New immigrants are having a MUCH harder time finding jobs than other Canadians

Finding a job in Canada has proven to be tough for many across the country, but especially for recent immigrants, according to new data.

Statistics Canada’s July Labour Force Survey highlights that new immigrant unemployment rates in the country have seen a sharp increase over the past year.

“Recent immigrants often face barriers integrating into the labour market, including difficulties getting educational credentials or work experience acquired abroad recognized and lacking job experience or references in Canada,” states the report.

The data shows that, based on three-month averages, unemployment for recent immigrants who arrived in Canada in the past five years climbed 3.1 percentage points to 12.6% from July 2023 to July 2024.

Canada

Statistics Canada

Statistics Canada added that the unemployment increase had an especially strong impact on immigrant youth.

In July, the unemployment rate for this group rose to 22.8%  — a staggering 8.6 percentage point increase from the same time last year.

Unemployment increased by 2 percentage points to 10.4% for immigrants in the core working age group (25-54) in the same period.

Finding a job wasn’t easier for “well-established” immigrants (who arrived in Canada over five years ago), as the unemployment rate for them was recorded at 6.3%, up by 1.2 percentage points from July 2023.

Many immigrants say they want to leave Canada

According to a recent Angus Reid Institute survey, the current economic climate in Canada seems to be causing many immigrants to consider relocating to another province or leaving the country altogether.

Canadians

Angus Reid Institute / Screenshot

Immigrants who have come to the country within the past 10 years were more likely to say they were “seriously thinking” of leaving their current province, as nearly two in five (39%) expressed that sentiment.

Three in 10 immigrants who had been in the country for 11 years or more also shared the same view.

What about employment for those born in Canada?

Canada

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The July job search was also tough for Canadians born in the country, but not as stark as the unemployment rates for new immigrants.

Statistics Canada’s data shows that the unemployment rate for that group saw a 0.5% increase to 5.6% in July on a year-over-year basis.

The statistics agency reports that overall, Canada’s labour market saw little movement last month. The country lost 2,800 jobs, and the unemployment rate remained at 6.4%.

The sectors with the biggest employment drops in July include retail ( -44,000; -1.5%) and finance, insurance, real estate, rental, and leasing (-15,000; -1.0%).

Canada and the US are both experiencing difficulty hiring. When Statistics Canada adjusted its data to US concepts, it found that the unemployment rate in Canada for July (5.4%) was slightly higher (+1.1%) than in the US (4.3%).

While employment has been on the decline in both countries, the agency notes that that trend has been more apparent here in Canada.

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