Randy Boissonnault, Federal Minister of Employment, convened a meeting of representatives from Canada’s largest business associations to discuss changes in the Temporary Foreign Workers (TFW) Program. The changes aim to weed out misuse and fraud within the system with a message that TFW cannot be used to circumvent hiring talented workers in Canada.
“I’ve been clear over the last year; abuse and misuse of the TFW program must end. The health and safety of temporary foreign workers in Canada is a responsibility I take very seriously. Bad actors are taking advantage of people and compromising the program for legitimate businesses. We are putting more reforms in place to stop misuse and fraud from entering the Temporary Foreign Worker Program,” Boissonnault said.
During the meeting, Minister Boissonnault outlined actions that are being implemented to reduce the use of temporary foreign workers in Canada like enforcing the consistent application of the 20 per cent cap policy for temporary foreign workers. This includes the policy for the “dual intent sub-stream”, which applies to temporary foreign workers who intend to apply for permanent residency. Employers using this stream will be subject to more stringent guidelines.
The measure will also apply a stricter and more rigorous oversight in high-risk areas when processing Labour Market Impact Assessments (LMIAs) and when conducting inspections.
The action will also consider LMIA fee increases to pay for additional integrity and processing activities; and look to implement future regulatory changes regarding employer eligibility (factors such as a minimum number of years of business operations or history of lay-offs by the employer).
Minister Boissonnault also informed business associations that he is considering implementing refusal to process under the low wage stream. If implemented, this would prevent employers in certain areas and industries from using the TFW Program. Additionally, the Government is working on modernizing the TFW Program with a new foreign labour stream for Agriculture and Fish & Seafood Processing, as announced in Budget 2022.
The actions highlighted are in addition to previous changes to this program that have directly resulted in an improvement in the quality, timeliness, and reach of employer inspections conducted, and a 36 per cent increase in fines issued in 2023–2024, compared to the previous fiscal year.
“While the majority of employers use the program for its intended purpose, more work is required to protect the Canadian labour market and hold bad actors accountable. The Minister will closely monitor employer demand for the TFW Program, as well as the employment rate, and is willing to take further tightening measures where required. Today’s meeting is indicative of the Government of Canada’s intent to strengthen its engagement with employers to ensure they have a clear understanding of their obligations under the program,” he said.
The TFW Program is designed to be responsive to changes in the labour market. Post-pandemic labour market needs were high, and a number of changes were introduced to help employers meet urgent employment needs. With the labour market returning to a more balanced state, the TFW Program is being readjusted to ensure that only employers with demonstrable labour market needs have access to the Program. This protects Canada’s economy and Canadian workers, as well as temporary foreign workers.
