Today, Prime Minister Trudeau announced a reduction in Canada’s immigration targets, scaling back from 500,000 to 395,000 in 2025, 380,000 in 2026, and 365,000 in 2027. With the current and chronic labour shortage our industry is facing, today’s announcement will have a significant impact on employees, employers and communities across Canada.
This is in addition to their plan to reduce the temporary resident population to 5% of the total population by 2026, through measures such as capping international student admissions and tightening eligibility for temporary foreign workers. By 2027, economic class immigrants are projected to make up 61.7% of total admissions.
The government emphasized its commitment to transitioning more temporary residents, including students and workers, to permanent status to help meet labour market demands.
Another recent change to the temporary foreign workers program will also soon come into effect. Starting November 8, 2024, wages in the high-wage stream will rise by 20% over the median salary in each province. This means a 5$ to 8$ increase for these employees, depending on which province they work in. This will shift many jobs to the low-wage stream, which has stricter rules.
Additionally, employers will no longer be able to use attestations from accountants or lawyers to verify their legitimacy.
We have reached out to the relevant ministers to seek further details on the announcement and to reiterate that, for over a year, Restaurants Canada has been advocating for a matching and training program to connect the approximately 1 million unemployed newcomers with open work permits to jobs in industries like foodservice, especially in rural and remote areas. Additionally, we are urging the government to collaborate with the foodservice industry on strategies to attract more Canadian workers, particularly youth. Lastly, we are reminding the government that lowering EI premium rates would provide much-needed financial relief for both employees and employers, especially in the current climate where affordability is a top concern.
Sincerely,
Max