The age of new Canadian immigrants is said to impact its workforce positively. Statistics Canada claims that the Canadian working-age population is usually between the age group of 15 to 64.
Canadian working population- a brief
Mostly, the Canadian working population is between the age group of 55 and 64. However, this indicates that they will reach their retirement age soon. Also, this age group contributes to over 20 percent of working-age people in the country.
Additionally, the children below 15 grew at a slower pace (six times) compared to the aging population of 65 years and above.
According to the Canadian Census, almost every 1 in 5 Canadians belongs to an aging working population between 55 and 64 years old. The statistics make it evident that the Canadian workforce is nearing retirement age.
Moreover, Canada’s fertility rate is significantly reduced to the rate at which the population will receive a substitute. Currently, the substitute level of the population is 2.1 children per woman globally. The reduced fertility rate is a pattern being carried out since 2009. Gradually, Canada’s fertility rate deteriorated over time, and in 2020, it reached its lowest record of 1.4 children per woman. Besides this, in 2020, Canada even observed a reduced number of births since 2007. Additionally, since 1997, a massive reduction in births based on YOY was down by 3.6 percent.
Observing this downward trend of fertility births, it is now becoming evident that Canada will be following the same pattern of lowest of the low fertility rates prevalent in other countries. This also implies that the children are at 1.3 or fewer per woman.
Looking at the entire data, it is clear that the natural Canadian workforce would soon move to a deficient stage. Consequently, all these facts and figures will eventually put Canadian labor in a stage of extreme stress. Furthermore, this will also constrain the pension and healthcare systems across Canada.
Therefore, Canada must begin to seek immigration on a higher level to maintain and enhance its Canadian workforce.
Overall, immigration will be immensely helpful in achieving this objective, as per the recent Canadian Census.
The age of new Canadian immigrants will positively contribute to its workforce
According to the Census data of 2021, 64 percent of Canadian immigrants belonged to a prime working age group from 25 to 54 years. The data is valid from 2016 to 2021.
The significance of a skilled worker immigrant’s age can be determined through the scores under Express Entry’s Comprehensive Ranking system.
When applicants apply under Express Entry, they receive points under the CRS score, which are separate for all candidates based on age. Additionally, Express Entry candidates between 20 and 29 tend to receive the highest points under the age category.
Point’s allocation under the age category
Going by the standard allocation, candidates, before they turn 20, receive zero points if they are only 17 years old. Meanwhile, those 18 years receive 90 points, and 95 points if they are 19.
Now, candidates at least 30 or above will witness a decline in points out of 100 points each year for individuals between 20 and 29.
When individuals turn 30 years old, they will receive 95 points. After the candidates turn 30, their additional years will imply a deduction of at least 5 points each year. For instance, at 31, candidates will receive 90 points; at 32, they will receive 85 points; once they turn 33, they will only obtain 80 points. This is how it will work for their future years.
However, after the candidate turns 40, the deduction will start immediately with 10 points. Moreover, a candidate who is 41 years old will receive 35 points. Meanwhile, the ones who are 42 and 43 will receive 25 and 15 points, respectively. A 44-year-old candidate will only get 5 points under the age category. Lastly, 45 year old’s will get zero points.
Canadian immigrants- the working-age population
Since most Canadian immigrants contribute to the country’s working population, there is a huge chance of a significant development of the Canadian workforce.
Canadian immigration has already contributed massively to the workforce, with 79.9 percent growth between 2016 and 2021. Hence, it will only raise the nation’s abundance and prosperity.
New immigrants from the prime working age in Canada continue working here for a considerable period. This simply means they will continue to grow Canada’s economy and workforce. Two primary reasons will eventually lead the immigrants to bring forth more economic growth for the next three decades. They’re as follows:
- The first is Canada’s average retirement age reaching 64.4 years in 2021.
- Secondly, more than 20 percent of Canadian immigrants coming to Canada will be between 30 and 34 years old.
Fortunately, Canada’s workforce and economic growth will witness a positive future, even though there are existing challenges like reduced birth rate and aging population. This is only because of the age of new Canadian immigrants.
