Thank you, Mr. Chairman.
Thank you for inviting me to speak to you today about the provincial nominee program, and more specifically about how the program has developed in recent years.
Immigration is a shared responsibility and provincial and territorial governments are primary partners of Citizenship and Immigration Canada. Our shared goal is to make immigration programs responsive to the unique economic, demographic and labour market needs of each province and territory.
Introduced in 1998, the Provincial Nominee Program is one tool to encourage the spread of immigration through the country while providing provinces and territories with a mechanism to meet their specific economic development needs.
Each province and territory is responsible for the design and management of its Provincial Nominee Program. Provinces and territories establish the nomination criteria for their programs, including requirements and policies relating to business investments. These criteria must respect the Immigration and Refugee Protection Regulations, and bilateral immigration agreements. Applicants are nominated on their ability to become economically established and on their intention to settle in the nominating jurisdiction.
Roles and responsibilities for the Provincial Nominee Program are defined through bilateral agreements between CIC and provincial and territorial governments. All provinces and territories, with the exception of Quebec and Nunavut, have Provincial Nominee Program agreements.
After being nominated by a province or a territory, applicants must make a separate application to CIC for permanent residence. A CIC officer will then assess the application based on Canadian immigration regulations. The visa officer must be satisfied that the nominee has the ability to become economically established in the nominating province. In the case of nominees under a business stream, they must also demonstrate that they will be actively engaged in the day-to-day management of the business.
Passive investment, or the provision of capital in a business or organization without active involvement in its management, is prohibited in Provincial Nominee Programs by the Immigration and Refugee Protection Regulations.
Lastly, CIC is also responsible for ensuring that applicants are not inadmissible on medical, security and criminality grounds.
In just over 10 years the provincial nominee program has grown from being a niche program to becoming a key component of provincial and territorial demographic and economic strategies, increasing sixfold since 2004. Provincial nominee programs had over 36,000 admissions last year. Almost one out of every five economic class admissions is now a provincial nominee. In 2010 the provincial nominee program represented the primary source of economic immigration for several provinces, such as Prince Edward Island, Manitoba, Saskatchewan, Yukon, New Brunswick, and Newfoundland and Labrador.
In addition to growing in size, Mr. Chair, provincial nominee programs have also become increasingly complex in scope, now accounting for over 50 provincial and territorial subcategories, each with its own nomination criteria.
The 2011 levels plan established an admission range for provincial nominees of 42,000 to 45,000, making the provincial nominee program the second-largest source of economic immigration to Canada, after the federal skilled worker program. This range is being maintained for 2012. From these numbers, it's evident that the provincial nominee program is a very significant source of economic immigration for Canada.
Eighty per cent of provincial nominee cases are processed by CIC in 14 months or less. This time does not include processing times for provincial or territorial candidate processes. Under ministerial instructions, new federal skilled worker files are now processed in about 12 months. At the federal level, the approval rate for provincial nominees is 97%.
In addition, the provincial nominee program has helped spread the benefits of immigration across Canada by promoting immigration to areas that were not traditional immigrant destinations. Twenty-six per cent of economic immigrants are now destined for locations outside Ontario, B.C., and Quebec, compared with only 11% in 1997.
About 55% of applicants nominated by provinces and territories in 2010 either had a job offer or indeed were already working in Canada as temporary foreign workers. As well, in recent years there has been an increase in semi- and low-skilled provincial nominees, who now account for over one quarter of all admissions.
Although the provincial nominee program has had proven successes, there remain outstanding concerns that CIC is committed to addressing.
Four provincial audit reports, from 2008 to 2010, from Nova Scotia, Newfoundland and Labrador, Prince Edward Island, and New Brunswick have highlighted a number of significant program integrity concerns. Among them were concerns regarding the absence of information on retention in the nominating province and the lack of adequate monitoring of nominees after landing, particularly for individuals who were nominated based on intent to establish businesses. The reports also noted that performance management and evaluation measures were not adequate.
Similar to the findings of provincial reports, the 2009 federal Auditor General report pointed out that although provinces and territories are required to conduct due diligence to ensure applicants have the ability to economically establish, CIC is unable to assess the extent to which provinces and territories have carried this out. The report recommended that CIC work with provinces and territories to put quality assurance mechanisms in place in order to ensure that nomination decisions are consistent and compliant with the act, regulations, and provincial nominee program criteria.
In the fall of 2010 CIC launched a national evaluation of the nominee program to assess its performance, with a focus on economic outcomes and mobility of provincial nominees. We expect the results to be published in early 2012, and we will work with provincial and territorial governments to implement recommendations flowing out of the evaluation.
In the interim, CIC is addressing issues arising out of the auditors' general reports both bilaterally, through an ongoing review of agreements, and multilaterally. In terms of multilateral work, CIC is working with provinces and territories to improve program design, management and accountability, and integrity. We are also working together to conduct a comprehensive review of economic immigration programs and to identify areas of overlap. These initiatives will lead to stronger economic benefits and a better response to labour market needs.
I will now give the floor to my colleague Natasha Parriag, Acting Director of Intergovernmental Relations; she will speak to you in detail about collaboration with the provinces and territories.