Maple News reports that Prime Minister Mark Carney has confirmed the federal government is preparing reforms to the Temporary Foreign Worker Program (TFWP), aiming to make it more targeted and responsive to Canada’s evolving labour market needs.
Speaking at a Liberal caucus meeting in Edmonton on September 10, Carney emphasized the need for a “focused approach” to the TFWP—one that prioritizes specific sectors and geographic regions facing labour shortages. While details of the proposed changes remain limited, Carney made clear that a more strategic deployment of foreign labour is on the horizon.
The TFWP is a key mechanism for bringing foreign nationals to Canada on employer-specific work permits. Employers must typically secure a Labour Market Impact Assessment (LMIA) to prove that hiring a foreign worker will not negatively affect job opportunities for Canadian citizens or permanent residents. The LMIA is conducted by Employment and Social Development Canada and evaluates whether foreign hires will have a neutral or positive impact on the labour market.
The program has recently come under political scrutiny. Conservative Party leader Pierre Poilievre has criticized the TFWP, arguing it limits job opportunities for Canadians and advocating for its complete elimination. These comments come amid a broader debate on Canada’s temporary immigration policies.
Over the past 18 months, the federal government has already taken steps to tighten the TFWP. Notable changes include:
– Setting a target of 82,000 net new TFWP admissions in 2025.
– Imposing a moratorium on LMIA processing in regions where unemployment exceeds 6%.
– Raising wage requirements under the high-wage stream to at least 20% above the median regional wage.
– Reducing employer caps on the proportion of TFWP workers they can hire.
– Restricting spousal open work permits to partners of workers in high-demand or highly skilled occupations with sufficient time left on their permits.
These reforms have significantly reduced program activity. From January to June 2025, total work permit issuances across all streams fell by 50% compared to the same period in 2024. Of those, just 33,722 were new TFWP-specific permits, suggesting tighter regulatory controls are already having a noticeable effect.
While the government’s precise next steps remain to be seen, Carney’s remarks indicate a continued shift toward a leaner, more targeted foreign labour strategy—one that balances economic demands with public sentiment on workforce competitiveness.
Maple News will continue to monitor and report on these anticipated policy updates as more information becomes available.