Important Updates
Important Updates
September 4, 2025 | OmanOman: New Licensing Requirement for Select Roles 
September 5, 2025 | SingaporeFragomen and Regional Partner for the Asia Pacific Mark Buchanan Named 2025 FEM APAC EMMAs Winners
September 5, 2025 | United StatesPartner Archana Iyer Wins "Innovation Award" at The New York Law Journal's 2025 New York Legal Awards
September 5, 2025 | United StatesTimes of India: A War on Fraud: USCIS to Train Special Armed Agents with Powers to Arrest Applicants and Lawyers
September 5, 2025 | United StatesUnited States: DHS Announces End of Temporary Protected Status for 2021 Venezuela Designation
September 4, 2025 | OmanOman: New Licensing Requirement for Select Roles 
September 5, 2025 | SingaporeFragomen and Regional Partner for the Asia Pacific Mark Buchanan Named 2025 FEM APAC EMMAs Winners
September 5, 2025 | United StatesPartner Archana Iyer Wins "Innovation Award" at The New York Law Journal's 2025 New York Legal Awards
September 5, 2025 | United StatesTimes of India: A War on Fraud: USCIS to Train Special Armed Agents with Powers to Arrest Applicants and Lawyers
September 5, 2025 | United StatesUnited States: DHS Announces End of Temporary Protected Status for 2021 Venezuela Designation
September 4, 2025 | OmanOman: New Licensing Requirement for Select Roles 
Subscribe
Fragomen.com home
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
Search Fragomen.com
  • Our Services
    For EmployersFor IndividualsBy IndustryCase Studies
  • Our Tech & Innovation
  • Our People
  • Our Insights
    Worldwide Immigration Trends ReportsMagellan SeriesImmigration AlertsEventsMedia MentionsFragomen NewsBlogsPodcasts & Videos
  • Spotlights
    Navigating Immigration Under the Second Trump AdministrationTravel & Mobility Considerations: Situation in the Middle EastImmigration Matters: Your U.S. Compliance RoadmapHumanitarian and Evolving Legal Pathways (HELP)Vietnamese ImmigrationView More
  • About Us
    About FragomenOfficesResponsible Business PracticesFirm GovernanceRecognition

Our Services

  • For Employers
  • For Individuals
  • By Industry
  • Case Studies

Our Tech & Innovation

  • Our Approach

Our People

  • Overview / Directory

Our Insights

  • Worldwide Immigration Trends Reports
  • Magellan Series
  • Immigration Alerts
  • Events
  • Media Mentions
  • Fragomen News
  • Blogs
  • Podcasts & Videos

Spotlights

  • Navigating Immigration Under the Second Trump Administration
  • Travel & Mobility Considerations: Situation in the Middle East
  • Immigration Matters: Your U.S. Compliance Roadmap
  • Humanitarian and Evolving Legal Pathways (HELP)
  • Vietnamese Immigration
  • View More

About Us

  • About Fragomen
  • Offices
  • Responsible Business Practices
  • Firm Governance
  • Recognition
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
  • Insights

Canada: Temporary Resident Numbers to be Revisited Through New Measures

March 22, 2024

insight-news-default

Country / Territory

  • CanadaCanada

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

At a Glance

  • In line with the government’s goal to reduce the temporary resident population in Canada from 6.2% to 5% over the next three years, the government has now announced that certain temporary relaxed policies under the Temporary Foreign Worker Program will not be renewed and will end earlier than planned. As a result, effective May 1, 2024:
    • Labour Market Impact Assessments will be valid for six months, down from the current 12-month validity; and
    • The cap for low-wage foreign workers employed by employers in certain sectors will decrease from 30% to 20%.
  • Employers will need to better manage their labour needs and may have less flexibility to hire foreign nationals instead of Canadians.

The situation

The government of Canada will be instituting a “soft cap” on temporary residents in Canada, in line with the government’s goal to reduce the temporary resident population in Canada from 6.2% to 5% over the next three years (including international students and foreign workers) due to housing affordability and other infrastructure pressures.

With this aim, the government has now announced that certain temporary relaxed policies under the Temporary Foreign Worker Program (TFWP) will not be renewed and will end earlier than planned.

A closer look

The below changes will be effective on May 1, 2024:

CHANGE DETAILS IMPACT

Shorter validity for Labour Market Impact Assessments (LMIA)

 

  • LMIAs will be valid for six months, down from the current 12-month validity. Prior to COVID-19, LMIAs were valid for six months; and under subsequent temporary policies, the validity increased to 18 months in 2022; and decreased to 12 months in 2023 in response to changing labour market conditions.
  • The LMIA is a document that employers in Canada must obtain before certain foreign nationals can apply for a work permit through the TFWP. It proves that employers have taken steps to recruit Canadians and that employing the foreign national in Canada would be beneficial to the labour market.  

 

  • Employers will need to better manage their labour needs and may have less flexibility to hire foreign nationals instead of Canadians.
  • Additionally, the government announced that employers will need to explore every option to consider Canadian citizens, permanent residents and other residents first for job opportunities, before applying for an LMIA — including recruiting asylum seekers with valid work permits in Canada.

Cap decrease for low-wage employers

 

Employers in sectors with demonstrated labour shortages in low-wage positions (including food, wood product and furniture manufacturing, and accommodation and food services) will be allowed to hire up to 20% of their workforce through the TFWP for employers, instead of the current 30% cap. Exceptions will apply to the construction and healthcare sectors. 

 

  • Employers in sectors with low-wage positions may need to fill more vacancies with Canadian citizens, permanent residents or asylum seekers in Canada holding work permits.
  • The exception for construction and healthcare sectors will address current job vacancies across these areas, which are still experiencing significant labour shortages. 

Background

  • Background for the Temporary Foreign Worker Program. In 2022, the government of Canada implemented improvements to the TFWP to address labour shortages throughout the country (following a historic job vacancy peak in Q3 2021, with much of the demand in low-wage occupations). These improvements included longer validity for LMIAs and relaxed hiring and application policies for low-wage occupations, among others. Throughout 2023, the government extended improvements to the program twice but announced it would continue to review the policies as the labour market and economic conditions evolved in Canada and to ensure there was no displacement or negative effects on Canadian workers or working conditions. Upon the second extension, these policies were set to end on August 30, 2024.
  • Reason for forthcoming adjustments. Due to the pressure that immigration growth is presenting in areas such as housing prices, health care, and infrastructure, and other labor market condition considerations, the government is adjusting the TFWP to ensure the program continues to only be used in cases where there are no workers in Canada that can fill necessary roles, which will help decrease the number of temporary workers in Canada.

Looking ahead

While Canada continues to promote policies to encourage immigration into Canada (as it continues to face an aging population and critical labour shortages in key sectors), the government is also taking action to recalibrate and stabilize immigration levels to balance economic growth with the pressure that immigration growth is presenting in areas such as housing prices, health care, and infrastructure, and to protect the local labour market.

The government will continue to review the relevant policies as the labour market and economic conditions evolve in Canada to ensure there is no displacement or negative effects on Canadian workers or working conditions. Additional policy changes can be expected over the next year. We will report on relevant developments.

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].

Country / Territory

  • CanadaCanada

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Explore more at Fragomen

Awards

Fragomen and Regional Partner for the Asia Pacific Mark Buchanan Named 2025 FEM APAC EMMAs Winners

Fragomen and Regional Partner for the Asia Pacific Mark Buchanan were recognized at the 2025 FEM APAC EMMAs.

Learn more

Awards

Partner Archana Iyer Wins "Innovation Award" at The New York Law Journal's 2025 New York Legal Awards

Partner Archana Iyer won the "Innovation Award" at The New York Law Journal's 2025 New York Legal Awards.

Learn more

Media mentions

Times of India: A War on Fraud: USCIS to Train Special Armed Agents with Powers to Arrest Applicants and Lawyers

Senior Counsel Mitch Wexler discusses how USCIS’s new rule could potentially increase enforcement and affect how applicants interact with the US immigration system.

Learn more

Blog post

Red Carpet or Red Tape? Indonesia’s Immigration Strategy After the Election

Assistant Business Immigration Manager Raga Rasuanta discusses Indonesia’s post-election immigration strategy and its shift toward balancing openness to global talent with increased regulatory scrutiny.

Learn more

Fragomen news

2025年8月 アメリカ移民法ダイジェストLearn more

Fragomen news

Fragomen Center for Strategy and Applied Insights Names Leah Rogal Senior Director

Fragomen announces the appointment of Leah Rogal as Senior Director of its Center for Strategy and Applied Insights.

Learn more

Blog post

Moving to Saudi Arabia: How Orientation Programs Help Expats Adjust

Destination Services Manager Ali Sikandar discusses how orientation programmes in Saudi Arabia help expatriates adapt to cultural differences, workplace norms and everyday challenges, easing their transition into a new environment.

Learn more

Blog post

Exploring Self-Sponsored Visa Pathways in the UAE

Manager Olga Astapova outlines options for individuals to obtain residency without employer sponsorship, highlighting legal routes and strategic considerations.

Learn more

Video

Ireland 2025 Submission Period Opens for Consultation on Occupation Lists | #MobilityMinute

Senior Manager Fatima Aydin discusses Ireland's 2025 public consultation on the occupations lists, and how stakeholders such as employers can provide input.

Learn more

Blog post

Swiss Immigration Quotas 2025: Mid-Year Update

Manager Mihaela Dumitru outlines Switzerland's evolving immigration policies and quota adjustments for 2025.

Learn more

Video

German Citizenship by Descent Explained

Learn how to apply for German citizenship by descent. Discover eligibility under Article 116 and Section 15, benefits of EU citizenship and the step-by-step application process.

Learn more

Media mentions

Personnel Today: Immigration: Huge Fall in Health and Care Worker Visas

Partner Siobhan Owers discussed how visa reforms are reducing available international staff and creating workforce challenges in the UK care sector.

Learn more

Awards

Fragomen and Regional Partner for the Asia Pacific Mark Buchanan Named 2025 FEM APAC EMMAs Winners

Fragomen and Regional Partner for the Asia Pacific Mark Buchanan were recognized at the 2025 FEM APAC EMMAs.

Learn more

Awards

Partner Archana Iyer Wins "Innovation Award" at The New York Law Journal's 2025 New York Legal Awards

Partner Archana Iyer won the "Innovation Award" at The New York Law Journal's 2025 New York Legal Awards.

Learn more

Media mentions

Times of India: A War on Fraud: USCIS to Train Special Armed Agents with Powers to Arrest Applicants and Lawyers

Senior Counsel Mitch Wexler discusses how USCIS’s new rule could potentially increase enforcement and affect how applicants interact with the US immigration system.

Learn more

Blog post

Red Carpet or Red Tape? Indonesia’s Immigration Strategy After the Election

Assistant Business Immigration Manager Raga Rasuanta discusses Indonesia’s post-election immigration strategy and its shift toward balancing openness to global talent with increased regulatory scrutiny.

Learn more

Fragomen news

2025年8月 アメリカ移民法ダイジェストLearn more

Fragomen news

Fragomen Center for Strategy and Applied Insights Names Leah Rogal Senior Director

Fragomen announces the appointment of Leah Rogal as Senior Director of its Center for Strategy and Applied Insights.

Learn more

Blog post

Moving to Saudi Arabia: How Orientation Programs Help Expats Adjust

Destination Services Manager Ali Sikandar discusses how orientation programmes in Saudi Arabia help expatriates adapt to cultural differences, workplace norms and everyday challenges, easing their transition into a new environment.

Learn more

Blog post

Exploring Self-Sponsored Visa Pathways in the UAE

Manager Olga Astapova outlines options for individuals to obtain residency without employer sponsorship, highlighting legal routes and strategic considerations.

Learn more

Video

Ireland 2025 Submission Period Opens for Consultation on Occupation Lists | #MobilityMinute

Senior Manager Fatima Aydin discusses Ireland's 2025 public consultation on the occupations lists, and how stakeholders such as employers can provide input.

Learn more

Blog post

Swiss Immigration Quotas 2025: Mid-Year Update

Manager Mihaela Dumitru outlines Switzerland's evolving immigration policies and quota adjustments for 2025.

Learn more

Video

German Citizenship by Descent Explained

Learn how to apply for German citizenship by descent. Discover eligibility under Article 116 and Section 15, benefits of EU citizenship and the step-by-step application process.

Learn more

Media mentions

Personnel Today: Immigration: Huge Fall in Health and Care Worker Visas

Partner Siobhan Owers discussed how visa reforms are reducing available international staff and creating workforce challenges in the UK care sector.

Learn more

Stay in touch

Subscribe to receive our latest immigration alerts

Subscribe

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Have a question?

Contact Us
  • LinkedIn
  • Youtube
  • Instagram
  • Facebook
  • Twitter

© 2025 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

Please note that the content made available on this site is not intended for visitors / customers located in the province of Quebec, and the information provided is not applicable to the Quebec market. To access relevant information that applies to the Quebec market, please click here.