Canada has introduced measures to make it easier for Canadian employers to access temporary foreign workers. The measures, announced on April 4, come in response to a nationwide labor shortage. Canada is facing low unemployment and high job vacancies at the same time. One solution to address labor shortages is to attract temporary foreign workers to fill jobs where there are no Canadians available to do the work. The changes that will take effect for the Temporary Foreign Workers Program (TFWP) are intended to help Canada grow its workforce, according to a government media bulletin. Are you an employer who wants to hire foreign workers? Contact Cohen’s Immigration Act for a free telephone consultation There are five major changes coming to TFWP. Start now:
Labor Market Impact Assessments (LMIAs) will be valid for 18 months, out of nine. LMIAs are documents that prove to the Canadian government that a foreign worker working in Canada will not have a negative impact on the labor market. Prior to the pandemic, LMIAs were only valid for six months. Also, the maximum duration of employment for high-wage workers and the Global Talent Stream will be extended from two years to three. This expansion will help workers qualify for more permanent residence routes, enabling them to contribute to Canada’s workforce in the long run. In addition to these measures, the exemption from the seasonal ceiling, which is valid from 2015, will become permanent. There will no longer be a limit to the number of low-paying jobs that employers in seasonal industries can fill through the TFWP. The maximum duration of these positions will increase from 180 days to 270 days per year.
Effective April 30:
Employers of sectors with proven workforce shortages will be allowed to hire up to 30% of their workforce through the TFWP for one year of low pay positions. The seven eligible sectors include: food production, wood products manufacturing, furniture and related products manufacturing, accommodation and food services, construction, hospitals and nursing and home care facilities. All other employers will be allowed to hire up to 20% of their workforce through the TFW Schedule for low-paying, up-to-date positions, an increase from the previous 10% ceiling for many employers. Finally, Canada will end its current policy of automatically rejecting LMIA applications for low wages in the housing and food services and retail sectors in areas with an unemployment rate of 6% or higher.
Canada’s labor market is even tighter than it was before the pandemic. The percentage of job vacancies reached a historic peak in the third quarter of 2021. Much of the unmet demand for labor is in low-wage occupations. In November 2021, the following sectors had the highest number of vacancies, according to Statistics Canada:
Accommodation and Catering Services – 130,070 vacancies Healthcare and Social Assistance – 119,590 vacancies Retail – 103,990 vacancies Processing – 81,775 vacancies
Last year, the Temporary Foreign Employees Program approved about 5,000 positions under the Global Talent Stream and 23,000 positions in the High Payroll stream. Together, these programs represent approximately 21% of all approved LMIA positions for 2021. About 50,000 to 60,000 foreign farm workers come to work in Canada each year, representing more than 60% of all foreign workers entering Canada under the TFWP. Are you an employer who wants to hire foreign workers? Contact Cohen’s Immigration Act for a free telephone consultation © CIC News All rights reserved. Visit CanadaVisa.com to find out about immigration options in Canada.
