Program Criticized for Wage Suppression and Worker Abuse
Canada’s temporary foreign worker program is under scrutiny, as Immigration Minister Marc Miller acknowledges the need for significant reforms. Following a critical United Nations report, which labelled the program as a breeding ground for modern slavery, calls for change have intensified.
The program facilitates the entry of non-Canadians to address labour shortages temporarily. The immigration minister confirmed that while it’s not irreparably flawed, it does require urgent reform due to escalating concerns over wage suppression and worker exploitation.
“Particularly in the low-wage stream, we need to reassess our approach,” said Miller. This sector has expanded significantly, with numbers soaring from 15,817 in 2016 to 83,654 in 2023, driven by regulatory adjustments made in 2022. These changes allowed an increase in the proportion of employers’ workforces composed of low-wage temporary foreign workers and removed restrictions on hiring such workers in regions with unemployment rates above 6%.
Refusal to Process Low-Wage Stream Workers Under Consideration
Labour Minister Randy Boissonnault may refuse to process applications under the low-wage stream if issues persist. “If misuse and abuse continue unabated, we must take firm action,” said ministry spokesperson Mathis Denis.
However, economist Mike Moffatt from the Smart Prosperity Institute pointed out that even an optimally functioning program suppresses wages inherently. He advocated for abolishing the low-wage stream altogether, asserting that employers do not possess a constitutional right to low-cost labour.
UN Report Calls for Permanent Residency Pathway
A recent UN report labelled Canada’s Temporary Foreign Worker Program a catalyst for contemporary forms of slavery, citing instances of underpayment, wage theft, and various forms of abuse. It also highlighted inadequate healthcare access for these workers.
The special rapporteur suggested that reducing the number of temporary residents won’t solve underlying vulnerabilities. Instead, it recommended establishing a systematic pathway for workers to achieve permanent residency to mitigate structural precarity.
Minister Miller rebuffed the slavery characterization as “inflammatory” but did not deny existing abuses. “Instances of abuse are undeniable and unacceptable,” he stated firmly.