A new study of nearly 5,000 immigrants shows that optimism about the future and a sense of belonging are the strongest factors in convincing newcomers to stay in Canada permanently.
The Institute for Canadian Citizenship released research Monday showing that a one per cent increase in optimism boosts an immigrant’s likelihood of staying by 28 per cent, according to the organization. A one per cent increase in sense of belonging increases retention by 25 per cent, the study found.
The findings come as Canada faces declining birth rates, rising immigrant departures and reduced immigration admission levels, making retention of existing newcomers more critical for the economy.
Top factors driving retention
The study, conducted with support from the University of Toronto, surveyed verified adult immigrants who use the ICC’s Canoo program, described by the organization as Canada’s largest newcomer integration service.
Beyond optimism and belonging, other key retention factors include safety and stability, which increases likelihood to stay by 16 per cent, and trust in Canadian institutions, which boosts retention by 14 per cent, according to the ICC.
The research found that immigrants originally came to Canada primarily for standard of living (66 per cent), job opportunities (38 per cent) and safety and security (35 per cent), the study shows.
Policy implications for employers
Daniel Bernhard, CEO of the Institute for Canadian Citizenship, said the research provides guidance for policymakers on where to invest limited resources.
“Services that give credible hope of a better tomorrow and those that help immigrants feel a strong sense of Canadian identity are proven to drive retention — especially amongst the highest skilled immigrants that government has worked so hard to attract, but who are currently most likely to leave,” Bernhard said.
The study titled “Here to Stay: Understanding Immigrant Retention in Canada” focuses on factors beyond traditional concerns like housing affordability, though the ICC noted these remain important issues for newcomers.
Impact on workforce planning
The research suggests that while housing and cost-of-living challenges persist, emotional and social connections to Canada play a larger role in retention decisions than previously understood.
For employers and business leaders, the findings indicate that workplace integration programs and community connection initiatives may be more effective at retaining immigrant employees than compensation adjustments alone.
The ICC operates the Canoo program, which has served over 900,000 newcomer members since 2010 by providing free access to Canadian experiences and integration tools, according to the organization.