Why Skilled Migrants Are Choosing Canada — But May Not Stay

In the global race for skilled talent, Canada has long been regarded as a beacon of opportunity, offering high living standards, relative ease of immigration, and an inclusive, multicultural ethos. However, by 2025, cracks are starting to appear in that narrative.

According to a March 2025 Statistics Canada report, there has been a significant increase in skilled workers and international students, particularly U.S. non-citizen residents choosing Canada over the United States. The driving forces behind this trend include restrictive U.S. visa policies, green card backlogs, and growing concerns about academic and professional freedoms.

Yet even as Canada makes strides in attracting global talent, it risks falling short where it matters most: retention.

Canada's Cautious Turn

During the pandemic, Canada was praised for its inclusive approach, ranging from fast-tracked permanent residency pathways for essential workers to new routes for international student graduates. The country seemed to understand that talent is not transactional, but transformational.

But since 2024, a more cautious tone has emerged. Policy changes targeting international students, cuts to temporary and permanent immigration levels, and ballooning processing backlogs have led to a growing credibility gap. These issues were thrust into the national spotlight during the recent federal election, where immigration became a polarizing topic, with debates over housing, job competition, and system capacity often overshadowing the long-term economic and demographic benefits of skilled migration.

As a result, many migrants are now asking: "Is Canada still the best place to build a future ... and will it still want us when we get there?"

And they aren’t the only ones asking that question.

Credential Roadblocks and Missed Opportunities

One of the biggest obstacles to retention remains credential recognition. Skilled migrants often face a painful mismatch between their qualifications and the jobs they can access in Canada. Engineers become technicians. Doctors take on administrative roles. Academics face closed doors.

This isn't just an individual issue; it’s a systemic one. When talent is wasted, so is potential. When skilled people cannot work at their skill level, economies lose capacity and competitiveness.

A recent Grattan Institute report in Australia raised similar concerns: that tightening visa requirements without fixing credential bottlenecks could blunt the impact of skilled migration.

The Human Side of Migration: Lessons from the Workforce

In a national study conducted I supported with the Pink Attitude report illuminated the experiences of racially diverse professional women across Canada. The findings were clear: while highly educated and motivated, many individuals confront systemic barriers that hinder their careers. The most consistent theme?

Underutilization of skills

More than half of the participants felt their qualifications were not being recognized, and many reported taking roles far below their ability just to gain "Canadian experience."

This echoes broader trends, from visible minorities sidelined in leadership pipelines, leading to the potential loss of valuable talent for Canadian corporations. We talk a lot about attracting talent, but talent doesn’t thrive on good intentions.

Competing for Talent in a Shifting Global Landscape

Australia’s 2023 migration strategy attempted to address similar pressures with a new "Skills in Demand" visa designed to expedite processing for workers in priority sectors like tech and health care. However, visa delays and stricter eligibility rules are already drawing criticism and risking deterrence.

Both Canada and Australia are currently positioned at a significant crossroads. To maintain competitiveness, it is imperative that they do more than merely open their borders; they must establish a hospitable environment in which skilled individuals, along with their families, can genuinely experience a sense of belonging. That includes recognizing foreign credentials more efficiently, ensuring equitable access to jobs and housing, and creating clear, stable pathways to permanent residency.

As other countries step up with more aggressive strategies to attract globally mobile professionals, from streamlined visa programs in Germany to regional recruitment initiatives in South Korea Canada and Australia risk falling behind. The ability to recruit talent is no longer just about having a strong economy or a welcoming brand; it’s about delivering on that promise once people arrive. Without coordinated efforts across government, employers, and community institutions, both countries may struggle to retain the very individuals they work so hard to attract.

Attracting skilled migrants is no longer sufficient. In an era of global mobility, skilled professionals are voting with their feet and, increasingly, their exit plans.

Canada’s reputation continues to open doors, but what happens after people arrive will define our competitive edge, which has already been affected by recent events.

To lead in the future economy, we must transcend borders.