Maple News reports that, starting September 26, 2024, Canada’s federal government will stop processing new Labour Market Impact Assessments (LMIAs) for the Low-Wage stream of the Temporary Foreign Worker Program (TFWP) in certain regions with higher unemployment. Effective immediately, Employment and Social Development Canada (ESDC) will not accept LMIA applications for low-wage roles in census metropolitan areas (CMAs) where the unemployment rate exceeds 6%. As of June, Canada’s national unemployment rate sits at 6.4%, representing 1.4 million people without work.
Though a detailed list of impacted cities has yet to be released, the government confirmed that key sectors ensuring food security—such as agriculture, food processing, and fish processing—will be exempt from the new restrictions, along with certain construction and healthcare roles.
Additionally, employers using the TFWP Low-Wage stream will face stricter workforce quotas and time limits. They will only be permitted to hire foreign workers for up to one year (reduced from two), and no more than 10% of their total workforce may consist of TFWP hires under this stream.
Minister of Employment Randy Boissonnault stated that these measures are being implemented to ensure the TFWP is used as intended—to fill jobs for which no suitable Canadian workers are available—rather than as a long-term labour solution. He emphasized the need for employers to invest in skills development for Canadian workers and reduce dependency on temporary foreign labour.
Maple News also notes that these changes follow Quebec’s recent announcement to suspend LMIA applications for selected low-wage occupations in the Greater Montreal area starting September 3. That policy aligns with Ottawa’s new federal direction, and the provincial suspension is expected to last six months.
This regulatory shift is part of a broader governmental effort to reassess Canada’s temporary resident population, including international students and foreign workers. Immigration Minister Marc Miller and Minister Boissonnault have jointly addressed concerns regarding exploitation within the TFWP, signalling increased enforcement and oversight.
In the next 90 days, ESDC is also set to review the High-Wage stream of the TFWP. Potential changes could affect existing LMIA applications, alter sectoral exemptions, or pause applications from certain industries, including those in rural regions.
With the federal government monitoring rising unemployment and economic strain on public services, the initiative reflects a proactive restructuring of immigration and labour market programs to protect domestic workers while preserving Canada’s economic resilience. Maple News will continue to monitor and report on updates to the TFWP and related immigration policy reforms.