New federal government announcement targeting low-wage temporary foreign workers.

 

On September 18, 2024, the federal government announced new measures that negatively affect low-wage temporary foreign workers. The novelty this time is to reduce the advantages traditionally offered by the simplified treatment component in Quebec. To better understand the scope of these new measures, I want to remind our customers, in essence, of these benefits:

 

- Simplified treatment is a special component that only exists in the province of Quebec, resulting from the legal capacity of our province to manage certain elements of our temporary immigration. This program has always been a great advantage for Quebec;

- Each February, the Government of Quebec publishes a list of occupations affected by an extreme shortage of workers off the province;

- When an employer wishes to hire a foreign worker for one of these occupations, he can benefit from the following advantages, among others: i) possibility of a work permit whose duration can be up to 36 months; ii) exemption from showing recruitment efforts (job postings) for four weeks; iii) not be subject to the 10% ceiling on the number of low-wage foreign workers in the company; iv) not be subject to the region's unemployment rate where the employer is based.

- In return, the employer must submit a transition plan to ensure that this worker working in an occupation with an extreme shortage of labor can become a permanent resident or that his skills can be transferred to Quebec workers. Broadly speaking, it's about making up for the labour shortage.

 

However, the new measures announced just recently run counter to these Quebec advantages, which is, in a way, a novelty in the legal landscape regulating temporary immigration. I also remind our customers that, in the province of Quebec, the wage rate (base hourly wage) of less than $27.47 is already a low wage.

 

As of September 26, 2024, the low-wage component will be subject to the following restrictions:

 

· The cap imposed on employers on the percentage of temporary foreign workers under the low-wage component of the Temporary Foreign Worker Program, or 10%, will apply everywhere in Canada, including for professions eligible for simplified treatment in Quebec. An exception will be granted for employers who want to address labour shortages in the health care, construction and food manufacturing sectors, for which the 20% cap may be maintained. The new measure therefore standardizes access to low-wage foreign workers in all provinces and territories.

· For all Labour Market Impact Assessments (LMIA) approved for positions in the low-wage stream, the duration of work will be limited to a maximum of one year, including for those subject to simplified treatment. Primary agricultural occupations are excluded from this measure.

  • The policy of refusing to process an LMIA application will apply in all census metropolitan areas where the unemployment rate is over 6%. In other words, if the unemployment rate in the region (census; not necessarily to be confused with administrative region) where the employer is based exceeds 6%, the CAQ EIMT application will not be processed. An exception will be granted for employers who want to address labour shortages in the health care, construction, and food manufacturing sectors. Information on unemployment rates for census metropolitan areas will be updated four times per year, when the first Labour force survey for each quarter will be published. The list will be updated the same day the data is published.

 

In addition, the federal government, together with the Government of Quebec, does not offer a transition period: the announcement took place on September 18 and the start date of these measures is September 26. Likewise, these measures make no distinction between new recruitment or the renewal of low-wage temporary foreign workers. These two elements combined offer very little leeway for legal representatives (regulated consultants or lawyers) to act on behalf of their clients. A CAQ LMIA application cannot be submitted before 6 months from the start date of employment (for example: expiry date of the work permit in case of renewal).

 

These measures do not necessarily reflect the reality of our corporate customers in the field. Without going against the nature of the Temporary Foreign Worker Program, I am of the opinion that the complexity of the labour shortage requires an approach that is more differentiated and focused on the particularities of each business. I suggest that our customers contact the federal and provincial deputies serving the district where the company is based and tell them about the difficulties these measures cause to the vitality of the business. This necessary feedback could make it clear to both levels of government that these measures, as designed, are not the best solution to a much more complex problem.

 

Here is the official announcement:

https://www.canada.ca/fr/emploi-developpement-social/nouvelles/2024/09/le-ministre-boissonnault-presente-les-prochaines-etapes-en-ce-qui-concerne-les-recents-changements-au-programme-des-travailleurs-etrangers-temporaires.html

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