A recent study warns that Canada is seeing an increasing exodus among high-skilled immigrants, raising concerns among policy makers and industry leaders about long-term impacts on the country’s labour force and economic competitiveness.
According to a report published by the Institute for Canadian Citizenship (ICC) and the Conference Board of Canada, about one in five permanent residents will leave Canada within 25 years of arrival. The departure rate is especially high among those chosen as “economic immigrants” — workers selected by the federal government in response to labour shortages.
Daniel Bernhard, CEO of the ICC, said at a media briefing that “these are economically selected newcomers — tradespeople, nurses, entrepreneurs — people we need. And they are increasingly headed out the door.” (Institute for Canadian Citizenship) Bernhard emphasized that this trend represents more than just numbers: “When they leave, we lose.”
The report, titled “The Leaky Bucket 2024: A Closer Look at Immigrant Onward Migration in Canada”, finds that many newcomers depart early in their settlement. Roughly a third of those who leave will do so within the first five years after arrival.
Experts say part of the problem is over-qualification and barriers in the labour market. A companion study by the C.D. Howe Institute found that among recent immigrants (those who arrived in the last five years) with a bachelor’s degree or higher, about 26.7 per cent are working in jobs that require only a high school diploma or less.
Parisa Mahboubi, one of the authors of that study, remarked, “The economic costs of immigrant overqualification is staggering.” She noted that foreign credential recognition, language proficiency gaps, and a lack of “Canadian work experience” are persistent obstacles.
Some provinces appear to lose more high-skill immigrants than others. The ICC report notes that many who leave were originally based in Ontario, British Columbia, and Quebec. Conversely, in Atlantic provinces, those who depart tend to come from outside major urban centres.
Government officials and immigrant advocates say the trend has implications beyond individual career trajectories. If a substantial portion of highly skilled economic immigrants leave, Canada risks under-utilization of human capital it has already invested in. Bernhard urged that provinces and the federal government adopt retention as a policy goal, saying, “We need programs that entice them to stay, become active citizens and help fuel our economy.”
On the other hand, not everyone sees this as an irreversible crisis. Some analysts argue that migration is fluid globally — talent often moves where opportunity is greatest — and that Canada still retains a large share of immigrants long term. For example, data from Statistics Canada shows more than 80 per cent of immigrants remain in Canada over decades, even if a meaningful minority leave.
Still, the emerging consensus is that the government should treat onward migration — especially of high-skilled newcomers — more explicitly in immigration planning. Suggestions include streamlining credential assessments, improving integration supports, and setting retention targets at federal and provincial levels. If Canada fails to stem the trend, the losses could erode its ability to fill labour shortages in healthcare, trades, engineering, and entrepreneurship.
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