The MNP Eagerly Anticipated by Canadian Businesses

The federal government of Canada is expected to launch the Municipal Nominee Program [MNP] in the near future. In all probability, the new economic immigration program of Canada will be launched as a pilot.

The Municipal Nominee Program was one of the promises of the Liberals during the previous Canadian general elections. While the program was to have been launched in 2020, the COVID-19 pandemic has impacted the original plan.

Nevertheless, the program is very well in the pipeline and will be launched soon.

Now, the question arises as to why Canada needs another economic immigration pilot when they already have many in place – such as the Atlantic Immigration Pilot [AIP], the Rural and Northern Immigration Pilot [RNIP], and the Agri-Food Immigration Pilot [AFP].

While the highly-successful Provincial Nominee Program [PNP] of Canada has been instrumental in the settlement of immigrants in the smaller Canadian provinces, the immigrants, nonetheless, have preferred settling predominantly in the largest cities in Canada.

Generally, around 80% of immigrants coming into any province tend to settle in a specific city alone, leaving the smaller communities to struggle to meet their labour requirements.

Through pilot programs like the RNIP and the AIP, the Canadian government has attempted diverting immigrants to the smaller communities instead.

Opening up at least 5,000 new spaces for prospective immigrants, the proposed Municipal Nominee Program will “allow local communities, chambers of commerce, and local labour councils to directly sponsor permanent immigrants.”

In addition to complementing the other Canadian immigration pilots, the new program will also be building upon the lessons learnt and the insights gained through the other economic immigration pilots.

While, as of now, the details remain scare, a glimpse of what can be expected can be gained by analysing the RNIP and the AIP.

As the MNP is suggested to be launched as a pilot – similar to the other economic class programs launched since 2013 – it is expected that of the 5,000 spaces, 2,750 would be for principal applicants. The remaining spaces will be set aside for those arriving with the principal applicants as spouses and dependents.

Going ahead, the distribution of the 2,750 principal applicants across Canada would have to be decided on probably the same approach as in the RNIP. That is, a process wherein the designated municipalities get to ‘recommend’ immigrants that have a valid job offer and/or ties to that specific municipality.

One of the principal issues that remain unclear is as to whether or not the municipalities already covered by the AIP and the RNIP would be eligible to participate in the MNP.

Promising an increased ability for bringing in and retaining immigrants, the proposed MNP is eagerly anticipated by the business and community leaders in Canada.

According to the Canadian Federation of Independent Business [CFIB], “Business owners across the country are facing challenges finding the workers they need”.

While it might be easier, and comparatively cheaper to hire a Canadian for the job, many a times there are not enough qualified local applicants or individuals willing to take up the job offered.

It is through the immigration system that the Canadian government seeks to fill temporary as well as permanent positions in the Canadian labour market.

The CFIB, representing around 110,000 small and medium-sized businesses across Canada, has long been a big supporter of economic immigration.

As per the CFIB’s president and chief executive officer Dan Kelly, “Economic immigration has always been the lifeblood of Canada’s economic success and has played a key role in the building of our great nation.”

Published by Immigration, Refugees and Citizenship Canada [IRCC] on December 1, 2020, the 2020 consultations on immigration levels and the Municipal Nominee Program – final report states that the commitment to introducing MNP “reflects the important role communities play in welcoming and retaining newcomers to Canada, and builds on Canada’s experience in innovative and regionally focused immigration programming that responds to the unique demographic and labour market needs of different areas of the country.”

As per the findings of the final report, when ranked from 1 to 3 – with 1 being the most important – the most important reason for Canada to have a robust immigration program was found to be filling labour market gaps and bringing new skills. Of the respondents, 33% identified it to be the main reason.

Another 29% put down supporting Canada’s economic recovery as the most important reason for a robust immigration program.

Despite the COVID-19 pandemic, 2020 is proving to be a record-breaking year for Canada’s Express Entry system.

If you are looking to Study, Work, Visit, Invest or Migrate Overseas, talk to Y-Axis, the World’s No. 1 Immigration & Visa Company.

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