How Many Immigrants Are Working in Canada in 2026? Trends in the Jobs Market

Newcomers are the absolute foundation of Canada’s economic future. From forging careers in high-tech STEM fields to opening small businesses and keeping the healthcare system afloat, immigrants shape the direction of the Canadian workforce.

If you are a newcomer or planning to immigrate via Express Entry or a Provincial Nominee Program (PNP), you might be wondering what your prospects actually look like. Let’s break down the five key facts defining the role immigrants play in Canada’s labour market today.

Fact #1: Immigrants Account for Almost 80% of Labour Force Growth

Canada’s aging population and declining birth rate mean that without immigration, the workforce would shrink, and the economy would stagnate.

According to Statistics Canada data, immigration contributed to an astonishing 79.9% of labour force growth between 2016 and 2021. Put simply, the vast majority of new workers entering Canada’s labour market are newcomers.

Fact #2: 1 in 3 Business Owners in Canada is an Immigrant

Immigrants don't just take jobs; they create them. Federal data reveals that immigrants make up 32% of all business owners with paid staff in Canada.

• Over 800,000 immigrants in Canada are currently self-employed.
• More than 250,000 of those immigrant entrepreneurs have employees on their payroll.
• More than 46,000 immigrants hold executive or senior management roles across the country.

These businesses span every major sector, from local retail and residential construction to advanced professional services and healthcare clinics.

Fact #3: Economic Immigrants Frequently Out-Earn the Canadian Median

A persistent myth about immigration is that newcomers are permanently relegated to low-wage jobs. While the initial transition period can be difficult, the data proves that targeted economic immigration works.

Principal applicants selected through high-skilled streams like Express Entry often see their employment income reach or exceed the Canadian median relatively quickly.

Note: Spouses, dependents, refugees, and family-sponsored immigrants generally earn less on average during their initial years in Canada compared to principal economic applicants.

Fact #4: Immigrants Dominate Canada’s Essential Sectors

Look at the industries that keep Canada running daily, and you will find they are heavily staffed by immigrants. While immigrants make up 23% of the general population, they hold a disproportionately large share of essential roles.

Furthermore, immigrants account for roughly half of all STEM (Science, Technology, Engineering, and Mathematics) degree holders in the country, driving Canada's innovation economy.

Fact #5: Immigrants Still Face a Slightly Higher Unemployment Rate

Despite the overwhelming positive impact, systemic gaps remain. Immigrants aged 25 to 54 participate in the labour market at slightly lower rates than their Canadian-born counterparts.

• Unemployment rate (Canadian-born): 7.7%
• Unemployment rate (Immigrants): 9.9%

The Final Takeaway for 2026

Canada’s labour market relies entirely on immigration to survive. Success, however, is not automatic. It requires understanding which sectors are in demand, leveraging the right immigration pathways (like targeted Category-Based Selection draws), and preparing for the initial transition.