From: Employment and Social Development Canada
Date: August 26, 2024
Location: Gatineau, Quebec
The Temporary Foreign Worker (TFW) Program, originally established as a measure of last resort to fill job vacancies when qualified Canadians and permanent residents are unavailable, is undergoing significant changes. Minister Randy Boissonnault has announced new measures aimed at reducing reliance on the program and addressing its misuse.
Key Changes Effective September 26, 2024:
Restrictions on Low-Wage Stream LMIA Processing: The Government will no longer process Labour Market Impact Assessments (LMIAs) for the Low-Wage stream in areas with an unemployment rate of 6% or higher, except for certain sectors such as primary agriculture, food processing, fish processing, construction, and healthcare.
New Cap on TFW Employment: Employers will now be limited to hiring no more than 10% of their workforce through the TFW Program, specifically in the Low-Wage stream. This is a further reduction from previous limits set in March 2024. Exceptions will apply to the aforementioned sectors.
Reduced Employment Duration for Low-Wage Workers: The maximum employment duration for workers hired through the Low-Wage stream will be reduced from two years to one year.
Minister Boissonnault emphasized that these changes are intended to encourage Canadian employers to invest more in local talent, including young people, newcomers, and persons with disabilities. The government will also focus on retraining and upskilling the existing workforce to prepare for future economic needs.
Ongoing Monitoring and Potential Future Adjustments:
The Government of Canada will closely monitor labour market conditions and make further adjustments to the TFW Program as needed. Over the next 90 days, a comprehensive review will consider additional changes, including potential modifications to the High-Wage Stream and sectoral exceptions.
Minister's Statement:
“The Temporary Foreign Worker program was designed to address labour shortages when there were no qualified Canadians to fill those roles. With more Canadians now able to fill open positions, these changes will prioritize Canadian workers and ensure the program meets the needs of our economy,” stated Minister Randy Boissonnault.
Quick Facts:
Canada's unemployment rate rose to 6.4% in June 2024, with 1.4 million people currently unemployed.
The Government of Canada has been rolling back pandemic-era measures since October 2023, including reducing the validity period for LMIAs and lowering caps on temporary foreign workers.
On August 20, 2024, a temporary freeze on the approval of new Temporary Foreign Workers in the low-wage stream was announced for Montreal, effective September 3, 2024.
For more information on these changes and how they might affect your business or employment prospects, please visit our website or contact Employment and Social Development Canada.
Here is the link from the IRCC: https://www.canada.ca/en/employment-social-development/news/2024/08/minister-boissonnault-reducing-the-number-of-temporary-foreign-workers-in-canada.html
Comments