On October 24, 2024, the Government of Canada announced its intention to reduce immigration levels for 2025-2027 by reducing the number of permanent residents in 2025 from a previous target of 500,000 to 395,000, which is a 21% drop.
The Honourable Marc Miller, Minister of Immigration, Refugees and Citizenship, announced a plan that will pause Canada's population growth in the short term. This includes controlled targets for temporary residents – specifically international students and foreign workers – as well as for permanent residents. Minister Miller is aiming to cut the number of immigrants Canada allows into the country in an effort to pause population growth, which has been consistently on the rise since the Trudeau government took office in 2015.
Partner Reis Pagtakhan spoke to CBC News Winnipeg about the announcement. Audio of the interview can be found here and the video is available here (starting at 1:54:20).
The policy shift comes as a result of a series of changes during 2024 where Canada's immigration system scaled back numerous programs. Over the last year, the federal government put a cap on international students allowed to study in Canada as well as announcing restrictions to the low-wage stream of the Temporary Foreign Worker Program. In addition to this shift, the federal government is decreasing targets for Provincial Nominee Programs (PNP) across Canada and there are proposed changes to spousal work permits that will impact Canadian employers.
The announcement raised immediate concerns about potential uncertainty for current temporary residents regarding their ability to remain in the country. The announcement has created growing concern around PNPs across Canada, which have seen a dramatic decrease in their targets. This year's plan cut targets for PNP admissions by 50%. Specifically, the 2025 target is set at 55,000, which is down from last year's target set at 110,000. The 2026 target is also set at 55,000, which was down from the 120,000 set in last year's plan. As a result, there are calls for Ottawa to provide accessible, fair, secure and flexible pathways for those individuals who are already contributing to Canada's economy and communities.
The announcement will likely require a shift in employer approaches to recruitment, especially for those in sectors heavily reliant on foreign workers.
On the upside, the federal government has maintained its levels of economic immigrants, attempting to devote a larger portion of economic immigration to high-skilled workers managed through Express Entry. Namely, Ottawa has increased its federal high-skilled programs through the Federal Economic Priorities and In-Canada Focus categories. These combined categories have a target of 124,680 in 2025 and 123,230 in 2026 – which is a 6% increase.
The federal government is being encouraged to remain adaptable in implementing these measures to address the evolving needs of existing temporary residents and to maintain Canada's reputation as a welcoming and inclusive nation. Given the complexities and difficulties navigating the ever-changing landscape of immigration policy, it is prudent for employers to access reliable and informed legal professionals.
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