The Conference Board of Canada conducted a new study which determined the ‘best path’ for the country at the moment. Immigration will play a very important role in propelling the Canadian economy. The study also emphasises why there is a need to improve the participation of under-represented groups and elevate their status in the labour force. If the country makes the required efforts, there will be economic growth and a rise in living standards over the next two decades.
The study titled, ‘Can’t Go It Alone: Immigration is Key to Canada’s Growth Strategy’ takes into account various labour force scenarios between the years 2018 and 2040 in order to arrive at a conclusion. The 22-year period will witness 9.2 million Canadian baby boomers enter their retirement periods. The study also predicts that there will be an increased demand for Canada’s publicly funded social services, considering that almost one-quarter of the population will turn 65 or older in the year 2040. Today, the percentage stands at a mere 17 per cent. The upcoming absence of labour force growth solutions will put immense pressure on Canada to fund the health care system which most Canadians depend on.
11.8 million students will graduate from Canadian schools in the years 2018 to 2040, and they will make up the bulk of the country’s workers base. But they still will not be able to make up for all the 13.4 million workers who will leave the labour face in this time span.
The Conference Board of Canada study took the first scenario as a country with no immigration. The other scenarios considered immigration and also took into account the increased labour force participation rates of the following groups: women, Indigenous people and persons with disabilities.