The Improved Labour Market Performance of New Immigrants to Canada, 2006-2019

Abstract

This report provides a descriptive analysis of the labour market outcomes of new immigrants to Canada from 2006 to 2019. Using data from the Labour Force Survey, it focuses on four labour market indicators: participation, unemployment, and employment rates, as well as average hourly wages. It compares trends in labour market outcomes among very recent immigrants (5 years or less since immigration), recent immigrants (5-10 years since immigration), and Canadian-born workers. This report finds that new immigrants are on average younger and better educated than the Canadian-born. As a result, their labour force participation and employment rates were comparable to, if not better than, those of the Canadian-born. However, the unemployment rates of new immigrants were higher, and average hourly wages were lower. Over the 2006 to 2019 period, very recent immigrants enjoyed an absolute and relative improvement in all four indicators. Recent immigrants enjoyed an improvement in all four absolute indicators and three of four relative indicators; relative hourly wages were the exception.

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