Express Entry Immigrants who move to Canada often experience significant economic benefits, with rapid increases in their employment income within the first five years. This trend is highlighted in the 2023 Year-End Express Entry report by Immigration, Refugees and Citizenship Canada (IRCC), which compares these newcomers’ median income with Canadian-born workers.
Steady Income Growth Among Express Entry Immigrants:
Since the launch of the Express Entry system in 2015, immigrants who enter Canada through this pathway have seen steady and notable income growth. For instance, individuals admitted in 2016 had a median employment income of $58,400 in 2017, which escalated to $76,800 by 2021, five years after arrival. Similarly, those admitted in 2018 earned a median income of $55,200 in their first year, rising to $70,800 after three years, showcasing a solid upward trend in earnings for newcomers.
Table 1: Median Employment Income Growth for Express Entry Immigrants
| Admission Year | Median Income (1st Year) | Median Income (3rd Year) | Median Income (5th Year) |
|---|---|---|---|
| 2016 | $58,400 | – | $76,800 |
| 2018 | $55,200 | $70,800 | – |
Comparing Income Growth: Express Entry vs. Canadian-Born Workers:
Express-entry immigrants consistently outperform Canadian-born workers in terms of income growth. While newcomers’ wages increase rapidly, Canadian-born workers’ median income remained relatively stagnant, starting at $38,006 in 2017 and only reaching $40,870 by 2021. This significant disparity underscores the positive economic impact of the Express Entry system on newcomers.
Table 2: Median Income Comparison: Express Entry Immigrants vs. Canadian-Born Workers
| Year | Express Entry Immigrants | Canadian-Born Workers |
|---|---|---|
| 2017 | $58,400 | $38,006 |
| 2021 | $76,800 | $40,870 |
Key Factors Contributing to Economic Success:
Express Entry immigrants often possess high-demand skills that align with Canada’s labor market needs. They are selected based on their Comprehensive Ranking System (CRS) score, which considers human capital factors like language proficiency, work experience, occupation, age, and education. Those with higher CRS scores are more likely to integrate successfully into Canada’s economy.
In 2023, IRCC introduced category-based selection rounds, inviting Express Entry candidates based on specific attributes, such as work experience, rather than overall CRS scores. Although data on the economic outcomes of these category-based selections are not yet available, they are expected to enhance the program’s effectiveness.
Economic Outcomes in Provincial Nominee Programs:
Immigrants who enter Canada through non-Express Entry Provincial Nominee Programs (PNPs) generally report lower median incomes compared to Express Entry. The report indicates that PNP immigrants typically earn between the mid-$40,000 and low-$50,000 range one year after admission. This contrast highlights the financial advantages associated with the Express Entry system.
Impact of Additional Scoring Factors on Income:
While additional factors in an Express Entry application can influence income, the 2023 report shows that these only sometimes lead to higher earnings two to three years after admission unless the applicant scores exceptionally high in these areas. For instance, newcomers admitted in 2019 with a three-year or longer Canadian post-secondary credential earned slightly more than those without Canadian education.
However, those with only a one- or two-year Canadian post-secondary credential had a lower median income than those without Canadian education, showing $51,000 compared to $61,100. Similarly, express-entry immigrants with siblings in Canada earned $53,100 two years after landing, compared to $61,200 for those without siblings.
Arranged Employment: A Key Driver of Higher Incomes
Arranged employment emerged as the most significant factor influencing higher incomes. Newcomers with a pre-arranged job offer in a senior management role reported median incomes exceeding $200,000 two years after landing, regardless of the year of arrival. Those with other types of pre-arranged employment also saw higher median incomes than those without, such as immigrants who arrived in 2018 with a non-managerial job offer, earning $84,500 compared to $60,700 for those without arranged employment.
Table 3: Impact of Arranged Employment on Median Income
| Employment Type | Median Income (2 Years After Landing) |
|---|---|
| Senior Management | $200,000+ |
| Other Occupations | $84,500 |
| No Arranged Job | $60,700 |
The 2023 Year-End Express Entry report clearly demonstrates that Express Entry Immigrants consistently enjoy positive economic outcomes, with their median employment incomes surpassing those of Canadian-born workers and immigrants in non-Express Entry programs. The data underscores the effectiveness of the Express Entry system in fostering economic success among newcomers, mainly when supported by factors like arranged employment and high CRS scores.
You can contact our expert immigration consultants for
