I received an email message addressed to my website recently that noted a particular strain of public opinion regarding immigrants and seniors benefits. Since 71% of all seniors in the Toronto region are immigrants (Census 2020-21), it seemed to be a good topic for a blog.
Here is the uninterrupted text of the email that was sent to me for reply:
Could you please help me respond to people that I meet who do not want immigrants to come to Canada because they feel they are here so that others will have to support them although they have never worked or contributed to our economy. From your published documents it appears that one can come to Canada at an older age, receive OAS and GIS at age 65, even if they have never worked here, so maybe they are correct? And if correct then these older people receive more from the federal government than younger disabled Canadian citizens? You can see how this situation breeds discontent from people against older immigrants, as well as discontent from younger, disabled and/ or low income Canadians against older people, which also quickly degenerates into divisions between ‘entitled’ wealthy seniors and younger adults who are working hard but can’t get needed assistance from government.
With a few extra clarifications, here is how I responded – breaking the email message up into answerable questions:
Could you please help me respond to people that I meet who do not want immigrants to come to Canada because they feel they are here so that others will have to support them although they have never worked or contributed to our economy?
The people you meet in this context simply don’t understand immigration. Without immigration and with low birth rates in Canada, our economy would shrink and would continue to shrink and place the country into an almost permanent recession. This has happened in low birth rate countries which do not allow sufficient immigration. Think here of almost any country that has lost population over the last 100 years.
More people, especially those with skills and money, grow our economy. But anyone now coming into Canada as a sponsored immigrant no longer qualifies for most seniors benefits (i.e. no GIS) at 65 until their sponsorship period is over. This can be up to 20 years according to current legislation. In other words, sponsors must legally support the people they bring into Canada and I will add that this matter is strongly enforced.
Unsponsored immigrants are those who are younger with skills and money. Almost any immigrant who has never worked until age 65 would have been sponsored and although they may receive some OAS, the benefits they would receive are much lower than paid to people who have lived in Canada all their adult lives. In fact, most have to reside in Canada for at least 10 years to qualify for OAS and then they would get one quarter of OAS and no GIS which is about $175 per month, not the $1,800 + in full OAS and GIS.
Someone from a country with which Canada has an agreement could theoretically get OAS after one year’s permanent residency but the maximum payment would be about $19 per month, not the $1800 that would only accrue to someone having been in Canada for 40 years between age 18 and 65 and who had never worked and had no other source of income. I have only seen examples of this latter situation among people with birth onset or early onset disabilities.
On another note, how would these people who are critical of immigrant seniors know whether someone had or had not contributed to the economy? Our leading measure of productivity is GDP which is measured by spending. The only immigrant not contributing to the economy is one who spent nothing and who had no money spent on them. There are small numbers of such people who may get close to having not contributed in dollar terms. These are mostly embedded caregivers helping seniors and children in larger families (they have no income and don’t spend) but one could argue that they are assisting others in being productive by allowing other family members to go to work and providing valuable services and supports.
From your published documents it appears that one can come to Canada at an older age, receive OAS and GIS at age 65, even if they have never worked here, so maybe they are correct?
That is true in a very small minority of instances but if older, these seniors would be sponsored and would get no GIS. If they had only been here for two years from an agreement country, their maximum OAS would be about $38 a month, not the $1,800 one could get by being poor and being here all one’s adult life while not working.
And if correct then these older people receive more from the federal government than younger disabled Canadian citizens?
Not even close. Maximum ODSP is $1,308 a month. The most a sponsored immigrant senior could get would be $140 and that’s after 8 years in Canada at 65 (having immigrated from a country with which Canada has an agreement – at age 57).
You can see how this situation breeds discontent from people against older immigrants
What situation?
…as well as discontent from younger, disabled and/or low income Canadians against older people
Why? – they get much less than the poorest person with disabilities.
…which also quickly degenerates into divisions between ‘entitled’ wealthy seniors and younger adults who are working hard but can’t get needed assistance from government.
Almost all wealthy seniors get no OAS or GIS as they are ineligible for OAS due to the OAS clawback and are ineligible for GIS due to having higher income. Most of higher income seniors’ wealth comes from employment and investments.
But I do agree that we should be helping struggling young people more than we are.