Here’s how many South Africans are moving to Canada each year

The Canadian government has updated its Immigration Levels Plan for 2023-2025, showing that the country is desperate to draw skilled workers from other countries to its shores.

Canada made an announcement in October 2020 that it would seek to welcome over 400,000 new immigrants per year moving forward, or about 40,000 more per year than its previous targets.

The revised outlook for 2022-2024 showed that the country expected to draw 430,000 new immigrants each year. In the 2023-2025 update delivered on Tuesday (1 November), this target has been pushed to 500,000 new immigrants by 2025.

It expects to welcome 435,000 immigrants in 2022.

According to Canada’s central stats body, at the end of the third quarter of 2022, the country was well on its way to meeting this target, with 309,240 foreigners gaining permanent residency.

This includes 1,285 South Africans who made the jump in 2022 so far.

Over the last seven years (2015 �` 2022Q3), 2.4 million foreigners have made Canada their home. Of this, 11,210 South Africans made the move.

Year South Africans granted permanent residency

2015 945

2016 1 070

2017 1 555

2018 1 820

2019 1 790

2020 1 125

2021 1 620

2022 (to Q3) 1 285

Total 11 210

According to Statistics Canada, over 5,000 South Africans enter the country’s immigration system every year.

In a shift for immigration, Canada is expecting to welcome more immigrants under its Provincial Nominee Program (PNP) than its Express Entry-managed programs for 2022 and 2023.

Express Entry is an online system that the country uses to manage immigration applications from skilled workers.

Skilled South Africans have historically scored highly in the point rankings thanks to strong language skills, the probability of having obtained skilled work experience, and the higher education that they may have completed earlier in life.

The bulk of the immigrants will be on economic visas (242,000), followed by family visas (105,000) and refugee (76,550) or humanitarian grounds (8,250).

Canadian immigration experts said that the country welcomes high levels of immigration to keep its economy strong.

“Canada has one of the world’s oldest populations and also one of the world’s lowest birth rates. This creates economic and fiscal pressures,” said Canadian law firm, Cohen Immigration.

“Canada has a low rate of natural population growth, which results in low rates of labour force and economic growth. Low economic growth makes it difficult for Canada to raise the taxes it needs to support social spending on services such as education, health care, and other important areas that provide high living standards in the country.”

The group said that Canada now depends on immigration for the majority of its population and labour force growth and a larger share of its economic growth and based on its demographic realities and its immigration trends, it is ikely that Canada will continue to gradually increase its immigration levels over the foreseeable future.

“Immigration will remain critical to supporting a healthy economy and fiscal situation in the country,” it said.

Surprising trend for South Africans moving to Canada

A surprising trend is emerging on the South African emigration scene: female entrepreneurs are leading the pack when it comes to business immigration applications.

According to Nicholas Avramis, a licensed Canadian immigration from Beaver Immigration, female business owners make up more than half of the applications for Canadian business visas.

“In the last two years, we have noticed that more and more inquiries and application filings are coming from South African females. They are leveraging their innovative ideas and talents to immigrate to Canada.”

According to Avramis, the only licensed Canadian consultant based in South Africa, Canada’s Start-Up Visa program is the go-to visa program for immigrant entrepreneurs; it is also ideal for female innovators.

Canada’s Start-up visa program is designed to attract immigrant entrepreneurs from around the world who have innovative business ideas, have the potential to create Canadian jobs and can compete on a global scale. Unlike most other investor programs, the Start-Up Visa program does not have a mandatory minimum investment obligation.

The Government of Canada is rather interested in the innovative idea that the immigrant entrepreneur wants to launch in Canada. With access to capital being a major constraint for most innovators, the Start-Up Visa takes this major hurdle out of the equation for entrepreneurs.

One such innovator is Dr Shanaz Khan from Cape Town, South Africa. With over 25 years of experience as a dentist, she was accepted into the Start-up Visa program earlier this year through the support of Pycap, a Canadian business incubator that is authorized to support immigrant entrepreneurs’ applications for permanent residency in Canada.

As a successful entrepreneur owning and operating multiple dental practices in Cape Town  Dr. Khan wanted to focus her efforts on treating Airway-Centered Disorders (ACD) through the revolutionary practice known as airway dentistry.

Khan says, “I have had this idea to create a digital app that will allow health care professionals to collaboratively treat the cause of a patient’s maxillofacial problems, rather than just treating the symptoms through costly dental surgery.”

Stuart Browne, CEO of Pycap, will work with Khan to hatch her business innovation when she arrives in Toronto later this year with her entire family. “Our registered business incubator has welcomed several South African start-ups this year, with a number of them being female.

Beyond the fact that the South Africans we’ve met are hardworking and have a deep desire to succeed, their transition into Canada should be smooth as they seem to easily assimilate into our business culture.”

Pycap will provide Dr. Khan with hands-on support by offering marketing, technology, financial management, industry research, and guidance on accessing capital in Canada.

According to the most recent government statistics from Immigration, Refuge and Citizenship Canada(IRCC), between 2015 to 2021, the ratio between male versus female entrepreneurs admitted into the permanent residency program is close to equal.

According to Avramis, this should not be a surprise as the Canadian federal government has a history of promoting female entrepreneurship. Avramis says, “when it comes to immigration as a whole, it is typically the female of the household who is pushing the matter for the family.”

Can holders of expired ZEPs withdraw their provident funds and UIF?

The short answer 

When the visa expires, the member can apply to withdraw their provident funds. Claiming UIF might be trickier, unless the courts find a solution. 

The long answer

SARS issued a Tax Directive on 27 July 2022 regarding withdrawing provident or pension fund benefits if “emigrating” in terms of an expired visa (as such a benefit would be taxed):

“In terms of paragraph (b)(x)(dd) of the definition of annuity fund in section 1(1) of the Act, a member who discontinues his/her contributions to a retirement annuity fund, and his/her emigration is recognised by SARB for the purposes of exchange control, can withdraw his/her retirement annuity fund benefit prior to his/her retirement or at the expiry of the visa that was issued in terms of paragraph (b) or (i) of the definition of ‘visa’ in section 1 of the Immigration Act, No 13 of 2002.

“WITHDRAWAL DUE TO EXPIRY OF VISA (LEAVING SOUTH AFRICA)

With effect from 1 March 2016 the definition of ‘retirement annuity fund’ was amended to allow a member who discontinues his/her contributions prior to his/her retirement date to be entitled to the payment of a lump sum benefit at the expiry of the visa that was issued in terms of paragraph (b) or (i) of the definition of ‘visa’ in section 1 of the Immigration Act, No 13 of 2002.

“The retirement annuity fund administrators, trustees or insurer must complete a manual Form C, preservation fund administrators or trustees must complete a manual Form B and attach the following supporting documents for submission to SARS: 

• A copy of the Certificate of residence obtained from the relevant Tax Authority of the country in which the member resides or is employed;

• A copy of the passport indicating an exit from South Africa;

• A copy of the Visa indicating the expiry date and the applicable paragraph in the definition of ‘Visa’ in section 1 of the Immigration Act in terms of which the visa was issued or a ‘Visa / Permit Compliance and Cancellation of Visa’ letter from Home Affairs that is issued or obtained in terms of paragraph (c)(ii)(bb)(A) of the definition of ‘pension preservation fund’ / ‘provident preservation fund’ in section 1(1) of the Act will be treated the same as the expiry of a work visa. Please attach the copy to the directive application.

Only on the expiry of the visa can the member apply for the withdrawal. If the visa has not yet expired the application cannot be processed.”

In terms of UIF, as per the 18 December 2017 amendments to the Unemployment Insurance Act 2002, foreign nationals working on contract and their employers are obliged to make UIF contributions.

But Maruping, an official of the UIF, said in 2020: “What is true, however, is that payments to workers of foreign nationality have taken longer because of multi-layered processes that are used to capture their information.

“Generally, UIF uses the ID number to capture information and process payment. In this particular case, passport numbers are used and these have to be verified through interaction with sister institutions like the Department of Home Affairs, and at times with the South African Revenue Services.

“Clearly, with such processes involved, it is likely that there would be some delays but the Minister has instructed the UIF to ensure that these delays are minimised or shortened tremendously. It is also important that these workers are legally in the country, properly documented and are declared by their employers.”

The labourguide.co.za says: “If you have been contributing to the Fund for four years or more, then you can claim for up to 238 days. If you have been contributing for a shorter period, then you can claim 1 day for every 6 days that you worked while you were contributing to the Fund. If you take maternity leave, you can only claim up to 121 days. The Fund pays a percentage of the wage/salary that you earned while you were contributing to the fund. The highest amount that can be paid is 58% of what you earned per day.”

But what might be tricky for the ZEP holders is that to claim UIF unemployment benefits, you have to sign the unemployment register at a Labour Centre and be told when to come back and sign again, and you have to sign every four weeks to show you are still unemployed and needing UIF. You can’t claim UIF if you resigned, only if you were dismissed, retrenched or the contract expired. (I assume that with the ZEP holders, the expiry of the ZEP means the contract has expired.)

I am assuming that the three court cases being brought against Motsoaledi’s decision to end the ZEP by the Helen Suzman Foundation, the Zimbabwean Exemption Permit Holders Association (Zepha), and the Zimbabwe Immigration Federation, will still be taking place, even though the ZEP has been extended for a further six months. It may be that the courts will come to the rescue and shed some light on these matters. Let’s hope so.

What came out of meeting between Ramaphosa, Lesotho prime minister

News24 | 07 Feb 2023

South Africa and Lesotho will convene an inaugural Bi-National Commission (BNC) this year as the two countries work on strengthening ties, while the latter is seeking an extension of the Lesotho Special Permit (LSP) that expires at the end of the year.

This came out of the meeting between President Cyril Ramaphosa and Lesotho Prime Minister Sam Matekane in Pretoria on Saturday.

This was their first meeting since Matekane came into office in October last year.

In 2021, the two countries signed a framework of cooperation and now they want to upgrade it into a fully-fledged BNC.

The top priority, the leaders said, was the "free movement of people, goods, and services between the two countries, particularly taking into consideration the unique geographic position of the Kingdom of Lesotho".

"They further discussed easing of requirements for study and work permits for Basotho and extension of the Lesotho Special Permit (LSP) when it comes to an end in 2023," the Lesotho government said.

Lesotho accused South Africa of breaching their "free movement" arrangement when authorities instructed 400 Basotho to leave Newcastle in KwaZulu-Natal in November last year.

That set the stage for the first meeting between Ramaphosa and Matekane due in November last year, but it was cancelled at the last minute as Ramaphosa had an urgent ANC internal matter to attend to.

In December last year, Tsepo Lipholo, the leader of the Lesotho Covenant Movement (LCM), appealed to parliament to discuss a proposed motion on the reclamation of some parts of South Africa.

Historically, the Basotho were found in the Orange Free State, Eastern Cape, Northern Cape, Mpumalanga, and parts of KwaZulu-Natal.

Cross border crime

There have been numerous cases of illegal miners, zama zamas, identified as Basotho. From the meeting between the two leaders, it was agreed that they should join forces in dealing with cross-border crimes and illegal mining.

"Mr Matekane and Mr Ramaphosa further agreed to work together in uprooting the cross-border crime committed by nationals of both countries, the illegal mining menace that has ravaged South Africa and therefore resulting in massive losses of lives of the citizens of both countries," the Lesotho government said in a statement.

Responding to questions from journalists, Lesotho prime minister’s press attache Thapelo Mabote said while there were reported cases of assault of Basotho in South Africa, it was not easy to conclude if they were victims of mob justice or xenophobia.

Restoration of democracy

Ramaphosa commended the Basotho for holding free and fair elections, which are the cornerstone of democracy. 

As SADC's delegated facilitator in the Lesotho roadmap, he wished to see the fulfilment of the regional bloc's recommendations.

"The successes recorded thus far towards the conclusion of the national reforms process are encouraging. I believe that, as per the prime minister’s undertaking, the new government will expedite its efforts and complete all outstanding matters to finalise the reform process and pass the outstanding Constitutional Amendment Bill,” said Ramaphosa.

The Lesotho Constitutional Amendment Bill seeks to amend key provisions regarding political parties, floor-crossing in parliament, the appointment of senior officials, and the role of the prime minister.

The leaders also spoke about Lesotho and South Africa working together in the renewable energy sector.

This is particularly because of Lesotho's enormous potential in this area, which is made possible by the country's abundance of water, sunlight, and high mountains, which are strategically located to allow for the efficient use of wind energy.

There are four projects in Lesotho that have advanced past the feasibility study stage and can provide a significant amount of electricity utilising wind.

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