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Business Standard
30-06-2025
- Business
- Business Standard
Canada lifts wage bar for temp workers by 4%; Indian immigrants face impact
Canada has raised the wage thresholds for employers and foreign workers applying under the Temporary Foreign Worker Program (TFWP), a change that could affect thousands of Indians already working or hoping to work in the country. The new wage requirements came into force on June 27, 2025. Employers submitting a Labour Market Impact Assessment (LMIA)—a mandatory step for most work permit applications under the TFWP—must now meet higher wage benchmarks across nearly all provinces and territories. In 2023, over 188,500 people held TFWP work permits in Canada, according to Statistics Canada. India topped the list with 41,115 permits. What's changed and how it works The updated wage threshold determines which stream a worker and employer fall under—either high-wage or low-wage. The distinction affects the application process and available pathways. • If the wage being offered meets or exceeds the threshold for a particular province, the application falls under the high-wage stream. • If it falls below, it must go through the low-wage stream, which faces additional restrictions. Here's how the thresholds have changed across provinces: Alberta: From CAD 35.40 to CAD 36.00 British Columbia: From CAD 34.62 to CAD 36.60 Ontario: From CAD 34.07 to CAD 36.00 Quebec: From CAD 32.96 to CAD 34.62 Manitoba: From CAD 30.00 to CAD 30.16 Saskatchewan: From CAD 32.40 to CAD 33.60 Nova Scotia, New Brunswick, Prince Edward Island: All raised from CAD 28.80–28.85 to CAD 30.00 Newfoundland and Labrador: From CAD 31.20 to CAD 32.40 Yukon: From CAD 43.20 to CAD 44.40 Northwest Territories: From CAD 47.09 to CAD 48.00 Nunavut remained unchanged at CAD 42.00 The current exchange rate is approximately 1 Canadian dollar to 61 Indian rupees, which means a wage threshold of CAD 36.00 in provinces like Alberta or Ontario amounts to around ₹2,200 per hour. Freeze on low-wage applications in high-unemployment areas Employers in areas with unemployment rates above 6 per cent are already barred from applying for low-wage LMIAs under a moratorium that started on September 26, 2024. The new wage thresholds may push more job roles into the low-wage category, making them ineligible in such regions. The freeze will remain in place until July 10, 2025. Census Metropolitan Areas (CMAs) affected include: Toronto (8.6 per cent), Windsor (9.3 per cent), Peterborough (9.9 per cent) Edmonton (7.3 per cent), Calgary (7.8 per cent), Vancouver (6.6 per cent) Montréal (6.7 per cent), Hamilton (7.3 per cent), Kitchener (8.5 per cent) If a role previously qualified under high-wage but now falls below the new wage cut-off, employers in these cities can no longer sponsor a TFWP worker for that position. Further restrictions based on workforce composition There are additional restrictions for employers with too many low-wage roles: • For most employers, low-wage workers cannot exceed 10 per cent of the total staff at a worksite. • For employers in construction, food manufacturing, hospitals, and nursing care, the cap is 20 per cent. Low-wage LMIA applications will be rejected if they breach these thresholds. Caregiving roles also face tighter rules Specific in-home caregiving positions also fall under scrutiny. These include: NOC 31301: Registered nurses and psychiatric nurses NOC 32101: Licensed practical nurses NOC 44100: Home childcare providers NOC 44101: Attendants for persons with disabilities, live-in caregivers, personal care attendants According to the federal government, these categories are under review for future restrictions, in light of workforce composition concerns. Why the TFWP is being tightened The Temporary Foreign Worker Program allows Canadian employers to hire foreign nationals when local workers are unavailable. But throughout 2024, the programme drew criticism for alleged abuse, wage suppression, and overuse—issues linked to housing shortages and strained public services. In response, the government introduced several measures: LMIA validity was cut from one year to six months Duration of employment under the low-wage stream was reduced Annual targets were introduced to control the number of new TFWP admissions Visitors can no longer convert to job-supported work permits under the programme What is a Labour Market Impact Assessment? A Labour Market Impact Assessment (LMIA) is a document that some Canadian employers need before they can hire foreign workers. It serves as proof that hiring a foreign worker is necessary for a position because no Canadian citizen or permanent resident is available to fill it. When granted, a positive LMIA, also known as a confirmation letter, indicates approval to proceed with hiring from abroad. How does an LMIA work? For foreign workers aiming to work in Canada, securing an LMIA is often a critical step in obtaining a work permit. Here's what's required for the process: Job offer letter Employment contract Copy of the LMIA LMIA number Once these are secured, the worker can move forward with their work permit application. How do employers apply for an LMIA? Employers must first demonstrate that they have made extensive efforts to hire locally before submitting an LMIA application. This process typically involves: Posting the job vacancy in Canada for several weeks Interviewing suitable local candidates Documenting the hiring process to show the need for a foreign hire Application cost and processing time Cost: $1,000 per position. Processing time: Applications may take from several weeks to a few months, depending on the specific stream and demand. What happens after getting an LMIA? Once an employer receives a positive LMIA, the foreign worker can apply for a Canadian work permit using the LMIA and related job documents. Exemptions to LMIA requirements? Not all employers are required to obtain an LMIA. Some can hire foreign workers without this document through certain International Mobility Programs, which cater to specific job types and international agreements. Employers can check their eligibility under these programs before applying for an LMIA.
Winnipeg Free Press
26-06-2025
- Winnipeg Free Press
Portage la Prairie hotel owners charged with trafficking workers
Two owners of a Portage la Prairie hotel have been charged after an RCMP investigation into labour trafficking. Manitoba RCMP said at a news conference in Winnipeg on Thursday that its human-trafficking unit began an investigation after local RCMP were sent to a disturbance at the business on Feb. 9. 'Further to the initial investigation, a complaint was received about possible labour trafficking taking place at the same establishment. Two female victims came forward to police at that time,' a news release said. 'As the investigation progressed, two additional victims, who also worked at the hotel, were identified.' Officers discovered the victims were recruited from another country and promised legal work, fair wages and affordable living in Manitoba through Labour Market Impact Assessment (LIMA) agreements. The people worked 15-hour days and were paid well under minimum wage, the release said. Threats of deportation and intimidation were used to keep the victims working, RCMP said. 'In one instance, the victim's identification documents were being withheld,' RCMP said. The promised LIMA agreements went unfulfilled for three of the four workers, RCMP said. The documents would have legalized their work in Canada. Jai Inder Sandhu, a 62-year-old male owner of the hotel, was arrested June 12 and charged with four counts of trafficking in persons, two counts of uttering threats and single counts of trafficking, trafficking (material benefit) and withholding/destroying documents. Satbir Sandhu, a 48-year-old female owner of the hotel, is charged with four counts of trafficking in persons and one of trafficking (material benefit). 'Our goal from the outset was to help these victims of labour trafficking. They all came to Canada in good faith, believing they were going to work legally and be protected. Instead, they were threatened and forced to work for very little pay,' Sgt. Cathy Farrell of the Manitoba RCMP's human-trafficking and counter-exploitation unit said in the release. 'We remain committed to helping these victims and all others within the province who are being trafficked.' fpcity@
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Business Standard
09-06-2025
- Business
- Business Standard
Canada ends dummy work permit trick used by Indian, other foreign workers
Now, thousands of temporary foreign workers, including Indians, will not be able to rely on multiple applications to legally remain in Canada under the pretext of work permit extensions. Canada's immigration department last week changed the rules around 'maintained status' to crack down on so-called dummy extension applications, which have been on the rise. The move, announced in the June 2025 IRCC update, affects temporary residents who submit more than one work or study permit extension while remaining in the country. What are dummy extension applications? These are often filed without genuine job offers, allowing foreign nationals to extend their stay while waiting on a decision—even if they are unlikely to qualify. The term 'dummy' refers to the lack of intent to actually work under the applied conditions. Many such applications are submitted as placeholders, giving temporary residents—especially those awaiting permanent residency invitations—a way to buy time. They remain in Canada under 'maintained status' while their files remain in processing. As of June 2025, IRCC's average processing time for work permit extensions stands at 158 days. 'This change, which appears procedural on the surface, has major ramifications for international students and workers, notably those from India,' Zubin Morris, partner at Little & Co told Business Standard. How dummy work permit extensions work According to IRCC, the dummy application loophole exploits several aspects of the system: Maintained status eligibility: Anyone with a valid permit who applies before expiry gains maintained status, which allows continued stay and work under the previous conditions. No LMIA or offer number required: Open work permits don't need a Labour Market Impact Assessment (LMIA) or an offer of employment. These applications are harder to detect as fraudulent at the intake stage. Processing delays: With processing times running up to five months, applicants often use this period to find jobs, seek PNP nominations, or wait for Express Entry draws. Risk of misrepresentation: Applications filed without genuine intent could be rejected and trigger a five-year ban on applying for Canadian visas. 'According to IRCC's clarification, if the initial application is refused, any second application, even if submitted in advance, will not be considered. Maintained status ends the moment the first refusal is issued,' said Morris. Crackdown comes with higher risks for applicants Until now, many applicants filed a second application to safeguard their stay if the first was at risk. The new rule removes that cushion. Morris explained, 'Students whose permits are near expiry must be precise with their first extension application. A mistake, missing document, or even a delay can now end their legal status, despite a second application being filed. For workers, it could mean immediate job loss and the need to apply for status restoration or leave Canada.' Darshan Maharaja, a Canada-based immigration analyst, said the new rule could have knock-on effects. 'The unintended effect might be more people rushing to file asylum claims within the one-year deadline,' he told Business Standard. 'We saw nearly 500,000 temporary foreign workers enter Canada in just the first four months of 2025. By the end of 2024, over 300,000 asylum claims were pending. So this new rule may have limited impact—and could face legal challenges.' What IRCC accepts in absence of LMIA 1. The employer has submitted an LMIA application 2. The LMIA is expected to be decided in 1–3 months 3. The applicant is eligible to apply from within Canada Dummy applications often rely on open work permits or incomplete job details to bypass these requirements. Canada's move to tackle the issue Stricter triaging and cancellations: IRCC is introducing tighter screening of applications, especially those missing proof of employment or clear eligibility. Stakeholder feedback: Employers, consultants and advocacy groups have raised concerns about dummy applications distorting the system. Proposed intake filters: Some experts have recommended rejecting ineligible applications at the intake stage itself to speed up processing for genuine cases. From January to April 2025, IRCC processed 491,400 work permits. The overall backlog has now reduced to 35% of the total inventory, according to the latest update.
Business Standard
05-06-2025
- Business
- Business Standard
Canada's new visa rule puts Indian students, workers at legal risk: Decoded
In a major policy update, Canada's immigration authority has redefined how maintained status applies to temporary residents filing multiple visa or permit applications. The move, announced by Immigration, Refugees and Citizenship Canada (IRCC) on May 28, could impact thousands of international students and workers — particularly from India. Until now, applicants could submit a second application to extend their stay if the first was at risk. Their legal status was protected during this time under a maintained status. That protection has now been removed. 'This change, which appears procedural on the surface, has major ramifications for international students and workers, notably those from India,' Zubin Morris, Partner at Little & Co told Business Standard. 'According to IRCC's clarification, if the initial application is refused, any second application—even if submitted in advance—will not be considered. Maintained status ends the moment the first refusal is issued,' he added. The same update also removed the option of applying for work or study permits at ports of entry, ending the practice of 'flagpoling'—where applicants briefly exit and re-enter Canada to fast-track permit renewals. 'Flagpoling has been a way for people to quickly change their status... This is inefficient and causes unnecessary congestion at border points,' said former immigration minister Marc Miller in December 2024. The clampdown aligns with broader efforts to reduce fraud and tighten controls. Last year, Canada scrapped Express Entry points for job offers backed by a Labour Market Impact Assessment (LMIA) and granted officials the power to cancel or amend documents in the public interest. Part of a wider reset Canada had already announced a 5 per cent cut in its temporary resident population earlier this year. The number has fallen from around 485,000 to 430,000 in 2025. Another reduction is expected by 2027. 'This rule comes in the context of bigger reforms,' Praneet Singh, AVP – University Partnership at upGrad told Business Standard. 'There's a broader reset underway around the Post-Graduation Work Permit (PGWP), which has been a major draw for students. This also follows the November 2024 decision to phase out the Student Direct Stream (SDS) category due to pressure on public infrastructure.' Will it reduce abuse—or create new risks? Darshan Maharaja, a Canada-based immigration analyst, linked the new rule to rising refugee claims among non-permanent residents. 'The unintended effect might be more people rushing to file asylum claims within the one-year deadline,' he said. 'We saw nearly 500,000 temporary foreign workers enter Canada in just the first four months of 2025. By the end of 2024, over 300,000 asylum claims were pending. So this new rule may have limited impact—and could face legal challenges.' Sharp rise in student asylum claims IRCC data released on May 13 shows a notable rise in asylum claims filed by international students: 5,500 claims in the first quarter of 2025, up 22 per cent year-on-year 20,245 claims in 2024, nearly double the number in 2023 Sixfold increase compared to 2019 levels According to Global News, most claims in 2024 came from India, Nigeria, Guinea, Ghana, and the Democratic Republic of Congo. What Indian students should watch for Morris warned that the revised rule leaves little room for error. 'Students whose permits are near expiry must be precise with their first extension application. A mistake, missing document, or even a delay can now end their legal status—despite a second application being filed. For workers, it could mean immediate job loss and the need to apply for status restoration or leave Canada.' Singh added that students globally are rethinking their destination choices. 'With the US pausing visa interviews, the UK capping international numbers, and Australia tightening entry, students now want flexibility,' he said. 'That's where hybrid, multi-country pathways come in. At upGrad, we've seen nearly 40 per cent growth in interest for EU programmes—in countries like Germany, Finland, and France—since March this year.' 'It's clear students want a model that lets them adapt as policies change.'
Time Business News
01-06-2025
- Business
- Time Business News
SEP Immigration: For People Trying to Build Their Lives in Canada
Immigration isn't just about forms and checklists. It's about people trying to figure out what's next—and how to get there without making a mistake they can't fix. SEP Immigration, a small Toronto-based agency, works with those in that exact spot. They're not trying to be everywhere at once. They're trying to be helpful where it counts. You won't find a ticket system or automated replies here. Just people answering questions and sorting through problems that often feel much bigger than they look on paper. Some people call in thinking they've already done everything right, like the man who'd been in Canada for over five years and submitted a PR card renewal on his own. He didn't think twice until a letter from IRCC showed up asking for proof of residency—proof he hadn't included. It turns out travel dates and tax filings didn't quite match. That's when he found SEP. They went over his timeline, pointed out gaps, and gathered the records needed to fill them. There were spreadsheets, scanned receipts, old leases—anything that could help. He got his card renewed, but said later that without their help, he would've assumed the request meant his status was already lost. It's the kind of case that's more common than most people expect. Many don't even realize that to renew a PR card in Canada, you still need to prove you've met the rules. The assumption that it's automatic is what catches people off guard. One of the more misunderstood parts of Canada's immigration system involves the LMIA—short for Labour Market Impact Assessment. It sounds technical, and it is, but it can make or break a job offer for someone outside the country. Not long ago, SEP Immigration worked with a welder from Eastern Europe and a company in Alberta that wanted to hire him. The employer had no experience with immigration paperwork. SEP stepped in, explained what was needed, and helped them get through each step—posting the job, tracking applicants, documenting the offer. The LMIA was approved, and the welder arrived a few months later. The job got filled, and the employer didn't lose weeks chasing unclear instructions. People looking into LMIA applications in Canada often don't realize how specific the documentation needs to be. It's not impossible. It just needs to be done right. One woman, a student from the Caribbean, came to SEP after she'd already been refused a postgraduate work permit. Her study permit had expired by the time she found out. She hadn't included key documents, and by the time the letter arrived, it looked like she was out of options. She was scared—rightly so. The idea of leaving a life behind because of one missing form is heavy. SEP reviewed her timeline and helped draft a reconsideration letter. It wasn't a guaranteed fix, but it gave her a real shot. And that was better than packing bags and heading for the airport with no plan. That kind of case isn't rare. People miss things, deadlines pass, and confusion builds quickly. SEP doesn't overpromise. But they do read everything, line by line, and offer next steps that make sense based on what's actually possible. The people who turn to SEP Immigration aren't asking for miracles. They just want someone to explain what's going on and help them avoid mistakes. SEP's clients often say the same thing—they appreciate the straight talk. If an application looks weak, they're told exactly that. No guessing. No vague encouragement. Just facts. There's also no confusion about money. Fees are explained before anything moves forward. No one's left trying to understand hidden charges or unexpected extras. Most of SEP Immigration's work is done online these days. And that's opened the door to people living far from their office—clients in the Gulf, students in remote parts of Canada, caregivers working in households where getting to a meeting would mean losing hours of pay. The process still starts the same way: a consultation, a review of documents, and a decision about what to do next. Some people are just checking if they're eligible for something. Others are already in the middle of a crisis, trying to stop a refusal or salvage an expiring status. The team treats both the same. There's no distinction made between 'big' and 'small' cases. For someone who might have to leave Canada, every case is big. It's not always about winning or losing a case. Sometimes, the first step is just plainly hearing what the options are—and how much risk each one carries. SEP doesn't pretend every client will get approved. But they do take the time to walk through possible outcomes, without dressing them up. They've worked with skilled workers, refugee claimants, couples trying to sponsor one another, and people who've already been refused once (or more). The common thread isn't just the paperwork. It's the uncertainty. And SEP works in that space, helping people figure out what's next and how to make decisions they can live with. Immigration isn't simple. It's full of rules that don't always make sense until someone breaks them. SEP Immigration isn't trying to sell dreams. They work case by case, looking at what's on paper, what's missing, and what still might be possible. TIME BUSINESS NEWS
