On Monday, Canadian Prime Minister Justin Trudeau declared that fewer temporary foreign workers performing low-paying tasks will be employed by his government.
We’re reducing the number of low-wage, temporary foreign workers in Canada.
The labour market has changed. Now is the time for our businesses to invest in Canadian workers and youth.
— Justin Trudeau (@JustinTrudeau) August 26, 2024
Trudeau’s Decision Amid Post-Covid Labor Shortages
The prime minister of Canada tweeted, “We’re cutting back on the amount of low-wage, temporary foreign workers in Canada.” The job market has evolved. The time has come for our companies to support young people and Canadian labor.”
During a severe post-Covid labour shortage, Canada saw a historic spike in the number of foreign workers after the government lifted restrictions. According to some Canadian experts, this change has made young people and immigrants more likely to be unemployed.
New Restrictions on Employers in Unemployment Areas
Employers in high unemployment areas—where the unemployment rate is six percent or higher—will not be permitted to hire low-wage temporary foreign workers (TFW), according to a CBC report. The only exceptions will be made for “food security sectors” like construction and healthcare, as well as agriculture and food and fish processing, where there are still severe staffing shortages.
According to the study, employers will no longer be permitted to use the TFW program to hire more than 10% of their whole workforce. Additionally, temporary foreign workers’ two-year contracts will be shortened to one. The TFW Program has allegedly been used to “circumvent hiring talented workers in Canada,” according to a government statement.
Government’s Rationale: Prioritizing Canadians
“When competent Canadians were unable to fill open positions, the Temporary Foreign Worker program was created to alleviate a labor shortage. As things stand, there are currently more Canadians eligible to occupy such posts. “Today’s changes will put workers in Canada first and guarantee that the program is fulfilling the demands of our economy,” stated Minister of Employment, Workforce Development, and Official Languages Randy Boissonnault.
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