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Temporary Foreign Workers

Canada Eases Temporary Foreign Workers Program Due to Labor Issues


Canada Eases Temporary Foreign Workers Program Due to Labor Issues: The food service employers of Canada will have the ability to hire about 30 percent of their workforce using the Temporary Foreign Workers Program. Furthermore, there are also changes coming for temporary foreign workers. Canada introduced new ways to ease Canadian employers to get temporary foreign workers.

These measures were announced on the 4th of April as a response to a country-wide shortage of labor. Canada is facing a low rate of unemployment and has quite a large number of vacancies simultaneously. One of the ways to manage this shortage was to bring in temporary foreign workers to fill the job where the Canadians weren’t available to perform the tasks. The changes came into effect for the Temporary foreign worker program. 

New Measures for the Temporary Foreign Workers Program

However, there are 5 main changes coming for this temporary foreign workers program at the instant.

  • The highest duration of employment for High paying jobs with Global Talent Stream workers is now 3 years in total. This increase will assist temporary foreign workers to proceed with more ways to have permanent residency. It also enables them to add to the Canadian workforce even more in the future.
  • Labour Market Impact Assessments (LMIAs) will be reasonable for 18 months, from about nine. LMIAs are records that demonstrate to the government of Canada that the temporary foreign workers working in Canada will have no unfavorable effect on the overall market. Before the pandemic, LMIAs had a validity of only six months.
  • In complement to these measures, the Exemption, which has been active since 2015, will be permanent. There won’t in any type of limit to the amount of low-wage working areas that workers in seasonal industries can go through the program.

Temporary Foreign Workers

Measures of Program Effective After 30th April

  • Employers of areas with shown shortages of labor will be permitted to hire about 30% of their crew using the TFWP for low-wage areas for about a year. The seven eligible sectors include food manufacturing, wood product development, furniture, relevant product development, accommodation as well as food services. It also includes construction, health, and nursing alongside residential care features. The rest of the employers are permitted to hire about 20% of their workforce using the TFW Program for low-wage areas. All that until the further announcement, an increase from the former 10% cap for many employers.
  • Eventually, Canada will finish the ongoing policy that automatically rejects LMIA applicants. Specifically, for low-wage areas in the housing and food services and retail trade areas in regions with an unemployment increase of 6% or more.

An Ongoing Challenged Labor Market of Canada

The labor market of Canada is even more challenged than before the pandemic. The overall rate of vacancy went to its peak in the early time of 2021. It was among which the most is in low-wage areas. In November, there were many areas that faced the highest number of vacancies in the country.

  • Accommodation and Food Services – 130,070 vacancies
  • Health Care and Social Assistance – 119,590 vacancies
  • Retail Trade – 103,990 vacancies
  • Manufacturing – 81,775 vacancies

Following that, last year had the temporary foreign workers’ program is functional. It was about 5000 areas of work as well as 23,000 positions in the high-wage sector. Collectively, these programs counted for about 20 percent of all the LMIA positions approved for the year 2021.

About 50 to 60,000 foreign agricultural workers came as employees to Canada. The Foreign workers’ program accounted for about 60 percent of all this. All that includes everyone entering Canada. Specifically, the ones following under the TFWP as well as relevant programs.

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