Irish Immigration Shift from Australia to Canada, Fuelled by Calgary’s Economy

Dublin, Ireland. Canada is becoming a more popular destination for Irish emigrants who have many of the skills in demand in Canada’s resource sectors (Jimmy Harris)

A story in Saturday’s Irish Times examines the increase in Irish immigration to Canada as the country’s workers seek employment abroad.

The article notes two trends in recent years: Canada being increasingly favoured by Irish emigrants over Australia and the age of the average Irish emigrant increasing:

“The most noticeable trend over the past 12 months has been the swing away from Australia towards Canada, which has been driven by the demand from employers and from the Canadian department of immigration,” says David Walsh, sales manager for the Working Abroad Expo. “They are going through a skills shortage, and in Calgary, the economic heartland of Canada, 19 of the 25 skillsets most in demand are readily available in Ireland. ”

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Everyone who speaks to The Irish Times for this article says the rising average age of emigrants and the number of families leaving are the most notable trends of recent months.

Of the 527 people at the Working Abroad Expo who responded to a survey by University College Cork’s Emigre project that traces recent emigration patterns, 44 per cent were over 30, and 14 per cent were 40 or older. More than one in five had mortgages in Ireland, and 27 per cent had children.

Canadian immigration authorities have made efforts to encourage Irish immigration, as the country’s nationals are seen to integrate quickly into the Canadian economy due to their high English language proficiency and cultural affinity to Canada.

Irish workers are also in demand by employers in many sectors in Canada due to having soft skills and technical expertise relevant to Canadian jobs, as a result of having acquired their work experience in Ireland’s advanced and Westernized economy.

The Calgary job engine

Calgary’s petroleum and gas industry is the draw for much of the Irish immigration to Canada. The city has the highest per capita GDP in Canada among the major cities and provides wages far above the Canadian average.

Many sectors in the Calgary region are experiencing difficulty in finding a sufficient number of workers with the necessary skills, which has prompted extensive campaigns to recruit abroad, including several delegations sent by Calgary-based companies to Ireland’s Working Abroad Expo last October.

Alberta’s economic growth is expected to exceed the G8 average over the coming years due to the projected increase in production in the oil sands region in the north of the province, which will likely continue to make Canada an attractive destination for immigrants from around the world.

CanadianBusiness: Vancouver Could Be The Next Calgary

The LNG plant planned in Kitimat, pictured above, is expected to increase natural gas industry revenues in British Columbia, which would benefit the province’s commercial centre, Vancouver

An article appearing in the online edition of last Tuesday’s Canadian Business magazine suggests that Vancouver stands to follow in Calgary’s footsteps and become an energy company magnet:

The management of Canada’s oil and gas industry has become, over the past few decades, ever more concentrated in Calgary. To many, Imperial Oil’s 2005 move from Toronto sealed the deal.

But that pattern is now showing some notable exceptions. Giants of the energy industry are suddenly setting up offices in Vancouver instead, and it looks like they’re here to stay.

Alberta in general and Calgary specifically have for years stood apart in Canada for having the highest per capita GDP, the lowest unemployment rates and the most rapid population growth among all provinces and cities, respectively, in the country.

The source of Alberta’s and by extension Calgary’s wealth has been its large petroleum industry, which has experienced growth in recent years as production in Northern Alberta’s oil sands has increased.

Canadian Business magazine says that newly discovered natural gas fields in northern Alberta and British Columbia, and the planned construction of Liquefied Natural Gas (LNG) conversion and export plants in Kitimat and Prince Rupert in B.C.’s northern coast, have attracted Vancouver the same type of attention from energy companies that Calgary has enjoyed for years:

Not only the terminals but most of the source wells and pipeline infrastructure will be located in B.C., making the provincial government the principal regulator. So it makes sense for companies to run their operations close to Victoria, and even closer to the contractors, suppliers and a potentially hostile public. “You could see B.C. double its natural gas production, and all of that would go toward LNG,” says Greg Kist, vice-president of marketing at Progress Energy. “It indicates that there is going to be significant pace of investment in Vancouver.” Kist expects his company’s West Coast office will in time have 200 employees.

It addition to natural gas production and transport, B.C.’s position in between Alberta and the Pacific Coast makes it an important pathway for oil pipelines, a fact that has spurred Calgary-based Enbridge, which operates the largest pipeline system in the world, to recently decide to open an office in Vancouver.

Immigrants already account for 40 percent of the Greater Vancouver Regional District’s population. If the city experiences an energy boom on the scale of what Calgary has undergone, that would make it all the more alluring to immigrants and Canadians from other regions of the country.

Increase in US Oil Production Threatens Canada’s Oil Sands

An oil rig in Northern British Columbia. The oil and gas industry is vital to the economy of Western Canadian provinces

Canadian energy producers exported over $120 billion worth of energy products in 2011, which constituted over 25 percent of the $462 billion worth of goods/services exported from Canada that year.

The sizeable contribution made by the oil and gas sector to Canada’s export revenue helped shore up the value of the Canadian dollar, which enhanced Canadians’ purchasing power internationally and helped raise the average household wealth of Canadians above that of Americans for the first time in history.

Canada’s natural resource wealth, in particular in energy resources, has also given it the best economic performance among the G8 countries over the last several years, and allowed it to better weather the economic decline following the bursting of the global credit bubble in 2008.

The exceptionalism of Canada among the developed world faces a threat from an unexpected source though: increasing shale oil production in the US.

As noted in the Edmonton Journal, a recent PricewaterhouseCoopers (PwC) report projects a substantial increase in global oil supplies as new oil extraction methods like hydraulic fracturing make previously inaccessible shale oil reserves accessible for the first time:

Thanks to such innovations as horizontal drilling and fracking (hydraulic fracturing), the U.S. is currently producing more oil than it has in 20 years. U.S. output now exceeds seven million barrels a day, and that has enabled the world’s biggest oil consuming nation to cut its imports to the lowest level in 16 years.

Since Canada’s crude oil exports are a critical driver of well-paid jobs, royalties, taxes — and ultimately, federal equalization transfers — that’s something that should alarm all Canadians.

Indeed, if current trends continue, the U.S. will overtake Saudi Arabia as the world’s top oil producer by 2017, the International Energy Agency has predicted.

This can threaten Canada’s energy sector due to both global and regional effects. Globally, an increase in oil production would reduce oil prices, and with it, Canada’s oil and gas revenue. Regionally, given ninety percent of Canada’s energy exports are sent to the US, an increase in American oil production would significantly reduce the premium Canadian oil producers receive thanks to the proximity of their major buyers.

The regional effects could be alleviated with the construction of more pipelines capable of transporting the oil produced in the Athabasca oil sands in Northern Alberta to the Pacific Ocean, from where it can be shipped to Asian economies, but projects being proposed at the moment, like the Enbridge pipeline, face political challenges due to ideological and cultural opposition to the oil industry among a sizeable section of the Canadian public.

Economic repercussions

If the global petroleum market progresses as the PwC report predicts, the prosperity of Canada’s Western provinces, which depends to a large part on energy production, would diminish, and federal revenues from oil and gas royalties would decline.

The rapid immigration of skilled trades people to Canada to work in the oil and gas sector would slow, and other developed countries, especially large oil importers like European countries and Japan, would become more attractive destinations for immigrants and international investors.

The net effect for the world would likely be positive, as reduced oil prices increase global economic growth and raise the average of standard of living around the world.

Vancouver, Canada to Host International TED Conference

The TED conference will be held in the Vancouver Convention centre’s West Building, which was opened in 2009

The annual TED (Technology, Entertainment and Design) conference, a gathering of some of the world’s brightest and most influential thinkers, will be moved to Vancouver in 2014 and 2015, it was announced on Monday.

It is believed that the move will provide a major boost to Vancouver’s reputation as a first class global city and have peripheral benefits in the way of attracting more businesses, innovators and international events to the city.

The annual TED conference started in 1990 and has emerged as one of the most highly regarded public forums for spreading ideas that benefit humanity. It often features renowned speakers, which have included Bill Clinton, Bill Gates, and Google founders Sergey Brin and Larry Page.

The topics covered in the talks can relate to any thing ranging from science, to contemporary politics, to economics, to culture, like the harm schools have on creativity and video showcases of creatures in the ocean.

Each ticket to the TED conference costs $7,500, meaning the event’s 1,400 attendees will be a collection of the comparatively very rich and influential, whose visit to Vancouver will doubtlessly raise awareness of the city among global decision makers.

Vancouver’s rising profile

Vancouver has qualities that make it particularly attractive to immigrants and international visitors to Canada, including access to the Pacific Ocean, a mild by-Canadian-standards climate, and the natural beauty of the Coast Mountains.

Its domestic and international popularity and above-Canadian-average population growth rate have persisted for decades, which suggests the trend will continue into the foreseeable future and the city will become increasingly important on the global stage.

TED’s move to Vancouver could be the iconic event that marks its transformation into a World City.

Canada’s North Will Need Up To 70,000 Workers by 2020 – Conference Board of Canada

Yellowknife, the largest city in the Northwest Territories. A report released on Monday projects that, by 2020, up to 70,000 new jobs in the North will be supported by additional mining output in the region.

A report released on Monday by the Conference Board of Canada, one of the country’s most respected public policy research organizations, predicts that mining in Northern Canada will support an additional 43,000 to 70,000 jobs in the region by 2020.

The report estimates that the value of the annual output of mining activity in the North will grow at an annual rate of 7.5 percent – more than three times the projected GDP growth rate – to nearly double from $4.4 billion in 2011–12 to $8.5 billion in 2020.

The 74 page reports focuses most of its recommendations on improving communication and cooperation between mining companies, aboriginal groups, and local, provincial/territorial and federal governments.

It also calls for increased government investment, in the way of government-private partnerships, to build the necessary infrastructure in the North, and a simpler regulatory approval process by integrating environmental assessments made by various levels of government.

If these measures are taken, the report concludes, the people of the North and the rest of Canada, stand to benefit from increased exports as the industrialization of India and China boosts global economic growth and demand for minerals.

Report Projects Oil Sands to Contribute Trillions to the Canadian Economy

The Deloitte report says pipelines are the most efficient way to transport oil produced in Western Canada

A comprehensive report on the challenges and opportunities of Canada’s oil sands by auditing giant Deloitte projects that the hydrocarbon deposits will contribute an estimated $2.1 trillion to Canada’s GDP over the next 25 years.

The economic benefits of the added wealth include up to $783 billion in extra tax revenues over the period, which will provide a significant boost to local, provincial and federal governments and help them meet the growing costs of providing social services to an ageing population.

In addition to tax revenue, the export revenue generated from oil sands production will fund up to 905,000 jobs a year according to the Deloitte report.

The report cites lack of pipeline infrastructure as a potential limiting factor in the growth of Canada’s energy exports, as oil production is expected to reach current pipeline capacity by 2017.

Oil producers are currently look to use alternative transportation methods, in particular rail transport, to move the oil to international markets once pipeline capacity has been reached, but these solutions are expensive and inefficient in the long run, and the report says more efficient pipeline transportation will be required to fully realize the oil sands’ potential.

The report mentions the Northern Gateway pipeline, the Keystone XL pipeline and the Trans Mountain Expansion (TMX) as three pending infrastructure projects that are critical for providing sufficient conduits for getting Canada’s oil sands production to world markets.

According to Deloitte, the benefits of completing these projects include: 1) reducing up to $131 billions in losses that are currently incurred from Canadian oil being sold at below market prices due to lack of access to world markets, 2) reducing over-reliance on the US market, and 3) getting access to the fastest growing oil consuming regions of the world in India and China.

The biggest challenge in the oil sands development according to the report is the poor public perception of the oil industry in Canada and the hyperbolic nature of the debate surrounding the potential environmental harm of oil pipelines. The report urges a more fact-based debate on the costs and benefits of pipeline construction that avoids broad generalizations and sweeping judgements about environmental criticism, the oil industry, and energy projects.

Chinese Immigrants to Canada Call for Beefed up Math/Science Curriculum in B.C.

Canada placed 10th in the mathematics portion of the 2009 Programme for International Student Assessment (PISA) while East Asian jurisdictions like Shanghai, China topped the rankings (CICS News)

The Vancouver Sun reports that a group of Chinese-educated tutors are calling for British Columbia’s Education Ministry to raise math and science standards in the province’s public schools.

The group of private tutors say that B.C. students are slipping compared to their Canadian counterparts and to students in other countries in international assessments of math and science aptitude, and this will harm the province’s children in the future unless there’s a change.

The tutors, who include Sharon Shen, Jason Gao, Yong Yuan and John Yuan, have formed the Educational Quest Society to promote their cause of raising B.C.’s education standards. They are concerned by the poor showing of the province’s students in a recent national assessment, as noted by the Vancouver Sun story:

For proof of a performance decline, the society points to the latest results from the Pan-Canadian Assessment Program, which tested the math skills of 32,000 Grade 8 students from across the country in 2010. While those in Quebec, Ontario and Alberta had results equal to or above the Canadian average, B.C. participants fell below.

Students in East Asian countries, including China, have in recent years developed a reputation for excellence in science and mathematics. In the math portion of the recent Programme for International Student Assessment (PISA) for example, the top five performing jurisdictions were all East Asian, with Shanghai students topping the rankings.

Chinese students have achieved these results despite the fact that education spending in China, at $1,593 US per pupil per year at Purchasing Power Parity (PPP), measures only a fraction of the OECD average of $9,860 (PPP).

Given the apparently superior efficiency and performance of education in China, the tutors’ insights into their country of origin’s education system is being given consideration in Canada and attention from Canadian news media like the Vancouver Sun.

It remains to be seen if Canada’s culture and education policy will transform in coming years as a growing immigrant population adds an international perspective to the way of doing things.

Toronto Tops CIBC’s Annual Metropolitan Economic Index for Canadian Cities

Toronto has ranked near the top of the Canadian Metropolitan Economic Activity Index for five of the last seven years (Paul Bica)

Toronto leads all Canadian cities with a score of 20.6 points in the most recent CWM Metropolitan Economic Activity Index, which rates the economic activity of Canadian cities according to nine economic variables selected by CIBC’s World Markets subsidiary.

The indicators used in formulating the Index score include a city’s unemployment rate, population growth, bankruptcy rate and housing starts growth rate.

While Toronto did not lead other major Canadian cities in any of the nine areas of economic activity, it consistently ranked near the top in most of the categories, providing it with the highest cumulative score.

Toronto’s manufacturing sector benefited from an increase in automobile purchases in the United States as that country experienced an economic recovery, and an expansion of its construction industry, as housing starts, led by condominium construction, unexpectedly grew in the city.

Trailing Toronto in the top six Canadian cities were the Prairie metropolises of Calgary, Regina, Winnipeg, Saskatoon, and Edmonton in descending rank.

Calgary, coming second with a score of 19.5 points, continued to benefit from having one of the lowest unemployment rates, highest home sales growth rates, and highest population growth rates of Canadian metropolises.

Employment Rate of Canada’s Immigrants, Except Filipinos, Trailing National Average

A Filipino family. Filipinos have the highest employment rate of any ethnicity in Canada, and are now the largest group of new immigrants in Canada (Henry Lopez)

A Statistics Canada report released last week shows Canadian immigrants continuing to experience lower employment rates than the general population, with the gap growing since the 2008 financial crisis.

According to the report, the employment rate of immigrants aged 25 to 54 in 2011 was 75.6 percent, while that of Canadian-born residents was 82.9 percent. Both Canadian born residents and immigrants saw their employment rate fall between 2008 and 2011, by 1.8 and 1.2 percentage points, respectively.

Immigrants from the Philippines bucked the trend, with the highest employment rate of any ethnicity in Canada, at 85.6 percent.

The Philippines has also recently become the largest source of immigrants for Canada, contributing 13 percent of the new immigrant population in 2011, ahead of India (10.8 percent) and China (10.8 percent), which will likely alleviate the immigrant-Canadian-born employment gap in the coming years.

Differences across provinces

Immigrant employment rates varied across the provinces, with Quebec having the worst rates, and Alberta and Manitoba the best.

The employment gap between the Canadian born and immigrants was lowest in the Atlantic region (0.8 percentage points), but the region’s immigrant employment rate was well below the leaders, Alberta and Manitoba, where the overall employment situation is much better and immigrants are employed at rates of 82.5 and 82.3 percent.

Canada’s most populous province, Ontario, had a below-average immigrant employment rate of 75.4 percent, significantly lower than that of its Canadian born population of 83.3 percent.

The poor showing of Ontario could be partially due to the declining proportion of the province’s immigrant population who are ‘economic immigrants’, meaning those admitted through a skilled worker or investor immigration program, as opposed to family re-unification and refugee programs.

While approximately 52 percent of Ontario’s immigrants are economic immigrants, the average across Canada is 70 percent, a proportion that Ontario’s provincial government wants the province to match.

Improved employment rates over time

The data released also shows that immigrant employment rates rise the longer they have been in the country, starting at 63.5 percent among very recent immigrants (those in the country for five years or less) and increasing to 79.8 percent among immigrants that have been in the country for more than a decade.

Previous analyses done by Citizenship and Immigration Canada (CIC) have found that proficiency in French or English is among the best predictors of employment and economic success for immigrants, so these findings are not surprising.

To improve the economic performance of those admitted to Canada, CIC is increasing the language requirements for the Federal Skilled Worker Program, which is scheduled to resume in early 2013.

Canada’s Population Hits 35 Million, Immigration Largest Source of Growth

Canada’s projected population surpassed 35 million last week as the country catches up to other G8 member states in population size (Martin C. Barry)

According to Statistics Canada’s population clock, Canada’s population passed 35 million last week, a notable landmark in the country’s developmental history, from a sparsely populated British colony in the 19th century to an emerging economic force in the world today.

The data shows that the annual population growth rate in the country has averaged 1 percent over the last decade, the highest among the G8.

The leading source of population growth continues to be immigration, with net migration (immigration minus emigration) accounting for two-thirds of population increases and natural population growth the rest.

StatCan projects Canada’s population will grow to between 40.1 and 47.7 million people by 2036, with the provinces of British Columbia and Ontario experiencing the largest increase in numbers.

Newfoundland and Labrador is projected to have the lowest population growth, even possibly negative, over the same period, as immigrants choose to settle in other provinces and its own residents migrate to other regions of the country, resulting in it having the oldest population, in terms of the median age of its residents, of any province.