Canada Announces More Changes to Temporary Resident Programs Affecting International Students and Temporary Foreign Workers

On September 18, 2024, The Honourable Marc Miller, Minister of Immigration, Refugees and Citizenship announced additional measures to manage the volume of temporary resident arrivals to Canada:

• A further 10% reduction of the intake cap of international student study permits for 2025

• Updating the Post-Graduation Work Permit Program to better align with immigration goals and labour market needs

• Limiting work permit eligibility to spouses of master’s degree students to only those whose program is at least 16 months in length

• Limiting work permit eligibility to spouses of foreign workers in management or professional occupations or in sectors with labour shortages

Why So Many Changes?

During and after the COVID-19 pandemic, Canada faced labour shortages and temporary measures were put in place to support the urgent needs of Canadian businesses and our economy. According to Minister Miller, these temporary measures “were allowed to run on longer than needed, and an urgent pivot is now necessary.”

We are seeing unemployment rates in Canada rising, with fewer opportunities for youth and newcomers to Canada. The goal of the changes is to bring the numbers of international students and temporary workers back in line with the labour market needs of Canada.

Over 900,000 international students studied in Canada last year and many of them faced challenges as they were unprepared for the reality of life in Canada.

How will this impact international students currently attending a Canadian school?

Many of the announced changes will not affect those who are already studying in Canada, as they are not counted as part of the new cap. This includes the requirement of obtaining a Provincial Attestation Letter.

As far as eligibility for a Post-Graduation Work Permit, graduates of programs that are at least 2 years in length at PGWP-eligible designated learning institutions are eligible for a 3-year PGWP, as are graduates of master’s degree programs less than 2 years in length.

It should be noted that the changes to the eligibility for open work permit for spouses and common-law partners of international students will be updated and have been limited to students of graduate (master’s or doctorate) and professional degree-granting programs only.

Some good news: Spouses and common-law partners of international students that already hold an open work permit and are seeking to extend their existing work permit will continue to be eligible under this stream.

For more information, please go here.

How will this affect ones planning on studying in Canada in the future?

The cap on the number of international students will make acceptance to a designated learning institution in Canada more competitive. In 2025, there will only be 437,000 spots available for new international students.

Additionally, the length of the Post-Graduation Work Permit will depend on the level of study rather than the number of years completed. Graduates from public colleges will only be eligible for a work permit of up to 3 years only if their field of study is linked to labour market shortages in Canada.

Spouses and immediate family members of international students will only be issued open work permits if the student is enrolled in a doctoral program or certain master’s programs, select professional programs and certain pilot programs.

How will this impact the Temporary Foreign Worker Program?

In his speech on August 26, 2024, The Honourable Randy Boissonnault, Minister of Employment, Workforce Development and Official Languages, said:

“The Temporary Foreign Worker Program was designed to address labour market shortages when qualified Canadians were not able to fill those roles. Right now, we know that there are more Canadians qualified to fill open positions. The changes we are making today will prioritize Canadian workers and ensure Canadians can trust the program is meeting the needs of our economy.”

Canada plans to reduce the number of work permits issued to workers in low-skilled and low-wage occupations. This also includes limiting work permit eligibility to spouses of foreign workers in management or professional occupations or in sectors with labour shortages.

The fact remains that Canada relies on temporary foreign workers to propel the Canadian labour force, which is crucial to our economic structure. Canada is continuing to assess labour market needs and is prioritizing agriculture, food processing, healthcare and construction.

The Labour Market Impact Assessment (LMIA) Program continues to operate while some stipulations have been added to reflect the pre-pandemic iteration of the program, including refusing to process low-wage LMIAs when the regional unemployment rate is 6% or above and issuing only one-year work permits.

If you are an international student in Canada, a temporary foreign worker or planning to be one, please contact us today to discuss how these changes affect you and how you can be best prepared to deal with any issues that may arise. Reach out to FH&P Lawyers via email at imm@fhplawyers.com or Ph: (250)-980-2305.

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