Canada announces shortening the validity of the LMIA for foreign workers starting next month

Ahmed Moawad - | World

The Canadian government has announced the discontinuation of time-limited measures under the Workforce Solutions Roadmap for Canada's Temporary Foreign Worker Program.

Randy Boissonnault, Minister of Employment, Workforce Development, and Official Languages, has confirmed that certain time-limited measures that are part of the Roadmap for Workforce Solutions for the Temporary Foreign Worker (TFW) program will be suspended. Additionally, these measures will come to an end earlier than they were originally scheduled to, in the spring of this year.

Validity of labor market impact assessment

The validity of the Labor Market Impact Assessment (LMIA) will be reduced to six months beginning on May 1, 2024. This will result in a reduction in the amount of time that foreign nationals have to submit their applications for work permits.

Additionally, the limit for low-wage temporary foreign workers in some industries has been decreased from thirty percent to twenty percent. Before making a request for an LMIA, employers are required to completely exhaust all available options, such as recruiting asylum seekers who are in possession of legitimate work permits in Canada.

Providing work experience to international individuals within Canada

These workers have been essential in alleviating short-term labor shortages and skills gaps, contributing to Canada's competitiveness, and offering work experience to persons from other countries who are currently residing in the country.

Employers are required to conduct yearly salary reviews of temporary foreign workers beginning January 1, 2024. The purpose of these reviews is to bring the earnings of these individuals into alignment with the pay rates that are already in effect for their particular vocation and work area.

Maintain prevailing wage levels throughout the period of workers' employment

The purpose of these assessments is to ensure that salaries remain at the current wage levels throughout the duration of workers' employment. In the majority of instances, wage increases are implemented during reviews; nevertheless, if the wage is not increased, it is not permitted to decline and must remain unchanged.

As part of its efforts to ensure that the Temporary Foreign Worker Program is in line with the current economic requirements, the government of Canada will continue to evaluate the conditions of the labor market. This will allow the government to prioritize employment opportunities for Canadians while still respecting the rights of temporary foreign workers.

Reduce Canada's dependence on temporary foreign workers

The purpose of these initiatives is to lessen Canada's reliance on temporary workers from other countries and to make it easier for Canadian workers to find employment opportunities by providing those individuals with support. Additionally, the program is flexible enough to accommodate variations in the labor market, which enables it to assist companies in addressing temporary labor and skills shortages in situations when Canadian citizens and permanent residents are unavailable.

In response to the demand for temporary talents, the Temporary Foreign Worker Program (TFWP) works without constraints on the number of work permits that can be sought or awarded on an annual basis. It targets temporary skill shortages and is supervised jointly by the Employment and Social Development Canada (ESDC) and the Immigration, Refugees, and Citizenship Canada (IRCC).

Policy adjustments to address labor shortages

During the year 2022, the TFWP experienced a surge in demand as a result of the post-pandemic economic rebound, low unemployment rates, and record vacancy levels. This development led to the implementation of many policy measures in order to alleviate labor shortages.

In order to accommodate the shifting dynamics of the labor market and the diminishing number of job openings, the government is altering the Temporary Foreign Worker Program to guarantee that it is only utilized in situations when there are no Canadian workers available to fill the positions that are required.

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Ahmed Moawad
Ahmed Moawad
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