We’re Going to Have Fewer Temporary Foreign Workers in Canada: PM Trudeau, as Major Reforms Are Announced
Effective November 8, 2024, changes to the high-wage stream will see a 20% increase above the median wage for workers, with hourly rates rising by $5 to $8 depending on the province or territory.
The Canadian government has introduced significant updates to its Temporary Foreign Worker (TFW) Program, aimed at safeguarding Canadian workers and protecting temporary foreign workers from potential exploitation. Effective November 8, 2024, changes to the high-wage stream will see a 20% increase above the median wage for workers, with hourly rates rising by $5 to $8 depending on the province or territory. This shift aligns with Ottawa’s goal of ensuring that foreign workers are hired only when no qualified Canadians are available.
These reforms are part of a broader effort by the government to reinforce the TFW Program’s core objectives. Randy Boissonnault, Minister of Employment, Workforce Development, and Official Languages, emphasized the importance of the wage hike, saying, “This change reinforces our commitment to protecting temporary foreign workers while prioritizing Canadian workers available to join the labour force. By raising the threshold for high-wage stream positions, we are supporting wage growth for Canadians.”
Prime Minister Justin Trudeau also commented on the government’s commitment to worker protection in a tweet, highlighting how these changes reflect Ottawa’s ongoing efforts to ensure fair treatment for all workers. “We’re going to have fewer temporary foreign workers in Canada. We’re bringing in stricter rules for companies to prove why they can’t hire Canadian workers first,” Trudeau tweeted.
As more jobs shift to the low-wage stream due to this reform, employers will face stricter guidelines. Approximately 34,000 positions are expected to be reclassified under this stream, which requires employers to meet additional conditions regarding housing, transportation, and recruitment of workers already residing in Canada. These changes come as Ottawa seeks to curb any misuse of the program, limiting the hiring of foreign workers in regions with unemployment rates of 6% or higher unless exceptions apply in high-demand sectors.
The reforms also limit employers to filling no more than 10% of their workforce through the TFW Program, with exceptions for critical industries. This move is expected to reduce the number of TFW approvals by as many as 20,000 positions by the end of 2024.
In a significant policy shift, as of October 28, 2024, employers will no longer be able to use professional attestations from accountants or lawyers to verify their legitimacy. Minister Boissonnault confirmed this change would prevent misuse of the program and ensure that only genuine job offers are approved. “These measures will help ensure that only legitimate employers are allowed to hire through the TFW Program, thereby enhancing worker protection,” he stated.
The government also plans to expand information-sharing agreements with provincial and territorial partners to further scrutinize the program and safeguard worker rights. This includes enhanced data sharing with existing employer registries.
The TFW Program has faced criticism for instances of worker exploitation, and Ottawa remains vigilant in addressing these concerns. The Labour Market Impact Assessment (LMIA) continues to play a crucial role in ensuring employers demonstrate that hiring foreign workers will not negatively affect the domestic job market. Minister Boissonnault reassured Canadians that, while most employers adhere to the program’s guidelines, the government is committed to cracking down on fraudulent activities.
These reforms mark a significant step towards better protecting foreign workers while ensuring Canadian jobs are prioritized. As the program evolves, Ottawa’s commitment to preventing fraud and exploitation remains at the forefront of its policy agenda.