New Rules for Canada’s Work Visa: From Wage Hikes to Job Caps (November 2024)
Canada is known for its beautiful landscapes, friendly people, and strong economy. If you’re a job seeker dreaming of working there, you’ve probably heard about Canada’s Temporary Foreign Worker Program (TFWP). This program helps people from other countries get temporary jobs in Canada when Canadian workers aren’t available for those positions. To make this happen, employers need something called an LMIA (Labour Market Impact Assessment), which shows that hiring someone from outside Canada won’t negatively affect Canadian jobs.
But hold up! Canada just made some big changes to this program. So, let’s break down what these changes mean for you as a job seeker and how they could impact your plans to work in Canada.
1# Bigger Paychecks but Tougher Requirements: Wage Threshold Increase
Starting November 8, 2024, Canada is raising the bar on what counts as a “high-wage” or “low-wage” job by increasing the wage threshold by 20%. In simpler terms, jobs that used to be considered “low-wage” might now be classified as “high-wage,” and the requirements for those jobs could change.
Why This Matters for You: If you’re looking for a job in Canada, this means you could see better pay for some positions. However, it might also mean stricter qualifications and requirements for these jobs. Be ready to meet those new standards!
2# Goodbye Shortcuts: Proving Employers Are Legit
Starting October 28, 2024, employers in Canada will no longer be able to just use letters or documents from lawyers or accountants to prove that their business is real. Instead, they’ll need to show official documents like business licenses and tax forms.
What This Means for You: This change is mostly on the employer’s side, but it’s still important for you. It might take a little longer for some job offers to come through as employers adjust to this new rule. The upside? You’ll be more likely to work for legitimate, stable employers.
3# Fewer Low-Wage Job Openings and Shorter Contracts
Starting September 26, 2024, it’s going to be tougher to get jobs that are classified as “low-wage.” Here’s what’s happening:
- No LMIAs in High-Unemployment Areas: If the area where you’re applying has an unemployment rate of 6% or higher, low-wage job applications won’t be processed.
- Reduced Job Caps: Employers can only have up to 10% of their workforce as low-wage TFWs (20% for construction and healthcare jobs).
- Shorter Job Contracts: If you land a low-wage job, it will only last up to 1 year (previously, it could be up to 2 years).
Why This Matters for You: If you’re looking for a low-wage job, your options might be more limited, especially in areas where unemployment is high. You’ll also need to plan for shorter job durations, which could mean reapplying or looking for another job sooner.
4# Montréal’s Pause on Low-Wage Job Processing
If you were hoping to work in Montréal, there’s an important update: From September 3, 2024, to March 3, 2025, the government won’t be processing applications for low-wage jobs in this city. That’s right—a six-month pause!
What This Means for You: If you’re set on working in Montréal in a low-wage position, you’ll need to wait until the pause is over or look at other cities or job types for now.
Why This Matters to You as a VISA and Job Seekers Starting Nov 2024?
These updates might sound complicated, but here’s the bottom line: Canada is making it a bit harder to fill low-wage positions with foreign workers to ensure more opportunities for Canadian residents. However, if you’re aiming for a high-wage job or specialized work, these changes may actually work in your favor by improving the quality of the job market.
Press Release: https://www.canada.ca/en/employment-social-development/services/foreign-workers/median-wage/low.html.
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