Canada Stops Low-Wage LMIAs for Temporary Foreign Worker Program
The Canadian federal government has come up with a new update that as of September 26, the Canadian federal government will no longer process the LMIA (Labor Market Impact Assessment) for low-wage streams that fall under the Temporary Foreign Worker Program (TFWP) in several CMA’s (Central Metropolitan Areas).
In CMAs with an unemployment rate of 6% or greater, Employment and Social Development Canada (ESDC) will not process LMIAs in the Low-Wage stream. Which cities will be affected is a matter for future disclosure.
The agency does point out that there will be an exception for both seasonal and non-seasonal work in the construction and healthcare industries, together with the main food security-related agricultural, food processing, and fish processing industries.
Additionally, the TFWP will not allow firms to hire more than 10% of their total workforce, and workers hired under the Low-Wage stream will only be able to work for a maximum of one year instead of two years.
The Employment minister of Canada has also stated that Canada has been using the program far too often.
“The Temporary Foreign Worker program was established to address a scarcity of qualified Canadians to fill available positions in the labor market. As things stand, there are currently more Canadians eligible to occupy such posts. The adjustments we're proposing today will give Canadian workers top priority and guarantee that the program is serving the country's economic needs.”
As per the labor force survey, Canada's unemployment rate has been gradually rising. 6.4% is the current unemployment rate (as of June 2024). It represents 1.4 million unemployed people.
According to the Minister, these additional limitations will aid in "weeding out TFWP misuse and fraud." He also notes that Canadian employers must retrain and upskill current employees to ensure they can adapt to workplace demands in the future.
The ESDC authority will review the high-wage stream of the TFWP over the next ninety days. The Ministry says this could result in changes to existing LMIA applications for which positions have yet to be filled, to sectoral exceptions, or refusing to process other LMIA applications, including for rural areas.
Employers wishing to use the TFWP must submit an LMIA to ESDC to ascertain whether hiring a foreign national will have a positive, neutral, or negative impact on Canada's workforce and economy.
The TFWP is divided into two streams: Low-Wage and High-Wage. Low-wage employment is defined as those that pay less than the province's hourly median salary. To participate in the program, newcomers must meet certain requirements.
Recent Changes in Montreal’s Temporary Worker Levels
Quebec Premier François Legault's Temporary Foreign Worker Restrictions were implemented on August 20. The following are some recent changes.
- Temporary restrictions on foreign workers targeting Montreal's administrative region.
- Processing of Low-Wage Migration Application (LMIA) applications suspended from September 3rd.
- Exemptions for certain workers meeting occupation, location, and wage criteria or submitting LMIA before September 3rd, 2024.
- Suspension is expected to last for six months.
Motive Behind this Plan
Canadian Government's motive behind TFWP Changes.
- Increased focus on the program and temporary resident levels.
- Public calls out by Employment Minister Boissonnault and Immigration Minister Marc Miller for abusive employers.
- Historic inclusion of temporary resident levels in the annual Immigration Levels Plan.
- The study permit cap on international students is set to be in place until 2026.
Which pathways to consider for Canada Immigration?
Now, you must be thinking about which pathway you should consider if you want to immigrate to Canada. Don’t worry. We have compiled a list of Immigration pathways you can feel if you wish to migrate to Canada.
Canada Permanent Residency
You may apply for a Canada PR Visa if you want to explore greater professional chances in Canada. Canada provides a range of immigration procedures for individuals seeking permanent residency.
The renowned pathways to obtain permanent residence in Canada are listed here.
Express Entry Program for Canada
One of the well-known immigration initiatives that handles applicants for the nation's economic immigration routes is the Canada Express Entry Program. This immigration pathway encompasses the following immigration pathways.
Provincial Nominee Program
The Provincial Nominee Program (PNP) is a well-known immigration route that leads to permanent residence in Canada. Every Canadian territory and province has a unique provincial nominee program.
To obtain work authorization in a certain province or territory of Canada, you may choose to apply for this program.
Canada Study Visa
You can also apply for a Canada Study Visa. It has been observed that candidates with a maximum age of 35 years can also get the Canada Study Visa. Through this study permit, you can also explore various opportunities in this maple country.
For instance, you can enroll in various career-oriented study programs that are not available in India. These programs can help you build a global perspective and explore international opportunities.
Business Visa
Canada provides a range of business visas to enable professionals, executives, and entrepreneurs to visit the country transiently for business purposes to promote trade.
Those who possess a Canada business visa can:
- Travel to Canada for business purposes.
- Attend seminars and trade exhibits.
- Meet potential customers and receive fresh orders.
- Attend training provided by your Canadian firm.
- You can stay in Canada for up to six months if you have a business visa.
Conclusion
Canada has halted the Labor Market Impact Assessment (LMIA) for low-wage streams under the Temporary Foreign Worker Program (TFWP) in Central Metropolitan Areas with high unemployment rates.
The program will limit hiring to 10% of the workforce and limit workers' work duration to one year. The Employment Minister aims to prioritize Canadian workers and ensure the program meets economic needs. The suspension is expected to last six months.
For more details about Canadian Immigration, contact Province Immigration, the best Canada Immigration Consultants in Delhi, via +91 98961 96762 or info@provinceimmigration.com
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