Temporary Foreign Worker Program fills labour market gaps in Canada
The Temporary Foreign Worker Program seeks to address the Canadian labour shortage.
When Canadian firms cannot locate employees with the necessary skill set among Canadians or permanent residents, they might use the Temporary Foreign Worker Program (TFWP) in Canada to get the required skills from overseas.
The purpose of TFWP is a program designed to help bridge the gaps in the Canadian labour market. The declining birth rate is not helping the situation. More Canadians are reaching the retirement age, and not enough is being added to the labour market. This gap is steadily increasing.
Shortages result when there are not enough Canadian citizens or permanent residents to fill vacant positions. An employer may file a Labour Market Impact Assessment (LMIA) to Employment and Social Development Canada (EDSC); if no one in Canada has the relevant skills to fill the post, the employer may recruit a foreign worker to come to Canada and fill the position provided the LMIA results are good or neutral.
An LMIA gives EDSC the knowledge it needs to assess if there is an actual need to hire a foreign worker and whether doing so will positively, neutral, or adversely impact the Canadian labor market. TFWP request meets rejection if it turns out that there are Canadians or permanent residents qualified for the position and looking for work.
Requirements for Advertising
An employer must take several steps to demonstrate that they have attempted to identify and hire a candidate from within Canada before being qualified for an LMIA.
Advertisement for the job in question must run at least four weeks across the Canadian labor market.
The Canada Job Bank must post the job.
Employers must show that at least two extra recruitment strategies have been used, such as specialized websites, local job fairs, or local media.
Employers must also certify that they are aware it is against the law to fire or reduce the working hours of their current Canadian employees.
Depending on the type of job opening, there can be exceptions to these guidelines; therefore, it's essential to seek advice from a professional to ensure you're adhering to the rules of required advertising.
LMIAs with high and low wage
There are two reasons to recruit a TFW, and these two factors may affect the type of LMIA an employer must file. They must apply through the high-wage position stream for highly specialized employment that pays at least as much as the province median wage.
Employers looking to fill low-wage employment must submit applications through the low-wage position stream. This stream is used to hire temporary manufacturing, agriculture, or tourism employees. Most low-wage positions have a 20 percent cap, meaning that no more than 20 percent of the workforce can be TFWs. Depending on the industry, the cap may increase to 30%.
How to obtain a TFWP and move to Canada
After being hired by an employer, a TFW must submit their work permit application to Immigration, Refugees and Citizenship Canada (IRCC) with the LMIA number, a copy of the LMIA, a job offer letter, and a contract. Processing times for the IRCC can differ.
TFWP work permits are "closed" work permits, which means that while an employee is in Canada, they may not be able to work for another employer and will only be able to do so for the duration of their contract.
