Canada Halts Work Permit Applications for Visitors Amid Efforts to Rebalance Temporary Resident Numbers

As of August 28, 2024, temporary residents in Canada holding visitor visas can no longer apply for work permits from within the country. This marks a significant shift in Canada’s immigration policies, specifically targeting the management of temporary resident levels.

Initially implemented in August 2020, this policy was a response to the global challenges posed by the COVID-19 pandemic. Border closures and travel restrictions left many visitors stranded in Canada, unable to return to their home countries. To provide relief, the Canadian government introduced a temporary measure allowing these visitors to apply for work permits without leaving Canada. Additionally, visitors who had previously held work permits within the past 12 months were allowed to work legally in Canada while awaiting decisions on their new applications.

Although this policy was originally set to expire in February 2025, Immigration, Refugees, and Citizenship Canada (IRCC) has decided to end it prematurely. The decision, according to IRCC, aligns with broader efforts to recalibrate the number of temporary residents in Canada and uphold the integrity of the immigration system.

Rationale Behind the Policy Termination
One of the key reasons for the early termination is the growing concern over immigration fraud. IRCC has been alerted to instances where “bad actors” exploited the policy to mislead foreign nationals into working in Canada without proper authorization. This has led to a crackdown on immigration fraud and a reassessment of temporary resident levels.

The Canadian government has been actively addressing these concerns. In a recent example, IRCC discovered that approximately 700 Indian international students had entered Canada using fraudulent letters of acceptance from Designated Learning Institutions (DLIs). Many of these students were unaware of the illegitimacy of their documents. In response, IRCC has mandated that DLIs verify all letters of acceptance within 10 days of receiving an international student application. Additionally, Canada has imposed a cap on the number of international students it will accept over the next two years.

Broader Implications of the Policy Change
The discontinuation of the work permit application policy is part of a broader strategy aimed at reducing the number of temporary foreign workers in Canada. On August 26, 2024, IRCC announced a pause on processing certain Labour Market Impact Assessment (LMIA) applications under the Low-Wage stream of the Temporary Foreign Worker Program (TFWP). This pause, effective by September 26, 2024, will affect applicants in Census Metropolitan Areas with unemployment rates of 6% or higher.

Furthermore, the government introduced new restrictions on the number of foreign workers that Canadian employers can hire under the TFWP, capping it at 10% of their total workforce. The maximum term of employment for workers in the Low-Wage stream has also been reduced from two years to one.

These policy shifts reflect a broader trend of rolling back pandemic-era immigration measures. During the pandemic, IRCC and Employment and Social Development Canada (ESDC) had temporarily increased the percentage of foreign workers that Canadian employers could hire under the Low-Wage stream and extended the validity period of an LMIA to 12 months. These changes were necessary to address immediate labour shortages during an unprecedented time.

However, with the pandemic’s impact waning, the government is now reversing these measures. In May 2024, IRCC and ESDC began repealing these policies, as announced by Employment Minister Randy Boissonnault and Immigration Minister Marc Miller in a joint press conference. Minister Miller also made headlines by announcing the historic inclusion of temporary resident levels in the annual Immigration Levels Plan—a first in Canadian history.

Immigration remains a central issue in Canada, with recent months seeing a flurry of announcements aimed at managing and reducing temporary resident levels. Minister Miller has signaled that further changes to permanent residence levels may be on the horizon, indicating that Canada’s immigration landscape is set to evolve even further in the coming years.