Beginning January 1, 2024, employers will be required to annually review the wages of temporary foreign workers to ensure that they reflect increases in prevailing wage rates for their given occupation and region of work. Such reviews will ensure that temporary foreign workers get paid at the prevailing wage level throughout their employment period through periodic wage increases.
Canada is revamping the Temporary Foreign Worker (TFW) Program Workforce Solutions Road Map.
Changes to the Temporary Foreign Worker Program have been announced to better reflect current labour market conditions and the economic outlook for the future. These extended measures for the Temporary Foreign Worker Program will be in place until August 30, 2024.
Three changes in Temporary Foreign Worker Program
Continuing to allow employers in seven sectors with demonstrated labour shortages to hire up to 30% of their workforce through the TFW Program for positions under the provincial or territorial median hourly wage;
Maintaining the maximum duration of employment for positions under the provincial or territorial median hourly wage at up to two years; and
Adjusting the Labour Market Impact Assessment (LMIA) validity period from the current 18-month maximum to a maximum of 12-months to better respond to the labour market.
The Temporary Foreign Worker (TFW) Program was introduced by Canada to help employers fill job vacancies in the wake of labour shortages. When qualified Canadians are not available, the Temporary Foreign Worker (TFW) Program allows Canadian employers to hire foreign workers to fill temporary jobs.
An Labour Market Impact Assessment (LMIA) proving they were unable to locate a Canadian citizen or permanent resident to fill the post is a prerequisite for any employer hoping to hire a foreign national through TFW Program. An employer can only formally hire a foreign national after receiving an LMIA. This permits the foreign national to then apply for a Canadian work permit or permanent residence.
