Is emigrating the best choice for Atlantic grads during economic recessions?
Atlantic provinces have long suffered from brain drain: young people leaving the area for more and better-paying work elsewhere in Canada. The pressure to leave is especially strong during economic downturns, such as the Great Recession of 2008.
The economic costs of this process are considerable: the break-up of families, the loss of skills, ideas and innovation, and the decline of critical services like health and education.
But is it worth it to leave?
Our report, which studies the employment patterns of “Great Recession” graduates for five years, shows that though graduates that stay home initially have lower salaries than those that emigrate, over time their salaries increase faster than the “leavers.” In other words, they eventually catch up to the higher salaries offered in other provinces.
How can these provinces encourage recent graduates to stay? Our report discusses policy solutions, including adopting higher tuition rates for non-Maritime students, and providing wage subsidies to companies to increase their staff—particularly staff with STEM backgrounds.
This report, Does migration reduce the wage penalty from graduate college in a recession? provides an extensive technical analysis of data related to patterns of employment and migration for recent graduates in Atlantic provinces after The Great Recession. For a summary of the findings, consult our companion policy report.
