Many international students who come to study at Canadian institutions hope to take advantage of Canada’s permanent residency (PR) pathways after they graduate. Nearly all of these students look to the Canadian Post-Graduation Work Permit Program (PGWPP) to help them stay and work in Canada before they apply for PR. But before a student even begins applying to schools, they should consider what field they want to work in and how likely they are to get a job after graduation.
In this edition of ApplyInsights, I’ll be digging into recent labour market trends in Canada to help students plan their study abroad journey. Specifically, I’ll be zooming in on the high-demand healthcare and skilled trades industries. Job vacancies (i.e. available but unfilled positions) in both industries rose sharply over the past two years, and international students could take advantage of these growing labour demands to find a rewarding career in Canada.
Key Insights at a Glance
- Job vacancies in Canada surged past 700,000 in the first half of 2021.1
- Vacancies in the Canadian healthcare and social assistance industries rose by 200%+ from the end of 2015 to June 2021, surpassing 110,000.
- The number of vacant jobs that required trade or apprenticeship certification grew by 175% from 2015 to mid-2021, hitting nearly 80,000.
- Both industries are projected to remain in high demand over the next 10 years, and immigrant employees will be needed to prevent critical labour shortages.
Let’s start by taking a look at broader trends in Canada’s employment market.
Canada’s Labour Market in 2021
Canada’s job market experienced consistent growth from 2015 to 2018. Over that period, the number of job vacancies increased by 53%, rising above 500,000 for the first time.
Critically, during this time, Canada’s unemployment rate dropped from 6.7% to 5.8%. This shows that these vacancies represented economic growth and a higher demand for new employees to join the Canadian workforce. While job vacancies declined slightly in 2019, the unemployment rate remained stable.
The chart below shows job vacancies in the Canadian labour market on December 31 of each year from 2015 to 2020 and on June 30, 2021:Canadian job vacancies surged past 700,000 in June 2021, jumping up 31% compared to the end of 2020. Though the factors that influence any country’s labour market are complex, the sharp rise in vacancies in 2021 can be directly attributed to Canada’s recovering economy. By June 2021, Canada’s economy returned to pre-pandemic levels, largely driven by high vaccination rates and falling COVID-19 cases.
The retail and food services industries accounted for around 25% of all vacancies in June 2021. As stores re-open and in-person dining resumes, these industries have faced a dire shortage of workers. Other industries, such as construction and manufacturing, have also experienced a significant increase in job vacancies in early 2021 as the economy has re-opened.
High Demand for Healthcare Workers
But over the past 18 months, the healthcare and social assistance industry featured a higher job vacancy rate than any other. Vacancies in the healthcare and social assistance industry accounted for 16% of all Canadian job vacancies from January 2020 to June 2021.Vacancies in the healthcare and social assistance industry rose by 70% from 2019 to mid-year 2021. In fact, in June 2021, there were nearly 110,000 job vacancies in Canada’s healthcare and social assistance sector. This represented the highest vacancy count for any Canadian industry on record.
Canada’s healthcare system is in desperate need of new employees. Shortages of nurses, doctors, personal support workers, and nursing home workers all worsened during the pandemic. Additionally, the need for digitally skilled healthcare workers increased drastically, with the demand for health tech jobs expected to hit nearly 120,000 by 2022.
Industry Demand Outpacing International Student Enrollment
But industry demands continue to outpace international student interest in Canadian health studies. The following chart shows the number of new study permits issued2 for health care studies at Canadian post-secondary institutions over the past five years:The number of new study permits issued to international students for Canadian healthcare studies grew by 125% from 2016 to 2019. However, this was followed by a sharp 70% year-over-year decline in 2020.
Interested in pursuing health studies in Canada? Find out more about four popular health programs offered at Canadian colleges and universities.
While I expect interest in health studies to return stronger than ever post-pandemic, current trends will not meet market demand. Canada’s domestic population growth remains low, and more than 10 million Canadians will begin turning 80 by 2025. As seniors often require increased medical care, more immigrants will be needed to fill vital roles in the Canadian healthcare system. International students who have education and work experience in healthcare in Canada will be well poised to achieve steady job security.
Some healthcare students, after working post-graduation, may even qualify for immigration through Canada’s Express Entry program. The Express Entry program allows skilled workers in specific fields to apply for rapid PR processing.
Healthcare professions which are eligible for the Express Entry program include registered nurses, practical nurses, doctors, social workers, and paramedics.
Skilled Trades Poised for Labour Shortage
Canada’s skilled trade industries are also facing a critical labour shortage. Skilled tradespeople are required in a variety of key industries that drive the Canadian economy, such as construction, manufacturing, and culinary services. Yet market demand continues to rise and labour shortages are widely expected to worsen.
Learn more about skilled trades in Canada and five popular skilled trades programs offered at Canadian colleges.
The chart below shows the number of job vacancies requiring trade or apprenticeship certification from January 2015 to June 2021:The number of vacant Canadian jobs that required trade or apprenticeship certification grew substantially over the past six years. From the end of 2015 to mid-2021, skilled trade vacancies increased by 175%. In just the first six months of 2021, there were around 15,000 new skilled trade vacancies compared to December 2020.
In June 2021, 1 out of every 10 job vacancies in Canada required an employee to have trade or apprenticeship certification.
The demand for skilled tradespeople is only going to grow in the coming years. It’s expected that over 700,000 skilled tradespeople will retire in Canada in the next ten years.3 However, only around 60,000 new certifications are awarded to apprentices and qualified tradespeople every year in Canada.4 This means that there could be a labour shortage of over 100,000 skilled tradespeople in Canada by 2030.
Immigrants Underrepresented in Skilled Trades
It’s clear that the demand for tradespeople is rising and is on track to reach critical levels. Yet international student interest in Canadian trades programs has remained low.
The following chart shows the number of new study permits issued for trades and vocational programs at Canadian post-secondary institutions from 2016 to 2020:The number of new study permits issued for trades and vocational programs increased by 72% from 2016 to 2019. This was 5 percentage points lower than the average across all fields of study over that period. However, study permits issued for trades and vocational studies fell by only 48% from 2019 to 2020, compared to a 74% drop across all programs.
While this growth and stability is promising, far more needs to be done to encourage international students to pursue a career in the trades. Even though immigrants account for more than 20% of Canada’s population, less than 10% of apprentices are immigrants.5 With a sharp decline in immigration during the pandemic, there’s a risk that Canada’s immigrant apprentice population will shrink even further in the years to come.
Students who are looking to work in and immigrate to Canada after graduation should consider skilled trades. Skilled tradespeople often enjoy strong career stability, and many tradespeople are able to start their own business and work for themselves. Skilled tradespeople are also eligible for the Express Entry program for PR.
Some skilled trades that are eligible for Express Entry include electricians, plumbers, chefs, industrial mechanics, and bricklayers.
Increasing International Student Interest in Health Studies and Trades
International students looking to pursue a career in Canada in healthcare or in a skilled trade have a major opportunity. The demand for new healthcare employees and skilled tradespeople is at an all-time high, and it is likely to climb higher still. Attracting immigrants into these fields will be critical to ensure Canada’s post-pandemic recovery and long-term growth.
Recruitment partners and Canadian institutions can play an active role in attracting students towards these high-demand jobs. Educating students about possible careers and post-graduation PR pathways in these fields can help drive greater international student interest. It’s also worth noting that many skilled trades and healthcare programs are available through Canadian colleges, which often offer lower tuition rates and shorter program durations than university studies.
Canadian institutions looking to recruit international students for health studies and skilled trades programs should consider:
- Providing information about Express Entry PR programs to prospective students for relevant programs
- Explaining labour shortages in the Canadian market in marketing materials for these programs to help attract students looking for long-term career stability and growth
- Creating or increasing scholarships for international students who want to pursue a career in these fields
Published: October 6, 2021
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Meti Basiri
Co-Founder and Chief Marketing Officer (CMO)
Meti is driven by the belief that education is a right, not a privilege. He leads the International Recruitment, Partner Relations, and Marketing teams at ApplyBoard, working to make education accessible to people around the world. Meti has been instrumental in building partnerships with 1,500+ educational institutions across Canada, the United States, the United Kingdom, and Australia. Working with over 7,500 international recruitment partners, ApplyBoard has assisted more than 200,000 students in their study abroad journey. Follow Meti on LinkedIn for more access to ApplyInsights and key industry trends.
FOOTNOTES:
1. All job vacancy statistics included in this article are provided courtesy of Statistics Canada’s Labour Force Survey, except where otherwise noted.
2. Study permit statistics used in this article are for new study permits only and are provided courtesy of Immigration, Refugees and Citizenship Canada (IRCC), except where noted.
3. According to Employment and Social Development Canada.
4. Based on the number of certificates granted to registered apprentices and trade qualifiers in each year from 2015 to 2019 as found in Statistic Canada’s Registered Apprenticeship Information System (RAIS).
5. Source: Apprentice Demand in Red Seal Trades: A 2021 National Labour Market Information Report by the Canadian Apprenticeship Forum.