The Minister of Employment, Workforce Development, & Official Languages, Randy Boissonnault, declared that Canada would take special measures to help employers hire more TFWs, i.e., temporary foreign workers.
The Temporary Foreign Workforce Solutions Roadmap is a continued measure to enable employers to better respond to labor & economic conditions in Canada as they occur by adjusting the TFWP.
Presently, the declaration has instituted the following changes:
- Employers in seven selected sectors, i.e.,
- Wood product manufacturing
- Food manufacturing
- Furniture & related product manufacturing
- Accommodation & food services
- Nursing & residential care facilities
- Construction
- Hospitals
- A duration cap of employment of two years will be upheld for positions under territorial/ provincial minimum wage.
- LMIAs will have reduced validity from the previous 18-month maximum to a 12-month maximum.
- Effective from January 2024, employers will be performing annual reviews of their temporary foreign worker’s salaries in order to ensure that they are comparable to the prevailing wage rates for the given profession & region of work.
These special measures to help employers hire more TFWs are set to be in place until August 30, 2024. These measures have a provision to adjust themselves according to the labor market & economic conditions as needed.
While Canada has made substantial progress in addressing labor shortages after the pandemic, numerous factors continue to be plagued with a persistent lack of workers. Reflecting this fact, the unemployment rate in September was 5.5%. This number has been steady for the last three months despite the record immigration levels. In fact, the employer demand for TFW has increased by 40% (approx.)compared to the previous year, further insinuating persistent vacancies.
What Is A Temporary Foreign Worker Program?
Apart from the special measures to help employers hire more Temporary Foreign Worker Program (TFWs), Canada has two umbrella work permit programs. One of them is TFWP, i.e., temporary foreign worker program.
Under this program, foreign nationals are hired by Canadian companies to work in Canada. However, employers will require an LMIA. An LMIA is an official approval process & document that the Canadian government will use to assess if the permanent resident or citizen can be hired for the same role or not.
A foreign national might be hired if an LMIA returns with a positive/ neutral decision. However, if LMIA does not support the decision, the work permit application will be refused. Moreover, LMIA-supported work permits are tied to a specific employer & one industry.
Moreover, employer compliance is critical for the program. Not only does the Canadian government maintain online records of employers who are non-compliant with TFWP standards, but it has also created a safety program for vulnerable workers.
In addition, IRCC has launched the REP to streamline LMIA procedures for trusted employers with an excellent track record with the program, further proving the importance these workers play in filling the labor market gaps.