Canada unveils updates to the Temporary Foreign Worker Program, as announced by Immigration Minister Marc Miller and Employment Minister Randy Boissonnault.
Canada undertook a number of short-term steps during the epidemic to address labor market difficulties. But the nation has started the process of rolling back these short-term policies.
“Unemployment rates and job openings are converging in the current economic environment, which is a sign of a tightening labor market. Some of these actions are therefore thought to be superfluous,” Minister Boissonault said.
Canada Reverts LMIA Validity Period for TFWP Amidst Labor Market Shifts
Granting work permits to foreign nationals who can fill labor shortages in Canada is the goal of the Temporary Foreign Worker Program (TFWP). Businesses in Canada seeking to utilize the TFWP for hiring foreign workers must submit a Labor Market Impact Assessment (LMIA) demonstrating the unavailability of competent Canadians or permanent residents for the positions in question.
In an effort to ease labor market pressures during the pandemic, Canada temporarily increased the validity duration of an LMIA to 12 months. The LMIA validity term will return to six months on May 1st, 2024. This modification will not impact employers registered in the Recognized Employer Pilot program.
In addition, under the TFWP, there are restrictions on the percentage of low-wage workers employed by Canadian businesses. In 2022, Canada temporarily increased the initial 20% cap to 30% for selected sectors.
Moreover, from May 1st, 2024, the construction and healthcare sectors will have permission to employ low-wage TFWP work permit holders. They will have the authority to comprise up to 30% of their staff.
Seasonal employers and the agriculture industry will continue to remain excluded from the cap.
Canada Enacts Immigration Reforms for Temporary Resident Control and Economic Stability
These changes are a part of Canada’s endeavors to improve the integrity of its immigration system, which is essential to the nation’s economic growth. In response to an unsustainable increase in the number of overseas students, Canada recently modified its Post-Graduation Work Permit (PGWP) program and imposed a cap on study permits.
According to Immigration Minister Marc Miller, “Canada’s number of temporary residents has increased significantly, reaching up to 2.5 million individuals or 6.2% of our population in 2023.” “During the following three years, we want to bring down the number of temporary residents to 5%. We work hard to make sure that each and every new family and resident has access to the resources and assistance they need to succeed. Establishing a sustainable, well-managed immigration system that meets the demands of the country is our main goal.
Begin your journey to Canada with Immigtoronto, offering expert guidance and dedicated for a seamless immigration process. Contact us for any queries at [email protected]
