Maple News reports that in 2024, Canada rolled out a series of sweeping reforms to its Temporary Foreign Worker Program (TFWP), reflecting the government’s intention to fine-tune the program in response to evolving labour market dynamics. These changes, impacting both employers and foreign workers, are expected to have wide-ranging implications for workforce planning and immigration strategies in the coming year.
One of the most impactful updates came on May 1, when the validity period for a Labour Market Impact Assessment (LMIA) was officially reduced from 12 months to six. This reverses a pandemic-era policy that extended LMIA validity to accommodate labour shortages. Employers participating in the Recognized Employer Pilot program are, however, exempt from this change, allowing them continued flexibility.
On August 28, Immigration, Refugees and Citizenship Canada (IRCC) discontinued a temporary public policy that had allowed visitors in Canada to apply for employer-supported work permits without having to leave the country. This move marks a significant tightening of in-Canada application pathways and is expected to reduce the number of work permit applications from visitors.
Significant changes were also introduced on September 26 for Canada’s low-wage labour market segments. First, the government stopped processing LMIAs for low-wage positions in Census Metropolitan Areas (CMAs) where unemployment exceeds 6%. Simultaneously, three additional restrictions were enforced: a cut to the maximum employment duration under the low-wage stream from two years to one, a reduction in the proportion of low-wage temporary foreign workers companies can hire, and the elimination of the ability for employers to submit third-party attestations as part of the application process.
A structural shift came with the government introducing an annual target for TFWP work permits. While not yet in effect, Ottawa has set a target of 82,000 net new TFWP permits for 2025. This measure signals the start of a more controlled and possibly restrictive trajectory for future foreign worker allocations.
Finally, starting on November 8, 2024, Employment and Social Development Canada (ESDC) raised the minimum hourly wage threshold for positions under the high-wage stream of the TFWP, reinforcing Canada’s push to ensure fair compensation standards and to address concerns about wage suppression.
These developments signify a broader strategic shift by the federal government to better balance domestic employment needs with economic immigration, promoting accountability among employers and ensuring that opportunities for Canadians are preserved. Employers who rely on temporary foreign workers are urged to stay closely informed and adapt their hiring practices accordingly.
Maple News will continue monitoring the outcomes of these changes and provide updates as Canada further refines its immigration and labour policy framework.