Canada to Cut Foreign Student Permits and Tighten Worker Rules
In response to the strains caused by rapid population growth, Prime Minister Justin Trudeau’s government is introducing new measures to limit immigration. These efforts include cutting the intake of foreign students and tightening the rules for temporary foreign workers, with the changes set to take effect in 2025. Immigration Minister Marc Miller revealed these initiatives at a news conference in Ottawa.
Canada Immigration
Reduction in Foreign Student Permits
For 2025, the Canadian government plans to reduce the number of international student permits by 10% compared to this year’s levels, with this limit staying in place through 2026. This amounts to a 36% decrease from the 2023 intake. Universities Canada has already noted a downward trend in student applications for this year, making it likely that the country will fall short of its 2023 targets.
Addressing the Growth of the Temporary Resident Population
These policy shifts are aimed at controlling the rapid increase in temporary residents, a group that includes foreign students, temporary workers, and asylum seekers. Since the pandemic, the number of temporary residents has surged, which has led to growing criticisms of the Trudeau administration’s immigration policies. Miller stressed the importance of a sustainable immigration system, remarking, “Our immigration system must preserve its integrity and be well-managed and sustainable.”
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Population Surge Strains Housing and Public Services
Canada’s robust immigration rates initially helped the country’s post-pandemic recovery and cushioned the effects of high interest rates on economic growth. However, the recent population boom—adding roughly three million people over three years—has driven up housing costs and strained public services. These challenges have also affected Prime Minister Trudeau’s popularity.
Target to Reduce Temporary Residents
In March, the government set a goal to reduce the proportion of temporary residents to 5% within three years, down from 6.2% recorded earlier this year. However, the share has since risen to 6.8%. The latest policy measures, particularly the reduction in foreign student visas, are expected to contribute to a decline in the temporary immigrant population, with a forecasted reduction of 525,000 temporary residents over three years.
Tighter Restrictions on Temporary Foreign Workers
Employment Minister Randy Boissonnault announced new restrictions on the use of temporary foreign workers in Quebec, similar to measures already implemented in other provinces. The new rules prohibit employers from using the program in regions where the unemployment rate is 6% or higher. Public support for these changes is high, with a Nanos Research Group poll for Bloomberg News showing that most Canadians back a reduction in the number of temporary foreign workers.
Economic Concerns Over Slower Immigration Decline
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Despite these efforts to reduce temporary resident numbers, the Bank of Canada cautions that the pace of slowing immigration might be slower than anticipated, potentially leading to weaker long-term economic growth. In contrast to the U.S., Canada’s immigration pressures stem from the influx of individuals arriving on temporary visas to study and work, with many seeking permanent residency.
Prioritizing Canadian Workers
Boissonnault emphasized the importance of prioritizing Canadian workers, stating, “The changes we are making today will prioritize Canadian workers and ensure Canadians can trust the program is meeting the needs of our economy.” The government plans to set temporary resident targets for 2025 to 2027 by November 1, shaping the future course of Canada’s immigration strategy.
Source: Economic Times
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