Canada Limits Low-Wage Temporary Foreign Workers

Prime Minister Justin Trudeau has announced significant reductions to Canada's Temporary Foreign Worker (TFW) Program, particularly targeting low-wage positions. Starting September 26, 2024, businesses will only be allowed to fill up to 10% of their workforce with low-wage foreign workers, down from the previous cap of 20%, and the maximum duration for these workers will be reduced from two years to one. The government will also refuse to process applications for low-wage foreign workers in regions with unemployment rates of 6% or higher, with some exceptions for industries facing severe staffing shortages. These changes come in response to rising unemployment rates and allegations of misuse and exploitation within the TFW Program. This move aims to encourage businesses to invest more in Canadian workers and youth. Trudeau also hinted at reducing permanent resident streams to better manage the country's population growth and associated pressures on housing and public services.