Economy
Federal mismanagement to blame for Canada’s immigration backlash
From the Macdonald Laurier Institute
By Sonia Orlu for Inside Policy
Canada’s welcoming attitude towards newcomers makes it one of the most sought-after places to live in the world. However, this image is being tested by a growing backlash against immigration. Immigrants make up 23 per cent of the population, yet economic, social, and cultural anxieties are increasingly challenging the country’s commitment to diversity. More than four-in-ten Canadians now agree – either strongly (23 per cent) or somewhat (21 per cent) – with the statement, “There is too much immigration to Canada.” It is crucial to understand that this backlash is not rooted in opposition to immigration or immigrants themselves, but rather in frustration over mismanagement and inadequate planning by the federal government. It reflects a growing unease about the country’s economic outlook, raising urgent questions about how Canada can uphold its values while addressing legitimate and pressing concerns.
Public reactions and political responses
Canadian political leaders have generally maintained a measured tone on immigration, focusing on economic pressures and service delivery rather than hostility toward immigrants. However, tensions are rising, and a thoughtful debate is increasingly needed.
Prime Minister Justin Trudeau has accused the Conservative Party of spreading misinformation to stoke fears about immigration. Such remarks risk alienating those with legitimate critiques of his administration’s policies and practices. Conservative Leader Pierre Poilievre has linked immigration to housing shortages, criticizing Trudeau’s policies as disconnected from infrastructure needs. This aligns with public frustrations over housing availability and the need for better coordination between immigration levels and capacity. Quebec Premier François Legault echoed similar sentiments, raising issues of resource management and culture. His critics accuse him of xenophobia, but dismissive responses like Immigration Minister Marc Miller’s remark that people are “always blaming immigrants” overlook genuine challenges and deepen frustration.
These exchanges illustrate the delicate balance required in navigating immigration policy and public sentiment. Canadians’ attitudes toward immigration are more nuanced than a simple pro- or anti-immigration divide. Most Canadians aren’t driven by fear or racism; rather, they are focused on how immigration impacts housing affordability, strains public finances, and increases job competition. While apprehension about immigration levels is growing, attitudes toward immigrants themselves remain largely positive. In fact, more than four-in-ten Canadians (42 per cent) say that immigrants make their community a better place, with fewer than one-in-ten (9 per cent) feeling that they make it worse. Still, public concerns must be addressed to prevent further polarization.
The housing crisis: a catalyst for frustration
A significant driver of the immigration backlash is the housing crisis. The Canada Mortgage and Housing Corporation (CMHC) reported in 2024 that Canada needs an additional 3.5 million housing units by 2030 to restore affordability. Cities like Toronto and Vancouver have seen housing prices soar, partly due to increased demand from population growth.
The “housing theory of everything” highlights how housing affects multiple societal issues – such as economic inequality, social mobility, and political polarization. Immigration is no exception. Housing shortages drive up costs, deepen inequality, and create competition between immigrants and long-term residents, eroding social trust and cohesion.
The rise in temporary residents, including international students and temporary foreign workers, compounds these issues. Immigration, Refugees and Citizenship Canada (IRCC) reports that the number of temporary residents increased by over 50 per cent from 2017 to 2022 and continued to rise sharply into 2024. This influx contributes to increased demand in the rental housing market, particularly in urban centres with large universities, driving up prices and reducing availability.
The Trudeau government’s ambitious plan to admit nearly 500,000 new permanent residents annually by 2026 marks one of the highest per-capita immigration rates globally. By comparison, Canada admitted around 200,000 landed immigrants per year in the 1990s and 250,000 per year in the early 2010s. Without matching investments in infrastructure and housing, these elevated immigration levels – often referred to as “mass immigration” – could exacerbate housing shortages, strain public services, and heighten public frustration. Internal documents from Immigration, Refugees, and Citizenship Canada revealed that as early as 2022, officials warned that large increases in immigration could worsen housing affordability and strain public services. Yet, no substantive steps were taken by the government to revise its targets.
Given the realistic timelines for development, it is improbable that infrastructure can keep pace with rapid population growth. The construction industry faces labour shortages, regulatory hurdles, and lengthy timelines for project completion – often several years. The CMHC maintains that due to these complexities, expecting cities to rapidly scale up infrastructure to meet immediate demands is unrealistic.
If these housing issues are not resolved, public frustration could escalate, potentially shifting from concerns about immigration policy to resentment toward immigrants themselves.
Cultural integration: balancing diversity and cohesion
Economic challenges, such as housing affordability, often intersect with social and cultural anxieties. As communities experience rapid change and strained resources, questions arise about society’s ability to integrate newcomers without compromising its social fabric. While only about 4 per cent of Canadians express fears that immigration weakens local culture and identity, concerns about the effectiveness of integration are more widespread. In fact, approximately half of Canadians are concerned that some immigrants may not be adopting Canadian values or fully participating in the broader community. When asked which values immigrants should adopt, Canadians often prioritize language proficiency and respect for the country’s history and culture, highlighting the importance placed on cultural integration. Interestingly, both native-born and foreign-born Canadians largely agree on the values newcomers should embrace, indicating a shared vision for integration.
Canada’s sense of nationhood is deeply tied to its history of migration and its commitment to cultural and ethnic diversity. However, diversity is not inherently beneficial in all forms; its value depends on whether it leads to greater tolerance, creativity, or economic growth. When cultural and ethnic diversity is celebrated without deliberate efforts to foster interaction and promote unity, it risks becoming fragile. Poorly managed diversity can lead to social fragmentation, lower trust, and weakened civic engagement.
The challenges of integration are well-documented. Language barriers, different social norms, and unfamiliarity with Canadian institutions can make it difficult for immigrants to fully integrate. This can sometimes lead to the formation of cultural enclaves, where newcomers find comfort in communities with shared backgrounds but have limited interaction with the broader society. While these enclaves provide crucial support, they can inadvertently hinder full participation in Canadian life. Sociologist Robert Putnam found that, in the short term, diversity can reduce social capital and lower community engagement, particularly when institutions fail to promote integration – a concept he refers to as “hunkering down.” In such cases, both newcomers and long-term residents may feel isolated.
Despite these challenges, diversity, when managed effectively, can yield benefits. Exposure to different cultures fosters creativity, innovation, and economic growth, even though research suggests that immigration itself is neither inherently good nor bad for the economy. Cities like Toronto and Vancouver have thrived in part due to their multicultural populations, which have helped them become global hubs for technology and the arts. Additionally, evidence shows that successful integration is common in Canada. Many immigrants actively embrace Canadian values, contribute to the economy, and participate in civic life. The majority of eligible immigrants become Canadian citizens, demonstrating a strong commitment to their new country. Many immigrants choose Canada precisely because they align with its principles of democracy, equality, and respect for human rights. Cultural integration, in the end, is a dynamic process – one that, when approached thoughtfully, strengthens rather than weakens the social fabric.
Bridging policy failures with sustainable solutions
Addressing public frustrations with immigration requires a serious reassessment of the policies that have exacerbated these concerns.
First and foremost, tackling the housing crisis through integrated planning is essential. Governments should incentivize affordable housing development and reform zoning laws to allow for higher-density projects. Recognizing the realistic timelines for construction and development, planning must begin immediately and be synchronized with immigration targets. Public sentiment strongly supports this approach. A recent Nanos Research survey found that 72 per cent of Canadians want to reduce immigration levels until housing becomes affordable.
Aligning immigration levels with the country’s capacity is crucial. Dynamic targets based on real-time economic data and infrastructure development would ensure that immigration aligns with Canada’s ability to provide services and opportunities. Returning to historical admission levels of 200,000 to 250,000 immigrants per year could help ease pressure on housing and public services. Adjusting the composition of immigration streams is equally important.
Temporary measures – such as pausing or reducing programs for international students and temporary foreign workers – could relieve immediate pressures while infrastructure catches up. For instance, although international students contributed over $30 billion to the economy in 2022, lowering their numbers could help reduce housing demand in university towns. Likewise, managing temporary foreign worker intake would address labour shortages without overwhelming resources.
Effective integration and support services must also be given priority. This should begin with implementing consistent selective immigration measures that evaluate an applicant’s potential to integrate both economically and culturally into Canadian society. Such measures would reduce reliance on extensive post-arrival support and help ease cultural tensions. According to a 2018 Angus Reid survey, two-in-three Canadians believe that greater emphasis should be placed on screening for alignment with Canadian values. However, it’s important to note that defining “Canadian values” can be subjective and risks being perceived as discriminatory.
Improvements to post-arrival services like community centres offering language classes, job search support, and cultural orientation programs are necessary to significantly ease the transition for newcomers. Research shows that when immigrants are effectively integrated, they are more likely to find employment, increasing tax contributions and reducing their reliance on social services. Additionally, well-integrated immigrants are more likely to engage in civic life, fostering social cohesion and strengthening community resilience.
Cultural diversity, while valuable, cannot be assumed to sustain itself without active support. Integration is not just about where people live or demographic representation; it also involves cultivating a shared sense of purpose and belonging. Successful integration depends on a reciprocal relationship: immigrants need the resources and opportunities to succeed, and in turn, they must engage with and contribute to the broader societal and cultural framework. Without deliberate policies that encourage community engagement, cross-cultural dialogue, and mutual respect, there is a risk that cultural diversity will falter.
Finally, responsible political discourse is crucial. Leaders must choose their words carefully, as rhetoric shapes public perceptions. By fostering nuanced and empathetic dialogue, they can bridge the gap between public concerns and policy realities, preserving national unity.
Canada stands at a crossroads. While immigration has long been one of our greatest assets, the current backlash highlights cracks in its management. This is not a rejection of immigrants – it’s a call for better policies and improved management. High immigration levels without careful planning will continue to harm our society. Our leaders now face a choice: fan the flames of division or unite the country around meaningful, evidence-based solutions.
Sonia Orlu is a Ph.D. student in Political Science at Simon Fraser University and a commentator on politics and culture. She is a contributing writer to the Macdonald-Laurier Institute.
Daily Caller
Climate Change Fanaticism Was The Big Election Loser
From the Daily Caller News Foundation
By Stephen Moore
A few days before last week’s election, Independent Vermont Sen. Bernie Sanders issued a dire warning to voters. If Trump won, “the struggle against climate change will be over.”
He had that right.
Climate change fanaticism was effectively on the ballot last week. That green energy agenda was decisively defeated.
It turns out the tens of millions of middle-class Americans who voted for Trump weren’t much interested in the temperature of the planet 50 years from now. They were too busy trying to pay the bills.
The result shouldn’t be too surprising. Polls have shown climate change ranks near the bottom of voters’ concerns. Jobs, inflation and illegal immigration register much higher on the scale of concerns.
But if you asked the elite of America in the top one percent of income, climate change is seen as an immediate and existential threat to the planet. Our poll at Unleash Prosperity earlier this year found that the cultural elites were so hyper-obsessed with climate issues, they were in favor of banning air conditioning, nonessential air travel and many modern home appliances to stop global warming. Our study showed that not many of the other 99 percent agree.
Wake up, Bernie and Al Gore.
Climate change has become the ultimate luxury good: the richer you are, the more you fret about it.
Among the elite, obsessing about climate change has become a favorite form of virtue-signaling at the country club and in the faculty lounges. There is almost no cross that the green elites — the people who donate six figures or more to groups like the Sierra Club — aren’t willing to make lower income Americans bear to stop global warming.
Herein lies the political curse of the climate issue. A millionaire doesn’t care much if the price of gas rises by $1 a gallon or if they have to pay another $100 a month in utility bills. But the middle class hates paying more.
It wasn’t just economic concerns that turned the voters against climate crusaders like President Joe Biden and Vice President Kamala Harris. Workers weren’t too thrilled with the heavy fist of government commanding them to buy an electric vehicle — whether they wanted one or not.
It hasn’t helped the greens’ cause that the same progressives who are out to save the planet with grandiose transformations and global government, seem to have no problem with the garbage polluting the streets of our major cities or the graffiti or the feces and urine smell on the street corners of San Francisco and New York. That’s real pollution. And it’s affecting us here and now.
The good news is this year’s voter revolts against the radical green agenda are not a vote for dirtier air or water. The air that we breathe and the water we drink is cleaner than ever — a point that President Donald Trump correctly made. We will continue to make progress against pollution.
To try to sell middle America on the climate-change agenda of abolishing fossil fuels, the greens peddled bogus arguments that climate change would hurt poor communities most. In reality the financial costs of the climate policies and the paychecks lost were felt by the non-elite.
Democrats forgot to visit the steel-mill construction sites or the auto plants or the oil patch and ask those workers what they thought.
Well, now we know the reality. Americans think their shrinking paychecks and the higher price of gas they pay at the pump is the real clear-and-present danger. If Democrats don’t start to get that, they too will go to bed worrying about their jobs.
Stephen Moore is a senior fellow at the Heritage Foundation and a co-founder of Unleash Prosperity. His latest book is titled: “The Trump Economic Miracle.”
Business
A tale of two countries – Drill, Baby, Drill vs Cap, Baby, Cap
From EnergyNow.ca
By Deidra Garyk
Analysis of the U.S. Election and the Canadian Oil and Gas Emissions Cap
Monday, November 4, the Canadian federal government announced the long-awaited draft emissions cap for the oil and gas industry.
The next day, the world’s largest economy held an election that resulted in a decisive victory for the position of 47th President of the USA.
With the GOP (Republicans) taking a commanding lead with 53 out of 100 possible Senate seats, and two more still to be confirmed, they have a majority that can help move along their plans for at least the next two years. Rumoured expectations are that they’ll take the House too, which will further solidify President-elect Trump’s mandate.
As part of Trump’s campaign platform, Agenda47, he promised “to bring Americans the lowest-cost energy and electricity on Earth.” The agenda pledged that “to keep pace with the world economy that depends on fossil fuels for more than 80% of its energy, President Trump will DRILL, BABY, DRILL.”
The platform also states that under his leadership, the US will once again leave the Paris Climate Accords, and he will oppose all Green New Deal policies that impact energy development. He also plans to roll back the Biden administration’s EV mandates and emissions targets, while advocating for low emissions nuclear energy.
It isn’t a guarantee that he will do anything that he says; however, if the past is any indication, we can expect Trump to follow through on his energy and climate promises.
Even though Canada and the USA are on a contiguous land mass, they could not be farther apart in energy and climate ideology.
On the northern side of the border, a day before, Canada’s green avengers of the Liberal cabinet congregated for a press conference to jubilantly announce their emissions cap, which has been studied and determined to be a defacto production cap. CAP, BABY, CAP!
Claims that the new rules go after pollution, not production, should be met with scepticism. If pollution is the problem, there would be blanket emissions caps on all heavy emitting industries and imported oil and gas would be subject to the same requirements, but it is not. I’m not sure how else to read it other than a willful slight with a sledgehammer against the Canadian oil and gas industry.
Especially since Natural Resources Minister Jonathan Wilkinson said that this is a backstop to ensure the Pathways Alliance does what they say they will. I wonder if the Pathways folks feel like they have a giant target on their backs… and fronts?
The hour-long press conference was a lesson in how to deceive with a straight face. Most of the Liberals’ claims have either been discredited or are unsubstantiated as to be meaningless.
Wilkinson, a Rhodes Scholar, calls this cap an “economic opportunity” because he believes that for Canadian oil and gas, climate change is a competitive issue, for both combusted and non-combusted products. Square that circle when no other country on the planet has an emissions cap on its oil and gas industry.
Nonetheless, the Liberals expect production to increase, which is counter to what they say out of the other side of their mouths – that oil and gas demand will peak this year, and we are not going to be using it much longer so we should just shut it all down.
Wilkinson excitedly announced the need for thousands and thousands of workers to build the decarbonization infrastructure of the new energy future. However, the Department of Environment’s Cost-Benefit Analysis Summary contradicts this claim, citing thousands of job losses.
The Study also identifies that the costs from the plan will be borne by Canadians. The Conference Board of Canada expressed similar concerns, but they were dismissed by the politicians on stage.
Edmonton MP and Minister of Employment, Workforce Development, and Official Languages Randy Boissonnault, also known as “The Other Randy” for his ethical mis-steps, put on one of the best shows of the press conference. He speaks so convincingly that you almost believe him. Almost.
He claimed that when he was campaigning last election during the Covid pandemic, the number one topic at the doors was climate change. Edmontonians wanted to talk about climate change over the global pandemic that was disrupting their lives? Yeah, right.
The Other Randy praised Ministers Guilbeault and Wilkinson for working with industry on the regulations and promised that Canadian workers will be part of the consultation and final rules. Forgive me for being sceptical.
The Spiderman-like Steven Guilbeault, Minister of Environment and Climate Change, said that oil companies have seen record profits, going from $6.6 billion pre-pandemic to $66 billion post-pandemic, and the Liberals want that extra money used on projects they approve of, namely ones that are climate-related.
Guilbault believes this cap is necessary for prosperity and energy security, along with being good for workers and “for good union jobs”. It’s not often talked about, but within the feds’ climate plans is a push for unionizing jobs. It was top-of-mind for the Deputy Minister of Labour when I was part of a delegation to Ottawa last year. She was most interested in learning about how many oil and gas jobs are unionized and showed visible displeasure at finding out that most are not.
The press conference seemed to be more of a one-sided political bun fight, with a disproportionate amount of time spent talking smack about Pierre Poilievre, Premier Danielle Smith, and Premier Scott Moe. Perhaps demonstrating the Liberals’ trepidation about the future since the final regulations will come out late next year and go into effect January 1, 2026, when it’s likely they will be out of office.
With the climate zealots out of power, enforcement may be a challenge. What if companies don’t meet the arbitrary targets and deadlines imposed by the rules? What if companies don’t buy the required credits? A reporter asked, but Guilbeault didn’t give an answer in his response. I guess we will have to wait to see what changes are made to the Canadian Environmental Protection Act (CEPA), the enforcement regulations.
Wilkinson said climate change is a “collective action problem” that must be addressed as it is the “existential threat to the human race.” This gives you a sense of how they see things – there is a problem and government is the solution.
Meanwhile, energy policy is a “Day 1 priority” for Trump. As a businessperson, he understands that demand is growing, and limited regulations are the way to develop all forms of energy.
Even if industry can meet the emissions reduction targets – there are a variety of opinions on the proposed rules – it does not mean the regulations should be implemented. Canada’s real per capita GDP is 73 per cent of America’s, so as Canada goes hard on emissions reduction regulations, if investment moves south, that number is not going to improve. Don’t let them tell you otherwise.
Deidra Garyk is the Founder and President of Equipois:ability Advisory, a consulting firm specializing in sustainability solutions. Over 20 years in the Canadian energy sector, Deidra held key roles, where she focused on a broad range of initiatives, from sustainability reporting to fostering collaboration among industry stakeholders through her work in joint venture contracts.
Outside of her professional commitments, Deidra is an energy advocate and a recognized thought leader. She is passionate about promoting balanced, fact-based discussions on energy policy and sustainability. Through her research, writing, and public speaking, Deidra seeks to advance a more informed and pragmatic dialogue on the future of energy.
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