Canada job market: Fewer opportunities for Indians as work limits tighten

Come September 26, businesses in Canada will only be allowed to fill 10% of their workforce with low-wage foreign workers, down from the previous 20%. This decision comes as a response to the rising unemployment rates in Canada. But how will this impact Indians working under the Temporary Foreign Worker (TFW) Programme, and what should they do next?

Before diving into the details, let’s understand what the TFW Programme is.

The TFW Programme allows businesses in Canada to temporarily hire foreign workers when they can’t find qualified Canadian workers to fill job vacancies. Employers must show that they’ve tried to recruit Canadians before being allowed to bring in foreign workers, usually for up to two years.

 

"The TFW Programme is designed to be used only when qualified Canadians, permanent residents, as well as asylum seekers and refugees, are not able to fill job vacancies,” Mary Rose Sabater, a communication adviser at Immigration, Refugees and Citizenship Canada (IRCC), told Business Standard.

On August 26, 2024, Minister Randy Boissonnault announced that the number of low-wage temporary foreign workers in Canada would be reduced. "The recent changes made to the TFW Programme align with broader federal objectives to reduce the share of temporary residents to 5% of Canada's population," Sabater explained.

How many Indians are currently under the TFW Programme?

According to data provided by IRCC to Business Standard, as of July 2024, 52,455 valid work permits were issued to Indian citizens under the TFW Programme. Of these, 29,455 were held by workers in higher-skilled categories such as managerial roles, professionals, and skilled technical workers. The remaining 22,000 permits are likely held by workers in lower-skilled jobs, though exact details weren’t provided.

Breakdown of skill levels (January-July 2024):

Managerial Level (0):

2023: 830 work permits

January-July 2024: 495 work permits

Professionals (A):

2023: 1,655 work permits

January-July 2024: 750 work permits

Skilled and Technical Workers (B):

2023: 13,095 work permits

January-July 2024: 9,250 work permits

Higher-skilled total:

2023: 15,580 work permits

January-July 2024: 10,495 work permits

Note: The data provided are preliminary estimates and subject to change. The total unique count may differ since individuals could hold multiple types of permits over a period. Additionally, values are rounded to the nearest multiple of five to protect privacy, so totals may not always align exactly.

What does this mean for Indian workers in Canada?

For those already working in Canada under the TFW Programme, there won’t be an immediate impact. “These latest changes will not affect the validity of existing work permits for temporary foreign workers already in Canada,” Sabater said.

What about workers whose permits are expiring?

Workers with expiring permits will need to act quickly. "Foreign nationals interested in working in Canada through the TFW Programme should apply for positions posted by employers with an approved Labour Market Impact Assessment (LMIA). To find these job opportunities, individuals must visit the Job Bank website," Sabater added.

Finding a new job in Canada

As of September 9, 2024, there are 12,244 job vacancies listed on the Job Bank website (https://www.jobbank.gc.ca). Temporary foreign workers in Canada have the right to change employers without fear of punishment or deportation, according to the government. However, if you want to switch employers, you will need to apply for a new work permit.

On the Job Bank website, workers can filter jobs based on various criteria such as language requirements and job type. For example, if you’re looking for positions that require knowledge of both English and French, you can set your search filters accordingly.

What are the rules for work permits?

If you have an employer-specific work permit and want to change jobs or employers, you’ll need to apply for a new one. International Experience Canada (IEC) participants should check if they are eligible to change employers under their specific work permits.

It’s possible to start working for a new employer before your new work permit is fully processed, as long as you request authorisation to work while waiting.

Who is eligible to apply for a new work permit?

To apply for a new employer-specific work permit, you must:

* Have applied for a new work permit in Canada.

* Currently hold an employer-specific work permit or be eligible to work without one.

You’re not eligible if you are:

A business visitor.

A short-term worker under the Global Skills Strategy.

Extending your work permit

You can extend your participation in the IEC Programme only in certain situations, such as:

Your job has been extended.

You need to change employers.

The expiry date on your work permit is incorrect.

You’ve received a new passport or need to remove medical restrictions.

If none of these situations apply to you, you have two options if you want to stay in Canada as a worker:

1. Submit a new profile for the IEC and wait to receive another invitation to apply, provided your country of citizenship allows for multiple participations.
 

2. Apply for another type of work permit.

If you’re applying for a new work permit, it’s recommended to do so at least 30 days before your current one expires to maintain your legal status in Canada. If your work permit expires before your application is processed, you can continue working under what’s called ‘maintained status’ until a decision is made. However, if your application is refused, you must leave Canada by the date indicated on the refusal letter.