Why the revolution is succeeding but the business is struggling
A little more than a decade ago, Halifax faced a different future.
Population growth remained well below the national average. Our workforce was aging, immigration lagged behind much of the country, and too many young people were leaving to pursue opportunities elsewhere in Canada.
Halifax wasn’t living up to its potential, and there was growing concern about what the future might hold.
Over the past decade, Halifax has changed that trajectory and built incredible economic momentum.
Businesses have expanded, and new industries have emerged. Our economy has grown faster than expected, reaching the GDP target set out in Halifax’s current economic strategy two years ahead of schedule. Today, our region is attracting more investment, creating more jobs, and competing on the national and global stage.
Those results reflect years of collaboration and sustained commitment from businesses, governments, post-secondary institutions and economic development organizations that believed Halifax could be more ambitious, more competitive, and more prosperous.
Today, we’re standing at another pivotal moment.
Generational investments in defence and security, along with continued growth in housing, healthcare, and technology, present tremendous opportunities for Halifax and for Canada that will require thousands of skilled workers. Halifax is well positioned to help deliver on local and national priorities, but our ability to supply the workers industry needs will determine how much of that opportunity we can realize.
Changes to federal immigration and international student policies are making that job more difficult. Nova Scotia’s immigration allocation was cut from 6,300 spots in 2024 to 3,150 in 2025. Although the federal government has since committed to increasing allocations in 2026 following requests from the provinces, ongoing uncertainty makes workforce planning challenging.
At the same time, new federal caps and study permit rules have reduced by thousands the number of international students Nova Scotia’s post-secondary institutions can recruit and enrol each year.
Businesses in our region have invested heavily in recruiting and training international employees. Many fill roles employers have struggled to staff for years. They have become experienced team members, managers, and technical specialists whose skills support business growth.
Today, many employers face the prospect of losing these employees because work permits are expiring while pathways to permanent residency have become less certain. Halifax Partnership hears almost daily from employers about the impacts on their business and employees who face uncertainty about their future in Halifax. Replacing experienced workers in an already competitive labour market carries real costs for businesses and delays future growth.
The pipeline for our future workforce is also under pressure.
The number of international students at Halifax universities fell by 14.2% in 2024-25 compared with the previous year. From January to April 2026, the number of completed study permit applications in Nova Scotia was approximately 36% lower than during the same period in 2025. Processing delays, frequent policy changes, and more restricted pathways from study to permanent residency are eroding confidence in Nova Scotia and Canada as a destination.
Fewer international students today will mean fewer engineers, skilled tradespeople, healthcare professionals, researchers and other specialists entering Nova Scotia’s workforce in the years ahead. A predictable and transparent visa system is essential to restoring confidence and ensuring we can continue competing for the world’s best talent.
Atlantic Canada faces different workforce realities than many other parts of the country. An older population and a smaller labour market mean immigration and international students play a larger role in supporting business growth and addressing workforce shortages. As Canada advances nation-building projects, including major defence investments, regional workforce policies need to reflect those realities and provide provinces with the flexibility to attract and retain the talent required to deliver them.
Halifax Partnership and Halifax Regional Municipality have begun developing Halifax’s next economic strategy. Workforce availability and readiness will be one of its defining priorities, with a focus on the labour policies, programs, and partnerships needed to grow strategic sectors and drive long-term economic growth.
The past decade demonstrated what Halifax can achieve when businesses have access to the talent they need to grow and succeed.
The next decade will demand even more. Now is the time to ensure Halifax has the workforce to power our next economic era.
