By admin (May 21, 2024)
Reasons for Canada to Welcome so Many Immigrants Every Year
23% of the total Canadian population is comprised of immigrants. There are several reasons for Canada to welcome so many immigrants every year.
Immigrant is the term used for a group of people who were, or had ever been, landed immigrants or permanent residents in Canada.
Since Confederation in 1867, 23% is the highest proportion recorded for immigrants. Immigrants made up 22.3% of the country’s population in 1921 which was a record till now, only to be broken very recently. If current demographic trends continue, immigrants could represent 29.1% to 34.01% of Canada’s population by 2041, according to population projections from Statistics Canada.
Canada’s annual Immigration Levels Plan for 2023-2025, which was released on 1 November 2022 further reinforces such projections. Canada is targeting to welcome 465,000 immigrants in 2023, 485,000 immigrants in 2024, and a milestone 500,000 new Canadian permanent residents in 2025 according to current immigration targets. After seeing these kinds of statistics, one wonders what may be the reasons for Canada to welcome so many immigrants every year.
What are the Reasons for Canada to Welcome so Many Immigrants Every Year?
There are two crucial factors because of why immigration is so prolific in Canada
• The aging of the natural population of Canada
• Country’s low fertility rate
Labour market of Canada is shrinking due to these demographic trends which may harm the economy of Canada in many ways.
Rapid Aging of Canadians
To understand reasons for Canada to welcome so many immigrants every year, understanding the rapid aging of Canadians is very crucial. In Canada, the number of children under the age of 15 grew at a pace six times slower than the number of people aged 65 and older from 2016 to 2021, according to the 2021 census.
7 million people are aged 65 and over in Canada, representing an increase of 18.3% between 2016 and 2021. Now 19% of the Canadian population represents this age group. The rapid aging of the Canadian population was indicated by the census reporting period according to which Canada’s largest ever five-year increase in persons aged 65 or older (+20%) preceded the most current census (2011 to 2016).
Canadian People are Having Lesser Children
Canadian people having lesser children is also one of the reasons for Canada to welcome so many immigrants every year. The fertility rate of Canada is below the population replacement level which adds to the concern surrounding the downward trends in the natural population growth of Canada. 2.1 children per women is the current population replacement level of Canada.
The fertility rate of Canada has declined steadily over time, following a trend that has continued since 2009, reaching a record low of 1.4 children per woman in 2020. Canada has experienced the greatest year-over-year decrease in births (-3.6%) since 1997 and the lowest number of births since 2007.
Why does Canada Needs Immigration?
Reasons for Canada to welcome so many immigrants every year are important to unserstand. Canada needs immigration so that country can thrive through continuous economic development and growth. The inhabitants of Canada are the driving factors of national spending and consumption, for which a strong labour force is required to ensure the production of goods and delivery of services.
National spending and consumption can be constrained by a weak population and lacking labour force, which is detrimental to the economic well-being of the country. Such obstacles can be avoided better because of heightened immigration in the country.
Canada relies heavily on immigration for population growth due to the issue addressed above. During the last census reporting period (+1.8 million between 2016 and 2021), nearly 80% of the population growth of the country was attributable to new arrivals to Canada either as temporary or permanent residents.
The population of Canada was almost twice as fast as other G7 countries over that time. The population growth driven by immigration has been significantly beneficial for the labour force of Canada, as evidenced by the reality that immigrants in Canada accounted for 79.9% of national workforce growth between 2016 and 2021. Canada can also work towards addressing the historic employment shortage by using heightened immigration as a tool.
Reasons for Canada to Welcome so Many Immigrants Every Year and what is its Impact?
The circumstances of the current labour market of Canada are limiting over half of all Canadian businesses from increasing production compared to 30% a decade ago and 40% before the pandemic. A much-needed boost to workforce productivity can be provided by putting newcomers’ skills to work and integration of talent into the Canadian workforce.
Immigration will consequently help accelerate growth across the country, as a result of the boon that immigration will provide to the growth of the Canadian labour force. Earning money and subsequently spending it goes back into the economy as more new immigrants are employed by Canadian companies. With the help of immigration, Canada’s economy will continue to develop positively.
What are the reasons for Canada to welcome so many immigrants every year is a very crucial question as heightened immigration will directly contribute to national economic growth, as Canada will continue to join Canadian citizens in spending money on housing, paying taxes, transportation, and other necessities.