In a recent announcement, Canada reveals revised TFWP criteria. Marc Miller, the IRCC Minister, and Randy Boissonnault, the Employment Minister, revealed some notable modifications to Canada’s Temporary Foreign Worker Program or TFWP in a press conference.

Canada introduced several temporary measures to help improve labor market situations during the COVID-19 pandemic. But now Canada has started to remove these interim policies.

According to Minister Boissonault, the state of the economy has changed since then. He further stated that some of those measures are no longer necessary as the gap between unemployment and job vacancies has shrunk. Also, the labor market has become more competitive.  

Canada’s Temporary Foreign Worker Program or TFWP

Canada Temporary Foreign Worker Program or TFWP aimed to address labor market gaps in the country. The program issues work permits to foreign skilled workers who have the potential to help meet the market gaps. 

Canadian businesses planning to hire foreign workers under the TFWP must provide a Labour Market Impact Assessment (LMIA) to support their application. The LMIA helps the government verify that no eligible Canadians or permanent residents were available in the country to fill the job role.

Canada Revised TFWP Criteria

Canada temporarily extended the validity period of an LMIA to 12 months in an effort to improve the labor market conditions during the pandemic.

However, starting May 1, 2024, the validity duration will now return to six months. Notably, this change will not impact the employers who are a part of the Recognised Employer Pilot program.

Also, the proportion of low-wage workers who applied via the TFWP to the Canadian business workforce must not exceed 20%.  

In 2022, Canada raised the cap for certain sectors to 30% as a temporary measure. However, starting May 1, 2024, this will only apply to two industries, including the construction and healthcare sectors. This implies that only these two sectors will be permitted to include 30% of their workforce on low-wage TFWP work permits.

Notably, for seasonal employers and the agriculture sector, the cap exemption will remain unaffected. 

These changes emerge as Canada strives to strengthen the integrity of its immigration system. In Canada, the immigration plays a crucial role in its economy. 

Recently, in an effort to address an unsustainable and rapid rise in the number of international students, the IRCC declared a few changes. For instance, it imposed a study permit cap and updated its Post-Graduation Work Permit (PGWP) program.

The immigration minister of Canada has stated that the temporary resident population has recently increased greatly. Notably, it reached 2.5 million, or 6.2% of the country’s population in 2023. 

He added that the country aims to reduce its temporary resident population to 5% over the following three years. 

He further added that the government aims to provide every new family and resident with access to all the resources and services they require and position them for a successful start. Thus, Canada strives to establish a well-organized, sustainable immigration system that is focused on needs.