Canada’s Immigration Hot Topics: Study Permits, Work Programs, and Pathways to Residency

Navigating Canada's ever-changing immigration landscape can be overwhelming for students, temporary foreign workers, and employers. From new restrictions on study permits to shifts in the Temporary Foreign Worker Program, staying informed is key to making strategic decisions. In our latest podcast, FH&P Lawyers’ immigration expert Carly Perryman, together with Clay Williams and Tanvir Gill, breaks down the latest immigration updates, including changes to study permit caps, pathways to permanent residency, and employment regulations, offering valuable insights for those planning to study, work, or hire in Canada.

Clay: Welcome to another edition of the FH&P Lawyer's Law Talk Podcast. Today, it's all about current hot topics. I'm here with Tanvir Gill. Tanvir, how are you? 

Tanvir: Good. How are you? 

Clay: So, I'm also here with Carly Perryman. Carly, together with Marvin, runs our immigration department. And she's here to talk about immigration.

There are a lot of changes that are happening in the immigration world. And, you know, I think this is your chance. Tell us what's going on. 

What’s going on in Canada’s Immigration landscape? 

Carly: Okay. I'll start. And tell you, although it may change in a week from now. Well, there's going to be something new. 

There have been many significant changes to the international student and temporary foreign worker programs, and some changes have made it more challenging for people to become permanent residents in Canada right now. 

Clay: Okay. Why don't we start here? You've got the study permit cap you've told me you want to talk about. So what's that all about? 

Changes to Canada’s International Student Program

Carly: It was announced that Canada has significantly cut the amount of international students that are going to be coming to Canada going forward, at least over the next three years. What that means is a 10% reduction for 2025, and then they're gonna try and stabilize it, I guess, in 2026.

But we'll see what happens. 

Clay: But the numbers you've given, they're astonishing. I mean, I had no idea that there were this many students. So, the cap for 2024 is 485,000 study permits. And they're only reducing that in 2025 to 437,000. 437,000 students. I just had no idea. 

Tanvir: 10 percent is not that big. I mean, It's a lot of people, but it's not when you look at the number itself, almost half a million.

Carly: I think what they've done though, is they've cut the types of programs that people can come to Canada for. So only focusing really on bachelor's and above. A lot of people that were taking certificate programs or even post-grad programs, it's going to be more difficult for them to either come here to enroll in that program, but also to be able to then go on to stay in Canada.

Clay: That is a legitimate path to permanent residency and citizenship? To come here and study? 

Carly: It is if you are in a Bachelor, Master or PhD program.

Clay: And before that it was just any old certificate? 

Carly: It wasn't any old certificate, but I think that there were more programs available. It didn't have to be a bachelor's degree.

Also, private institutions were able to offer programs, which they still can. But it's now more difficult to actually get a work permit and achieve the goal of becoming a permanent resident through a private institution. 

Clay: So, is there a time requirement? Does the program have to be a certain length, and you have to take so much time during your day to be there, or something like that? What are the criteria? 

Carly: Generally, it's a full-time study program. So whatever that looks like at a public institute such as UBC or UVic or any of those publicly funded institutions. And then they have to graduate. Be focused on their studies, and graduate from the program. And then, at that point, they're given the opportunity to be able to work to get some experience. And then, you know, continue to contribute to Canada and eventually become a permanent resident. 

Tanvir: The students that are currently here, can they work? Does that change?

Carly: That remains the same, but it's also program-specific. So, the student would have to say on their study permit that they're able to work off campus, and the limit is 20 hours per week. 

Clay: Doing anything? So I come here, and I'm going to study, I don't know, marketing. Can I go and get a job at Arby's? 

Carly: You could, but I don't know if that would help you prepare for your permanent residency path.

Clay: Because?

Carly: Working at Arby's is not considered to be a skilled job. So you could definitely do that, and lots of people do, But that's kind of where we come in. So we're working with ones that are going to school, and we help them to look at the big picture. How are the choices that you're making now going to prepare you for your goal to become a permanent resident and eventually a citizen? 

Clay: Okay, so what is “publicly funded”? What does that mean? You know, I think I read on one of the local news outlets here that Okanagan College was seeing a big decrease, but that's a publicly funded institution, isn't it?

Carly: Yeah, and the official language is a Designated Learning Institution or DLI. Immigration Canada actually has a database that you can look into to find out if you're a student. School or a school that you're thinking of going to is on that list. Okanagan College is, but like I said, they're just shifting on the types of programs.

Because Okanagan College is a college, it offers many certificate programs. It does offer some bachelor programs, but I think that it's probably seen a decrease in enrollment for those certificate programs because, obviously, there's no pathway for those ones to stay in Canada after they graduate.

Clay: Okay, so it has to be a diploma, now. Is that two, does that mean two years? 

Carly: Two, three, four, yeah. Depends on the program. 

Clay: So that's a big change. It is. So when I look at the numbers, when they say a ten percent decrease, that doesn't seem like a lot to me. That's a lot of permits they're giving out.

It's just that now it's a lot harder to get into these actual diploma programs. And what happens if you don't pass? What if I get here? I don't even go (to college). What happens then? 

Carly: Then you better come and talk to us. I mean, there are a lot of different reasons why people might not be able to follow through on their studies.

So, we definitely work with those clients, you know, some who may have had an illness, or something happens and they just simply can't afford to continue going to school. Or, you know, in other cases, we've had, we've had clients who've had a death in the family if it was their father who was paying for their education, and he died, so those reasons exist.

At that point, we do help those, and there are things we can do. We can apply for a work permit for a destitute student so that they can work a little while to get back on their feet. But the intention is for them to get back on their feet and then go back to school to finish their program.

Clay: Now, what happens to the students who are kind of caught in the middle of this? They started a certificate program, and now the government says, Oh, no, you have to go to a special, publicly funded school and get a diploma. Are they going to be grandfathered in? 

Carly: So no. They won't be. I think a lot of those students are looking at maybe changing programs. That's what we will normally do, is refer them to a publicly funded school, a DLI, to work with their admissions department to see if any of the schooling that they've taken in their certificate program can be used as credit towards getting into a program that is eligible.

Tanvir: Imagine being almost done and all of a sudden, you have to then start again and see if any of that carries over. 

Carly: I know. Yeah, it's difficult, I feel, for those ones, for sure, but, if that's what happens, it's the government.

Clay: So, after you graduate, what is the next step towards being able to work in Canada permanently?

Carly: So, most DLIs, are eligible for a postgraduate work permit. 

Clay: And DLI is an acronym, and just for us, what does that mean? 

Carly: Designated Learning Institution. So if you graduate from the program that you are enrolled in, then you will be eligible for an open work permit, for up to a maximum of three years, depending on the length of your program.

So the intention of that, and you know, we always tell people, is to make a good decision; this is your career. So that the job that you pick aligns with your career goals. It is skilled work, so you can use those three years to work towards your permanent residency. 

Clay: And, at the end of the three years, then what happens?

Carly: There are lots of different programs for permanent residency. The most common one for skilled workers is called Express Entry. As the name suggests, it's a fast pathway for those who meet the qualifications. It's based on a point system called the Comprehensive Ranking System (CRS). Each person is assigned points based on things like their age—the younger, the better.

Anyone over 35 is considered old, which is very disappointing. Right, you get fewer points. But your level of education inside and outside of Canada, your English or French language ability, and whether or not you have brothers and sisters in Canada. So, basically, all of those points add up to a number out of 1200.

Clay: Are the point criteria the same for those applying outside of Canada as inside Canada after they've graduated? 

Carly: It's a different program. So the Express Entry Program is the umbrella, and within that, there are categories, I would say. So, to the Federal Skilled Worker category, ones that are outside of Canada can apply. But right now, Canada is not prioritizing ones that are outside. They're looking at people who are already here. Those people would qualify under the Canadian Experience Class subcategory, and there are other subcategories for trades as well. 

Clay: Can they do anything as long as they've got a job? This is my career now, or is that ranked on that point system, what they're doing?

Carly: It’s definitely ranked. So there's something called the National Occupation Classification (NOC). So that's a data bank where Canada has decided and coded every single job that exists. I mean, I wish I would have had that on career day in high school. Maybe I wouldn't be here, maybe I'd be somewhere else.

Basically, it assigns a code to the job, and then that is ranked in a tier system. So it goes from zero, which is management, All the way down to five, which is low skill. 

Clay: You could help there that you would say, look, you've got three years here to get a bunch of points.

Carly: So that's one of the services that we offer. We offer a 30-minute video consultation. We get information from the person before the meeting so that we can prepare. We can do their CRS Score assessment. We can look at their resume to see what their education is and what their career goals are. We can then give them steps and help them know which program they should be looking at applying for.

Clay: Okay. and you gave me some crib notes here. You put some stuff down about spouses, I guess. So, what is that all about? 

Carly: Yeah, so I mean, that's a pretty steady program, and I'm really grateful for that. So, up until now, you know, there has been the ability for people to bring their spouses to Canada if they were going to school or working.

Recently, there have been some changes, which have definitely impacted those who are planning on bringing their spouses. So, if you are an international student, you have to be in a master's program or above to be able to bring your spouse with you and for them to be able to obtain a work permit.

Clay: That's really a big change, isn't it? Because, now I've got to be in a two-year diploma program at least, and I can't bring my spouse. 

Carly: Right. So I think that's, you know when they're looking at that 10%. I mean, it's going to discourage a lot of people from applying. Because they're not going to be able to bring their families with them.

They can, but that means their spouse will not be able to work. 

Clay: What about in that three year period? Once I've got my diploma, I'm in that three-year period where I'm trying to get points. Can I bring my spouse over then? 

Carly: So, again, a lot of changes. So it has to be in what's considered to be an in-demand occupation.

Right now, Canada has changed that to a management occupation. So, if your job is in tier zero and you're working in it, your spouse is eligible for an open work permit. 

Clay: Oh, wow. 

Carly: Yeah. And that's it. So they definitely discourage people from coming to school in Canada by limiting the spouse's ability to be able to work.

Tanvir: I feel like you need a cheat sheet to sort of lay out all of the, if this program, these categories, if one of these, then it depends. That's a lot just to keep up with. It is a lot. 

Clay: Well, if you're trying to immigrate and get a job here, there’s a lot of behind-the-scenes stuff to know. I mean, it's just not going to happen organically. It sounds like it has to be very strategic. 

Carly: It does. And it kind of shifts all the time, right? And that's what we always tell people is that, yes, we'll help you set these goals. But you know, that's something that we're doing is monitoring.

Yeah, and it might change. You set those goals to set yourself up for success, but something could shift, and that program closes. So now you have to reevaluate. 

Clay: Wow. Okay. What's this, all this about the cost of living threshold? What does that have? 

Carly: Yeah. So, basically, the government has upped the cost of living threshold. So before, if you were coming as an international student, you had to show that you had a certain amount of money to rely on. So your tuition was paid. But that you also had money in the bank that you could pull out at any time if you needed to. They've upped that number significantly.

The cost of living here has gone up, we all know. 

Tanvir: What do you generally need to show that you have available to you? 

Carly: You know, it really depends, on number one, for a single person. And I actually don't know that right off the top of my head. But they have a chart. So they'll say, okay, if you're a single person, it's this much.

It was CAD 10,000. I think it's more than that now. If you're a family of two, it just kind of goes up from there.

More about proof of funds for international students here

Clay: So very much harder, it sounds like, with these changes to come here, using that route to get into Canada. It sounds like you've really got to want to be here for the long term.

Carly: And be prepared. I think that's kind of the goal because, people keep saying to us, is this going to affect your workload? No, not at all. I mean, typically, we don't see a lot of student applications. Those are usually handled by the schools and immigration consultants. But I think what we did see was a lot of people where things had gone terribly wrong, and then all of a sudden, they needed our help because they couldn't afford to eat and pay their tuition.

These changes, I think, will help people be more prepared to come to Canada. So they've got enough money in the bank, and they're getting the English language skills that they need to be able to survive here because I think that the failure rate of a lot of people that we saw coming was too high.

Clay: Okay. Anything else you want to talk about with respect to the changes to the students?

Carly: We always say to talk to a professional. Even if you don't end up hiring someone to take you through that whole process, at least have someone you can talk to for one hour to get an understanding of where you fit.

Clay: And you guys do that?

Carly: We do that, absolutely. So, like I said, we'll offer that 30-minute plan, depending on the complexity. But if it's just to answer general questions or to kind of create a plan, we can do that. The other advice I would have for students is that they should look at “in-demand occupations” that are going to bring a significant benefit to Canada. Look at that, right? That's available.

Canada has a plan. If you want to come to Canada and use your skills, then you need to be a part of that plan.

Clay: It's like the old saying, “It's cheaper to see a lawyer at the beginning of things instead of seeing one at the end when things go badly.”

Carly: Do people believe that, though? I don't know.

Changes to Canada’s Temporary Foreign Worker Program

Clay: So I guess the other big thing that's going on right now is Temporary Foreign Workers. And we're hearing a lot about that in the news and how things have changed. So what's going on there? What do we need to know?

Carly: Well, before the pandemic, the program was basically the same as the changes that they've made now. So what happened during the pandemic is that because all of a sudden everybody was sent home. The unemployment rate was high, but also there were a lot of labour shortages. So they basically eliminated some of the restrictions and just opened it up so that Canada could fill those positions that were needed.

And it worked, and I think, you know, it kind of worked too well. So now they've scaled back and said, we're going to go back to how things were before the pandemic. So basically what that means is if the region that you live in has an unemployment rate of over 6%, in a metropolitan area like us, like Vancouver, then they will refuse to process the application, which is called a Labour Market Impact Assessment for a Canadian employer for what's considered to be a low skilled position.

The other one is that there's increased scrutiny of the Canadian company's ability to fulfill the terms of the employment contract. Every employee, Canadian or not, is subject to the Employment Standards Act. But especially for temporary foreign workers, the company has to be able to show that it can pay the wage. It’s financial.

Before, companies could submit an attestation letter, which was a letter from a lawyer or an accountant saying that the company had the ability to pay for this employee. Those are no longer acceptable. The company actually has to show it. They have to prove it.

So they have to show their financial records and CRA tax returns to do that, which can be a challenge because, for some companies, they're being run so that they're not making a profit, right? So all that money is going out to shareholder dividends and those kind of things.

So, we can review those records with Canadian employers to ensure that they can cover these.

Clay: Oh, so there's got to be some planning now. So you got to show some income before you bring in a worker now, eh? Okay. That's interesting.

That's going to really restrict the program, isn't it?

Carly: I think so. Yeah, absolutely. Yeah. And I think that's it. They're just trying to make sure that the Canadian companies are going to be taking care of those workers and making sure that they're paid the same as a Canadian would be.

Clay: Is there a path to citizenship if you come in as a temporary foreign worker, or is it truly temporary?

Carly: It depends. So there's another subsection of the temporary foreign worker program that's for high skill workers. And then there's another one for what's called the “pathway to permanent residency.”

The criteria for those positions are a bit different, but they're usually in higher-skill positions with higher wages. Initially, they'll come on a labour market impact assessment. But they're going to be offered a work permit that's two or three years in length, which will allow them to attain that goal of becoming a permanent resident during those two to three years.

Clay: Okay.

Tanvir: Wow. Interesting stuff. There are so many ways to look at all the changes. I know, with the LMIA process, I hadn't known too much about it. We've had clients that may have had it in the past and used it to hire employees. But a lot of what I was hearing recently was that Canadian employers were charging people to have them come in through the LMIA process.

This is about 40,000 to 60,000 Canadian Dollars per worker. The workers were just paying the companies that sum of money to come here on the LMIA and work.

Carly: Yes, and that bothers me. I get heated about that. I mean, that's one of the things that Marvin and I, we always counsel people on if they're thinking of coming to Canada, is that make sure that whoever you work with is reputable.

That goes for not only your immigration representative but also working with any sort of recruiter.

“Immigration fraud is rampant. Under Canadian law, an employer, recruiter, or immigration professional is not allowed to charge the employee for certain costs related to becoming a temporary foreign worker.”

I think it's a big issue, and then people get ripped off, and the job is not what they thought it would be. So I think Canada's trying to monitor that. I think it's a big problem. I don't know how you get a hold of it. But we definitely work with our clients to make sure that they're adhering to the laws that ESDC, Service Canada, and the LMIA people have put in place.

Clay: I'm still shocked at the number of study permits that were issued. I mean, 485,000 study permits. Do you have a sense of how many temporary foreign workers are in Canada at any given time?

Carly: I did not write that down. We can Google it. Canada has a five year plan, and it is made public. So I don't have that off the top of my head. I'm sure the number is still quite large. They've reduced the rates for low-skill occupations. They have not reduced the rates for the high skill. Those are, in fact, increasing. Because those are the places that Canada wants to fill those positions for skilled trades. Engineers and people working in tech will continue to increase, as will the number of permanent residents.

Clay: Actually, I see you've written some down here. Healthcare and Trades are highlighted. So those are the areas?

Carly: Yeah, Canada has set targets for people to become permanent residents. So they're going to be basically cutting the targets for permanent residency overall by 20 percent broadly. But they're allocating what they're calling economic priorities. So ones that have a French language proficiency and want to live outside of Quebec: that's one. Healthcare occupations are another one because we have a huge shortage. And then the last one is trade occupations. So for 2025, those are the three that the canadian government is going to be focusing on to attain permanent residency.

Clay: I don't understand the French language proficiency outside of Quebec.

Tanvir: So you can read the opposite side of a bottle just in case you pick it up the other way.

Clay: In Kelowna, where we're filming this, it'd be pretty tough to get by with just French and no English.

Carly: It doesn't matter. I think they're just encouraging Canada to maintain the French heritage outside of Quebec. If you speak French, now's a good time to come to Canada.

Clay: But, outside of Quebec.

Carly: Outside of Quebec, for sure. Yeah, isn't that an interesting criteria?

Clay: Very interesting. Very, very interesting. Okay, and health care, I guess, you know, we certainly hear about a lot of shortages. And trade occupations, you know, I don't know. It'll be interesting to see the temporary foreign workers kind of that program and what happens there for sure.

Carly: Yeah, well, and I think the trade occupations, you know, it's most of those ones that are considered to be high skill. I mean, I think it's going to be difficult for people that are just labour like a general labourer. That's a challenge. But obviously, you know, electricians or ironworkers, or even roofers, you know, there's a lot of things that we need, and Canada is still continuing to grow, and there's just not enough.

Clay: Alright. So, what are some of the takeaways that you can give us? What kind of advice can you give to people who are looking for a pathway, I guess, to work in Canada?

Tanvir: Let's start with students. What would you say to them?

Advice for international students looking for a pathway to study and work in Canada

Carly: Research your school thoroughly. Don't be taken in by these recruitment organizations in your home country. Make sure that you go right to the source, which is the Immigration Canada website, to make sure that the school that you're going to attend is on the designated learning institute list. Also, look at whether or not it qualifies you for a post-grad work permit because if you can't get the work permit, then you're going home.

Clay: Wow, okay. Yeah, that's pretty tough, eh? You know, you're in another country, you might not have the language skills, and, how do you know? I can see where there could be some people taken advantage of.

Carly: For sure. And that's one other thing that I didn't mention is that they've also raised the bar for English and French language. So, for an international student, It's much higher than it used to be, which I think is a good thing. If you are going to come to Canada at all, start learning English or French.

Clay: What do they test? Do they test before you come to Canada or once you're here?

Tanvir: So as a language proficiency exam.

Carly: Exactly. There are certain tests for English and French. The school has an academic version of that test, so they will require that it be passed. Before, and I think immigration regulates what that looks like as well. Then, there is the general version of those tests that work into the permanent residency plans, and those are mandatory. It depends on the skill level of the job as to what that test score has to be.

Clay: And what about workers?

Advice for foreign workers looking for a pathway to Permanent Residency in Canada

Carly: Learn French. There you go. I was going to say that. and English, right? French or English. And also make sure that the career or the job they're coming to in Canada aligns with what their experience is in that occupation. So you can't come to Canada to be a cook if you were a framer in your home country. Right, because the employer has to be able to show that you're the best person for the job.

Clay: I see. And what are your takeaways for Canadian employers, then?

Advice for Canadian employers looking to hire temporary foreign workers

Carly: When I said to Marvin that I was coming on here, what he said is he said,

“Do not hire foreign workers for cash or under the table.”

There are two reasons for that. Number one, it's illegal. So, a Canadian employer can suffer fines, if they were to be found to have those ones on their job site or their place of employment. And also it ends in consequences for the temporary foreign worker.

And I think that's the saddest thing that we see: if a temporary foreign worker has worked under the table with no status, it will eliminate their chances of being able to work legally in Canada in the future. So, as an employer, paying someone under the table who doesn't have a work permit, you're not actually doing that person any favours.

Clay: Alright, anything else that you want to give some some takeaways or some advice on?

How FH&P Lawyers can help with your Immigration challenges.

Carly: Hire a professional or at least consult with one. I think, you know, even from our chat today, you can see that there are just so many changes happening all the time, and we don't even know what's going on.

When the new changes are going to come in, we might get a day's notice and then all of a sudden, we've got something else new to research. I think if you're a Canadian employer looking at hiring someone, or you're a person that's already in Canada or thinking of coming to Canada, just having that meeting with someone that knows what they're talking about, just so that you can get a sense of what your plan is going to be.

And then, you know, Obviously, with any sort of government, your application has to be perfect. No one's perfect, but we strive for that. We have a great team here, where we have a lot of expertise and we kind of do this kind of layers of checking to make sure we've done everything as good as we can to get the outcome we want.

Clay: The numbers are so high that it just seems like if you were working in the immigration department, there would be this huge lag anyway. Do you find that it's really laggy?

Carly: It can be, I think right now it is, but there are certain things that we can do to help people in those positions. And I think a lot of it's about timing.

Clay: If your application isn't perfect, then you've got to resubmit it and go through that crazy time frame.

Carly: Exactly. And that's what we don't want. So we want to set people up for success and, yeah, there's a lot of waiting. Hopefully, we can be there for you and help with patience because we've had to develop a lot of it.

Clay: Do you want to sign off today

Tanvir: Sure!

Clay: Okay!

Tanvir: Thanks, Carly. That was great. I think there's just so much to this and we could have gone on for another hour.

So, with all the complexities, categories, and different options out there for people coming in as students, temporary workers, or employers, there's just so much of it. As usual, it's been great. It's such an aerial overview conversation. If you are an employer and have certain questions about your own application, reach out to us. Let us know.

Clay: That was better than

Tanvir: What do you usually say?

Clay: Well, you know what? I don't, I don't think I actually have it.

Tanvir: You do have a saying.

Clay: That was pretty good. Usually, by the end, I think I've lost my job.

Tanvir: Until next time. That's what you say. Until next time.

Clay: That's right.

Questions? We're ready to help. Please contact Clay Williams or Tanvir Gill, or any of the team at FH&P Lawyers.

Disclaimer: This material is provided for informational purposes only and should not be construed as legal advice on any subject matter. Consult with a qualified lawyer for advice on specific legal issues.