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newsApr 8, 20261:47

Immigrants Overqualified in Low-Skill Jobs

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Recent Statistics Canada data reveals a significant disparity: recent immigrants are more likely to be overqualified for their jobs than Canadian-born workers. Despite having the same education, 33% of immigrants with advanced degrees feel overqualified, compared to 20% of locals. However, theres a silver lining: 42% of recent arrivals landed a job or started a business within three months, up from 31% in older groups. Experts highlight a substantial gap between Canadas aim to attract top talent and the reality, with discrimination, unrecognized credentials, and lack of local experience keeping skilled newcomers in low-skill jobs. This underuse of talent costs the economy $50 billion in lost GDP annually, despite labor shortages. Newcomers with degrees from OECD countries face less deskilling, but still struggle with credential hurdles. As Ottawa focuses on highly skilled immigrants, addressing this issue is crucial to prevent educated immigrants from leaving for better opportunities abroad.

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Immigrants Overqualified in Low-Skill Jobs

Canada News Today | 2 Min News | The Daily News Now!

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Canada News Today | 2 Min News | The Daily News Now!Immigrants Overqualified in Low-Skill Jobs. Machine-transcribed; use the interactive transcript above to jump the player to any line.

New Statistics Canada data drops a truth bomb, recent immigrants are way more likely to be stuck in jobs below their skill level than folks born here. For newcomers aged 25 to 54, with post-secondary education, 32% say they're overqualified compared to just 19. Percent of Canadian born workers. That's from Labor Force survey numbers in September 2024 and 2025. Even with the same education, the mismatch hits hard. 33% of immigrants with advanced degrees feel overqualified versus 20% of locals. But there's some good news in another study. 42% of recent arrivals from 2019 to 2024 landed a job or started a business within three months, up from 31% in older groups. Experts like those at Toronto Metropolitan University point out a huge gap between Canada's goal to attract top talent and the reality on the ground. Discrimination, unrecognized credentials, and no local experience keep skilled newcomers in survival gigs, costing the economy $50 billion.

In lost GDP, yearly despite labor shortages. Newcomers with degrees from OECD countries, like the US or Germany, face less diskilling. Only 14% end up in low-skilled jobs versus 27% from elsewhere. Still, 31% struggle with that first job due to missing networks or credential hurdles. As Ottawa cuts immigration levels to focus on the highly skilled, fixing this underuse of talent is key. Otherwise, educated immigrants keep bouncing, to better spots abroad, and Canada loses out big time. This has been Canada News Today, powered by AI. I'm Corey with the story.

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