By November 1, Immigration Refugees and Citizenship Canada (IRCC) is set to reveal the Immigration Levels Plan for 2025-2027. This plan generally outlines the target number of permanent residents that Canada aims to admit in the next year, with projections also provided for the two subsequent years.
The plan is significant as it not only addresses Canada’s immigration targets but also influences the country’s overall population growth. This, in turn, affects essential sectors like social services, taxation, housing markets, healthcare, and the labor force expansion.
This year, the approach will be distinct from previous ones. Immigration Minister Marc Miller disclosed in March that for the first time, temporary residents—including individuals on work permits, study permits, and visitor visas—will be factored into the Plan.
In 2023, more than 2.5 million temporary residents were living in Canada, comprising 6.2% of the total population. Minister Miller indicated that one of the aims of the upcoming Plan is to reduce the proportion of temporary residents to 5% of the Canadian population over the next three years.
While the precise number of temporary residents that Canada intends to welcome in the coming years is still undecided, examining announcements made throughout the year may offer insights into IRCC’s strategies for the future and how these will shape the forthcoming Plan.
Study Permits Update
In January, a major development occurred for international students as the Immigration, Refugees and Citizenship Canada (IRCC) set a limit on the number of study permits they will process. They plan to handle 606,000 applications, with an anticipated approval of 360,000, which is a 35% decrease from previous figures.
This announcement was unexpected because the minister had earlier expressed opposition to imposing such caps or targets on Canada’s international student program.
In 2023, international students represented 42% of the country’s temporary resident population. Looking ahead, the minister revealed in September that the cap would be further tightened in 2025, reducing the number to 437,000. Notably, master’s and PhD students, who were previously not subject to this cap, are now included.
Changes to Open Work Permits
In addition to adjusting study permit numbers, the IRCC plans to reduce the issuance of Post-Graduation Work Permits (PGWPs) and Spousal Open Work Permits (SOWPs) over the next three years.
For PGWP hopefuls, new eligibility criteria have been introduced. University graduates now need a Canadian Language Benchmark (CLB) score of at least 7, while college graduates require a score of CLB 5. The minister indicated that these stricter requirements could lead to 175,000 fewer PGWPs being issued in the next three years.
The SOWP changes are also significant, likely resulting in a reduction of 50,000 temporary residents during the same period. The eligibility for spouses of international master’s students is now limited to those whose program is 16 months or longer, or if they are enrolled in a key or high-demand program.
Spouses of “highly skilled, specialized workers” will continue to qualify for SOWPs, but this criterion adjustment is expected to cut an additional 100,000 permits in the coming three years.
In summary, IRCC’s new policies aim to issue 325,000 fewer open work permits within the next three years.
Updates on Closed Work Permits and the Temporary Foreign Worker Program
At PL Immigration, we’re here to help you understand the latest changes to the Temporary Foreign Worker Program (TFWP) in Canada. Recently, Randy Boissonnault, the Minister of Employment, Workforce Development, and Official Languages, has introduced significant updates regarding employer use of the TFWP.
One of the key changes is that employers can now only fill up to 10% of their total workforce with temporary foreign workers through this program. Additionally, the employment term for those hired via the Low-Wage stream has been shortened from two years to one year.
Moreover, Immigration, Refugees and Citizenship Canada (IRCC) will not process low-wage Labour Market Impact Assessments (LMIAs) from employers located in Census Metropolitan Areas (CMAs) where the unemployment rate exceeds 6%, with some exceptions. While these modifications aim to impact the number of temporary foreign workers in Canada, the Minister has not provided specific estimates.
Minister Boissonnault has emphasized that Canadian businesses have become too reliant on the TFWP, which was originally intended to serve as a last resort option for filling labor gaps.
At PL Immigration, we are committed to helping employers and applicants navigate these changes efficiently. If you’re seeking assistance with the TFWP or any other immigration matters, we’re here to support you every step of the way.
Canada’s Future Immigration Plans and Challenges
The Canadian government has announced its Immigration Levels Plan for 2024-2026, targeting the arrival of 500,000 new permanent residents each year by 2025 and maintaining this level through 2026. These new residents will come through various channels including economic immigration, family sponsorship, refugee and protected persons, and humanitarian efforts.
According to Minister Miller, Canada is open to reconsidering the number and type of permanent residents admitted in the future, hinting at potentially significant changes. Currently, 60% of immigrants to Canada are economic immigrants—skilled workers ready to integrate into the workforce and boost the economy. Minister Miller recently noted in an interview with CTV News that Canada’s commitment to this level of economic immigration is unmatched globally.
Concerns Over Immigration Numbers
As Canada’s population grows, some Canadians are worried about the strain on affordable housing and the healthcare system caused by increasing numbers of newcomers. These concerns are likely to play a significant role in upcoming federal elections and were highlighted in a 2023 Environics Institute report. This report observed a noticeable decrease in immigration support among Canadians compared to the previous year. While few Canadians oppose immigration outright, there is uncertainty about managing high immigration levels in the future.
Minister Miller also pointed out the need to control the number of temporary residents, such as international students. This is to protect them from exploitation and to ensure they receive the necessary support to succeed in Canada.
Despite these concerns, both Minister Miller and his colleague Boissonnault emphasize the positive cultural impacts of immigration. They acknowledge that immigration drives nearly all of Canada’s labor force growth and caution against making overly drastic policy changes.