Why Highly Skilled Immigrants Are Leaving Canada at Record Rates

Canada’s success relies heavily on its ability to attract global talent, yet a concerning new report reveals that the country is struggling profoundly to retain the highly skilled immigrants it carefully selects. This persistent trend of “onward migration”—immigrants leaving Canada for other countries—is now peaking among the most educated professionals, creating a critical challenge that policymakers and employers must urgently address.

This column examines the key findings of the Institute for Canadian Citizenship (ICC) and the Conference Board of Canada’s latest study, which identifies Canada’s immigration system as an effective recruiter but a “leaky bucket” for retention.

The Leaky Bucket: Who is Leaving, and When

The comprehensive research, detailed in the “The Leaky Bucket 2025: Retention Challenges in Highly Skilled Immigrants and In-Demand Occupations” report, confirms that this is not a new or fleeting phenomenon, having persisted for over 40 years.

The most alarming statistics show that the immigrants Canada prioritizes are the most likely to depart:

• The Highest Educated Leave Fastest: Individuals with a doctorate are nearly twice as likely to leave Canada within five years of landing compared to immigrants with only a bachelor’s degree. This figure skyrockets to almost three times as likely if these individuals face stagnant income growth.
• The Critical Five-Year Mark: The risk of onward migration peaks sharply around the five-year mark after permanent residency is granted, making the early integration period critical for long-term retention.
• Mass Departure: Overall, the report finds that one in five immigrants leave Canada within 25 years of landing. If current onward migration rates persist amidst stabilized admission targets, the study projects that over 20,241 immigrants will leave the country by 2031.

These departures are concentrated in sectors crucial to Canada’s economic growth, including experienced managers and executives (leaving at a rate 193% higher than the average immigrant) and health-care professionals (leaving at a rate 36% higher than average). Fastest-leaving occupations include business and finance management, Information and Communications Technology (ICT), and engineering.

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The Underlying Causes: A Failed Promise of Success

The data strongly suggests that immigrants are leaving not because they failed to qualify, but because Canada failed to deliver on the promise of economic success and professional integration. These highly sought-after individuals have global options and choose to move on when their talents are wasted.

1. Skill Mismatch and Underemployment: A core reason for the “leaky bucket” is the chronic failure to recognize and utilize foreign credentials and experience. Many highly educated immigrants find themselves in jobs far below their qualifications, leading to low income growth.
2. The Income Gap: The report emphasizes that when immigrants with advanced degrees face low income growth, they are significantly more likely to leave. This highlights that while Canada is adept at attracting global talent, it is failing to transition that talent into commensurate, high-paying jobs.
3. Lack of Targeted Settlement Supports: Current settlement programs are often generalized, catering largely to basic needs (like language support) rather than the specific needs of high-skilled professionals, such as licensing reform, networking, and career development.

As Daniel Bernhard, CEO of the Institute for Canadian Citizenship, noted in a media brief, “This is not just the moral cost of selling a talented immigrant a false promise – this is avoidable self sabotage.”

Policy Recommendations for Retention

To stem this growing brain drain, the Institute for Canadian Citizenship and the Conference Board of Canada recommend a pivot in national strategy, shifting focus from merely recruiting talent to actively retaining it.

The key policy recommendations from the report, which utilized data from Statistics Canada’s longitudinal database, include:

• National Retention Policy: Canada needs a national framework with clear retention targets, much like it has for admission targets, to guide policy beyond selection alone.
• Targeted Investment: Investing in settlement supports specifically tailored for highly skilled immigrants, including fast-tracked professional licensing reform and bridging programs.
• Employer Capacity: Enhancing tools and incentives for employers to create truly welcoming, growth-oriented workplaces that value and provide career development for newcomers.

Unless Canada moves quickly to address the systemic barriers of credential recognition and economic integration, it risks losing the critical expertise needed to address its national challenges—from infrastructure development to labour shortages in healthcare. A sustained, proactive retention policy is the only way to ensure that the talented people Canada needs choose to make it their permanent home.

For a deeper dive into the retention challenges facing Canada’s skilled immigrant population, the full findings of the “The Leaky Bucket 2025” report are available on the official Institute for Canadian Citizenship website here.

Tags: Canada Immigration, Brain Drain, Highly Skilled Immigrants, Onward Migration, Economic Immigration, 20,241 Departures, Institute for Canadian Citizenship, IRCC, Retention Policy