(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

Surrey, SFN to sign water-network agreement

Deal comes two years after SFN receives service-termination notice from White Rock

Roses and Rotten Tomatoes (July 20, 2018)

Our weekly collection of compliments and complaints sent in by readers

OUR VIEW: Candidates deserve our respect

Remember political candidates are people, too

Delta Student Police Academy a ‘once in a lifetime experience’ for teens

The 24 students got a chance to see inside the world of a Delta police officer

BC Games: Dance, spoken-word highlights at Opening Ceremony in Cowichan

Hundreds of athletes and thousands of volunteers, coaches, parents and officials

Trump slams Federal Reserve rate hikes

Fed raised benchmark rate for a second time this year in June, and projects two more hikes to come

5 to start your day

Plea for help to find hockey dad’s killer, Langley diver shares story of Thai cave rescue, and more

Okanagan Wildfires: The latest on wildfires and evacuations

A Friday morning look at the major wildfires impact the Okanagan and Similkameen.

UPDATED: 1,500 residents on evacuation alert as Peachland under state of emergency

The Mount Eneas wildfire has forced an evacuation alert of 596 properties

Police to provide update on case against alleged serial killer Bruce McArthur

McArthur worked as a landscaper, allegedly concealed the remains of seven men in planters

Premiers to wrap up 2 days of meetings at New Brunswick seaside resort

Meetings held in the scenic seaside town of St. Andrews on Thursday focused on trade

B.C. city wants pot banned from ALR

Mayor and council are concerned about conversion from growing food to making marijuana

World’s translators push back on forcing Trump interpreter to testify

Democrats had asked translator to testify about Trump’s lengthy conversation with Putin in Helsinki

Most Read