, housing shortages, and job competition.
Canadian concerns have reached the Canadian government, which made the government rethink the number of immigrants entering Canada, which ended up reducing the number of immigrants in the country, which works as a good solution for short-term concerns. But also this solution hasn’t solved the problem of losing skilled workers.
What can Canada do to retain immigrants?
In the following, we’ll discuss the five key strategies that Canada can use to retain immigrants:
1. Affordable Housing
Provincial and territorial governments should work together to increase the supply of affordable housing. Policies to prevent foreclosures and encourage the development of affordable housing can help provide housing for immigrants.
2. Facilitate the recognition of qualifications
The process of recognizing foreign diplomas and degrees should be quick and easy. This will help skilled immigrants find work in their fields more quickly, reducing hidden unemployment and discouragement.
3. Improving public services
Canada must invest in healthcare, education, and childcare to meet the needs of its growing population. Improving access to these services will improve the quality of life of immigrants and citizens.
4. Strengthen settlement programs
Programs that help immigrants build networks, train, and prepare for permanent employment can make a big difference in their experience. Supporting immigrants after the first round is critical to retention.
5. Encourage regional migration
Housing prices in urban and rural areas are low, and labour is expensive. Encouraging immigrants to settle in these areas through targeted programs like the Atlantic Migration Program can help reduce pressure on large cities while supporting local economies.
Canada is at a turning point. While lowering immigration targets may address short-term challenges, it does not address the deeper issues that drive skilled immigrants away. Losing these talented individuals not only hurts the economy; it also erodes Canada’s global reputation as a top talent destination.
To secure its future, Canada must do more than attract skilled workers; it must give them reasons to stay. By addressing housing affordability, employment barriers, and access to services, Canada can create a better environment for immigrants to thrive. Retaining a skilled workforce is critical to building a stronger, more inclusive, and prosperous nation for all.
