Socio-Economic Outcomes of Immigrants: What We Know, Where We Are Going, and Knowledge Gaps - Cédric de Chardon, Director Research and Evaluation ...

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Socio-Economic Outcomes of Immigrants: What We Know, Where We Are Going, and Knowledge Gaps - Cédric de Chardon, Director Research and Evaluation ...
Socio-Economic Outcomes of
Immigrants: What We Know,
Where We Are Going, and
Knowledge Gaps

Cédric de Chardon, Director
Research and Evaluation
P2P Preconference at the International Metropolis Conference
June 24, 2019
Purpose and Outline

Purpose
   • To present on data sources for measuring integration outcomes
   • To present selected highlights of economic, social and health outcomes of
     immigrants, refugees and children of immigrants

Overview
   •   Key data sources and strategic data development initiatives
   •   Historic Immigration Levels
   •   Select economic, social, heath and mental health outcomes
   •   Outcomes of Children of Immigrants
   •   Forward Plans

                                                                                 2
Key Data Sources and Strategic Data Development Initiatives

• Immigration landing file (ILF): administrative data of permanent
  residents

• Economic outcomes data sources:
   •   Longitudinal Immigration Database (IMDB)
   •   Labour Force Survey (LFS)
   •   Census
   •   Canadian Employer-Employee Dynamic Database

• Social and health outcomes data sources:
   • Canadian Community Health Survey (CCHS); CCHS linked to the IMDB
   • General Social Survey (GSS); GSS linked to the IMDB

• Data development projects:
   • iCARE (settlement service data) linked to the IMDB
                                                                        3
Historic Immigration Levels - How many are there?
• In 2018, the number of permanent residents admitted to Canada was 321,121. Canada’s
  Immigration Plan for 2019-2021:
          • 2019: 330,800; 2020: 341,000; 2021: 350,000
• Since 2015, there has been a notable increase in temporary residents (work permit and study permit
  holders). In 2018, the number of work and/or study permit holders reached 793,289.

                            Number of Permanent Residents Admitted, Work and/or Study Permit Holders,
                                                           2000-2018
         900,000

         800,000

         700,000

         600,000

         500,000

         400,000

         300,000

         200,000

         100,000

               -
                     2000    2001   2002    2003   2004     2005   2006   2007    2008   2009    2010   2011   2012   2013   2014   2015   2016   2017   2018

                                                          Permanent Residents            Work and/or Study Permit Holders*
*Note: Work and/or Study Permit holders denotes those with permits becoming effective in a given year                                                    4      4
Permanent Resident Source: Netezza_DM2 - RDM, Permanent Residents, December 31, 2018
Temporary Resident Source: Netezza_DM2 - RDM, Temporary Residents, December 31, 2018
“Believe nothing you hear, and only one half
 that you see.”
 ― Edgar Allan Poe

  What do we know?
Economic Outcomes of
     immigrants

                                                5
Labour Force Indicators
How do they fare in the Canadian labour market?
                       Labour Force Participation Rates of Immigrants and Canadian-born (25-64)

                                           Canadian citizens by birth                            81
                                                         Immigrants                            80

                                                           Refugees            76
                                                         Family class                78
                      Economic immigrants - spouses and dependents                        79
                          Economic immigrants - principal applicants                                                88
                      Employment Rates of Immigrants and Canadian-born (25-64)

                                           Canadian citizens by birth                                 76
                                                         Immigrants                              74

                                                           Refugees                 69
                                                         Family class                      72
                      Economic immigrants - spouses and dependents                           73
                          Economic immigrants - principal applicants                                               82
                       Unemployment Rates of Immigrants and Canadian-born (25-64)
                                           Canadian citizens by birth                             6
                                                         Immigrants                                        7

                                                            Refugees                                                9
                                                         Family class                                          8
                      Economic immigrants - spouses and dependents                                             8
                                                                                                                                     6
                           Economic immigrants - principal applicants                             6
Source: Census 2016
Entry employment earnings
How much do they earn initially?
                           Median Entry Employment Earnings, by Immigration Category ($2016)
    60000

    50000

    40000

    30000

    20000

    10000

        0
            1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

                             Sponsored by family                                 Skilled worker and skilled trades, principal applicant
                             Canadian experience class, principal applicant      Provincial/territorial nominee, principal applicant
                             Economic Immigrant, spouse and dependent            Refugee
                             Canadian Median                                     All immigrants

Source: IMDB 2016, Statistics Canada Table: 11-10-0239-01                                                                                                 7
*Canadian median is calculated based on tax filers, excluding immigrants who arrived post-1980
Social assistance
Do they use social assistance?
• The incidence of social assistance generally declines over time for all immigrant
  categories, with the exception of the Family class.

                       Incidence of Social Assistance, by Immigration Category and Years Since Landing*
   50%
                                            YSL= 1          YSL = 5          YSL = 10          Canadian Average**
   45%

   40%

   35%

   30%

   25%

   20%

   15%

   10%

    5%

    0%
                          Sponsored by                     Economic                       Economic                  Refugee
                             family                       Immigrant,                     Immigrant,
                                                           principal                     spouse and
                                                           applicant                     dependent

Source: IMDB 2016, Statistics Canada Table: 11-10-0239-01                                                                               8
*Analysis based on the 2006 immigrant landing cohort.
**Canadian average is based on the incidence of social assistance among Canadians from 2006 to 2016.
Economic Outcomes – Additional Highlights

Other Economic Outcomes
• Employment earnings:
    • Annual earnings of high-skilled principal applicants surpass the Canadian
      average soon after landing and increase over time.

• Time needed to catch up:
    • Economic principal applicants reach the Canadian average in less than 5 years
      for all cohorts, while refugees and family class immigrants need much more
      time to catch up to the Canadian average.

• Net direct fiscal contribution:
    • Immigrants as a group have positive net direct fiscal contributions (average
       income tax paid net of government transfers), while economic principal
       applicants have higher net contributions than other immigrants and average
       Canadians.
    • The average net direct fiscal contributions of refugees and family class
       immigrants are consistently below the national average, though the gap narrows
       with time spent in Canada.

                                                                                                 9
Use of settlement services

Who is more likely to use IRCC Settlement Services?
• Refugees, especially Government-assisted refugees are more likely to use settlement
  services, while immigrants in the Canadian Experience category were the least likely to
  utilize services.
                    Percentage of immigrants who used services, by immigration class and category
                                                                                                                             Refugees

   100%                                                                                                                91%

                            Economic immigrants                                                                                80%
    80%                                                                           Family class                73%
                                                                                                                                        62%   60%
    60%
                          44%    46%
          37%                                   34%    36%
                                                              41%         38%      34%
                                                                                                  41%
    40%                                                                                   31%
                                        30%

    20%            11%

     0%

  Note: The estimates use data as of October 2014 for immigrants landed from 2007/08 to 2014/15, excluding those landed in QC, in BC before    10
  2014/15, and in MB before 2013/14.
What do we know?
Social Outcomes

                   11
Social well-being: life satisfaction

Are they satisfied with life?
• Economic immigrants have a comparable level of life satisfaction with the Canadian-
  born, while refugees are less satisfied with life than other immigrants and the
  Canadian-born.

                    Percentage of the population who are “satisfied with life,” by immigration class and
                                                 length of time in Canada
    100%

     90%

     80%

     70%

     60%
                       Economic immigrants                               Family class                                   Refugees
                                                   Recent           Established           Canadian-born

  Note: “Recent” means the length of time in Canada is less than 10 years, and “established” means the length of time is greater than or equal to
  10 years.
  Source: CCHS-IMDB linkage produced in 2017, the chart uses CCHS variables in the 2013/2014 cycle.
                                                                                                                                                     12
Social well-being: life stress

Are they stressed?
• Compared to the Canadian-born, recent immigrants feel less or comparable
  levels of stress in life…

… but stress increases, especially among refugees and family class immigrants, as
more time is spent in Canada.
                 Percentage of the population that reported life stress to be “quite a bit/extremely
                           stressful," by immigration class and length of time in Canada
30%

20%

10%

0%
                Economic immigrants                                Family class                      Refugees

                                               Recent          Established          Canadian-born
                                                                                                                                   13
 Source: CCHS-IMDB linkage produced in 2017, the chart uses CCHS variables in the 2013/2014 cycle.
Health

Do they report being healthy?
• Recent economic and family class immigrants reported a better or
  comparable health status compared to the Canadian-born.

-        but their perceived health declines as more time is spent in Canada, suggesting a
         “healthy immigrant effect.”
                        Percentage of the population who reported "excellent or very good health,” age
80%                           standardized by immigration category and length of time in Canada

70%

60%

50%

40%

30%

20%

10%

    0%
                   Economic immigrants                               Family class                       Refugee

                                                 Recent          Established          Canadian-born                   14
    Source: CCHS-IMDB linkage produced in 2017, the chart uses CCHS variables in the 2013/2014 cycle.
Mental health

Do they report being in good mental health?
• Recent economic immigrants and refugees are more likely to report
  “excellent or very good mental health” than the Canadian-born.

but established immigrants, especially established refugees report a worse state of
mental health, supporting the notion of a “healthy immigrant effect.”

            Percentage of the population who reported "excellent or very good mental
90%
          health," age standardized by immigration category and length of time in Canada
80%

70%

60%

50%

40%

30%

20%

10%

 0%
              Economic immigrants                             Family class                           Refugee

                                    Recent               Established              Canadian-born                            15
 Source: CCHS-IMDB linkage produced in 2017, the chart uses CCHS variables in the 2013/2014 cycle.
What about their children?
                  Generation status                                    University completion rate (aged 25-44)
                                           Total generation status                                         34%
                                         Third generation or more                                  26%
                                                Second generation                                                  39%
                                                    1.5 Generation                                                  42%
                                                   First generation                                                    48%

1.5 generation by immigration category for immigrants landed since
1980
                     Total admission category and appilcant type                                                    42%
                                                        Caregivers                      16%
                                                       Family class                              24%
                                   Government-assisted refugees                                        30%
                                     Privately sponsored refugees                                        33%
              Protected persons in Canada or dependants abroad                                            35%
                                                    Skilled workers                                                            53%
                                                Business programs                                                                     61%
                                                                      0%      10%        20%        30%       40%        50%    60%         70%

 Notes:
 • First generation includes immigrants who landed at age 15 or above.
 • 1.5 generation includes those who immigrated to Canada at age under 15.
 • The second generation includes those who were born in Canada and had at least one parent born outside Canada.                                  16
 • Third generation or more includes persons who were born in Canada to two Canadian-born parents
  Source: 2016 Census
To cling to the known is to remain a
prisoner of ignorance.

Yvon Rivard

Where are we going?
                                       17
Settlement service effectiveness

Settlement Services - Are they effective?
• A key knowledge gap is understanding how effective settlement services are.
    • E.g.: What are the economic outcomes of settlement service users, and how do
      their outcomes compare to non-users? How effective are settlement services in
      improving the economic outcomes of clients?
    • In order to do so, IRCC recently completed a data linkage between settlement
      service data (iCARE) with immigrant tax data (IMDB).

• Planned research projects for 2019-2020 include:
    1.   Economic outcomes of settlement service users and non-users
    2.   An in-depth examination of the impact of language training on immigrants’
         economic outcomes

• Preliminary results indicate that overall, settlement services are being used by
  immigrants who need them (i.e. those who are unemployed and/or those who
  need help acquiring the skills, resources, language proficiency etc. in order to
  enter the labour market.

                                                                                               18
Additional Forward Plans

• Examine the interactive relationships of economic, social, health
  and mental health characteristics of immigrants and refugees,
  and how they impact immigrant outcomes
• Differences in outcomes of landed permanent residents vs those
  who transitioned from temporary status
• The economic and fiscal impact of immigrants, refugees and
  temporary residents

                                                                  19
"A conclusion is when you start to be
tired of thinking"

Harold Fricklestein

                                        20
Conclusion
• IRCC has been able to consistently report on the economic
  outcomes of immigrants for many years.
   • Overall, immigrants, particularly economic principal applicants, have strong,
     positive economic outcomes.
   • Despite being admitted to Canada based on a humanitarian basis, refugees
     become increasingly self-sufficient with more time spent in Canada.

• The social outcomes of immigrants and refugees has been more
  difficult to measure. Further discussion is needed on which
  indicators provide reliable, objective information on their social
  integration.
   • What are other social measures that would enhance our understanding of
     how immigrants are integrating?
   • How do other countries measure social integration of immigrants and
     refugees?
                                                                              21
THANK YOU!
He who asks is a fool for five minutes, but he who does not
ask remains a fool forever.
Chinese Proverb

QUESTIONS ?

      Cédric de Chardon – Director, Research & Evaluation
      Immigration, Refugees and Citizenship Canada
      Cedric.dechardon@cic.gc.ca

                                                              22
Annex: Supporting Research Projects

• “2014 Longitudinal Immigration Database (IMDB) : Current Measures of Immigrant
  Economic Outcomes and Strategic Enhancements,” April 2017, IRCC, Research and
  Evaluation Branch, Policy Research Division (H. Zhang)
• “Children of Immigrants : Recent Findings,” June 2017, IRCC, Research and Evaluation,
  Policy Research Division (L. Xu)
• “The Economic and Fiscal Impacts of Immigration: the Canadian Evidence,” November
  2017, IRCC, Research and Evaluation Branch, Policy Research Division (H. Zhang)
• “Research Insights in Settlement Services : Uptake, Mobility of Clients and Service
  Outcomes,” October 2018, IRCC, Research and Evaluation, Policy Research Division (H.
  Zhang, J. Zhong & R. Lee)
• “Social, Health and Mental Health Outcomes of Immigrants: the Canadian Evidence”
  (working title) forthcoming, IRCC, Research and Evaluation, Policy Research Division
  (H. Zhang)

                                                                                         23
Example 2: Direct fiscal contribution

What is the direct fiscal contribution of immigrants?

Source: IMDB 2014 and Statistics Canada’s T1 Family File (2014)                                24
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