IRCC Minister Transition Binder 2019: Immigrant Outcomes

Outline

Canada admits the largest number of skilled labour migrants in the OECD. Additionally, Canada also has the most carefully designed and longest-standing skilled migration system in the OECD. It is widely perceived as a benchmark for other countries, and its success is evidenced by good integration outcomes.

Souce: OECD, Recruiting Immigrant Workers: Canada 2019 (2019)

Economic outcomes of immigrants, by immigration category:

• Labour force indicators
• Average entry employment earnings
• Average employment earnings over time
• Net direct fiscal contribution

Social outcomes of immigrants, by immigration category:

• Civic engagement
• Sense of belonging
• Citizenship take-up rate

Outcomes of the children of immigrants:

• University completion rates

Immigrant Outcomes in the Canadian Labour Market

• Economic principal applicants participate in the labour market at a higher rate than the Canadian-born population, and also report higher employment rates.
• The unemployment rate for economic principal applicants is on par with the Canadian-born average.
• As permanent residents who are not selected for primarily economic reasons, refugees and sponsored family class immigrants report lower participation and employment rates.
• In 2018, the labour market performance of immigrants in Canada was stronger than the average reported for other OECD countries.

Participation, employment and unemployment rates, age 25-54

Source: 2016 Census

How Much do Immigrants Earn Initially?

Immigrants (except refugees) who landed in 2014 and 2015 reported the highest entry employment earnings of any landing cohort since 1990.

• Economic principal applicants’ entry earnings have grown rapidly ($31,000 in 1990 compared to $45,000 in 2015).
• Entry earnings in certain immigration categories (i.e., sponsored family, refugees) have been relatively stable since 1990.

Average entry^{Footnote *} employment earnings, by immigration category (in 2016 constant dollars)

Text version: Average entry employment earnings, by immigration category (in 2016 constant dollars)

Tax Year	Sponsored family	Economic immigrants –principal applicants	Economic immigrants – spouses and dependants	Refugees	All immigrants
1990	$18,900	$30,700	$16,900	$17,100	$21,400
1991	$18,000	$29,000	$17,000	$18,100	$20,800
1992	$17,600	$29,700	$16,200	$19,400	$21,000
1993	$17,500	$29,500	$16,200	$18,100	$20,900
1994	$17,300	$31,400	$16,000	$16,300	$21,200
1995	$17,200	$31,000	$15,800	$16,300	$21,400
1996	$18,000	$31,400	$15,600	$16,200	$22,000
1997	$19,100	$34,000	$16,100	$16,900	$23,800
1998	$20,000	$36,600	$16,500	$17,500	$25,000
1999	$20,700	$39,400	$17,500	$17,100	$26,700
2000	$20,400	$37,800	$17,500	$17,200	$26,200
2001	$19,900	$31,600	$15,900	$17,000	$23,400
2002	$18,900	$29,900	$15,600	$18,100	$22,200
2003	$19,600	$29,800	$15,500	$18,500	$22,100
2004	$20,300	$34,200	$16,800	$20,000	$24,000
2005	$21,200	$33,900	$16,800	$19,500	$25,900
2006	$21,800	$37,700	$18,800	$19,500	$27,700
2007	$22,800	$40,800	$19,900	$18,100	$27,400
2008	$21,700	$39,200	$19,900	$18,100	$27,100
2009	$21,300	$38,000	$19,900	$19,200	$27,700
2010	$21,500	$37,500	$20,300	$19,400	$28,400
2011	$22,500	$38,500	$21,800	$20,800	$29,900
2012	$22,800	$40,700	$22,500	$20,700	$30,300
2013	$23,100	$41,700	$23,000	$20,300	$33,700
2014	$24,000	$45,600	$24,300	$18,400	$32,700
2015	$24,200	$44,700	$24,600	$18,400	$32,700
1990	$18,900	$30,700	$16,900	$17,100	$21,400
1991	$18,000	$29,000	$17,000	$18,100	$20,800
1992	$17,600	$29,700	$16,200	$19,400	$21,000
1993	$17,500	$29,500	$16,200	$18,100	$20,900
1994	$17,300	$31,400	$16,000	$16,300	$21,200
1995	$17,200	$31,000	$15,800	$16,300	$21,400
1996	$18,000	$31,400	$15,600	$16,200	$22,000
1997	$19,100	$34,000	$16,100	$16,900	$23,800
1998	$20,000	$36,600	$16,500	$17,500	$25,000
1999	$20,700	$39,400	$17,500	$17,100	$26,700
2000	$20,400	$37,800	$17,500	$17,200	$26,200
2001	$19,900	$31,600	$15,900	$17,000	$23,400
2002	$18,900	$29,900	$15,600	$18,100	$22,200
2003	$19,600	$29,800	$15,500	$18,500	$22,100
2004	$20,300	$34,200	$16,800	$20,000	$24,000
2005	$21,200	$33,900	$16,800	$19,500	$25,900
2006	$21,800	$37,700	$18,800	$19,500	$27,700
2007	$22,800	$40,800	$19,900	$18,100	$27,400
2008	$21,700	$39,200	$19,900	$18,100	$27,100
2009	$21,300	$38,000	$19,900	$19,200	$27,700
2010	$21,500	$37,500	$20,300	$19,400	$28,400
2011	$22,500	$38,500	$21,800	$20,800	$29,900
2012	$22,800	$40,700	$22,500	$20,700	$30,300
2013	$23,100	$41,700	$23,000	$20,300	$33,700
2014	$24,000	$45,600	$24,300	$18,400	$32,700
2015	$24,200	$44,700	$24,600	$18,400	$32,700

Source: Longitudinal Immigration Database (IMDB), 2016. IMDB analysis includes immigrant tax filers who are 15 and over.

Employment Earnings over Time

• Economic principal applicants’ employment earnings are well above the average for all immigrants, and surpass the Canadian-born average shortly after landing.
• Among refugees, employment earnings were consistently lower than the average for all immigrants, and remained below the Canadian average 15 years after landing.

Average employment earnings, by immigration category and years since landing (tax year 2016)

Text version: Average employment earnings, by immigration category and years since landing (tax year 2016)

Years since landing	Sponsored family	Economic immigrants – principal applicants	Economic immigrants – spouses and dependants	Refugees	All immigrants	Canadian-born average (2016)
1	$24,200	$44,700	$24,600	$18,400	$32,700	$48,200
2	$28,600	$47,500	$26,000	$22,000	$35,400	$48,200
3	$27,600	$46,800	$26,200	$23,400	$34,200	$48,200
4	$29,300	$49,200	$27,500	$23,800	$35,900	$48,200
5	$31,100	$49,900	$28,000	$25,200	$36,300	$48,200
6	$32,100	$52,900	$28,900	$25,500	$38,100	$48,200
7	$33,300	$55,700	$29,500	$26,500	$38,800	$48,200
8	$34,500	$59,000	$30,500	$26,900	$40,100	$48,200
9	$35,000	$62,400	$31,600	$28,500	$40,700	$48,200
10	$35,300	$62,500	$32,600	$29,700	$40,700	$48,200
11	$37,000	$63,300	$33,500	$31,600	$42,000	$48,200
12	$38,300	$68,100	$35,900	$31,800	$44,500	$48,200
13	$38,900	$68,200	$35,900	$31,800	$44,900	$48,200
14	$38,300	$70,200	$36,700	$32,000	$46,200	$48,200
15	$39,800	$71,800	$38,200	$32,800	$47,500	$48,200

Source: Longitudinal Immigration Database (IMDB), 2016. IMDB analysis includes immigrant tax filers who are 15 and over.

Impacts of Immigration on Canada

Demographic

• Immigration is essential for increasing Canada’s working age population (aged 15 to 64 years old). Without it, Canada's population is projected to decrease by 4% in the next 20 years as the population ages. Nonetheless, immigration is not a long-term solution to population aging in Canada.

Economic

• Immigrants contribute disproportionately to the supply of highly-skilled workers in the fields of Science, Technology, Engineering, and Math (STEM), promoting productivity and innovation in Canada. Although immigrants account for 20% of the Canadian population, approximately 50% of all STEM degree holders in Canada are immigrants.
• Immigration has fueled entrepreneurship and job creation in Canada - immigrants are more likely to be business owners than the Canadian-born population.

Fiscal

• Immigrants have positive net direct fiscal contributions. Economic principal applicants make higher net contributions than other immigrants and Canadians.
• Although refugees and family class immigrants have net direct fiscal contributions that are consistently below the Canadian average, their contribution grows over time.

Civic Engagement and Sense of Belonging

Are immigrants civically engaged?

The share of economic principal applicants who voted (self-declared in the GSS) in the 2011 federal election was on par with the Canadian-born average.

Self-declared voting rates (2011 federal election), by immigration category

Source: 2013 General Social Survey

Do immigrants feel a strong sense of belonging to Canada?

Refugees report the strongest sense of belonging to Canada (95%), compared to 91% for the Canadian-born population.

Sense of belonging to Canada, by immigration category

Source: 2013 General Social Survey

Life Satisfaction

Are immigrants satisfied with life?

Economic immigrants and refugees’ satisfaction with life remains consistent over time. Family class immigrants are less likely to be satisfied with life as they spend more time in Canada.

Percentage of the population who are “satisfied with life,” by immigration class and length of time in Canada

Source: CCHS-IMDB linkage produced in 2017, the chart uses CCHS variables in the 2013/2014 cycle.

Are immigrants stressed?

Immigrants, especially refugees and family class immigrants, are more likely to report feeling stressed as they spend more time in Canada.

Percentage of the population that reported life stress to be “quite a bit/extremely stressful," by immigration class and length of time in Canada

Source: CCHS-IMDB linkage produced in 2017, the chart uses CCHS variables in the 2013/2014 cycle.

Citizenship Take-up Rate

Refugees report the highest citizenship take-up rate of all immigrants, at 89%.

In recent years, the citizenship take-up rate has declined among certain immigrants (e.g., those with lower official language skills, less education, and lower income).

• Recent policy changes such as an increase in citizenship fees may have contributed to this decline.

Citizenship take-up rate for immigrants who landed in Canada after 1980 with 4+ years since landing, by immigration category, 2016

Source: 2016 Census

Children of Immigrants

• The children of immigrants (1.5 generation and 2nd generation) complete university at a higher rate than their peers with Canadian-born parents.
  • 1.5 generation refers to immigrants who arrive in Canada under the age of 15
• 2nd generation children earn more on average than children with Canadian-born parents, while 1.5 generation children earn less.
• The earnings of the children of immigrants vary by visible minority status.
• Childhood immigrants whose parents were in the economic class are significantly more likely to complete university than children who arrived as refugees, or as a sponsored family immigrant.

University completion rate (age 25-54), by generation status

Source: 2016 Census

University completion rate (age 25-54), childhood immigrants (1.5 generation)

Source: 2016 Census

Key Takeaways

• Immigrants, particularly economic principal applicants, have strong, positive economic outcomes.
• Despite being admitted to Canada on a humanitarian basis, refugees become increasingly self-sufficient with more time spent in Canada.
• Though immigrants and refugees appear to integrate well based on voting rates, sense of belonging, and citizenship take-up, they are more likely to report feeling stressed as they spend more time in Canada.
• Children of immigrants and refugees outperform their peers with Canadian-born parents in terms of educational attainment.
• Immigration, Refugees and Citizenship Canada monitors demographic trends in a variety of areas and will continue to report on the social and economic outcomes of immigrants.