Stringent Work Permit Laws In Canada Threaten International Workers With Deportation

Canada is known as a friendly country for immigrants and foreign workers. Its immigration rules give skilled workers a chance to work and help the country. These workers are needed in important areas like farming, building, healthcare, and hotels. The Temporary Foreign Worker Program (TFWP) helps employers hire foreign workers when no Canadians or permanent residents are available for the job.

But recent changes to the TFWP have caused concern across Canada. In late 2024, the federal government made the rules stricter for hiring temporary foreign workers. These changes aim to protect jobs for Canadians and lower how much businesses rely on foreign workers. Important updates include higher wage requirements and new limits on how many foreign workers a business can hire.

These new rules are meant to protect Canadian workers, but they also create some problems. They make things less certain for foreign workers and put pressure on businesses that depend on them.

Understanding the Temporary Foreign Worker Program (TFWP)

The Temporary Foreign Worker Program (TFWP) is a Canadian government program that lets employers hire foreign workers for a short time when they can’t find qualified Canadians or permanent residents. The main goal is to fix urgent labor shortages in important industries and help keep businesses running and the economy stable.

Many industries rely on the TFWP to fill important job gaps. These industries include farming, construction, healthcare, and hospitality. In farming, foreign workers help with planting and harvesting during the busy seasons. In construction and healthcare, they help meet the high demand for workers when there aren’t enough locals. In hospitality, they often work in food service, cleaning, and tourism jobs.

To hire someone through the TFWP, employers must get a Labour Market Impact Assessment (LMIA). This document shows that hiring a foreign worker won’t harm the Canadian job market. Employers must prove they tried to hire locally and that no Canadian is available or willing to do the job.

The TFWP has two main parts: high-wage and low-wage streams. This depends on whether the job pays more or less than the average wage in that province or territory. High-wage jobs are usually more skilled and offer better job security and benefits. Low-wage jobs pay less and come with more rules. These include limits on how many foreign workers a business can hire and stricter rules for housing and transportation.

Overview of Recent Policy Changes

In late 2024, the Canadian government made major changes to the Temporary Foreign Worker Program (TFWP). The goal was to help more Canadians get jobs and reduce how much employers depend on foreign workers. These changes happened in two steps, first in September 2024, then in November 2024, and affected both high-wage and low-wage jobs under the program.

Mandatory 20% Wage Increase for High-Wage Stream

Starting November 8, 2024, employers hiring through the high-wage stream must pay at least 20% more than the average wage in their province or territory. This change is meant to make jobs more appealing to Canadians and push employers to hire locally first. The pay increase adds about $5 to $8 per hour, depending on the job and location. Employers who can’t meet this rule may have trouble renewing work permits or bringing in new foreign workers.

10% Cap on Foreign Workers in Low-Wage Positions

As of September 26, 2024, employers can only hire up to 10% foreign workers in their low-wage jobs. This is a big cut for many businesses that have long relied on foreign labor. Now, companies must rethink how they hire and focus more on finding and keeping Canadian workers.

Mass Reclassification of Roles from High-Wage to Low-Wage

To keep up with changes in the job market, the government has reclassified about 34,000 jobs from the high-wage stream to the low-wage stream. This means these jobs now face stricter rules and offer fewer protections for workers. Employers must also follow tougher standards for housing, transportation, and benefits, adding more paperwork and responsibility.

Implications for International Workers

The recent changes to Canada’s Temporary Foreign Worker Program (TFWP) have created serious risks and uncertainty for foreign workers. Although the goal is to protect jobs for Canadians, the new rules have left many temporary foreign workers, especially in low-wage jobs, in difficult and uncertain situations.

Risk of Deportation

One of the biggest and most serious effects of the new rules is the higher risk of deportation. Many foreign workers rely on their employers to renew their work permits. But with the new wage rules and limits on how many foreign workers a business can hire, some employers may not qualify anymore. This makes it hard or even impossible to renew those permits.

If a work permit expires and the worker can’t find a new employer, they may have to leave Canada. Without a quick permit renewal or a new job that follows the new rules, foreign workers have very few legal ways to stay in the country.

Reduced Job Security

The large shift of jobs from high-wage to low-wage streams has made work conditions tougher. Foreign workers in the low-wage category now get fewer job protections, lower benefits, and have fewer chances to grow in their careers. This change hurts long-term career plans and makes work conditions worse for many of them.

Also, the stricter rules in the low-wage stream create more paperwork and responsibilities for both workers and employers. These include tougher housing rules and closer checks on job conditions. These extra challenges make the work environment less stable and harder to manage.

Limited Mobility

Foreign workers now have fewer options to switch jobs or move to other provinces because of the 10% limit on low-wage foreign workers. With fewer jobs available, more foreign workers are competing for the same limited spots.

This limit also makes it harder for workers to ask for better pay or working conditions. Many are stuck in jobs that no longer meet their financial or personal needs. If they can’t move to a new job quickly, they risk losing their legal status in Canada, which makes them more likely to face deportation.

 Challenges Faced by Canadian Employers

The new TFWP rules have put a lot of pressure on Canadian employers, especially those that depend on foreign workers to keep their businesses running. These changes come while many industries are already struggling with not enough workers and higher costs.

Strain on Businesses Dependent on Foreign Labor

Industries like farming, construction, hospitality, and healthcare rely heavily on foreign workers for jobs that are hard to fill with local staff. The 10% limit on low-wage foreign workers forces employers to cut back on a workforce they’ve depended on for years. This puts stress on their daily operations and makes it harder to plan for the future.

Many of these businesses are in rural or remote areas where it is very hard to find Canadian workers. Without temporary foreign workers, some employers might struggle to keep up their work. This could cause problems with services and hurt their business.

Rising Wage Costs vs. Operational Sustainability

Under the new rules, employers hiring through the high-wage stream must pay at least 20% more than the average wage in their province. This big increase aims to encourage hiring Canadians but also raises costs for businesses, especially small and medium ones.

For many businesses, paying these higher wages without raising prices or cutting other costs is not sustainable. Employers must choose to either follow the new wage rules or hire fewer foreign workers. Both options can hurt their long-term financial health.

Shortages in Key Industries

The new TFWP rules have made existing worker shortages worse in key industries. In healthcare, for example, many support staff and caregivers come through the program. With fewer of these workers available, patient care and services are affected.

In the same way, farming and food processing also suffer when there aren’t enough workers. This can delay work, disrupt supply chains, and cause financial losses. The gap between the number of workers needed and those available keeps growing, and there aren’t enough local workers to fill it.

Risk of Losing Skilled, Experienced Workers

Many temporary foreign workers have worked in Canada for years and have become part of their workplaces and communities. They bring important experience, know how things work, and understand the culture of their jobs.

Stricter rules make it harder to keep these experienced workers, which can hurt how well teams work together and run day to day. When businesses lose skilled staff, they have to spend more time and money on hiring and training, often without finding someone just as good to replace them.

Frequently Asked Questions

Can temporary foreign workers switch employers or provinces?

While it is possible, switching jobs or provinces is more difficult under the new rules. Workers must find new employers who have a valid LMIA and who can comply with the wage and hiring restrictions.

 What can affected international workers do to protect their status?

Foreign workers should:

• Regularly check their work permit expiration dates.
• Communicate with employers about compliance with new wage rules.
• Seek legal or immigration advice if facing permit non-renewal or job loss.

How might these changes impact Canada’s global reputation?

Stricter TFWP regulations may make Canada less attractive to foreign workers seeking stable and fair employment. This could affect the country’s ability to recruit top international talent in the future.

Are any exemptions available under the new rules?

Some sectors or regions may qualify for exemptions depending on labor needs and economic conditions. Employers should consult official guidelines or immigration experts to determine eligibility.

Conclusion

The human impact of these new rules is serious. Many skilled foreign workers have built lives in Canada and helped support important industries. Now, they face uncertainty and less stability. These workers don’t just provide labor—they also bring cultural diversity, support the economy, and enrich communities. Losing them would hurt not only businesses but also Canada’s social and economic strength.