Canada Needs Immigration Because of Aging Population
A recent report from the Conference Board of Canada has stated that immigration levels has to be increased to up to 413,000 skilled visas granted yearly by year 2030 if the country is to maintain a strong economy. The report states that the need for the increase is so that the country can cater for the shortages of skill due to the aging population. It is believed by the board that if drastic measures are not taken in the area of policy chances and in the area of increase in migration numbers, it will cost a lot more to maintain the retirees and this will also reduce the strength of Canada’s economy.
There were 4 scenarios proposed by this report for the sakes of the growth of Canada’s population. Currently, the birth rate in the country is 1.6 births per woman as of 2015. This is currently not enough to sustain the growth of the economy. Therefore, immigration stands as the only viable option of maintaining and sustaining economic growth.
The scenario therefore predicts that if 413,000 immigrants were to be given visas to Canada by 2030, economic growth can be sustained. Also, the scenario predicts that Canada’s population will increase by 100 million by the time its year 2100 and this increase will add to the revenue generated by the provincial and federal governments of Canada. There will also be more home owners which will result in increased spending on consumer goods.
More Working Age Immigrants Needed
The report showed that although immigration alone will not be able to solve the issue of aging population but more immigration can still help reduce the side effects. Take for instance, the aging population will create pressure for social welfare systems and support for the elderly which costs money and many more jobs will become available as these older people retire. If there are no younger people to take up these jobs, there will be a shortfall in revenues generated as the government spends more on social services and lesser jobs created. An increase in the population can help cushion this impact. By inviting more working age migrants, giving them access to job visa to Canada via the various Canada express entry programs, the labor force of Canada can be enhanced and economic growth can be sustained. While it is hard for the government to encourage more births, the government has all the power to bring in more migrants by making Canadian immigration visa more accessible to the skilled.
From the report, there is no other route out of economic turbulence for Canada than immigration which has the capacity to soften the blow caused by low birth rates and increasingly aging population. With the approval of 413,000 migrants yearly by 2030, Canada can scale through. As of now, the numbers keep increasing. Between July 2015 and June 2016, about 320,932 migrants arrived via various Express Entry Canada platforms, which represents over one-third increase recorded so far between 2015 and 2015.
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