Latest news with #TemporaryForeignWorkerProgram
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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.
Economic Times
28-06-2025
- Business
- Economic Times
Canada hikes wage thresholds for Temporary Foreign Worker Program
Agencies Canada has increased the wage thresholds for employers hiring under the Temporary Foreign Worker Program (TFWP), a move that will impact new Labour Market Impact Assessment (LMIA) applications submitted from June 27, 2025, as per a CIC News report. Employment and Social Development Canada (ESDC) confirmed the revision affects nearly all provinces and territories, altering how foreign nationals qualify under either the high-wage or low-wage streams of the Temporary Foreign Worker Program is used by employers when no Canadian citizen or permanent resident is available to fill a job. The program's classification between high-wage and low-wage streams is determined by comparing offered wages against the median hourly wage of the province or territory. Wage thresholds revised across provinces The updated wage benchmarks will directly influence employer eligibility for LMIAs. For example, the threshold in Ontario rose from CAD 34.07 to CAD 36.00, while British Columbia saw an increase from CAD 34.62 to CAD 36.60. The threshold in Nunavut remained unchanged at CAD 42.00. Provinces such as Quebec, Alberta, and Nova Scotia also recorded moderate must apply under the high-wage stream if they offer wages at or above the new thresholds. Otherwise, they must proceed under the low-wage stream, which faces additional limitations. Employment and Social Development Canada (ESDC) reiterated that a moratorium remains in effect for LMIA applications under the low-wage stream in areas with unemployment rates at or above 6%. This policy, active since September 26, 2024, will continue until at least July 10, federal government has also restricted low-wage LMIA approvals based on the structure of an employer's workforce. Generally, low-wage positions must not exceed 10% of the total workforce at a given location. However, specific industries like construction (NAICS 23), food manufacturing (NAICS 311), hospitals (NAICS 622), and nursing care facilities (NAICS 623) are permitted a 20% cap. Moreover, ESDC confirmed that similar restrictions now apply to select caregiving roles under the National Occupation Classification (NOC) system. This includes roles such as registered nurses (NOC 31301) and home childcare providers (NOC 44100). 'ESDC and Immigration, Refugees and Citizenship Canada (IRCC) are reviewing the effects of including these in future measures,' the statement added. Policy changes reflect government's broader reforms The changes come amid increased scrutiny over the TFWP in 2024, when reports surfaced alleging worker exploitation and wage suppression. The federal government has since implemented several reforms: shortening LMIA validity to six months, cutting employment durations under the low-wage stream, capping new foreign worker admissions, and eliminating in-country job-supported work permit options for updates reflect a broader policy shift aiming to balance the country's labour market needs with concerns about temporary resident volumes and pressure on public services. (Join our ETNRI WhatsApp channel for all the latest updates) Elevate your knowledge and leadership skills at a cost cheaper than your daily tea. The bike taxi dreams of Rapido, Uber, and Ola just got a jolt. But they're winning public favour Second only to L&T, but controversies may weaken this infra powerhouse's growth story Punit Goenka reloads Zee with Bullet and OTT focus. Can he beat mighty rivals? 3 critical hurdles in India's quest for rare earth independence HDB Financial may be cheaper than Bajaj Fin, but what about returns? Why Sebi must give up veto power over market infra institutions These large- and mid-cap stocks can give more than 23% return in 1 year, according to analysts Are short-term headwinds from China an opportunity? 8 auto stocks: Time to be contrarian? Buy, Sell or Hold: Motilal Oswal initiates coverage on Supreme Industries; UBS initiates coverage on PNB Housing
Time of India
23-05-2025
- Business
- Time of India
What's the Temporary Foreign Worker Program that is deepening jobs and housing squeeze in Canada
In a greenhouse in Ontario, Jorge Ramirez checks the irrigation lines, his fifth season as a temporary foreign worker in Canada. "I send money back to my family in Mexico. It helps a lot," he says. But back in Ottawa, political tensions are heating up over the very program that brought Jorge here. Conservative MP Jamil Jivani recently called for the termination of the Temporary Foreign Worker Program, claiming it is failing Canadians. His remarks sparked a debate on what the TFWP is, how it functions, and whether its benefits still outweigh its social costs. Also Read: Conservative MP Jamil Jivani calls for an end to the Temporary Foreign Worker Program by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Semua yang Perlu Anda Ketahui Tentang Limfoma Limfoma Pelajari Undo What is the Temporary Foreign Worker Program? The TFWP is a federal program that allows Canadian employers to hire foreign nationals temporarily to fill labor shortages. It is managed jointly by Immigration, Refugees and Citizenship Canada (IRCC) and Employment and Social Development Canada (ESDC). Live Events Employers must typically apply for a Labour Market Impact Assessment (LMIA), demonstrating that no Canadian worker is available for the role. Once approved, a foreign national can apply for a work permit and begin employment in Canada. The TFWP includes provisions to ensure fair treatment. Employers must provide safe working conditions, pay for transportation and housing for some worker categories, and comply with Canadian labor laws. Major working streams and sectors of the program The program is segmented into various streams: High-Wage Workers, Low-Wage Workers, the Global Talent Stream, In-Home Caregivers, Foreign Agricultural Workers, and Foreign Academics. Agriculture and In-home caregiving make up a significant portion of this program, but each stream addresses different labor needs in the market. The Global Talent Stream, for instance, facilitates fast-track hiring of highly skilled workers in tech and research sectors. Meanwhile, the Seasonal Agricultural Worker Program brings laborers from Mexico and the Caribbean for up to eight months a year. Rise in Canada's unemployment rate Jivani's criticism is rooted in economic concerns, including the 14% youth unemployment rate as of April 2025. Critics argue that the TFWP suppresses wages and discourages investment in training Canadian workers. "Young Canadians are being left out," Jivani said. "Instead of investing in our people, we are relying on cheap labor from abroad." Government response Employment Minister Patty Hajdu responded by defending the TFWP, highlighting its role in supporting agriculture, hospitality, and healthcare sectors. "We are scaling the program to reflect actual labor shortages, not to replace Canadian workers," Hajdu stated. Prime Minister Mark Carney's government has pledged to reduce the number of temporary foreign workers and cap total temporary residents to 5% of the population by 2027. This move is part of a broader immigration reset aimed at managing infrastructure and public service demand. Quebec has a different approach Quebec maintains its own guidelines under the TFWP. For example, all LMIA applications must be submitted in French unless they concern in-home caregivers. Quebec also has exemptions for certain skilled workers already holding work permits and Quebec Selection Certificates (CSQs). A pilot project in partnership with the federal government allows Quebec employers in specified NOC categories to bypass recruitment requirements until the end of 2024. Business groups caution against abrupt changes that could disrupt sectors reliant on temporary foreign workers. "We need balance," says an executive from the Canadian Federation of Independent Business. "Without foreign workers, many farms, restaurants, and hospitals simply cannot function."
Time of India
23-05-2025
- Politics
- Time of India
Conservative MP Jamil Jivani calls for an end to the Temporary Foreign Worker Program
Live Events Response from the government Immigration problem in Canada (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Conservative Member of Parliament from Ontario, Jamil Jivani , has initiated a petition to terminate Canada's Temporary Foreign Worker Program (TFWP), asserting that it significantly contributes to unsustainable immigration levels and adversely affects Canadian workers by taking away their says the program is a "large contributor" to an unsustainable level of links immigration to various systemic issues in a social media post as he states, "There's a pretty clear consensus, even across people with different political views, that immigration levels are just unsustainably high.""Anyone who goes to a hospital can see there are not enough beds. Anyone who goes to look for a family doctor can't find one. You go to buy a house, there's not enough of those. You go to find a job, there might not be one of those for you either."His petition specifically excludes temporary workers in the agricultural sector, suggesting that seasonal agricultural workers should be under a separate pointed to Statistics Canada 's May jobs report, highlighting youth unemployment as a driving factor for his petition, which indicates that the unemployment rate for individuals aged 15 to 24 reached 14 percent in April this Minister Patty Hajduin response remarked, "I know MP Jivani wasn't included in Andrew Scheer's shadow cabinet, but he may want to ask that the party resume briefing him, because if they had, he'd know that in the last year alone, we considerably scaled back the TFW program to reflect local labour needs."She added that the government is consulting with labour and industry groups about future changes to the program and stated it "in no way" replaces Canadian talent. She emphasized the program's importance, noting it is "vital" to the agricultural sector and tourism appears to be acting independently with his petition, as he does not hold a Conservative critic position. The roles of immigration and employment critics are held by Alberta MPs Michelle Rempel Garner and Garnett Genuis, federal government has announced plans to reduce the number of temporary foreign workers admitted to Canada. This includes refusing to process applications in metropolitan areas with unemployment rates exceeding six percent. The government aims to admit 82,000 workers annually under the TFWP from 2025 to 2027, according to its immigration levels immigration system is facing challenges as rapid population growth strains housing, healthcare, and education, leading to shortages and increased competition for Minister Mark Carney has proposed stabilizing permanent immigration levels, reducing temporary residents, and capping temporary residents to 5% of the population by approach aims to balance economic needs with infrastructure capacity and social cohesion.
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Business Standard
28-04-2025
- Business
- Business Standard
Canada polls 2025: What today's vote means for Indian immigrants, students
Canada heads to the polls today, and for hundreds of thousands of Indian nationals either living in the country or planning to move, the outcome could be crucial. Immigration policies have a direct impact on students, workers and families. As of late 2023, Canada was hosting around 1,040,985 international students, of which 278,860 were Indian nationals, accounting for nearly 27% of the total. The growth has been sharp—from just 31,920 Indian students in 2015. Employment figures show a similar trend. More than 26,000 Indian nationals were working in Canada in 2023 under the Temporary Foreign Worker Program, mainly in low-wage sectors. Many Indian graduates also moved to work permits through the Post-Graduation Work Permit Programme, helping strengthen Canada's skilled workforce. 'What's most concerning right now is the slowdown in investment and business, as well as the drop in local business valuation. Everything has slowed down due to high interest rates and lower appraisals of property and business. Many insiders are facing severe financial pressure—similar to the 2008 crisis,' said Varun Singh, managing director at XIPHIAS Immigration, speaking to Business Standard. 'Visa rejections based on political background are neither right nor ethical. Families are suffering because of the high rejection rates. Just look at the numbers—visa cancellations by the Canadian embassy have crossed 2 million,' he added. Pierre Poilievre, leader of the opposition Conservative Party, has said he would structure immigration policies to match new capacity in housing, healthcare, and jobs. The current Prime Minister, Mark Carney, has strong links with the Century Initiative, a think tank pushing for Canada's population to grow to 100 million by 2100. Carney's predecessor, Justin Trudeau, had immigration policies heavily influenced by the Century Initiative. So far, Carney has not given any strong indication that he would reduce immigration levels. 'If Carney wins the election, Indians aspiring to immigrate to Canada would find it easier to do so. On the other hand, the crises of expensive housing, high cost of living and lack of jobs would get further exacerbated,' Darshan Maharaja, a Canada-based immigration analyst told Business Standard. He also warned that individual Indians should carefully assess their financial prospects before deciding to move. Current immigration targets Until recently, Canada's Immigration Levels Plan mainly focused on permanent residents. In October 2024, for the first time, the government introduced targets for temporary residents as well. Liberal leader Mark Carney has acknowledged the strain on infrastructure. 'Caps on immigration will remain in place until we've expanded housing,' he said in a recent interview. The Liberals have proposed keeping permanent resident admissions below 1% of Canada's population beyond 2027. The current target is 395,000 permanent residents for 2025, which is less than 1% of the projected population of 41.5 million. This points towards a continuation of current trends. At the same time, Poilievre has linked immigration numbers to infrastructure growth. In January 2024, he said, 'We'll bring it back to sustainable levels like we had under the Harper government.' Between 2006 and 2015, Canada admitted between 247,000 and 281,000 permanent residents annually. It is unclear whether Poilievre would stick to these numbers or adjust them based on today's larger population. His party has repeatedly said that immigration growth should not outpace the availability of housing, jobs, or healthcare. Temporary foreign workers and international students The number of temporary residents has been a growing concern for both major parties. As of January 1, 2025, Canada had around 3.02 million temporary residents, making up roughly 7.27% of the population. The Liberal Party has proposed reducing this share to under 5% by the end of 2027, with steps including: < Adding temporary resident targets to immigration plans < Placing caps on study permit applications < Restricting access to post-graduation and spousal open work permits < Reducing net new temporary arrivals by 150,000 between 2025 and 2026 Meanwhile, Poilievre has criticised the Temporary Foreign Worker Program sharply. 'We will crack down on fraud and dramatically reduce the number of temporary foreign workers and foreign students,' he said during a campaign event. The Conservative Party proposes: < Requiring union Labour Market Impact Assessments (LMIAs) for hiring foreign workers < Limiting temporary workers mainly to agriculture or small towns with shortages < Requiring criminal background checks for all international students Currently, police certificates are only asked for if an officer requests them during the study permit process. Economic immigration and employment The Liberal Party supports economic migration and promises to 'revitalise' the Global Skills Strategy to attract highly skilled workers, particularly from the United States. It also plans to fast-track the recognition of foreign credentials, especially in healthcare and trades. Poilievre, in contrast, has spoken about a 'blue seal' national licensing standard that provinces could adopt to help immigrant healthcare workers get jobs faster. Impact on education Indian student numbers have fallen sharply, dropping by over 40% between 2023 and 2024, according to ICEF Monitor. Experts said this was largely due to Canada's real estate crisis, tighter visa rules, and tensions between New Delhi and Ottawa. However, there are signs of optimism. With US President Donald Trump taking a harder line on international students, Canada could regain its appeal for Indian students. Saurabh Arora, CEO of University Living, a global student housing marketplace, told Business Standard, 'First, we need to know who the next PM will be and whether it's a Liberal or Conservative government. Only then will we have clarity on future immigration policies. That said, with the significant contribution of Indians to Canada's economy—around CAD 13–14 billion annually from Indian students alone—India's importance cannot be ignored. Also, Punjabi is now the third-most spoken language in Canada.' Siddharth Iyer, COO of OneStep Global, said, 'Canada is a leading destination for international students, especially Indians. After the US, Canada has the largest intake of Indian students. They choose it because of its student-friendly policies, high-quality education, and ample work opportunities. Over the years, Indian students have built strong ties with Canadian institutions, and this is not set to change anytime soon.' As of the latest update to the CBC Poll Tracker, the Liberals were polling at 43.1%, compared to the Conservatives' 38.4%. The NDP had 8.3%, the BQ 5.8% nationally (25.4% in Quebec), the Greens 2.2%, and the People's Party 1.4%. It marks a striking turnaround for the Liberals, who were 24 points behind in January and are now ahead by 4.7 points. Numbers at a glance as per IRCC Annual Immigration Reports Permanent residents 2015: 39,340 Indians became permanent residents 2023: 139,715 Indians became permanent residents International students 2015: 31,920 Indian students held study permits 2023: 278,860 Indian students held study permits Temporary foreign workers 2015: 24,000 Indian nationals had Canadian work permits 2023: 64,000 Indian nationals had Canadian work permits The rapid growth over the past decade has been driven largely by policies under the Trudeau government. However, rising concerns about housing and infrastructure have already pushed the Canadian government to announce lower immigration targets starting late 2024.
