International student graduates earn much less than Canadian peers, study shows
2025/02/07 1 Comment
Of concern, particularly at masters and PhD levels:
International students earn substantially less than their Canadian counterparts upon graduation, and a larger proportion of them end up in sales and service jobs, new research from Statistics Canada shows.
The data – part of a report by the agency examining the labour-market outcomes of university and college graduates in Canada – capture the inequity in wages and types of jobs that international students eventually obtain compared with Canadian graduates.
Over all, international student graduates earned 19.6 per cent less than Canadian graduates three years after graduating, the report found. Moreover, their annual incomes were lower than Canadian graduates at all levels of study, regardless of if they earned a diploma or a doctorate degree.
The report used data from a 2023 national survey of graduates conducted by Statscan, and focused on the graduating class of 2020.
Foreign students with a bachelor’s degree, for example, earned a median annual income of $52,000, compared with Canadian graduates at $65,200. At the master’s level, international students earned 16.6 per cent less than Canadians – $70,000 compared with $83,900, annually.
A critical difference in the employment outcomes for foreign students compared to Canadian graduates can be seen in the proportion of international students who work in sales and service occupations. Across all education levels, approximately 28 per cent of international student graduates worked in sales and service jobs, compared with roughly 12 per cent of Canadian graduates.
Some examples of sales and service occupations, according to the National Occupation Classification system, include retail and restaurant workers, door-to-door salespeople and call-centre operators. These jobs tend to pay lower wages than, for example, management occupations or jobs in business and finance.
Brittany Etmanski, the report’s author, suggested that one reason for the significant earnings differential between foreign graduates and Canadian graduates was because more of the former group tended to be college and bachelor’s degree holders employed in the low-wage sales and service sectors.
“However, this does not explain the difference in income at the masters and doctoral levels,” she wrote….
Source: International student graduates earn much less than Canadian peers, study shows
About Andrew
Multicultural Meanderings 
Response:
The issue raised in the article about international students earning less than their Canadian counterparts is certainly a concerning one, but it needs to be looked at more critically, considering the broader context and the complex factors at play. While it’s clear that international graduates face a wage gap compared to their Canadian peers, there are several important aspects that need to be unpacked before rushing to conclusions about inequity or unfairness in the labor market.
First, the comparison between international and Canadian students’ earnings should not be made without understanding the underlying differences in their circumstances. International students often face additional financial burdens — from tuition fees that are significantly higher than those of domestic students to the financial pressures of living in a foreign country with limited access to certain government programs or services. These factors often shape their decisions regarding job opportunities and career paths. Many international students may also accept jobs in sales and service sectors or positions that don’t match their qualifications out of necessity — often to support themselves or due to visa restrictions that limit their work options.
Moreover, one of the most crucial points to consider is the broader picture of post-graduation employment in Canada. Are Canadian students with advanced degrees, such as master’s or doctoral degrees, finding themselves in more desirable jobs after graduation? In many cases, the answer is no. Despite the higher educational qualifications, a substantial number of homegrown Canadian graduates are also finding themselves in low-wage or non-permanent positions, especially given the rising cost of living and the challenges of securing stable, well-paying employment. The reality is that recent graduates, regardless of nationality, are facing a more competitive and unpredictable job market, which is something that international students are not exempt from.
Furthermore, while international students may indeed be disproportionately represented in sales and service occupations, it’s essential to ask why that is. Is it because of discriminatory hiring practices, or is it due to the structural and systemic challenges that international students face in navigating the job market? Often, international graduates lack the same professional networks or the local work experience that Canadian students might have, which puts them at a disadvantage, even with similar qualifications. For example, Canadian students tend to benefit from internships or co-op programs more readily, which often lead to job offers post-graduation. International students, on the other hand, may struggle to access these opportunities due to work restrictions or the lack of community networks.
Additionally, while the earnings gap exists, it’s worth noting that the statistics presented here do not account for the long-term value of a foreign degree. Many international students end up working in countries or industries where their qualifications and skills are better recognized, leading to better earning potential in the future. In fact, many international graduates who begin in lower-paying jobs often find better opportunities as they gain experience and expand their professional networks. It’s also important to remember that the experience of studying abroad itself provides invaluable global exposure and skills that can be leveraged in a broader international job market.
In conclusion, while it’s certainly important to address the wage disparities faced by international graduates, it’s also important to avoid framing this as a simple issue of unfairness between “foreign” and “Canadian” students. The job market is complex, and international students, like their Canadian counterparts, are navigating a challenging economic landscape. To fix this disparity, the conversation should shift toward creating more inclusive opportunities for international students to access the same quality of work experiences, internships, and post-graduation opportunities that their Canadian peers are afforded. Only then can we begin to level the playing field. SushiLjee