Maple News reports that Canada is introducing changes to the Temporary Foreign Worker Program (TFWP) as part of a broader effort to align immigration policies with current labour market needs. Immigration Minister Marc Miller and Employment Minister Randy Boissonnault announced the latest adjustments in a recent news conference, signaling a shift away from pandemic-era measures.
The TFWP was originally established to help Canadian employers fill job vacancies with foreign talent when no suitable Canadian citizens or permanent residents were available. Employers must secure a Labour Market Impact Assessment (LMIA) to prove the necessity of hiring internationally. However, in response to the changing economic landscape, several temporary flexibilities introduced during the COVID-19 pandemic are being phased out.
One major change taking effect on May 1, 2024, involves the validity period of LMIAs. During the pandemic, this period was extended to 12 months to offer greater flexibility. It will now revert to the pre-pandemic standard of six months. Employers participating in the Recognized Employer Pilot program will be exempt from this change.
Another adjustment targets the employment cap on low-wage workers under the TFWP. In 2022, Canada temporarily raised the cap to 30% for certain sectors. Beginning May 1, 2024, that higher threshold will be permitted only in the construction and health care sectors. All other sectors will return to the standard 20% cap. Notably, agriculture and seasonal employers remain unaffected, preserving their exemption from the cap.
These policy shifts follow other significant immigration changes, including new limitations on international study permits and modifications to the Post-Graduation Work Permit (PGWP) program. These decisions reflect Canada’s attempt to manage an unprecedented influx of temporary residents—approximately 2.5 million individuals, or 6.2% of the national population in 2023.
Addressing these concerns, Minister Miller stated, “We are aiming to reduce the temporary resident population to 5% over the next three years. Our goal is to create a well-managed and sustainable immigration system that ensures newcomers are supported and set up for long-term success.”
Canada’s evolving approach underscores a renewed focus on labour market sustainability, program integrity, and the long-term settlement of immigrants. By recalibrating programs like the TFWP, the government aims to ensure that immigration continues to serve as an engine for economic growth while also maintaining fairness for employers and workers alike.