Given that the United States is Canada’s strongest trading partner and that 80% of the Canadian population lives within 100km of the US border, it is shocking that only a small number of MBA graduates from top Canadian business schools accept positions in the US. How small? Less than 5%. Here is our theory why this is happening.

Firstly, students who enroll in top business schools typically have a few years of working experience and likely have a flavour of where they would like their next career opportunity to be geographically. If they are interested in working in the US, they will likely pursue a US school unlike a student applying for Ivey, Rotman, or Queens if she wishes to work in Toronto.

Companies and organizations close to business schools also contribute to the high local absorption rates. A common practice is for companies to indirectly outsource their hiring process to the universities who will pick the best and brightest candidates. This strategy pays off well especially when it cost a fraction of head-hunters’ rates and universities provide a constant flow of talent.

The final reason for small acceptance of US jobs is the difficulty to attain working Visa in the United States. It is difficult because of several reasons. One is that a fixed number of H1-B’s, a common foreigner working visa classification, is set and US will not issue any more once the limit is reached. The other is the financial cost that the sponsoring company burdens when hiring an employee on an H1-B visa. Due to the slump of the US economy and high unemployment rates, the cost to companies also include public image in hiring foreigners over local candidates which can have a negative impact to business.

“Canadians, especially ones with the right experience and education background, is in unique position in that they have the choice of working under a TN Visa”, claims Vance Adams, co-founder of TNVisaSample.com. They believe that the TN Visa offers a win-win solution to candidates and to potential employers given the low cost of attaining the visa and there are no limitations set. It is a temporary visa so it should not pose a threat to the US workforce.

TNVisaSample.com currently supports UBC Sauder School of Business.

“We hope that through our support there will be one less hurdle for UBC graduates entering the US work force”, Vance Adams. Will US job placements of UBC graduates increase in the US? Probably not but only time will tell.