Immigration to Canada has a major impact on population demographics, labor market stability, and economic growth. Due to low birth rates and an ageing domestic workforce, immigration is the major source of population growth and labor market vitality in Canada. The benefits of immigration are far greater than any perceived ‘costs’, which explains why Canada is also one of the most immigrant-friendly countries in the world.
The Canadian government recognizes and rewards the contribution of immigrants to the local economy. Immigration does not drain government resources, rather it often has a positive long-term impact on economic gains. The net gains from immigration depend on what kind of immigrants are entering a country. Canada primarily welcomes immigrants under three categories:
- Economic immigrants: Those who are selected based on their expected human capital contribution – which is determined by skills, education, business/work experience, language proficiency, etc. These Canada immigration pathways target foreign workers, entrepreneurs and investors.
- Family Immigrants: Foreign nationals who are allowed to enter Canada to join immediate family members already living in the country.
- Humanitarian Immigrants: Refugees claimants or others entering Canada on humanitarian and compassionate grounds.
In recent years, Canada has prioritized economic immigration, which has shown encouraging results. The immigration rules for families and refugees are also very liberal. Immigrants from all three categories are encouraged to enter the workforce and contribute to the economy. One way the government reinforces this trend is by providing strong settlement services – such as market information, language training programs, resume writing workshops, job search portals, etc.
This ensures that newcomers are well-integrated into the local job market and communities. Permanent residence Canada is also more accessible compared to other countries, since the government wants to attract and retain immigrants for long-term sustainable growth. So, immigrants in Canada have a solid foundation for financial success and family settlement – even though there is greater scope for matching the talents of immigrants with suitable jobs.
Unlike many other countries, immigration to Canada is not perceived as a threat to the employment of the domestic workforce. In fact, the government acknowledges that immigrants actually expand the country’s labor market, boost GDP growth, and eventually help to generate greater employment. For these reasons and more, immigrants will continue to serve as powerful forces of maintaining economic stability and facilitating recovery in the aftermath of the COVID-19 pandemic.
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