Canada limits low-wage temporary worker program
New rules cut worker numbers and restrict permits as unemployment rises and housing pressure mounts
Ottawa: In a major policy shift, Canada is cutting back on the number of temporary foreign workers. Starting September 26, stricter regulations will come into effect, aiming to stabilize the job market and address the strain on housing and social services.
Crackdown on low-wage jobs in high-unemployment areas
The new rules will reintroduce a ban on giving temporary work permits for low-wage jobs in cities where the unemployment rate exceeds 6%. This move addresses the imbalance created by Canada's recent population boom, which has surpassed 40 million and led to a sharp increase in joblessness.
Government’s push for economic balance
Immigration Minister Marc Miller highlighted the need for these changes to ensure that immigration policies align with current economic realities. "Our rules must reflect the needs of the Canadian job market and the economy," Miller stated. "We’re prepared to take further action if necessary to maintain this balance."
Image Credit: Immigration News Canada
Reduction in foreign worker numbers and permits
Alongside the earlier cap on temporary migrants, the new rules will cut the annual number of temporary foreign workers by 65,000, reducing their share of the population from 6.2% to 5%. Employers will also face a new cap, with their allowable share of temporary foreign workers dropping from 20% back to the pre-pandemic level of 10%.
Sector-specific exemptions and shorter permits
Certain sectors will be exempt from these restrictions. Agriculture, healthcare, and construction fields will continue to have access to temporary foreign workers. Additionally, permits for low-wage jobs will be shortened from two years to one year, further tightening control over temporary worker numbers.
Broader immigration policy adjustments
Earlier this year, Ottawa also set limits on international students, aiming to curb its use as a backdoor to Canadian residency. The latest changes to the temporary foreign worker program reflect a broader effort to manage immigration more tightly in response to economic and social pressures.
Looking ahead
As Canada recalibrates its immigration strategy, the new rules will reshape the landscape for temporary foreign workers, striving to balance economic growth with the needs of Canadian citizens.