Most of Canada’s recent immigrants are between the ages of 25 and 54. Read more to find out why this could significantly benefit the national workforce across Canada.
Between the ages of 55 and 64, more than 20% of Canadians are considered to be of working age, suggesting that they are nearing retirement. Therefore, It is crucial to understand that, between the years 2016 and 2021, the number of children under the age of 15 increased at a rate that was six times slower than that of individuals 65 and older.
The workforce in Canada is aging, as evidenced by the fact that the ratio of people aged 55 to 64 in the working population (more than 1 in 5) is at an all-time high in the census’s history.
Between 2016 and 2021, 64.2% of immigrants to Canada fell within the age range that this country defines as being of core working age (25 to 54 years old).
To understand how important Canada considers the age of skilled workers entering the country, one simply needs to look at the Comprehensive Ranking System (CRS), which is used to rate applicants under the Express Entry immigration system.
According to the CRS system, applicants are assigned different points based on their age at the time of application. The maximum number of points related to age is awarded to Express Entry candidates between the ages of 20 and 29. (100).
How Is The Working Population In Canada Progressing?
Canada’s fertility rate is below the population replacement rate, which adds to this worry. At 2.1 children per woman, the current global population replacement level.
The number of newborns in Canada fell to its lowest level since 2007 in 2020, and the year-over-year decline in births (-3.6%) was the largest since 1997. The general perception associated with this decline in birth rate is that Canada is headed toward entering the group of nations with the “lowest-low” fertility rates.
Together, this data suggests that the future of Canada’s natural workforce could be headed in a suboptimal direction. Statistics Canada believes that these realities may put increased stress on the labor market and add pressure on public healthcare and pension systems across the country. Accordingly, Canada must now look to other places if the country wants to continue sustaining and growing its workforce.
Fortunately, Canada immigration should help with this goal, especially thanks to the trends revealed by Canada’s most recent census.
How can recent Immigration benefit the Canadian Workforce?
Candidates under the age of 20 receive no points if they are 17 or younger, 90 points if they are 18 years old, and 95 points if they are 19 years old. The 100 points awarded to applicants between the ages of 20 and 29 will gradually diminish each year for candidates 30 and older.
Candidates receive 95 points from the CRS at the age of thirty. Candidates who are older than 30 often lose an additional five points per year, earning 90 points at age 31, 85 points at age 32, 80 points at age 33, and so on.
After age 40 (45 points), there is a total 10-point decline each year, with a candidate obtaining 35 points at age 41, 25 points at age 42, and 15 points at age 43 until they are 44 years old (5 points). Candidates who are 45 years or older do not obtain any CRS points for the age group.
Given that more immigrants are now working in Canada, particularly when compared to pre-pandemic levels, and that the majority of recent immigrants are now of prime working age, they may play an even greater role in the country’s workforce development.
Immigration should continue to play a major role in the development of Canada as a country, given that it has already made a significant contribution to the increase of the country’s labor force, accounting for 79.9% of workforce growth between 2016 and 2021.
Recent immigrants who are of legal working age will be allowed to do so for a long period in Canada, helping to support the nation’s workforce and long-term economic growth.
Furthermore, Canada’s average retirement age is projected to be 64.4 years in 2021, it is reasonable to predict that they will contribute to the country’s labor force for almost the next three decades.
Accordingly, this country’s workforce appears to be headed for a brighter future because of immigration and the age at which recent immigrants are coming to Canada, despite worrying national factors such as an aging natural population and a low birthrate.
