New immigrants to Canada saw their median entry wage climb by 6.7 per cent in 2022, even as the country’s overall real median wage dipped by 1.6 per cent, according to new data released by Statistics Canada. The agency said the growth in newcomer wages was “on par with the average yearly increase observed from 2013 to 2022.”
Statistics Canada said part of the increase reflects a rise in the number of immigrants arriving with pre-admission Canadian work experience, who often start with higher earnings. The federal agency’s Longitudinal Immigration Database provides insight into how admission category, pre-admission experience, country of birth and sex influence long-term economic outcomes.
According to the report, the real median entry wage for immigrants — measured one year after admission — reached $42,900 in 2022, up from $40,200 a year earlier. In comparison, the median wage of Canadians overall fell to $45,380, after adjusting for inflation.
Economic principal applicants, who are chosen for their potential to contribute to Canada’s economy, “consistently had the highest median entry wage among the four main admission categories,” said Statistics Canada. These immigrants had a median wage of $52,400 in 2022, which, while 4.2 per cent lower than the previous year, remained above pre-pandemic levels.
The Canadian Experience Class principal applicants — immigrants selected in part for their Canadian work experience — saw their median entry wage decrease by 17.4 per cent to $56,400 in 2022. Despite this drop, Statistics Canada said their wages remained “the highest among all admission categories,” alongside skilled workers and skilled trades applicants.
The report noted that an effort by Immigration, Refugees and Citizenship Canada to admit more candidates from the Canadian Experience Class in 2021 helped boost overall newcomer wages because of that group’s relatively high earnings. While there was a decline in CEC wages in 2022, this category’s large intake during the previous year supported overall wage growth for all recent immigrants.
| Category | 2022 Median Entry Wage | Change from 2021 |
|---|---|---|
| All New Immigrants | $42,900 | +6.7% |
| Economic Principal Applicants | $52,400 | -4.2% |
| Canadian Experience Class | $56,400 | -17.4% |
| Pre-Admission Work Experience Only | $52,000 | +2.0% |
| Refugees | $25,400 | +14.4% |
| Women | $36,900 | +13.2% |
| Men | $48,800 | +3.8% |
Pre-admission work permits appeared to help new immigrants enter the job market at higher pay levels. Those who had only a work permit before arriving saw their median entry wage rise by two per cent to $52,000 in 2022, the highest among all pre-admission experience categories. However, newcomers who arrived without pre-admission experience or with only study permits recorded a decline in their first-year wages.
Looking further back, immigrants admitted in 2012 saw their median wage grow by 74.1 per cent over a decade, rising to $45,100 in 2022 from $25,900 in 2013. Wage trajectories varied by country of birth. For example, immigrants from Iran saw their median wage surpass that of those from the Philippines, India, Pakistan and China over the same period, which Statistics Canada partly linked to their admission categories.
Women’s wages also grew at a faster pace than men’s between 2021 and 2022, narrowing the gender wage gap among newcomers. Statistics Canada said that the median entry wage for women rose by 13.2 per cent to $36,900, while men’s median wage grew by 3.8 per cent to $48,800. Although a gap remains, it was “much lower than 10 years earlier,” according to the report.
Statistics Canada said a second article using this data will be released on Dec. 19, 2024, focusing on immigrant mobility trends. The agency also plans to release population estimates on Dec. 17, which it said will “shed light on the most recent immigration trends.” All data in the current report, including wage figures and growth rates, was derived from the 2023 Longitudinal Immigration Database, said Statistics Canada at the end of the release.
