Explained: Impact of Canada's temporary work permit restrictions on Indians
What's the story
In a landmark decision, Canada is gearing up to impose a limit on its temporary residents. This marks the first instance of the country capping temporary immigration. The announcement from Immigration Minister Marc Miller comes amid a housing crunch and overstretched essential services. This policy change is set to significantly affect Indians aspiring to live or work in Canada. Here's what we know about it.
Context
Why does this story matter?
Prime Minister Justin Trudeau's strategy to bolster Canada's economy through an influx of international students and workers is grappling with challenges. Despite initial benefits, rapid population growth has surpassed job creation and is proving to be a strain to the labor market. Consequently, the government is opting to curtail the number of temporary residents.
Cutdown plan
Decrease in temporary residents and foreign workers
As per the plan unveiled by Miller, the move will cut down the number of temporary residents from 6.2% to 5%. The government plans to lower the quota of temporary foreign workers that companies can employ to 20% from 30%, with exceptions for certain sectors like agriculture. Reportedly, these changes are scheduled for finalization in May during a meeting with provincial and territorial counterparts.
Plan's impact
Impact on housing and essential services
Temporary residents currently make up more than 2.5 million people or 6.2% of the country's total population. The substantial influx has also sparked worries regarding the availability of housing and other essential services. Moreover, the immigration minister underscored the need for better planning, especially regarding housing for workers, and seeks to ease the transition of temporary residents into permanent ones.
Possible impact
Possible impact on Indian temporary workers
India, listed among the top ten nations supplying temporary foreign workers to Canada, reportedly provided 26,495 workers last year. Under the new measures, they are expected to adversely affect Indians planning to settle or work in the country. Critics contend that immigrants are unfairly blamed for the affordability and housing crisis and often work in hazardous conditions. The Canadian Chamber of Commerce cautioned that the move could further worsen workforce shortage issues in certain industries.