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Why immigrants are set to have a bright future in Canada’s labour market – Canada Immigration News

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Published on April 12th, 2022 at 09:00am EDT

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Worker looking up in warehouse.

Worker looking up in warehouse.

Canada is enjoying its lowest unemployment rate ever.

On the surface, this may seem strange given the coronavirus pandemic.

However there was little doubt the labour market would recover given the major demographic shifts that were transforming Canada’s workforce prior to the pandemic, and that will continue to transform it over the next decade.

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From an immigration policy perspective, one of the biggest concerns is how a recession will impact the labour market performance of immigrants who obtain permanent residence during periods of economic downturn. Research shows that such immigrants may see their labour market outcomes negatively impacted for the rest of their careers in Canada.

This is alarming in light of the major shock to the Canadian economy at the start of the pandemic and Canada seeking to welcome the highest levels of immigration in its history.

But a closer look suggests that the COVID recession is different, and immigrants who have recently landed or who will be landing in the near future are still poised for a bright future in the Canadian labour market.

More Canadian workers retiring

The first reason for this is the exodus of baby boomers from Canada’s workforce. This exodus helps explain why Canada enjoyed its lowest unemployment rate ever prior to the COVID recession, and has achieved another historic low in the unemployment rate despite the pandemic continuing to impact the Canadian and global economy.

Canada has about 20 million workers, of whom about 9 million are baby boomers. All 9 million of these baby boomers will reach Canada’s retirement age of 65 within the next decade. More of them are retiring which is leaving a larger gap in the labour market. Historically, Canada has been able to fully replace retirees with young Canadian graduates completing their education and entering the workforce but this is no longer the case. Canada’s low birth rate means it must rely on other sources of talent to replace its retiring workers.

Replacing retiring workers is important to keep the economy going and ensure the tax base is large enough to support the services that residents of Canada are able to benefit from such as education and health care. This is even more important as the aging of the population will see Canada’s health care spending rise.

Other talent sources include under-utilized groups such as women, persons with disabilities, older workers, Indigenous peoples, and disengaged youth, among other groups. But adding more of them to the labour market would not fully compensate for all the retirees even if we lifted their employment participation rates to the national average.

This explains why immigration is so crucial to Canada’s economic success. Prior to the pandemic, they comprised up to 100% of Canada’s annual labour force growth on a few occasions, and this will become the norm over the next decade.

With so much experience and skill leaving the labour market, Canadian employers will need to turn to all the talent sources they can find to keep their operations going, which is precisely the phenomenon we are seeing now. The aging of the Canadian labour force is seeing the unemployment rate fall and wages rise, a phenomenon that is benefiting Canadian and immigrant workers alike. What we’re seeing now is likely to continue as more baby boomers retire.

We should also make note of the major immigration policy shifts over the past decade that are also having an impact on the labour market outcomes of newcomers.

More competitive selection process

One is the shift to a more competitive selection process for skilled immigrants. The federal government and provinces and territories have transformed their selection criteria in recent years to account for human capital factors demonstrated by research to result in stronger economic outcomes for immigrants. Under the Express Entry Comprehensive Ranking System (CRS) for example, candidates who are young, well-educated, fluent in English and/or French, with professional work experience, and other bonuses such as having Canadian education and/or work experience, are awarded a higher CRS score which increases their chances of obtaining permanent residence and ultimately succeeding in the Canadian labour market.

More immigrants selected from within Canada

Another major shift has been the increasing number of permanent residents selected from within Canada. Prior to the pandemic, immigrants overseas comprised some 70% of those who landed under Express Entry but last year this figure fell to 30% with Immigration, Refugees and Citizenship Canada (IRCC) relying more on in-Canada candidates to achieve its immigration levels targets amid pandemic-related disruptions such as travel restrictions. It remains to be seen whether IRCC will rely more on selecting immigrants overseas or in Canada after the pandemic, we do know Immigration Minister Sean Fraser’s mandate letter asks him to identify more immigration pathways for in-Canada candidates. In addition, provinces and territories are increasingly selecting more in-Canada candidates via the Provincial Nominee Program (PNP) and other streams.

The in-Canada selection trend is also backed by Canadian government research which shows that former international students and temporary foreign workers benefit in the labour market from their Canadian experience once they gain permanent residence.

More Canadian government investment to help newcomers

A third major consideration is IRCC’s increased investment in immigrant settlement services such as workforce and language training. IRCC now spends some $2 billion per year on such services compared to about $350 million per year twenty years ago. These services are also delivered pre-arrival to give immigrants useful information and supports to help expedite the settlement process once they arrive in Canada.

Conclusion

When all these factors are considered, one is able to better feel at ease that the COVID-induced recession should result in less labour market scarring for newcomers than prior recessions. Compared to the past, Canada has a historically tight labour market, a more competitive selection process, is selecting more immigrant candidates from within the country, and is spending more money to help immigrants succeed.

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Bad traffic, changed plans: Toronto braces for uncertainty of its Taylor Swift Era

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TORONTO – Will Taylor Swift bring chaos or do we all need to calm down?

It’s a question many Torontonians are asking this week as the city braces for the arrival of Swifties, the massive fan base of one of the world’s biggest pop stars.

Hundreds of thousands are expected to descend on the downtown core for the singer’s six concerts which kick off Thursday at the Rogers Centre and run until Nov. 23.

And while their arrival will be a boon to tourism dollars — the city estimates more than $282 million in economic impact — some worry it could worsen Toronto’s gridlock by clogging streets that already come to a standstill during rush hour.

Swift’s shows are set to collide with sports events at the nearby Scotiabank Arena, including a Raptors game on Friday and a Leafs game on Saturday.

Some residents and local businesses have already adjusted their plans to avoid the area and its planned road closures.

Aahil Dayani says he and some friends intended to throw a birthday bash for one of their pals until they realized it would overlap with the concerts.

“Something as simple as getting together and having dinner is now thrown out the window,” he said.

Dayani says the group rescheduled the gathering for after Swift leaves town. In the meantime, he plans to hunker down at his Toronto residence.

“Her coming into town has kind of changed up my social life,” he added.

“We’re pretty much just not doing anything.”

Max Sinclair, chief executive and founder of A.I. technology firm Ecomtent, suggested his employees avoid the company’s downtown offices on concert days, saying he doesn’t see the point in forcing people to endure potential traffic jams.

“It’s going to be less productive for us, and it’s going to be just a pain for everyone, so it’s easier to avoid it,” Sinclair said.

“We’re a hybrid company, so we can be flexible. It just makes sense.”

Swift’s concerts are the latest pop culture moment to draw attention to Toronto’s notoriously disastrous daily commute.

In June, One Direction singer Niall Horan uploaded a social media video of himself walking through traffic to reach the venue for his concert.

“Traffic’s too bad in Toronto, so we’re walking to the venue,” he wrote in the post.

Toronto Transit Commission spokesperson Stuart Green says the public agency has been working for more than a year on plans to ease the pressure of so many Swifties in one confined area.

“We are preparing for something that would be akin to maybe the Beatles coming in the ‘60s,” he said.

Dozens of buses and streetcars have been added to transit routes around the stadium, and the TTC has consulted the city on potential emergency scenarios.

Green will be part of a command centre operated by the City of Toronto and staffed by Toronto police leaders, emergency services and others who have handled massive gatherings including the Raptors’ NBA championship parade in 2019.

“There may be some who will say we’re over-preparing, and that’s fair,” Green said.

“But we know based on what’s happened in other places, better to be over-prepared than under-prepared.”

Metrolinx, the agency for Ontario’s GO Transit system, has also added extra trips and extended hours in some regions to accommodate fans looking to travel home.

A day before Swift’s first performance, the city began clearing out tents belonging to homeless people near the venue. The city said two people were offered space in a shelter.

“As the area around Rogers Centre is expected to receive a high volume of foot traffic in the coming days, this area has been prioritized for outreach work to ensure the safety of individuals in encampments, other residents, businesses and visitors — as is standard for large-scale events,” city spokesperson Russell Baker said in a statement.

Homeless advocate Diana Chan McNally questioned whether money and optics were behind the measure.

“People (in the area) are already in close proximity to concerts, sports games, and other events that generate massive amounts of traffic — that’s nothing new,” she said in a statement.

“If people were offered and willingly accepted a shelter space, free of coercion, I support that fully — that’s how it should happen.”

This report by The Canadian Press was first published Nov. 13, 2024.



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‘It’s literally incredible’: Swifties line up for merch ahead of Toronto concerts

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TORONTO – Hundreds of Taylor Swift fans lined up outside the gates of Toronto’s Rogers Centre Wednesday, with hopes of snagging some of the pop star’s merchandise on the eve of the first of her six sold-out shows in the city.

Swift is slated to perform at the venue from Thursday to Saturday, and the following week from Nov. 21 to Nov. 23, with concert merchandise available for sale on some non-show days.

Swifties were all smiles as they left the merch shop, their arms full of sweaters and posters bearing pictures of the star and her Eras Tour logo.

Among them was Zoe Haronitis, 22, who said she waited in line for about two hours to get $300 worth of merchandise, including some apparel for her friends.

Haronitis endured the autumn cold and the hefty price tag even though she hasn’t secured a concert ticket. She said she’s hunting down a resale ticket and plans to spend up to $600.

“I haven’t really budgeted anything,” Haronitis said. “I don’t care how much money I spent. That was kind of my mindset.”

The megastar’s merchandise costs up to $115 for a sweater, and $30 for tote bags and other accessories.

Rachel Renwick, 28, also waited a couple of hours in line for merchandise, but only spent about $70 after learning that a coveted blue sweater and a crewneck had been snatched up by other eager fans before she got to the shop. She had been prepared to spend much more, she said.

“The two prized items sold out. I think a lot more damage would have been done,” Renwick said, adding she’s still determined to buy a sweater at a later date.

Renwick estimated she’s spent about $500 in total on “all-things Eras Tour,” including her concert outfit and merchandise.

The long queue for Swift merch is just a snapshot of what the city will see in the coming days. It’s estimated that up to 500,000 visitors from outside Toronto will be in town during the concert period.

Tens of thousands more are also expected to attend Taylgate’24, an unofficial Swiftie fan event scheduled to be held at the nearby Metro Toronto Convention Centre.

Meanwhile, Destination Toronto has said it anticipates the economic impact of the Eras Tour could grow to $282 million as the money continues to circulate.

But for fans like Haronitis, the experience in Toronto comes down to the Swiftie community. Knowing that Swift is going to be in the city for six shows and seeing hundreds gather just for merchandise is “awesome,” she said.

Even though Haronitis hasn’t officially bought her ticket yet, she said she’s excited to see the megastar.

“It’s literally incredible.”

This report by The Canadian Press was first published Nov. 13, 2024.

The Canadian Press. All rights reserved.



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Via Rail seeks judicial review on CN’s speed restrictions

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OTTAWA – Via Rail is asking for a judicial review on the reasons why Canadian National Railway Co. has imposed speed restrictions on its new passenger trains.

The Crown corporation says it is seeking the review from the Federal Court after many attempts at dialogue with the company did not yield valid reasoning for the change.

It says the restrictions imposed last month are causing daily delays on Via Rail’s Québec City-Windsor corridor, affecting thousands of passengers and damaging Via Rail’s reputation with travellers.

CN says in a statement that it imposed the restrictions at rail crossings given the industry’s experience and known risks associated with similar trains.

The company says Via has asked the courts to weigh in even though Via has agreed to buy the equipment needed to permanently fix the issues.

Via said in October that no incidents at level crossings have been reported in the two years since it put 16 Siemens Venture trains into operation.

This report by The Canadian Press was first published Nov. 13, 2024.

Companies in this story: (TSX:CN)

The Canadian Press. All rights reserved.



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