- Officially companies use it to find temporary workers from other countries when qualified Canadian residents aren’t available.5
- Sometimes the company needs a positive govt Labour Market Impact Assessment (LMIA, formerly LMO). A positive LMIA says there is no Canadian resident for the job5
– Firms must first advertise job to Canadian residents 16
– Some TFWs don’t need an LMIA due to trade agreements.5
– TFWs are now limited to a maximum of four years in Canada as of 2012 8
- A TFW must keep their job with this employer to stay in Canada8
– They cannot leave for another job. If they are fired, they can be deported.
Intra-company Transfers
- Companies don’t need an LMIA if they bring in their own foreign workers with ‘special skills or management ability’ 2
– Some of these workers have been hired out to other companies and have no special skills. Both things violate the terms of the visa.2
Government Deputy Minister Notes Program Abuse
- May 29, 2012 Dep. Minister for HRSDC says there’s evidence firms hire TFWs in same job, location as Canadians on EI 10
– In Jan. 2012 over 1,200 food counter attendants were approved for Alta. while over 300 Albertans citing relevant experience made EI claims10
Studies: TFW program hurts young people and immigrants
- Labour economists: A TFW Program is necessary, but its size has lowered wages & hurt incentives to train workers 8 11
– Young people11 and immigrants8 11 have likely been hurt the most
The Government’s Record Before the RBC Scandal
- 2003 TFW program is expanded beyond agriculture (Table Figures rounded to nearest thousand)
Year | TFWs admitted | TFWs Present (Dec.1) |
|
2003 | 103,000 18 | 110,000 19 | |
2006 | 138,000 18 | 161,000 19 | |
2009 | 177,000 18 | 281,000 19 | |
2012 | 214,000 9 18 | 338,000 5 19 | |
2013 | 221,000 28 | 386,000 29 30 |
- 2012 – As TFW numbers soar above 300,000 the Harper Govt. starts pilot program to let firms pay TFWs up to 15 % less than prevailing wages 6
– Officially they couldn’t be paid less than a Canadian in same job & location 7 9 - December 2013 There are 6.3 unemployed workers per available job, up from 5.7 in Dec. 2012 (Stats Can.)4
Royal Bank Scandal & Aftermath
- Feb. 2013 – 45 IT jobs cut by Royal Bank of Canada1
– Canadians are replaced by iGate Corp. workers brought in via TFW program1
– The jobs were to be transferred to India1 9 - April 6, 2013 RBC story breaks 1
- Apr. 29, 2013 – After uproar over Royal Bank layoffs and heavy criticism, Harper govt:
– eliminates the ‘up to 15% less’ pilot program 9 17
– States businesses must have plan to switch to Canadian workforce 9
– Introduces fee on user firms to fund TFW program. 9
As of May 2014 Canadian companies face a $275 fee to apply for TFWs.
In the U.S. companies pay up to $2,300. 22
2013 Breakdown
- 221,000 temporary workers entered Canada. 138,000 were IMP workers – 62% 28
- 386,000 temp. workers were present Dec.1. 260,000 were IMP workers – 67% 29 30
No Effective Reforms In 2014
- Jan. 2014: Employment Minister Jason Kenney promises reforms 23
- April 24, 2014 After several media stories about the program displacing Canadian workers, TFW program is suspended and later reinstated 21
- June 2, 2014 Dept. of Employment & Social Development states no inspections of TFW workplaces have been done; start expected fall 2014 25
- June 13, 2014 Govt. says new ‘Express entry’ immigration program will meet needs for workers by admitting immigrants with job skills 24
– May 1, 2014 Govt. starts accepting 25,000 applications for Skilled Worker Program, up from 5,000 in 2013 24
June 20 Changes
- LMOs renamed LMIAs; TFWs requiring an LMIA are still under the TFW program 26
- TFWs with no LMIAs process are now under International Mobility Programs (IMPs) 26
- The only new restrictions on bringing in IMP temporary workers are
– $330 in fees 26
– Requiring firms involved to submit their job offers to CIC 26
The Following Restrictions Apply Only to TFWs who require LMIAs
- Firms with over 10 workers can’t have over 10% of a worksite’s staff be low-wage TFWs 26
- No new low-wage TFWs in food service, hotels or retail where unemployment is 6% + 26
- Companies receiving LMIAs will be published 27
- Companies applying for LMIAs can’t lay off or reduce hours of Canadian residents 26 27
- LMIA fee is increasing from $275 to $1,000 26 27
- Employers of on-farm TFWs are exempt from fee, cap on low-wage TFWs & shorter permit time. 26 27
- Employers of live-in caregivers exempt from cap and shorter permit time 26
- 10-day fast track LMIA is introduced for high-demand & high-paid occupations (skilled trades) and for work periods of 120 days or less if wages are above provincial median 31
- June 23, 2014 It is disclosed RCAF has been using TFWs as military pilots 32
– Air force concedes saving on training costs was a factor in choice 32
Works Cited
- RBC replaces Canadian staff with foreign workers
By Kathy Tomlinson, CBC News
Posted Apr 6, 2013 Last updated Apr 6, 2013 Accessed May 23, 2013 - Insiders say Canada ‘scammed’ by foreign worker industry
By Kathy Tomlinson, CBC News
Posted Apr 29, 2013 Last updated Apr 29, 2013 Accessed May 23, 2013 - Canadian on EI shut out amid foreign worker influx
By Kathy Tomlinson, CBC News
Posted May 20, 2013 Last updated May 20, 2013 Accessed May 27, 2013 - Job vacancies, three-month average ending in December 2013
Statistics Canada - Fact Sheet — Temporary Foreign Worker Program
Accessed May 27, 2013 - Rise in foreign temp workers questioned by labour groups
By Amanda Pfeffer, CBC News
Posted Apr 10, 2013 Last Updated Apr 10, 2013 Accessed May 27, 2013 - Canada’s Temporary Foreign Worker Program Set To Change
By Louise Béchamp, Karen M. Sargeant and Brian P. Smeenk, Fasken Martineau.
Last Updated: May 23 2013 - Temporary foreign workers: Filling labour gap or depressing wages?
By Peter O’Neil And Tara Carman, Vancouver Sun
January 7, 2013 - ‘Not in the interest of Canadian business’: Employers unhappy with Conservatives’ foreign workers bill
April 30, 2013 - Temporary foreign workers hired in areas with EI claimants
Posted May 6, 2013 Last updated May 7, 2013 Accessed May 29, 2013
By David McKie, CBC News - Temporary foreign worker program lowers wages, thwarts training, economists say
By Tavia Grant, Economics Reporter, The Globe and Mail
Published Apr. 12, 2013 Last updated Apr. 13, 2013 Accessed May 29, 2013 - Foreign worker investigation continues.
Global News
April 24, 2013. Accessed May 30, 2013 - Foreign workers allegedly paid $3 an hour in Halifax granted reprieve from deportation.
Global News
April 24, 2013. Accessed May 30, 2013 - Who’s looking out for Tim Hortons’ temporary foreign workers?
By Fabiola Carletti and Janet Davison, CBC News.
Posted: Dec. 12, 2012 Last Updated Dec. 13, 2012. Accessed May 30, 2013 - Temporary foreign worker bust made in Kingsville.
Posted May 16, 2013 Last Updated May 16, 2013 Accessed May 30, 2013 - Temporary Foreign Worker Program. Agricultural Workers. Live-in Caregivers. Lower-skilled Occupations. Higher-skilled Occupations.Human Resources and Skills Development Canada
Advertising period: 4 weeks Wages: prevailing median wage or union level
16.1 Stream for Lower-skilled Occupations
16.2 Stream for Higher-skilled Occupations
16.3 Federal Skilled Worker Program
16.4 Federal Skilled Trades Program
Advertising period: 14 days Wages: Minimum wage (caretakers) or Agricultural minimum wage ($10-12/hour)
16.5 Hiring Seasonal Agricultural Workers
16.6 Agricultural Stream
16.7 Hiring Live-in Caregivers and Nannies - Foreign worker program gets new rules, higher fees
Posted Apr. 29, 2013 Last Updated Apr. 29, 2013 Accessed Jan.6, 2014
By Meagan Fitzpatrick , CBC News - Total entries of foreign workers by province or territory and urban area.
Under: Facts and figures 2012 – Immigration overview: Permanent and temporary residents, Temporary residents, Canada.
Accessed Jan.9, 2014 - Foreign workers present on December 1st by province or territory and urban area.
Under: Facts and figures 2012 – Immigration overview: Permanent and temporary residents, Temporary residents, Canada – Foreign workers present on December 1st by province or territory and urban area
Accessed Feb.26, 2014 - Consultants offer to pair temporary foreign workers with firms
By Lee-Anne Goodman, The Canadian Press
May 2, 2014 - Temporary foreign worker plans won’t help, says Alberta minister
By CBC News
May 16, 2014 Last Updated: May 16, 2014 - Business nervous about Tory ‘wage floor’
By Lee-Anne Goodman, Canadian Press
May 16, 2014 Accessed June 19, 2014 - Jason Kenney’s reputation takes a beating as controversy rages over temporary foreign workers
By Lee-Anne Goodman, Canadian Press
April 29, 2014 Accessed June 19, 2014 - Skilled immigrants recruited in 50 occupations ahead of ‘express entry’ launch
By Susana Mas, CBC News
Posted: Jun 13, 2014 Last Updated: Jun 13, 2014 Accessed June 20, 2014 - Tory government fails to inspect a single place hiring temporary foreign workers despite promise made last year
By Steve Rennie, Canadian Press
June 20, 2014 Accessed June 20, 2014 - Government of Canada Overhauls Temporary Foreign Worker Program
June 20, 2014 - A guide to the ‘reformed’ temporary foreign worker program
By Jason Fekete, & Mark Kennedy, Ottawa Citizen
June 20, 2014 - Quarterly Administrative Data Release
Accessed June 24, 2014 - Canada – Temporary Foreign Worker work permit holders present on December 1st by province or territory and urban area, 2009-2013
Accessed June 24, 2014 - Canada – International Mobility Program Work Permit Holders Present on December 1st by Province/Territory and Urban Area, 2009-2013
Accessed June 24, 2014 - Restricting Access
Accessed June 25, 2014 - Air force hiring foreign pilots to fly front-line jets
By: Bruce Campion-Smith Toronto Star Ottawa Bureau,
Published June 23, 2014 Accessed June 27, 2014 - New caps for Federal Skilled Worker and Federal Skilled Trades Programs, and Canadian Experience Class.
Apr 23, 2014 Accessed July 2, 2014