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Canada Unveils $1.2B Plan To Attract Top Researchers As U.S. Imposes $100K H‑1B Fee

Canada Unveils $1.2B Plan To Attract Top Researchers As U.S. Imposes $100K H‑1B Fee
Melanie Joly, Canada's industry minister, during a news conference at the G7 Industry, Digital and Technology Ministers' Meeting in Montreal, Quebec, Canada, on Dec. 9, 2025. / Credit: Graham Hughes/Bloomberg via Getty Images

Canada announced a $1.2 billion, 12‑year initiative to recruit and support more than 1,000 top researchers, including doctors and scientists, to boost innovation and public well‑being. The move comes as the U.S. implemented a $100,000 fee on certain new H‑1B applicants living abroad, a change that could discourage some international hires. Ottawa also introduced an expedited permanent residency route for foreign doctors with at least one year of Canadian experience to address pressing primary care shortages.

Canada has launched a $1.2 billion, 12‑year initiative aimed at recruiting and supporting more than 1,000 leading researchers — including physicians and scientists in critical fields — to strengthen the country’s research capacity and innovation ecosystem.

The federal government said the funds will be used to attract world‑class talent to Canadian institutions and back their work in priority areas over the next dozen years. Officials framed the package as a strategic investment in long‑term discovery, economic growth and public well‑being.

"As other countries constrain academic freedoms and undermine cutting‑edge research, Canada is investing in — and doubling down on — science," Industry Minister Melanie Joly said. "Today's investment is about securing Canada's place at the forefront of discovery and innovation and leveraging our strength in science to support our future well‑being and prosperity for generations to come."

Context: U.S. H‑1B Fee Change

Although the announcement did not explicitly name any country, its timing has drawn attention because the United States recently adopted a policy that could discourage some foreign talent from seeking U.S. employment. In September, President Trump signed an executive order that prompted a new $100,000 fee on certain H‑1B skilled‑worker visa applications.

U.S. authorities clarified the levy applies only to new H‑1B applications filed on or after Sept. 21 by applicants who currently live abroad and do not already hold H‑1B status. Proponents say the fee will encourage employers to hire U.S. workers; critics warn it may reduce international mobility and exacerbate workforce shortages in sectors that depend on foreign professionals.

Potential Sectoral Impacts

Analysts note the fee could push some employers to recruit locally, but industries that rely heavily on international talent — such as health care, research and certain STEM fields — could be harmed. The U.S. health system, for example, depends on foreign‑trained doctors, laboratory staff and nurses to fill essential roles; a steep additional cost could intensify staffing gaps.

Canada’s Parallel Moves To Address Healthcare Gaps

Canada itself faces pressing workforce shortages, particularly in primary care. Millions of Canadians lack a family physician, contributing to longer emergency department waits and uneven health outcomes in some regions.

To address that shortfall, Ottawa announced a faster path to permanent residency for foreign doctors who have at least one year of Canadian work experience — an Express Entry category and reserved federal admission spaces aimed at bringing in practice‑ready clinicians quickly.

"This dedicated Express Entry category, along with the reserved federal admission spaces for provinces and territories, will help bring in and keep practice‑ready doctors, so people across Canada can get the care they need," Lena Metlege Diab, Minister of Refugees and Citizenship, said.

Early Signs And Recruitment Wins

Some academic hires suggest the strategy may already be yielding results: the University of Toronto announced in November it had recruited three prominent researchers from U.S. institutions — with expertise ranging from exoplanet discovery to economics — calling the hires a "big win for Canada." Government officials highlighted such moves as evidence the investment can bolster Canadian research capacity and global competitiveness.

Bottom Line

Canada’s $1.2 billion plan is positioned as both an investment in science and a strategic signal in a tightening global talent market. Combined with expedited residency for foreign doctors, the measures aim to attract and retain skilled professionals while mitigating domestic workforce shortfalls. Observers will watch whether these steps shift talent flows and how U.S. visa changes affect international hiring patterns.

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