Immigration targets raised to record levels to stimulate recovery
Canada rolling out mat for more than 1.2M newcomers by 2023
Canada has launched its boldest immigration plan in modern history in the midst of a second wave of COVID-19, increasing the number of newcomers it will bring into this country at record levels in a bid to stimulate the post-pandemic economic recovery.
“We are at a unique juncture in Canadian history. We are facing the challenge of our generation, and we will meet our moment,” Immigration Minister Marco Mendicino said Friday after he tabled the federal government’s 2021-23 immigration plan in Parliament.
“Before the pandemic, our government’s goal to drive the economy forward through immigration was ambitious. Now, it is simply vital.”
According to the plan, Canada will welcome more than1.2 million new immigrants over the next three years, with an annual intake that would reach 401,000 in 2021; 411,000 in 2022; and 421,000 in 2023 — equivalent to one per cent of the population.
The previous multi-year plan, unveiled right before the onset of the pandemic lockdown in March, set targets of 351,000 in 2021 and 361,000 in 2022.
While experts had expected Ottawa to stay the course with its immigration goals — given the government had publicly stated immigration would be key to restarting the post-COVID-19 economy, they were surprised the Liberals would decide to take it up a notch.
Although critics have raised concerns about high immigration given that the country’s jobless rate hovered at nine per cent in September — after peaking at 13.4 per cent in May — from 5.6 per cent before the pandemic, some experts say the government is on the right track.
“The timing for expanding the program now is good. But I’m surprised how high the targets are they have set. I don’t know how realistic it is from a bureaucratic administrative perspective,” said Carleton University economist Chris Worswick, who specializes in the economics of immigration.
“I commend the government for thinking about immigration again. I was worried that it wouldn’t happen. I wonder if they’re being too ambitious. I’m cautiously optimistic that we’ll end up at a good place.”
Due to travel restrictions, reduced application processing capacity and flight cancellations, the immigration system had been stalled for months and by this year’s end, only 60 per cent or some 200,000 of the 340,000 newcomers targeted for 2020 are expected to have made it to Canada.
Mendicino said immigrants have played a critical role in keeping the country going during the pandemic, whether it’s caring for the vulnerable in long-term-care facilities or working on farms and in grocery stores to ensure the country’s food supply chain.
The government’s immigration strategy has been consistent with the approach taken by successive governments over the past three decades to keep intake high during recessions, starting with Prime Minister Brian Mulroney’s government using immigration to withstand the economic slowdown in the late1980s and early1990s.
Mendicino said his government’s plan aims at making up the 2020 shortfall over the next three years, with 60 per cent of the intake coming from the economic immigrant class, 30 per cent from family reunification and 10 per cent under refugee protection and resettlement.
The plan was welcomed by the business sector.
“There is widespread agreement across party lines that immigration is essential to longterm economic growth,” said
Goldy Hyder, president and CEO of the Business Council of Canada, which represents some of the country’s largest businesses.
“Newcomers bring energy, skills, new ideas and entrepreneurial spirit. They start companies, fill skill shortages, buy houses and pay taxes … The minister’s plan will allow Canada to make up lost ground as the pandemic eases. It will inject new dynamism into our economy.”
The Canadian Manufacturers and Exporters even went one step further, saying Ottawa’s objectives were too modest and will not allow the country to catch up quickly enough over the coming months to compensate for the reduced number of immigrant admissions this year.
“Manufacturers are increasingly using immigration to supplement their workforce but there are not enough immigrants to meet the demand,” said Dennis Danby, its president and CEO, who represents 2,500 leading manufacturers in the country.
“If manufacturing is to be at the core of the economic recovery following the COVID-19 crisis, we must do more in prioritizing immigration from the economic stream,” Danby added.