Statistics Canada\u2019s latest Economic and Social Reports <\/i>publication evaluated the earnings of one-step and two-step economic immigrants in comparison to their year of arrival in the country.<\/p>\n
The January 24 report found that two-step immigrants have consistently higher annual earnings than one-step immigrants within the same admission class when the comparison started from their initial arrival year rather than the year they became permanent residents.<\/p>\n
These earnings differences, albeit reduced, remained substantial after sociodemographic differences between the two groups and after 10 years of initial arrival were accounted for.<\/p>\n
The analysis compares one- and two-step immigrants in the same admission class, in particular the Federal Skilled Worker Program<\/a> (FSWP) and Provincial Nominee Program<\/a> (PNP).<\/p>\n Read More<\/b><\/p>\n Canada Considers Visa Requirement For Mexicans<\/a> In the two-step immigration process, economic immigrants are chosen from the pool of temporary foreign workers (TFWs) and international students with some Canada work experience.<\/p>\n One-step immigrants are economic immigrants without any Canadian work or study experience before obtaining permanent residency.<\/p>\n The percentage of economic principal applicants who were selected with pre-landing Canadian work experience went from 12% in 2000 to roughly 60% in the late 2010s, going up to 78% in 2021 due to COVID-19.<\/p>\n StatsCan called the expansion of this process a major development in the way economic immigrants are selected in Canada, as it was the driving factor behind the improvement in immigrant economic outcomes at landing since 2000.<\/p>\n Immigrants who had high-paying\/high-skilled jobs during their time as TFWs (two-step immigrants) had superior post-migration labor market outcomes than comparable immigrants selected directly from abroad (one-step immigrants).<\/p>\n The same result is not applicable to low-wage or low-skilled two-step immigrants.<\/p>\n StatsCan wrote that two reasons are behind two-step immigrants outperforming one-step immigrants who have otherwise similar characteristics such as education, official language ability, and source region.<\/p>\n The first explanation is the concept of a multiple-selection process. Two-step selection can improve the match between immigrant skills and labor market demands as employers can \u201cdirectly assess TFWs\u2019 skills and intangible qualities.\u201d<\/p>\n According to Statscan, the adjusted earnings difference observed in the study is consistent with this hypothesis.<\/p>\n These foreign workers can experience life in Canada before actually making the commitment to become Canadian permanent residents (PRs). Those who excel as TFWs have a lower likelihood of encountering challenges pertaining to skill transferability, which is an issue one-step immigrants may face.<\/p>\n Watch Video<\/b><\/p>\n
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\nWhat is the Two-Step Immigration Process?<\/h3>\n
Two-Step Immigrants Have Better Labor Market Outcomes Than One-Step Counterparts<\/h3>\n
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