The Canadian government has all options on the table for permanent resident levels in what Immigration Minister Marc Miller calls “significant” changes. Miller emphasized that the upcoming changes are not “cosmetic,” underscoring the strategic shift in Canada’s immigration policy, which is expected to impact the nation’s economy.
In a CTV News interview, Immigration Minister Marc Miller said the overheating since the end of COVID needs to be adjusted to make sense. He told the network at the Liberal Cabinet retreat in Halifax in late August that the measures would be out in the fall.
Miller said 60% of Canada’s immigration was economically driven and called that “unprecedented in other countries that we compare ourselves to.”
The federal government has already announced stricter rules to reduce the low-wage stream of temporary foreign workers after a surge in recent years and address the post-COVID labour shortage.
In November 2023, the government suspended permanent resident targets over the next three years. The aim was to admit 485,000 permanent residents in 2024 and 500,000 in 2025 and 2026. The projected numbers are more than double the 296,000 permanent residents welcomed in 2016.
A Bank of Canada economic progress report from last December 2023 acknowledged that strong immigration numbers since 2022 have helped boost Canada’s workforce, but “the bigger issue is that Canada’s housing supply has not kept pace with recent increases in immigration.”
The current direction in Canada’s immigration policy reflects a balancing act between maintaining robust immigration levels to support economic growth and addressing the challenges of accommodating a growing population.
Public and political pressure
Canada’s permanent resident levels have evolved over the years, and the coming changes will reflect the government’s response to public and political pressure.
Political parties and policymakers are increasingly focusing on immigration policies that prioritize the country’s economic needs. Canadians have also expressed their opinions on immigration.
According to a National Post article, 50 percent of Canadians in March said the country was admitting too many immigrants, but that number reached 60 percent in July. This July figure is the highest dissatisfaction rate with Canada’s immigration policies in decades, according to the poll.
The poll conducted by Leger for the Association of Canadian Studies showed that just 28 percent of respondents said the number of new arrivals is about right.
The political landscape in Canada has seen growing calls for a more balanced and sustainable immigration policy. Conservative Leader Pierre Poilievre promised to rein in Canada’s population growth if elected and said the Liberal government has “destroyed our immigration system.”
According to a Bloomberg report, a surge in temporary migration to Canada—including foreign workers, international students, and asylum seekers—raised the country’s population growth rate to 3.2% in 2023, one of the world’s fastest.
Canada has been boosting its immigration levels to increase its population, labour force, and economic growth rate. When asked about the permanent resident stream, Miller did not elaborate on what he meant by “significant” changes, but he said the government would examine if levels should be continued, paused or reduced.
Reducing the number of permanent residents admitted to the country would represent a shift in Prime Minister Justin Trudeau’s government policy, which has previously increased immigration targets. The aim is to balance immigration with the country’s capacity to integrate newcomers amid ongoing housing and affordability concerns.
Canada has faced challenges with housing shortages and infrastructure strain in certain regions. The rapid growth in population due to immigration has exacerbated housing shortages, particularly in major urban centers. Demand for housing has outpaced supply, leading to skyrocketing home prices and rents, making housing affordability a significant concern for many Canadians.
Any change will impact Canada’s immigration policies and priorities, affecting its population growth, economic health, and potentially global reputation since it is known for its high immigration intake.
The changes to Canada’s immigration levels reflect a strategic effort to balance the benefits of immigration with the challenges of rapid population growth. The government is taking a comprehensive approach to ensure that Canada continues to be welcoming but with a sustainable immigration policy.
Therefore, as the government moves forward with these changes, the emphasis will remain on creating a system that supports economic growth and the successful integration of immigrants while addressing concerns about housing, infrastructure, and social services.
In June 2023, Immigration, Refugees and Citizenship Canada (IRCC) changed tack and applied a category-based approach to permanent resident invitations, targeting candidates they hoped could fill specific jobs. The government said the new focus would help ease hiring challenges that have frustrated many sectors of the economy over the past few years.
Under that approach, Immigration, Refugees and Citizenship Canada (IRCC) frequently invited a subset of individuals to apply. It focused on people with French-language skills or recent work experience in one of five fields, including STEM (science, technology, engineering, and math) and health care.
As immigration strategies evolve, it is yet to be seen how Miller’s changes in permanent resident levels might affect Canada’s economy, labour market, and demographic trends.
Trudeau emphasized that the government was reviewing various immigration streams to ensure that Canada supports immigration responsibly, including ensuring that newcomers have clear pathways to success.