Changes and Updates Kicking Off 2025
After record numbers of newcomers in 2022 and 2023, last year the government changed tack and announced major changes aimed at reducing the number of temporary residents and new permanent residents amidst the high cost of living and housing shortage. In all likelihood, 2025 will see the government continue to implement measures which will have the effect of reducing temporary resident and permanent resident numbers. Here’s what you need to know to start 2025.
Changes to Open Work Permits for Spouses of Workers
On January 21, 2025, several changes will be implemented regarding open work permits for spouses and children of foreign workers and students.
Spouses of foreign workers will be eligible for open work permits only if the principal foreign worker is employed in a TEER 0 (managerial) or TEER 1 (high-skilled work that usually requires a university degree) occupation. The work permit of the foreign worker must also be valid for at least 16 months at the time the spouse applies for their open work permit.
Spouses of foreign workers employed in TEER 2-5 occupations will no longer be eligible for open work permits, with few exceptions. The exceptions are select TEER 2 and 3 (work that usually requires a college diploma) occupations in sectors with labour shortages or linked to government priorities. Immigration, Refugees and Citizenship Canada (“IRCC”) has announced that these are to be in the natural and applied sciences, construction, health care, natural resources, education, sports, and military sectors. The list of exempt TEER 2 and 3 occupations will be released on January 21st.
These changes will not apply to spouses of workers whose work permits are covered by free trade agreements.
If a spouse of a foreign worker no longer meets the criteria for an open work permit but has an open work permit issued under previous measures, and that work permit is shorter than the principal applicant’s work permit, the spouse can renew their work permit if they are applying under the same criteria as the current work permit and the requested duration of the renewed work permit matches the work permit of the principal applicant.
Changes to Open Work Permits for Spouses of Students
Spouses of international students will only be eligible for open work permits if they are enrolled in master’s programs that are 16 months or longer, doctoral programs, or select professional and eligible programs.
If a spouse of an international student no longer meet the criteria for an open work permit but has an open work permit issued under previous measures, and that work permit is shorter than the principal applicant’s study permit, the spouse can renew their work permit if they are applying under the same criteria as the current work permit and the requested duration of the renewed work permit matches the study permit of the principal applicant. If the international student requires more time to complete their program, the spouse will also be eligible to renew their work permit for the duration of the international student’s extended study permit.
Additionally, these changes will not apply to spouses of principal applicants who are transitioning to permanent residence.
Children of Foreign Workers and Students
Children of foreign workers and international students will no longer be eligible for open work permits at all.
End of Flagpoling
As of December 23, 2024, work permit and study permit applicants can no longer enter the United States or St. Pierre and Miquelon, then re-enter Canada to access immigration services at the port of entry. US citizens and permanent residents are exempt from this, as are professionals and technicians under free trade agreements with the United States and Mexico, Chile, Panama, Peru, Colombia, and South Korea. Spouses or common-law partners of professionals and technicians under free trade agreements with Panama, Colombia, and South Korea are also exempt from the ban on flagpoling. Another exemption includes international truck drivers who hold a work permit, are required to depart Canada for their work, and who applied for a work permit renewal prior to departing. A further exemption includes individuals who have a pre-existing appointment booked with the Canada Border Services Agency (“CBSA”) for permit processing.
Students whose study permits have expired, who have applied for renewals before they expired, but then leave Canada, will not be able to study when they return. They will need to wait for their study permit application to be approved before they can study again.
There is still some confusion surrounding the implementation of the ban on flagpoling, and we have sought clarification from the CBSA, with mixed messages. Some CBSA officers may view that even if someone stayed in the US for more than 24 hours and did not enter the US solely to turn around and re-enter Canada, this is still considered flagpoling.
Also, if there is still validity on one’s work permit, even for one (1) day, CBSA is very likely to view this as flagpoling for those returning from overseas destinations too, and will not process a request for a new work permit.
Express Entry Changes to Points for Job Offers
IRCC has announced that some time in spring 2025, it will implement a temporary measure to eliminate points under Express Entry to be awarded for job offers. This change is intended to primarily prevent fraud regarding Labour Market Impact Assessments (“LMIAs”) being bought and sold to support comprehensive ranking scores (“CRS”) to secure an invitation to apply for permanent residency. IRCC has not announced details including whether job offers based on LMIAs will be differentiated from job offers based on LMIA-exempt, employer-specific work permits where the applicant has worked in Canada for at least one (1) year. Accordingly, there is much uncertainty regarding this and how the CRS may be further impacted. In the meantime, the fraud will likely intensify.
This could mean that many people, particularly those who are not young adults and receive few or no points for age, may no longer have a path to permanent residence under Express Entry. In 2024, Express Entry draws had high cut-off scores, and job offers often made the difference between candidates being selected or not being selected. We await further details from the government.
International Experience Canada Re-Opening
International Experience Canada (“IEC”) is a program allowing young adults from certain countries with which Canada has an agreement, or who are nominated by certain recognized organizations (“ROs”), to work in Canada for up to two (2) years. IEC has now opened for 2025 and the first draws are taking place. If you are interested in IEC, we would be happy to advise on your options.
Changes in Unemployment Rates
Currently, Employment and Social Development Canada (“ESDC”) has a policy in place to not process low-wage LMIAs where the unemployment rate for that region is 6% or higher. Low-wage LMIAs are those in which the wage offered to workers are less than the wage threshold for the province where the work is to take place. The wage threshold is the median wage for all wages in that province with an additional 20% added.
ESDC has released updated unemployment rates for each region. The eligibility of LMIA applications submitted between January 10, 2025, and April 3, 2025, will be based on these updated unemployment rates. The regions where the unemployment rate has dropped from 6% or more to less than 6% are Vancouver, Abbotsford-Mission, Winnipeg, Brantford, Kingston, Ottawa-Gatineau, and Trois-Rivières. You can consult ESDC’s chart to determine if your region now allows you to apply for a low-wage LMIA.
The consequences of the government’s ongoing updates and changes are many and far-reaching, consequently we expect 2025 to be a rollercoaster. If you have questions about any of these topics discussed, please feel free to reach out to us for a consultation. Our Canadian immigration legal professionals can be reached by phone (416-368-1111) or via email: caruso@cilf.ca; bonisteel@cilf.ca; ali@cilf.ca; mukherjee@cilf.ca; garciafialdini@cilf.ca.
