(Black Press Media files)

Fix low incomes among family-class immigrants to help Canada’s economy: study

Newcomers to Canada through family reunification and private sponsorship earn significantly less

Chronic low income among so-called “family-class” immigrants is a concern that needs to be addressed not just for humanitarian reasons, but also to help sustain the Canadian economy, a new report from the Conference Board of Canada suggests.

As the country becomes more dependent on newcomers to fill labour needs, Canada should be looking to improve the labour market barriers and quality of life for newcomers, says the report released Tuesday.

“Low earnings and the prevalence of chronic low income among the family class are issues of concern that need to be addressed to help boost the living standards of immigrant families,” it says.

Doing so, it continues, would “help Canada benefit from their human capital in the labour market as it becomes more dependent on immigrant support for its economic growth.”

The study measures how the three classes of immigrants contribute to the economy and shows that while Canada has prioritized economic-class immigrants since the mid-1990s, family-class immigrants do more to boost retention rates and improve outcomes for immigrant families.

Newcomers to Canada through family reunification and private sponsorship programs earn significantly less on average than the average Canadian wage, but having family on hand to help with child care allows them to boost their household income by working longer hours.

Two years later: Most Syrian refugees settling well in B.C., report says

Family reunification also promotes settlement and integration of immigrants into communities, which encourages better retention rates.

“This underscores the utility of family reunification to economic development policy, as it helps to stimulate demand within the economy and add workers to the labour supply,” says the report — especially key for Atlantic Canada, where family-class immigrants have been staying in larger numbers than their economic counterparts.

The findings emphasize the importance of viewing family-class immigrants through an economic policy lens, the board notes, given the fact Canada will continue to be dependent on a steady stream of new arrivals to maintain a sustainable level of economic growth.

Statistics Canada data shows the number of deaths in Canada is forecast to overcome the rate of births by 2034, meaning a shrinking workforce that not even the rapid advancement of automation will be able to absorb.

Shutting the doors to immigrants completely would likely lead to a smaller workforce, higher taxes and dwindling social services, the study found, while boosting immigration rates to one per cent of the population would result in modest growth.

“Immigration has been vital to Canada’s prosperity throughout the country’s history and is poised to play an even bigger role moving forward. Canada needs to remain proactive in its efforts to benefit from immigration,” the report concludes.

Teresa Wright, The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Wildfire sparks near perimeter of devastating 2017 Elephant Hill fire

Ground crews and aircraft are responding to an estimated 50 hectare wildfire approximately 55 kilometers northwest of Kamloops, near the Deadman Vidette Road.

Okanagan Regional Library names new CEO

Don Nettleton, who has been with ORL for 24 years, takes over from Stephanie Hall

Vernon tax notices issued

Residents have until July 3 to pay and/or collect home owner grant if eligible

UPDATE: Power restored for nearly 3,000

Accident cuts off power to Vernon and Coldstream homes for several hours Wednesday evening

SilverStar reaches new heights with gondola

Vernon ski resort installing new feature, with opening date set for July 7

MLA pushing province and pharmaceutical to save Vernon woman

Cystic fibrosis patient can’t afford $20,000/month medication she needs to survive

Olympian to lead Penticton Peach Festival parade

One of the top bobsled pilots in the world will lead the Peters Bros. Grand Parade

Two-year-old found unresponsive in pool

Mission RCMP located toddler after she went missing from a local daycare

Surrey RCMP issue warning after third sexual assault this week

It is the third sexual assault since Sunday

Toronto opening 800 emergency spaces to deal with influx of refugee claimants

Beginning Thursday, Toronto will temporarily house refugee claimants and new arrivals in 400 beds in the city’s east end.

Breaking: Trump cancels summit with North Korea

Trump cancels June 12 summit with North Korea’s Kim, citing ‘tremendous anger and open hostility’ in recent statement

Rivers rising: Floods in B.C., New Brunswick a warning of what’s to come

In B.C., thousands of residents are returning to homes this week marked with red or yellow signs indicating a health inspection is necessary

North Korea demolishes nuke test site with series of blasts

North Korea has carried out what it says is the demolition of its nuclear test site in the presence of foreign journalists.

Penticton homeless campers devastated by park cleanup

Two women, in their 50s and 60s, said they felt like giving up after their only home was cleared out

Most Read