Why Immigration Holds the Key to Canada’s Economic Future

Canada has long been celebrated as a global leader in immigration, with a system rooted in long-term planning and a vision of inclusivity that gave the country an edge on the world stage.
Today, this vision is blurred. Policy responses focus on short-term fixes to immediate challenges at the expense of any long-range vision. Immigrants are blamed for housing costs and an overburdened health-care system despite evidence that these pressures stem from long-standing structural issues rather than immigration.
At the same time, anti-immigrant narratives have spread and taken root in Canadian media and public discourse.
These narratives are misleading. Yes, our system needs repair. A well-designed immigration strategy is essential to building a stronger Canada where newcomers are vital contributors, just as they have been across generations.
Canada’s Demographic Cliff
Demographic trends reveal the urgency:
- By 2030, 5 million Canadians will retire—and over the next 15 years another 7.5 million will follow.
- Nearly 700,000 skilled trade workers are set to retire by 2028, just as Canada plans to accelerate housing construction.
- Hospitals across the country face critical shortages of health care professionals.
Immigration helps address this demographic reality. Nearly 100 percent of Canada’s labour force growth comes from newcomers—agricultural workers, care providers, doctors, nurses, engineers, and tradespeople who provide vital services and build the very infrastructure Canada depends on. Yet many leaders are undermining public confidence precisely when a healthy immigration system is most essential.
Breaking the Policy Silo
Immigration is neither the root of our problems nor a silver bullet solution.
For too long, it has been approached apart from Canada’s broader economic planning. A more effective strategy should view immigration as one policy tool—among many— to build a stronger economic future.
A more effective strategy should also recognize that bringing newcomers to Canada is just one part of a healthy immigration system.
Today, too many newcomers face barriers that prevent them from contributing to our economy at their full capacity. Underemployment of immigrant talent costs the economy up to $50 billion in lost GDP each year. Meanwhile, overreliance on temporary permits leaves workers and communities in limbo, creating uncertainty for employers, eroding fairness for newcomers, and limiting their ability to become the kind of long-term contributors Canadian communities need.
A Comprehensive Strategy for Success
To unlock immigrant potential and build a stronger system, Canada must minimize reliance on fragmentary, reactive policies and develop instead a comprehensive, forward-looking immigration strategy. This includes stable, predictable pathways to permanent residency alongside reforms to licensure and credential recognition. It will also require a whole-of-government and whole-of-society approach that integrates immigration policy alongside housing, labour, and infrastructure planning.
This approach allows Canada to realize the full promise of immigration as an engine of long-term prosperity.
WES is actively working toward this future. In recent submissions to both the 2026 Federal Budget and the 2026–2028 Immigration Levels Plan, WES outlined three priorities for anchoring a long-term immigration vision. The government must:
- Embed immigration in national planning. This means positioning immigration as core infrastructure for economic growth and social resilience and aligning immigration policy with housing, labour, education, and health care strategies.
- Unlock immigrant talent. We need a proactive approach to removing the systemic barriers that keep internationally educated professionals and tradespeople from working in the jobs they are qualified for, ensuring Canada fully benefits from their skills.
- Refocus on permanent residency. Permanent residence should be the foundation of the immigration system, supported by predictable temporary to permanent residency pathways and regional development strategies that strengthen communities across the country.
A Vision for the Next Half-Century
How we approach Canada’s immigration policy will shape our future. The choice is between short-term, reactive measures and a unifying and forward-looking vision of immigration that rebuilds public trust, strengthens communities, and embeds immigration at the heart of economic and social planning.
Canada already has the building blocks: strong institutions, a system designed to combine long-term planning with responses to labour market needs, and frameworks such as One Canadian Economy that encourage coordination across government and society. What’s needed now is follow-through; embedding immigration in national planning, breaking down workforce barriers and ensuring stable paths to permanence.
Immigration is not a peripheral issue. It is a central solution that will help to ensure Canada’s future prosperity. By treating it as such, we can turn today’s pressures into tomorrow’s strengths.