IRCC Scraps Job Offer Points for Permanent Residence

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As perhaps his last act as Minister of Citizenship and Immigration, on March 11, Marc Miller signed a Ministerial Instruction making good on his earlier promise to eliminate points for job offers with respect to Express Entry, Canada’s system for selecting economic immigrants for permanent residence. Effective March 25, 2025, candidates will no longer receive points for a qualifying offer of arranged employment. This is reflected in section 29(1) of the current Ministerial Instructions respecting the Express Entry system.

What this likely means is that individuals who previously held competitive scores in Express Entry due to their job offers (closed work permits) will no longer have a competitive score. These candidates are usually seasoned professionals or executives in Canada pursuant to closed intra-company transferee or professional category work permits and receive no or few points for their age. They will now find themselves at a distinct disadvantage with those candidates between the ages of 20 to 29 who receive the most points for their age. We expect this may be beneficial to the many international students and graduates in Canada who hold open work permits and previously did not receive the job offer points.

Surprisingly, the government has not announced any further changes regarding Express Entry. We had thought that the government might change the points allocated for certain criteria, such as work experience in Canada to make up for the lost points. While it is to be seen whether future draws will have lower scores, we are expecting more draws that target French speakers and key occupations, particularly in the construction trades. Since 2023 and throughout 2024, the government has made clear its intention of increasing the number of French-speakers outside of Québec, with the last French language Express Entry draw on March 21 having a cut-off score of 379, one of the lowest scores we’ve seen in years!   The government has also stated that it intends to take measures to address the skilled trades shortage in Canada, particularly in construction, which you can read about in our previous bulletin here: https://www.cilf.ca/2025/03/20/marchnews/.

People seeking PR may now wish to maximize their chances of securing an invite by submitting an expression of interest for a Provincial or Territorial Nominee Program (“PNP”) if they qualify, for example, with an employer who is willing to support them. However, allocations of permanent resident spots from the federal government to PNPs are down 50%, so this path may not offer a lot of hope either.  We believe provinces and territories have inventory from 2024 that will take up some of their 2025 allocations, which may explain why we have not seen invitations from some provinces.

While the government had said that they were introducing this change to ostensibly clamp down on the number of bogus LMIAs, the fact that it affects both LMIA-based and LMIA-exempt offers of employment suggests more. This scrapping of the arranged employment points seems to fit into the government’s overall strategy of reducing the number of temporary residents in Canada.  It could be that the government is hoping that many in the Express Entry pool will conclude they do not have a path to permanent residence and decide to leave Canada. In other words, the government kills two birds with one stone.  Today’s change will allow them to meet the 20% reduction in permanent residents for the next two years and potentially helping to decrease the number of temporary residents  to 5% of the population over the next 3 years (from around 650,000 to about 500,000).  These targets were announced last fall in response to public opinion that newcomers were steeling Canadian homes, and the government needed time for infrastructure and new housing to catch up with demand.

We understand that this change may completely change the trajectory of many individuals who were relying on their job offer points to have a good shot at becoming permanent residents. If you have any questions about this change and your or an employee’s PR chances, 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.

March News – Reminder to Employers on LMIA and LMIA-Exempt Work Permit Obligations, Government’s Pivot to Construction and Trades, Parent and Grandparent Sponsorship

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Reminder to Employers on LMIA and LMIA-Exempt Work Permit Obligations

Kicking this bulletin off, we’d like to remind employers who have workers on Labour Market Impact Assessment (“LMIA”)-based work permits as well as LMIA-exempt work permits that they have ongoing obligations to report changes in conditions of employment to Employment and Social Development Canada (“ESDC”) or Immigration, Refugees and Citizenship Canada (“IRCC”), as applicable.

Specifically, employers in Canada with foreign worker(s) employees under an LMIA-based work permit must continue to meet certain compliance obligations for the duration of the foreign worker(s) employment with the company on the LMIA-based work permit. One such obligation is to conduct an annual review of the salary being offered to foreign worker(s) to ensure that the salary offered continues to meet the median or prevailing wage throughout the duration of the foreign worker(s) employment with the company on the LMIA-based work permit.  As wages are adjusted on an annual basis by the government, employers must review their foreign worker employees on LMIA-based work permits to ensure that the foreign worker(s) wage continue to meet the median or prevailing wage.  Should the foreign worker(s) wage fall below the new median as a result of the wage adjustment, the employer is obligated to adjust the wage of foreign worker(s) by January 1 of the following year.

The Government’s Pivot to Construction and Trades

In light of the continued need for housing and the skilled trades shortage in Canada, the government has said that it will soon announce new measures for workers in construction and the skilled trades, similar to the previous public policy providing a pathway to PR for out-of-status construction workers in the Greater Toronto Area.

In addition, to increase the number of workers in the construction industry in Canada, the government has implemented a new public policy which allows certain apprentices to study without a study permit. To be eligible for this, the applicant must have a valid work permit, must have a registered apprenticeship agreement with the relevant provincial or territorial apprenticeship or certification authority, and must have a job in an eligible construction occupation: construction managers; home building and renovation managers; civil engineers; civil engineering technologists and technicians; construction estimators; sheet metal workers; welders and related machine operators; electricians; industrial electricians; plumbers; carpenters; cabinetmakers; bricklayers; construction millwrights and industrial mechanics; heavy-duty equipment mechanics; heating, refrigeration, and air conditioning mechanics; electrical mechanics; water well drillers; concrete finishers; roofers and shinglers; painter and decorators; and floor covering installers.

While the government has emphasized its commitment to increase the number of workers in the construction industry and the skilled trades, it has not announced measures to provide paths to permanent residency for the many students and foreign workers who came to Canada during the COVID-19 pandemic up to late 2023 whose time is running out and who do not have viable PR options.

Parent and Grandparents Sponsorship Update

The government has announced that it will not be taking new interests to sponsor in 2025. It will accept 10,000 complete applications for parent-grandparent sponsorship drawn randomly from the existing pool from 2020.

Those who wish to reunite with their parents or grandparents can apply for a super visa which allows them to stay in Canada for up to 5 years at a time and allows for multiple entries for up to 10 years. IRCC recently implemented a policy allowing the insurance policy required for a super visa application to be issued by a foreign insurance company and authorized by the Office of the Superintendent of Financial Institutions.

While the changes above are positive, there is still a gap as the government has not made any announcements with respect to the large number of international students who are running out of status. If you have any questions with respect to the above, or wish to have an audit of your employer compliance obligations in advance of a compliance inspection, 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.

We Enter March With Several Immigration Announcements

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Permanent Residence – Category-Based Express Entry Draws

Express Entry is the system under which the profiles of PR hopefuls are assigned points based on factors like age, education, official language skills, and work experience. Over the past few years, the government has been conducting targeted draws to meet immigration targets and boost certain economic sectors. To begin March, the government has announced that the focus of its draws for Express Entry will be for those who have work experience in Canada under the Canadian Experience Class. It has also announced that it will continue with Francophone draws to meet its Francophone immigration targets as well as draws specifically for health care and social services (including family physicians, nurse practitioners, dentists, pharmacists, psychologists, and chiropractors), trades (including carpenters, plumbers, and contractors), and education (such as teachers, childcare educators, and instructors of persons with disabilities). It has not mentioned anything about STEM or agriculture-sector draws, which could mean that they will no longer be conducting targeted draws under these categories.

This update to the Express Entry draws may be followed by the implementation of changes to the points under Express Entry for Canadian job offers. The government said it would do away with points for job offers some time in spring, but has not provided a date on when this will be implemented.

CUAET Extension

The government has also announced that it will allow those in Canada under the Canada-Ukraine Authorization for Emergency Travel (“CUAET”) who arrived on or before March 31, 2024, to apply for a new open work permit to be valid for up to three (3) years, renew an existing open work permit, or apply for a new study permit up to March 31, 2026. This will be welcome news to many thousands of Ukrainians who came to Canada since the large-scale Russian invasion and war began on February 22, 2022. Since then, close to 300,000 Ukrainians came to Canada under the CUAET. However, there is no specific permanent solution to allow these individuals to stay in Canada with PR status, and CUAET beneficiaries are required to apply for PR status under the regular PR pathways.

Home Care Worker Immigration Pilot

On March 31, 2025, Immigration, Refugees and Citizenship Canada (“IRCC”) will also implement the Home Care Worker Immigration pilots which are similar to past PR pilot streams for home care workers of children and elderly people. Applicants will need to do an approved language test and achieve CLB 4 in English or NCLC 4 in French, showing a basic ability to understand and communicate in familiar situations; have a high school diploma or higher; have at least six (6) months of recent and relevant work experience or a related caregiver training credential; and have a full-time home care job offer in Canada.

Hopefully this harsh start to March will be followed by calmer and more certain circumstances this spring. In the meantime, if you have any questions about the above program changes, 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.

Super Visa (Parents and Grandparents) Health Insurance Changes

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One of the objectives of Canada’s immigration legislation, the Immigration and Refugee Protection Act (“IRPA”) is “to see that families are reunited in Canada” (IRPA, s. 3(1)(d)). In relation to family-class immigration, the government has not conducted a draw to allow Canadian citizens and permanent residents to sponsor their parents or grandparents since 2020. This is likely due to the substantial costs of healthcare and social services for older adults and the fact that older adults are less likely to be working and providing tax revenue to the government. In lieu of sponsorship for permanent residence (“PR”), there is the super visa.

A super visa is a multiple-entry visa that can be valid for up to 10 years or to the expiry of one’s passport. It allows non-Canadian parents and grandparents to visit their Canadian citizen, PR, or registered Indian child or grandchild for up to five (5) years at a time. The hosting child or grandchild must be at least 18 years old, meet the minimum necessary income requirement based on family size, and promise to provide financial support for the duration of their parent’s or grandparent’s visit. The parent or grandparent must have a valid private health insurance policy.

Previously, the health insurance policy must have been from a Canadian insurance company. However, the government announced recently that the health insurance policy can now be from a company outside of Canada provided the following requirements are met:

  • Issued by a foreign insurance company authorized by the Office of the Superintendent of Financial Institutions (“OFSI”) to provide accident and sickness insurance; and
  • Appears on the OFSI’s list of federally regulated financial institutions; and
  • The policy is issued or made during the course of its insurance business in Canada.

By expanding the eligible list of insurance providers to companies outside of Canada, this change may make it easier for parents and grandparents to find a valid insurance policy.

If you have any questions about reunifying with your family members in Canada or about super visas, 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.

Rural and Francophone Immigration

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Newcomers to Canada typically settle in large urban areas in the south which creates challenges in terms of the development of the vast expanses of the country away from the major cities. Most immigrants to Canada are also English-speaking, despite Canada’s official languages being English and French, with both languages having equal status at the federal level, and French-speaking settlers having historically established many communities not just in Québec, but across Canada. Canada’s immigration legislation, the Immigration and Refugee Protection Act (“IRPA”), outlines several goals, with one of those being “to support the development of a strong and prosperous Canadian economy, in which the benefits of immigration are shared across all regions of Canada” (IRPA, s. 3(1)(c)). Another goal is “to enrich and strengthen the social and cultural fabric of Canadian society, while respecting the federal, bilingual and multicultural character of Canada (IRPA, s. 3(1)(b)).

To further these goals, the Canadian government is renewing the Rural Community Immigration Pilot (“RCIP”) and implementing the Francophone Community Immigration Pilot (“FCIP”) permanent residence (“PR”) programs. In terms of encouraging French-speakers to come to Canada, this is in addition to the government lowering the French language skill requirements for Francophone mobility work permits in 2023.

Rural Community Immigration Pilot

To be eligible for the RCIP, one must be settling in one of the following communities:

  • Pictou County, NS
  • North Bay, ON
  • Sudbury, ON
  • Timmins, ON
  • Sault Ste. Marie, ON
  • Thunder Bay, ON
  • Steinbach, MB
  • Altona/Rhineland, MB
  • Brandon, MB
  • Moose Jaw, SK
  • Claresholm, AB
  • West Kootenay, BC
  • North Okanagan Shuswap, BC
  • Peace Liard, BC

One must also have:

  • A valid job offer from a designated employer (the list of designated employers will be released by each community);
  • Have at least one (1) year of related work experience in the past three (3) years (unless they graduated from a public post-secondary institution in the community);
  • Meet the necessary official language (English or French) skill levels based on the skill level of their job offer (CLB 6 developing intermediate for managerial and work usually requiring a university degree, CLB 5 initial intermediate for work usually requiring a college diploma, or CLB 4 fluent basic for work requiring a high school diploma or on-the-job training);
  • Have at least a high school diploma; and
  • Have enough unencumbered funds based on their family size.

After applying for PR under the RCIP, one may also be eligible to apply for a two (2) -year employer-specific work permit.

Francophone Community Immigration Pilot

To be eligible for the FCIP, one must be settling in one of the following communities:

  • Acadian Peninsula, NB
  • Sudbury, ON
  • Timmins, ON
  • Superior East Region, ON
  • Pierre Jolys, MB
  • Kelowna, BC

One must also have:

  • A valid job offer from a designated employer (the list of designated employers will be released by each community);
  • Have at least one (1) year of related work experience in the past three (3) years (unless they graduated from a public post-secondary institution in the community);
  • Meet the necessary French language skill level of CLB 5 initial intermediate;
  • Have at least a high school diploma; and
  • Have enough unencumbered funds based on their family size.

After applying for PR under the FCIP, one may also be eligible to apply for a two (2) -year employer-specific work permit.

If you or an employee have questions about rural or Francophone immigration to Canada, 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.

Changes and Updates Kicking Off 2025

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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.

Everything you need to know about wages and some more

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Employers in Canada with foreign worker(s) employees hired under the temporary foreign worker (TFW) program must meet certain compliance obligations. One such obligation is to conduct an annual review of the salary being offered to foreign worker(s) on work permits issued under a Labour Market Impact Assessment (LMIA). As part of the compliance obligations, employers are required to ensure that the salary being offered continues to meet the median or prevailing wage.

The Job Bank wages are adjusted yearly in the fall. This year, the Job Bank wage adjustment came into effect on December 3, 2024. Employers should therefore conduct a review of their foreign worker employees on LMIA based work permits and, should the foreign worker(s) wage fall below the prevailing wage rates, the wages should be adjusted and updated by January 1, 2025.

The prevailing wage can be reviewed on ESDC’s Job Bank website wage section by the applicable National Occupation Classification (“NOC”) code and the region of employment.

The Job Bank wage adjustment is a routine affair. Based on an initial review of the adjusted wage, it seems the percentage increase is somewhat of a mixed bag with some wage increases over 10% . This is not surprising given the government’s policy to minimize the number of temporary residents in Canada and the government recent and aggressive measures to essentially overhaul the LMIA program.

Recently, the government implemented several measures to minimize the use of the LMIA program. One such measure was increasing the provincial and territorial wage threshold for employers to be able to apply for a high-wage LMIA by 20%. This in conjunction with some other measures for low-wage LMIAs, as listed below, have made the LMIA landscape very challenging.

  • Employment and Social Development Canada (ESDC) refusing to process LMIA applications for certain positions in the low-wage stream where the location of work is in a Census Metropolitan Area with an unemployment rate of 6% or more.
  • Reducing the employment duration for low-wage LMIAs from two years to one year, with the exception of positions in the primary agriculture steam.
  • Capping the proportion of temporary foreign workers in low-wage positions, at a specific work location to 10% of the employer work force from 20%. There are however certain exemptions to the cap as listed below:
    • The 10% cap does not apply to positions in construction; food manufacturing; hospitals; and nursing and residential care facilities specific to in-home caregiver positions. For these positions, the cap still remains 20%. The classification code for these sectors is determined by the North American Industry Classification System (NAICS) Canada.
    • The cap does not apply to seasonal positions that are less than 270 days; on-farm primary agriculture positions; caregiver position for health institutions; positions in support of permanent residency and positions that are highly mobile (less than 120 days).

With these measures and others implemented throughout the year, the government’s mandate to reduce the number of temporary residents in Canada is very evident. In this current environment, frequent compliance audits can be expected. Therefore, employers must pay attention to government announcements and undertake regular review to ensure that they are continuing to meet the various responsibilities that come with hiring foreign workers in Canada  As employers are looking at prevailing wages and adjusting them, it may be a good time to review other obligations as well.

If you have questions about employer compliance obligations, you can 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; fagan@cilf.ca; bonisteel@cilf.ca; ali@cilf.ca; mukherjee@cilf.ca; garciafialdini@cilf.ca.

International Student Program Changes Take Effect – Full-time students can work up to 24 hours a week off-campus – End of Student Direct Stream and Nigeria Student Express

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Back in April 2024, the government announced that in the fall, it would allow full-time international students to work up to 24 hours per week off-campus. This 24-hour per week limit was settled on to strike a balance between allowing students to pay for their studies and living expenses and focusing on their studies as the purpose of their stay in Canada. Further, the program of study must be a full-time post-secondary academic, vocational or professional training program, or a vocational training program offered at the secondary level in Québec. The program must be at least six months in length and lead to a degree, diploma, or certificate. This 24-hour limit for off-campus work came into effect November 15, 2024. There is no limit to the number of hours a student can work off-campus during regularly scheduled breaks such as the summer or winter holidays.

Additionally, to enforce its limit on the number of international students in Canada and to try to ensure that study permit holders are in Canada to study, designated learning institutions (DLIs) are required to submit a report twice a year to Immigration, Refugees and Citizenship Canada (IRCC) indicating whether each study permit holder associated with their school remains enrolled. The government has further stated that students who are no longer enrolled can be investigated for breaking their study permit conditions and may face enforcement action.

IRCC has also stated that its letter of acceptance (LOA) verification process has been successful. Between December 1, 2023, and October 6, 2024, IRCC received almost 529,000 LOAs, confirmed 492,000 of them as valid with DLIs, and identified over 17,000 LOAs that did not match a LOA issued by a DLI or which was already cancelled.

Further updates to the International Student Program relate to the end of the Student Direct Stream and Nigeria Student Express on November 8, 2024. The Student Direct Stream was a fast-track process for study permit applicants from Antigua and Barbuda, Brazil, China, Colombia, Costa Rica, India, Morocco, Pakistan, Peru, Philippines, Senegal, St. Vincent and the Grenadines, Trinidad and Tobago, and Vietnam. Applicants had to submit English language test results meeting a certain threshold and obtain a Guaranteed Investment Certificate of $20,635. A similar stream existed for Nigerian study permit applicants with Nigeria Student Express. Both of these programs have now ended.

These measures are to continue into the future as the government continues to place further scrutiny on the International Student Program and to limit the number of international students, and temporary and permanent residents in general, in Canada.

If you have questions about off-campus work that may affect you or an employee, you can 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; fagan@cilf.ca; bonisteel@cilf.ca; ali@cilf.ca; mukherjee@cilf.ca; garciafialdini@cilf.ca.

Reductions in Both Permanent and Temporary Residents Levels for the Next 3 Years

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Supplementing changes this year to reduce the number of temporary residents in Canada, the federal government has now announced that the number of new permanent residents (“PRs”) from 2025 to 2027 is to be significantly reduced[1]. In 2023, the government announced that its goal would be 500,000 new PRs in the year 2025. Instead, the government now plans to have 395,000 in 2025, a reduction of 105,000. In 2026, the goal is 380,000 new PRs. In 2027, the goal is 365,000.

Last year in 2023, the number of new PRs was 471,771[2]. The decrease to 395,000 in 2025 represents a decrease of approximately 20% from that period.

Permanent residence has already become more competitive in 2024, with significantly higher points scores required for economic class applications compared to the period of 2020 to 2023 [3]. This means that companies will lose talent that have been trained and are productive workers. This could cripple some sectors like healthcare and construction. It will also pose greater challenges to Canadian companies in recruiting high skilled workers from abroad who may not want to relocate without a reasonable opportunity to become PRs.

These changes are not surprising. In the past few years, the government has made a number of reactive policy decisions that are shortsighted and reactive to public opinion.  This is just more of the same but on a much larger scale. . After very high immigration levels over the past few years, the government has reversed the course completely. It intends to allow for housing, infrastructure, and health and social services to catch up, and for the unemployment rate to be reduced, before moderately increasing immigration levels again. However, this reduction will also have negative consequences. The bottom line is that Canada has an aging population and workforce in which natural-born population growth cannot keep up with population decline due to deaths. Robust immigration policies focused on sustainable long-term growth are required for the population to be maintained and thus, for the Canadian economy to be competitive in the future. The maintenance of the number of people in the workforce is required to also ensure that the health and social service needs of the aging population can be met, with many in the workforce now reaching retirement age.

The government has projected that because of its change in policy, the overall population is expected to decline by 0.2% in both 2025 and 2026, before growing by 0.8% in 2027.

The government has also projected that the number of temporary residents in Canada, which is currently 3,002,090 as of Q3 2024 [4], will decline by 445,901 in 2025, by 445,662 in 2026, and will increase slightly by 17,439 in 2027. Again, with many temporary residents in the Canadian workforce, these declines will pose challenges to Canadian employers and to the maintenance of the workforce at large which provides the tax base to support the health and social services for Canadians. You can read about changes to temporary resident programs in our previous posts: https://www.cilf.ca/news/.

The government will continue to make it more difficult for many people to come to Canada and for many people to stay in Canada. During these challenging times in the Canadian immigration landscape, if you have questions about coming to or remaining in Canada for yourself or an employee, you can 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; fagan@cilf.ca; bonisteel@cilf.ca; ali@cilf.ca; mukherjee@cilf.ca; garciafialdini@cilf.ca.

[1]https://www.canada.ca/en/immigration-refugees-citizenship/news/2024/10/government-of-canada-reduces-immigration.html

[2]https://www150.statcan.gc.ca/n1/daily-quotidien/240327/dq240327c-eng.htm

[3]https://www.canada.ca/en/immigration-refugees-citizenship/corporate/mandate/policies-operational-instructions-agreements/ministerial-instructions/express-entry-rounds.html#wb-auto-4

[4]https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=1710012101

Major New Limits – Intra-Company Transfer Work Permits, Low-Wage LMIAs, Post-Graduation Work Permit Eligibility

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Immigration, Refugees and Citizenship Canada (IRCC) have announced major changes regarding eligibility for intra-company transfer (“ICT”) work permits, low-wage Labour Market Impact Assessments (“LMIAs”), and Post-Graduation Work Permits (“PGWPs”) which will further reduce the number of workers in Canada. Here’s what you need to know:

Limits to Intra-Company Transfer Work Permits

The changes to ICT work permits are now in effect. These significant changes encompass ICTs that are not subject to free trade agreements. . The free trade agreement ICTs remain unaffected.  These include free trade agreements that Canada has with other countries, including but not limited to the United States, Mexico, the European Union, the UK, Ukraine, Peru, Colombia, Chile, South Korea, Australia, Brunei, Japan, New Zealand, and Malaysia. The changes below refer to the general ICT work permit provisions that are not part of free trade agreements.

  • The prevailing wage for the occupation (the median wage for the occupation in the area where the foreign national will work) must now be met for executives, managers, and specialized knowledge workers. This was previously only required for specialized knowledge workers.
  • The company transferring the workers must meet the definition of “multinational corporation” (“MNC”). IRCC defines an MNC as a company which has at least two (2) entities outside of Canada that are actively engaged in business.
  • The worker must be transferring to Canada in the same capacity as the position they held abroad. This language is vague and not well-defined, but we believe it to mean that the worker must hold the same duties in Canada that they held overseas, but do not know if the job title must be identical or just within the same national occupational code.
  • The worker’s position in the foreign enterprise must remain available to them to return to once they leave Canada. The particulars of this requirement are again unclear, especially considering that workers will often progress in their careers, and that the foreign company the worker was employed at may close and they may need to transfer to another affiliate in the organization. In practice, in the past this has meant the transferring company must continue to carry on business at all times while the foreign worker is in Canada and be in a position to transfer the worker from Canada to the original company outside Canada to a largely similar position. Given that IRPA provides for dual intent, and allows foreign workers to have both a temporary and permanent intend, it is puzzling why IRCC have chosen to emphasize this criteria.
  • The employment location in Canada must be a physical commercial premises. It cannot be a co-shared premises, virtual business that only has a mailing address, or a residential location. Businesses should have a leased office, industrial, or other commercial premises to meet this requirement. This requirement seems unrealistic given the shift to many companies offering hybrid remote work and downsizing or sharing physical premises.
  • When entering to do project-based work, either at the company or client sites, a maximum work permit of one (1) year can be issued. This will affect workers who enter Canada for a specific project, such as delivering training sessions; inspecting, maintaining, or installing equipment at a client site; or operating specialized equipment for an infrastructure project.

Limits to Low-Wage LMIAs

Low-wage LMIAs are now further restricted, which will further limit the number of foreign workers in Canada. Low-wage LMIAs are defined as LMIAs for positions in which the wage offered for the job is below the overall median wage for all positions in that province or territory of Canada. The median wages are listed here: https://www.canada.ca/en/employment-social-development/services/foreign-workers/median-wage.html. If the wage offered is above the median wage, the LMIA would be a high-wage LMIA.

  • IRCC will refuse to process low-wage LMIA applications in areas where the unemployment rate is 6% or higher. Unemployment rates by census metropolitan area can be located here: https://www.canada.ca/en/employment-social-development/services/foreign-workers/refusal.html. It should be noted that the unemployment rates for many large metropolitan areas in Canada, including Toronto, London, Windsor, Calgary, Edmonton, Vancouver, and Halifax, are over 6%.
    • Exemptions to the refusal to process include occupations in primary agriculture; construction; food manufacturing; hospitals; nursing and residential care facilities; educational services; caregiving services including registered nurses and registered psychiatric nurses, licensed practical nurses, home childcare providers, and personal support workers including live-in caregivers.
    • LMIAs solely to support an application for permanent residency are also exempt from the refusal to process.
  • IRCC will not process low-wage LMIAs where more than 10% of the workers at the same work location are low-wage temporary foreign workers (“TFWs”). However, for the following industries, this cap on TFWs at the work location is 20%:
    • Construction; food manufacturing; hospitals; nursing and residential care facilities; educational services; caregiving services including registered nurses and registered psychiatric nurses, licensed practical nurses, home childcare providers, and personal support workers including live-in caregivers.

Limits to Post-Graduation Work Permits

On November 1, 2024, the following will take effect for those who wish to apply for PGWPs:

For study permits issued before November 1, 2024:

  • Applicants must complete a designated English or French language proficiency test, which includes CELPIP, IELTS, PTE Core, TEF Canada, or TCF Canada, and achieve a minimum level of language proficiency.
    • Graduates of universities will need to achieve a Canadian Language Benchmark (CLB) level of 7, which is roughly equivalent to an adequate intermediate level.
    • Graduates of colleges will need to achieve a CLB level of 5, which is roughly equivalent to an initial intermediate level.

For study permits issued after November 1, 2024, in addition to having to meet language requirements, there are additional requirements as noted below that must be met:

Further reduction in the number of temporary residents can be expected based on the Minister Miller’s announcement of September 18, 2024 where he indicated changes to the eligibility criteria for Open Spousal Work Permits.

The government’s changes to these programs are significant and will make it more difficult for many people to come to Canada and for many people to stay in Canada. Many employers and workers who are intra-company transferees, on low-wage LMIA-based work permits, and recent graduates will be affected by these measures. These measures will significantly impact foreign businesses make it difficult for companies to establish and expand in Canada.  Clearly these are very challenging times in the Canadian immigration landscape. If you have questions about these changes, or about coming to or remaining in Canada for yourself or an employee, you can 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; fagan@cilf.ca; bonisteel@cilf.ca; ali@cilf.ca; mukherjee@cilf.ca; garciafialdini@cilf.ca.