PGWPP: Canadian Labor Market Bolstered by International Graduates

PGWPP: Canadian Labor Market Bolstered by International Graduates

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According to a recent Statistics Canada study, the significant increase in Canada’s international student population also increased participation in the Post-Graduation Work Permit Program (PGWPP). 

In the last ten years, there has been a continued rise in the number of first-time study permit holders in Canada. According to the study, the number has increased from 75,000 in the mid-200s to 250,000 in 2019. 

Alongside this trend, an increase in international students moving forward to obtain Post-Graduation Work Permits (PGWP) has also been observed. The study shows that between 2008 to 2018, the total number of international graduates with PGWPs has increased from 10,300 to 64,700.

Labor market participation is also on the rise for PGWP holders, with a total 10,300 submitting positive T4 tax returns in 2008. In 2018, this number grew to a whopping 135,100. In this ten-year period, the median earnings of PGWP holders who were able to obtain employment also increased greatly. This indicates a larger input into Canada’s labor market, according to the report. 

Statistics Canada also found that around 75% of all PGWP holders eventually gained permanent residence within five years of acquiring their post-graduation work permit. Notably, permit holders from college and master’s level programs were more likely to obtain permanent residency, especially among recent graduates. 

According to these findings, Statistics Canada concludes that the PGWPP is highly integral to both international students and the Canadian economy. 

“On the one hand, the PGWPP allows international students who have graduated from a recognized Canadian post-secondary institution to gain work experience in Canada and can provide the necessary job experience required to apply for some permanent residence streams. 

[T]he PGWPP facilitates international students’ contribution to the Canadian labor market, increases the pool of qualified candidates for eventual immigration and serves to make Canada a more attractive destination of study.”

More About the PGWPP

The PGWPP allows students who have completed an eligible program from a designated learning institution (DLI) in Canada to obtain a two to three-year work permit after they have graduated. The duration of the permit is determined by the length of time a student has studied in a DLI.

It is highly sought after by many international students who wish to become permanent residents and take advantage of the job opportunities available to them in Canada, allowing them to gain work experience in the country. Canadian education and work experience can lead to eligibility and additional points in certain immigration pathways that lead to permanent residency.

International students must also meet other eligibility criteria, including needing an approved study permit.

If you’d like to know more about Enhance Visa and our Study to Permanent Residency pathway, register to one of our private online discussions. Register to an orientation for free here.

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