The recent changes to Canada’s Labour Market Impact Assessment (LMIA) policies have created significant challenges for new immigrants seeking employment through the Temporary Foreign Worker Program (TFWP). Introduced in late 2024, these adjustments aim to prioritize Canadian workers, reduce reliance on foreign labor, and address unemployment in high-impact areas.

One major change includes suspending LMIA processing for low-wage positions in regions with unemployment rates exceeding 6%, which directly limits job opportunities for new immigrants. Additionally, the cap on foreign workers per employer has been reduced from 20% to 10%, further shrinking the pool of available positions. This disproportionately affects industries like retail and hospitality, which are often entry points for immigrants establishing themselves in Canada.

The reduced work permit duration for low-wage positions, now limited to one year instead of two, has also added uncertainty. Many immigrants rely on stable employment to transition into permanent residency pathways. These changes complicate long-term planning and can lead to financial and emotional strain.

While the policy adjustments are intended to safeguard Canadian jobs, they risk undermining Canada’s reputation as a welcoming destination for skilled and unskilled workers alike. New immigrants must now navigate these challenges with increased resilience, exploring alternative programs or industries to secure their future in Canada.