2023-2024 Report to Parliament - Category-Based Selection in Express Entry

Contents

• List of Figures
• Acronym Glossary
• Introduction
• Category-Based Selection: Legislative Requirements
  • How Does Category-Based Selection Work in Express Entry?
• List of Categories Established for Category-Based Selection in 2023
• Selection Criteria for the Establishment of Categories
  • Labour Market Information and Data
  • Engagement and Consultations
  • Category Analysis and Impact Forecasting
• Process Applied for the Establishment of Categories
  • Category #1: French-language proficiency
  • Categories #2-6: Workers with experience in occupations that are in shortage
• Renewal of 2023 Categories for 2024 Category-Based Selection
• Conclusion

List of Figures

• Figure 1: How category-based selection works in Express Entry

Acronym Glossary

CEC

Canadian Experience Class

COPS

Canadian Occupational Projection System

CRS

Comprehensive Ranking System

ESDC

Employment and Social Development Canada

FSTP

Federal Skilled Trades Program

FSWP

Federal Skilled Worker Program

IRCC

Immigration, Refugees and Citizenship Canada

IRPA

Immigration and Refugee Protection Act

MEC

Minimum Entry Criteria

NOC

National Occupational Classification

STEM

Science, Technology, Engineering and Math

TEER

Training, Education, Experience and Responsibilities

Introduction

Launched in January 2015, Express Entry is Canada’s flagship application management system for three Federal High Skilled (FHS) permanent economic immigration programs, i.e., the Federal Skilled Worker Program (FSWP), Federal Skilled Trades Program (FSTP) and Canadian Experience Class (CEC) and a portion of the Provincial Nominee Program (PNP). Express Entry provides the Government of Canada with the means to manage the intake of applications for permanent residence under the key economic immigration programs listed above, while facilitating the selection of individuals who are most likely to succeed economically in Canada.

On June 23, 2022, legislative amendments were made to the Immigration and Refugee Protection Act (IRPA) that authorize the Minister of Immigration, Refugees, and Citizenship (the Minister) to invite foreign nationals to apply for permanent residence through Express Entry on a new basis – their eligibility to be members of a category that supports an identified economic goal. This authority, referred to as “category-based selection,” enables Express Entry to be more responsive to the changing economic and labour market needs, while building on the human capital approach that has been a hallmark of the country’s successful economic immigration system.  

In accordance with subsection 10.5(3) of the IRPA, this report provides an overview of the categories that were established, the selection criteria, and the process applied for the establishment of the categories in fiscal year 2023-2024.

Category-Based Selection: Legislative Requirements

Established in June 2022, category-based selection increases flexibility to select candidates in the Express Entry pool whose profiles respond to Canada’s evolving economic needs and Government priorities. Categories are based on key criteria, such as ability to communicate in a specific official language or work experience in a specific occupation, and will change over time.

IRPA sets out three key legislative requirements that underpin the Minister’s authority to use category-based selection:

1. Economic goal, as specified in subsection 10.3 (1.1):
   • “If the Minister establishes a category in an instruction […] the Minister shall set out, in the instruction, the economic goal that the Minister seeks to support in establishing the category.”
2. Public consultation process, as specified in subsection 10.5 (1):
   • “For the purpose of establishing categories of eligible foreign nationals […] the Minister must engage in a public consultation process with stakeholders, including provinces and territories, industry, unions, employers, workers, worker advocacy groups, settlement provider organizations and immigration researchers and practitioners, to obtain information, advice and recommendations in respect of the labour market conditions, including occupations expected to face shortage conditions, as well as on how categories can be formed to meet economic goals.”
3. Annual Reporting, as specified in subsection 10.5 (3):
   • “The Minister shall cause to be tabled before each House of Parliament […] a report containing the list of the categories of eligible foreign nationals established in an instruction […] and the selection criteria and the process applied for the establishment of those categories.”

The legislative requirements govern the process of establishing a category and the responsibility to report on the process of category-based selection at the end of each fiscal year.

How Does Category-Based Selection Work in Express Entry?

The additional flexibility derived through category-based selection comes from the introduction of category-based invitation rounds. Category-based selection allows IRCC to use the Express Entry system to invite to apply for permanent residence, candidates whose profile responds to identified economic goals. Candidates in the Express Entry pool who are eligible for one of the programs managed by Express Entry, and who meet category-specific eligibility criteria for a given round, are ranked based on their Comprehensive Ranking System (CRS) score, and top-ranking candidates are invited to apply for permanent residence.

Figure 1 below illustrates how category-based selection works in Express Entry.

Figure 1: How category-based selection works in Express Entry

Profile Submission

1. Expression of Interest
Individuals create an online Express Entry profile.

Express Entry Pool

2. Minimum Entry Criteria (MEC)
Only individuals with skilled work experience that meet the program requirements (MEC) for FSWP, CEC, or FSTP enter the Express Entry pool.

3. Comprehensive Ranking System (CRS) Scoring
Candidates in the pool are assigned a score according to the CRS, a factor-based ranking system that focuses on human capital and other established factors.

4. Category
Based on Ministerial Instructions specifying category criteria and linked to an economic goal, candidates that are considered eligible to be members of the category are invited to apply.
A category (made up of one or more criteria, such as French-language proficiency or work experience) can be applied to ‘tag’ candidates in the Express Entry pool.

5. CRS Ranking
Eligible candidates who can be included in a given invitation to apply (ITA) round are ranked against one another based on their CRS score.

6. Invitation To Apply (ITA)
During invitation rounds, candidates with the highest CRS scores are invited to apply to a program; invitations are issued to align with levels space/targets.

Application for Permanent Residence

7. Application Submission
Candidates have 60 days to submit an application.

8. Selection Decision
Officers assess applications against program and category requirements and verify Express Entry points claimed.

Figure 1 demonstrates that in order to qualify for a category-based invitation round, individuals must submit an Expression of Interest, and meet the Minimum Entry Criteria for one of the programs managed by Express Entry in order to enter the Express Entry Pool and receive a CRS score. At the time of a category invitation round, candidates who are eligible for a category are ranked against one another based on their CRS score. During the invitation round, candidates eligible for the category and with the highest CRS scores are invited to apply for permanent residence.

List of Categories Established for Category-Based Selection in 2023

The Minister established six categories of eligible foreign nationals in instructions made under paragraph 10.3(1)(h.1)(iii) and 10.3(1)(h.2) of IRPA.

The categories established in 2023 were:

1. French-language proficiency
2. Healthcare occupations
3. Science, Technology, Engineering and Math (STEM) occupations
4. Trade occupations
5. Transport occupations
6. Agriculture and agri-food occupations

The processes by which these categories were identified and established is explained in the next two sections of this report.

Selection Criteria for the Establishment of Categories

Categories are established for the purpose of responding to specific, identified economic priorities. Categories are identified by analyzing immigration and labour market data, and engaging with key partners, including Government of Canada departments and provinces and territories, as well as stakeholders and the public.

Labour Market Information and Data

Labour market information and data help identify the current context of economic and labour needs. Such data can, for instance, indicate probable long-term labour gaps in specific sectors, industries or occupations, and the depth and nature of those needs.

To determine categories established in 2023, a focus was placed on occupations anticipated to be in shortage in Canada between 2022 and 2031, according to data from Employment and Social Development Canada (ESDC), through its Canadian Occupational Projection System (COPS). The ESDC COPS projections take into account existing openings (e.g., vacancies) and labour supply (e.g., unemployment), as well as new labour demand (e.g., retirements, economic growth) and supply (e.g., school leavers, new immigrants, etc.). It is expected that focusing on occupations anticipated to face long-term shortage will increase the likelihood that newcomers who are selected will more easily transition to employment and contribute to Canada’s economy more quickly and over the longer term.

Statistics Canada’s job vacancy, wage, and employment data was also reviewed to identify historical trends for the occupations considered under category-based selection. While also taking into consideration the role of other immigration and non-immigration solutions, this type of data informs considerations of how many invitations to apply should be issued in support of the economic priority.

The Department conducted a review of relevant information related to labour market conditions for French-speaking workers, including reports from other government departments, past consultations, and IRCC’s ongoing dialogue with Francophone community stakeholders.

Engagement and Consultations

Prior to the establishment of a new category in Express Entry, IRPA requires the Minister to gather feedback from provinces and territories, as well as members of industry, unions, employers, workers, worker advocacy groups, settlement provider organizations, and immigration researchers and practitioners.

Input from partners and stakeholders informs whether and how IRCC uses category-based selection as a tool to address particular needs and priorities, and whether other immigration tools may be more appropriate (such as temporary programs, federal pilots, regional immigration programs, etc.).

From late November 2022 to January 2023, the Department held a public consultation on enhancing Express Entry through category-based selection. An online survey was made available to the public on IRCC’s website, and 2,960 organizations across Canada were invited by email to take part. In addition, a number of stakeholders were invited to attend two virtual information sessions that offered an overview of category-based selection in Express Entry, as well as IRCC’s proposed priorities and categories for implementation in 2023.

In parallel, IRCC engaged and consulted with other federal departments, as well as with provincial and territorial representatives. Through the Forum of Ministers Responsible for Immigration, IRCC invited provincial and territorial partners to provide their input and advice in writing.

A summary of input received is available on IRCC’s website, and includes a list of participating organizations. Findings from these consultations supported the use of category-based selection to address long-term labour shortages. Some of the greatest needs were perceived to be in transport, trades, healthcare, agriculture and agri-foods, and information technology occupations. Supporting Francophone immigration and economic growth in Francophone minority communities was also supported by the majority of participants.

This input informed the establishment of 2023 categories.

Category Analysis and Impact Forecasting

Category analysis and impact forecasting exercises were conducted to see how categories may impact candidate selection, and to understand equity and diversity implications, complementarity with other initiatives, as well as any potential trade-offs related to the attainment of other economic goals and priorities.

Process Applied for the Establishment of Categories

Based on the input gathered through consultations, and labour market information, category-based selection sought to support two economic goals in 2023:

• Supporting economic growth through Francophone immigration outside Quebec; and
• Contributing to Canada’s long-term economic success by improving the responsiveness of federal skilled immigration to the labour market.

Categories in Express Entry operationalize the selection of candidates with skills and professional profiles to help meet identified economic goals. As such, the Minister established six categories designed to help address long-term labour market shortages and, specifically for the French-language proficiency category, support economic growth through Francophone immigration outside Quebec. Candidates eligible under the following categories were invited to apply for permanent residence through category-based selection in 2023:

Category #1: French-language proficiency

The “French-language proficiency” category was established to support economic growth through Francophone immigration outside of Quebec. Francophone immigration plays a crucial role in supporting Canada’s economic growth by helping meet labour needs for French-speaking and bilingual workers across the country, as well as by enhancing the economic vitality of Francophone minority communities.

To qualify for the French-language proficiency category, candidates must have French language test results demonstrating a competency of Niveaux de compétence linguistique canadiens (NCLC) 7 or above in all four language abilities.

Category #2-6: Workers with experience in occupations that are in shortage

The following occupation-based categories were established to contribute to Canada’s long-term economic success by improving the responsiveness of federal skilled immigration to the labour market:

2. Healthcare occupations
3. Science, technology, engineering and math (STEM) occupations
4. Trade occupations
5. Transport occupations
6. Agriculture and agri-food occupations

The eligible occupations for each category were selected to align with occupations anticipated to be in shortage in Canada between 2022 and 2031, according to COPS projections. The list of occupations that were eligible under the selected categories can be found in Annex A.

To qualify for the occupation-based categories, candidates needed to have at least six months of continuous work experience, obtained within the preceding three-year period, in one of the eligible occupations that were part of the categories.

Renewal of 2023 Categories for 2024 Category-Based Selection

In 2024, the French-proficiency category was renewed to continue supporting economic growth and meeting labor market needs for French-speaking and bilingual workers outside Quebec. This is now also a commitment under the Department’s Policy on Francophone Immigration, which was introduced in January 2024.

Furthermore, based on ESDC’s COPS data on long term labour shortages between 2022 and 2031, the same occupational categories were maintained for 2024.

Findings from public and provincial and territorial consultations held in 2023 validated the continued relevance of the 2023 economic priority focused on addressing long-term labour market shortages and associated occupational categories for 2024 category-based selection, particularly in sectors such as healthcare, trades, and transport.

Conclusion

The Minister has the authority to invite foreign nationals to apply for permanent residence through category-based selection in Express Entry. Through robust analysis of labour market information and data, and engagement and consultations with partners and stakeholders, the Minister established six categories to strengthen Canada’s ability to meet a range of labour needs and address long-term labour shortages, as well as support economic growth through Francophone immigration outside of Quebec.

IRCC continues to review labour market information and engage with provincial and territorial counterparts and stakeholders to determine whether selected categories remain relevant or new categories need to be introduced to respond to changing labour market conditions. IRCC will continue to monitor Express Entry and category-based selection and to explore ways the system could be used to ensure that Canada continues to derive maximum benefit from economic immigration in a rapidly evolving environment.

Annex A.1: List of Eligible Occupations by Category