In response to growing concerns about housing affordability, Canadian Prime Minister Justin Trudeau has announced a significant reduction in immigration numbers, set to take effect in 2025. This decision comes a month after the government limited the number of study permits for international students.
Stricter Rules for Temporary Foreign Workers
Trudeau tweeted that his government plans to introduce stricter rules for companies, making it harder for them to hire temporary foreign workers unless they can prove they are unable to fill positions with Canadian citizens.
“We’re going to have fewer temporary foreign workers in Canada. We’re bringing in stricter rules for companies to prove why they can’t hire Canadian workers first,” he stated.
This policy aims to prioritize Canadian workers but will make it more challenging for immigrants to secure jobs and settle in the country. The move is expected to result in a sharp decline in the number of immigrants entering Canada starting in 2025.
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Reduced Immigration Targets for 2025-2027
Marc Miller, Minister of Immigration, Refugees and Citizenship, announced the 2025-2027 Immigration Levels Plan, noting that the plan is expected to result in a marginal population decline of 0.2% in both 2025 and 2026 before returning to a population growth of 0.8% in 2027.
These forecasts account for today’s announcement of reduced targets across multiple immigration streams over the next two years, as well as expected temporary resident outflows resulting from the 5% target, natural population loss and other factors.
“With this year’s levels plan, we have listened to Canadians. We are reducing our permanent resident targets. Compared to last year’s plan, we are:
reducing from 500,000 permanent residents to 395,000 in 2025
reducing from 500,000 permanent residents to 380,000 in 2026
setting a target of 365,000 permanent residents in 2027,” he said.
These figures represent a significant drop from the 485,000 immigrants expected this year. By 2025, the annual immigrant intake is predicted to fall by approximately 30,000, settling at around 300,000.
Impact on Work Visas and Foreign Workers
Canada has long relied on foreign labour to support its growing economy, but the latest changes reflect a shift in focus toward protecting local employment.
The new immigration rules will particularly impact foreign workers looking to obtain work visas, as companies will need to demonstrate a stronger justification for hiring non-Canadians.
This policy is expected to reduce the number of available jobs for immigrants, making the path to permanent residency more difficult.
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