What happened: New survey results reveal a 13% spike in interest from U.S. companies expanding their presence in Canada
Why it matters: Results point to more accommodating immigration policies as a top driver
Vancouver kicked off 2020 with news Silicon Valley fintech Tipalti Inc. was launching its first office in the city and hiring 50 workers.
The next day, U.S. financial giant Mastercard Inc. revealed it was opening a $510-million cyber security centre employing 300 workers.
And results from a report released February 19 indicate interest from American companies in setting up shop in Canada is set to intensify further this year.
More than half (51%) of U.S. employers surveyed by Envoy Global Inc. said they were considering Canada for expansion plans — up from 38% a year earlier.
“As U.S. immigration policies tighten, savvy companies are setting their sights on Canada as an alternative destination for talent,” the report stated.
Envoy Global pointed to initiatives such Ottawa’s Global Talent Stream — a program that launched in June 2017 in a bid to ease domestic talent shortages — as an example of Canada’s more progressive immigration strategy.
Instead of making companies in need of specific talent complete a labour market impact assessment — often described as onerous by employers — the program promises to process 80% of work permit applications within 10 business days.
Since then, a steady stream of international workers has been coming into cities like Vancouver as American firms find themselves recruiting international talent and basing those workers in Canada.
The Envoy Global survey found 20% of respondents were considering Canada primarily because they wanted to offer sponsored employees with placements with a more immigrant-friendly public sentiment, while 11% of respondents were looking to Canada for help retaining employees facing challenges with U.S. work authorization.
Overall, 74% of respondents found Canada’s immigration policy more favourable to that of the U.S., jumping 11% from a year ago when 65% felt that way.
The survey was directed at 433 human resources professionals, while questions related to immigration were directed to the 255 respondents that indicated direct experience handling those issues.
