The federal government is planning a massive increase in the number of immigrants entering Canada, with a goal of seeing 500,000 people arrive each year by 2025.

Immigration Minister Sean Fraser revealed the new targets today, saying the move is necessary to ensure Canada’s economic prosperity.

Canadian industries are facing a significant labour shortage, with about 1 million job vacancies across the country.

The new plan puts an emphasis on increasing the number immigrants who will be admitted based on their work skills or experience over the next three years.

Ottawa is planning a more moderate increase in the number of family members who will be admitted into the country, and a decrease in the number of refugees.

The new plan comes days after Statistics Canada reported a record 23 per cent of people in the country are landed immigrants or permanent residents.