Canada s New Immigration Policies: Fixing the Problems or Creating New Ones? The Big Picture: Temporary Entrants 8B Frontenac B Canadian Bar Association April 2009 Naomi Alboim
Overview of presentation Recent policy changes Trends in temporary entrants Analysis of new directions Implications 2
Recent policy changes Increased focus on short term labour market needs Facilitation of entry of temporary workers to respond to labour shortages Introduction of Canadian Experience Class to allow international students and temporary workers to transition to permanent status Increased role of employers and educational institutions All potentially positive implications if balanced approach 3
However Increased focus on short term labour market needs at expense of longer term demographic and economic needs Increased numbers of temporary workers, many vulnerable at low end, at expense of permanent residents Introduction of Canadian Experience Class (two step immigration) within existing targets at expense of overseas applicants in inventory and only for high end Increased reliance on employers and educational institutions for selection and settlement services in the absence of national standards All potentially serious negative implications 4
The cumulative impact of the changes is a fundamental shift in Canadian immigration policy in the absence of good policy development, or public debate. 5
Canadian context Immigration as means to end: one tool in kit Economic objectives paramount: short term/long term Population realities: net growth dependent on immigration Labour market realities: labour and skill shortages International competition for skilled workers Immigration to build nation, community and labour force Selecting citizens, not just workers Need to think beyond economic downturn 6
Who s coming? Number of permanent residents down despite huge inventory and labour/demographic needs (-5.7%) 247,202 in 2008 262,240 in 2005 Temporary foreign workers up dramatically December 1 Stock:(+100%) 252,196 in 2008 126,026 in 2004 Entries:(+71.2%) 193,061 in 2008 112,719 in 2004 Foreign students up modestly December 1 Stock:(+8%) 178,181 in 2008 164,845 in 2004 Entries: 79,459 in 2008 (+20%) 66,122 in 2004 7
2008 Permanent Residents, Temporary Workers, International Students (entries) Province 2008 PR 2008 TFW 2008 IS Newfoundland 623 (.3) 1,309 (.7) * 657 (.8)* PEI 1,483 (.6) 445 (.2) 260 (.3) Nova Scotia 2,653 (1.1) 2,137 (1.1) 2,526 (3.2)* New Brunswick 1,845 (.8) 1,725 (.9) 1,325 (1.7)* Quebec 45,882 (18.6) 24,171 (12.5) 12,928 (16.3) Ontario 110,583 (44.7)* 66,875 (34.6) 26,764 (33.7) Manitoba 11,230 (4.5) * 4,207 (2.2) 1,730 (2.2) Saskatchewan 4,832 (2) 3,661 (1.9) 1,433 (1.8) Alberta 24,185 (9.8) 39,177 (20.3) * 6,117 (7.7) British Columbia 43,535 (17.6) 46,955 (24.3) 25,670 (32.3)* Territories 288 (.1) 525* (.3) 42 (.05) Total 247,202 (100.0) 193,061 (100.0) 79,459 (100.0) Different proportions; different policy choices Newfoundland, Alberta, and Territories received more TFWs than PRs in 2008 8
Top 10 Source Countries 2007: Permanent Residents, Temporary Foreign Workers and International Students PR TFW IS 1. China USA Korea 2. India Philippines China 3. Philippines France France 4. United States Australia* Japan* 5. Pakistan United Kingdom United States 6. United Kingdom India India 7. Iran Mexico* Mexico* 8. Korea Japan* Germany* 9. France Germany* Taiwan* 10.Colombia China United Kingdom 9
Preliminary research findings for permanent residents Human capital matters: those with high education levels and good language skills to unleash them do best Social capital matters: those with family and friends in Canada benefit from those social networks Services can shape economic integration: early interventions, language, professional networks, top-ups reverse discounting 10
Yet Temporary workers not assessed on human capital Temporary workers at low end are not eligible to bring their families with them Temporary entrants are ineligible for any federal settlement services or supports 11
Analysis of New Directions
International students (PSE institutions) Enriches educational experience for all Provides workforce on and off campus; during and after graduation Pool of excellent potential immigrants Credential, language, integration costs borne by students and PSE institutions Differential tuition Some eligible for transition to permanent residence under PNP or Canadian Experience Class: increases competitiveness 13
Potential concerns with Canadian Experience Class Impact on PSE institutions: Increased demand for 2 year programs Potential revenue source could distort admissions, offerings, standards Capacity issues: more domestic students going to and staying in school Additional costs of language and settlement services Quality control in private vocational schools CEC numbers within allocated targets: impact on skilled worker applicants 14
Temporary foreign workers (employers) Employer driven No caps or targets tabled in Parliament Priority processing, new offices, reduced employer requirements to get approval, 2 year work permits Used strategically, effective labour market tool at high end Employers using TFWs to fill permanent vacancies more quickly than with Skilled Workers Increasing use of TFWs to fill low-skilled and unskilled jobs 15
Temporary foreign workers Concerns TFW get priority processing over skilled worker permanent residents with human capital Less stringent medical and security checks Market for unscrupulous recruiters Used inappropriately could discourage investment in training, hiring of under or unemployed permanent residents and citizens, could suppress wages Ineligibility for services, mobility restrictions, dependency on employer, lack of enforcement, absence of families create vulnerabilities at low end Particular vulnerabilities in LCP and SAWP 16
Potential concerns with Canadian Experience Class Within overall target for permanent residents: impact on skilled worker applicants Transition to permanent residence only at high end Others have three options: Continue working on extended temporary status (no services, no family unification, continued vulnerability) Return home or go to third country when visa expires (employer costs in recruitment, training) Remain underground as undocumented underclass (increased vulnerability, no payment of taxes) 17
Implications More blurring of numbers (perm and temp=newcomers) will make planning and evaluation difficult In the absence of fixing the processing and criteria for skilled workers, employers will rely more on the FTW program with its concomitant difficulties, including potential increase in vulnerable underclass Increased proportion of landings will come from CEC, requiring more people to follow a two step process to permanent status without access to federal services in first step, potential delayed family unification, potential delays to citizenship, potential removal of competitive advantage Increased selection and settlement responsibilities will be expected for employers and PSE institutions, and will result in a patchwork of policies and services across the country More future citizens will be selected by employers and PSE institutions whose primary mandates and interests lie elsewhere 18
Recommendations Temporary Foreign Workers 1. Require employers to review inventories of persons in Canada and applying from abroad before requesting approval for skilled temporary workers 2. Restrict LMO s for low skilled jobs 3. Offer services and enforce protections for temporary workers, LCP and SAWP 4. Provide sector specific employment authorizations for LCP 5. Prosecute unscrupulous recruiters, employment agencies 6. Identify separate targets and resources for permanent residents and temporary workers in annual plans tabled in Parliament 19
Recommendations Canadian experience class 7. Increase tabled target levels and resources to accommodate the CEC 8. Define roles and responsibilities of employers and post-secondary institutions 9. Monitor implementation and unintended consequences 10. Expand eligibility for those already in Canada 20
Conclusion The cumulative impact of changes is potentially enormous In the absence of good policy development, consultation, and evaluation, we may be creating worse problems, rather than fixing the ones we currently face Need for public debate and overall vision 21