The federal government’s recent announcement of caps on some temporary foreign workers is merely tinkering at the edges. It falls short of addressing the structural reforms to the Temporary Foreign Worker Program, or TFWP, that are urgently needed. 

While concerns about the impact of temporary immigration on the economy, which fuelled the decision, are valid, these cuts represent a limited response to a complex issue, failing to grapple with the deeper challenges at play. 

A more comprehensive strategy is essential — one that considers the diverse needs of industries, the rights and well-being of workers and the long-term economic implications of our immigration policies. Without such an approach, we risk creating more problems than we solve. 

Fifty years ago, when the TFWP was first introduced, Canada faced an urgent need for labour. The federal government responded by implementing what was supposed to be a temporary measure that allowed employers to bring in foreign workers to fill jobs for which no qualified Canadians were available. The TFWP worked, perhaps too well. 

Canada grew reliant on this foreign labour source, but we have not developed a corresponding sense of responsibility toward them. Migrant workers face significant hurdles when navigating a confusing and often convoluted immigration system. Once they arrive, they are deprived of basic protections that all Canadians take for granted. These individuals play a crucial role in our economy, yet they lack the most fundamental workplace rights. 

Employers, too, are struggling within the confines of this antiquated system. They face their own bureaucratic battles, enduring long delays and mounting administrative costs. The result is a work force that often arrives too late, leaving businesses under-resourced when they need help the most. What we have is a system sustained more by inertia and habit than by a real sense of purpose. 

The government has promised to overhaul the TFWP further in the coming months, and there are three ways it can be improved. 

First, we urgently need to create an independent migrant work commission to manage migrant labour policy. This new body would co-ordinate the needs of employers, workers and government agencies, ensuring that policies are fair and effective. 

Modelled after the Employment Insurance Commission, the proposed body would include representatives from government, employers and workers. It would gather data, respond to reports of abuse and act as a central authority to oversee the system. This kind of independent oversight is critical to ensuring the fair treatment of migrant workers while also addressing the needs of employers. 

Another important issue is the restrictive nature of employer-specific work permits, which tie workers to a single employer. This not only exposes workers to a greater risk of exploitation but also limits employers’ flexibility in responding to seasonal needs. 

Employers are required to make substantial investments in recruiting and supporting foreign workers, but the rigid structure of the current permit system often hinders their efforts. I’ve heard employers voice their frustration about having employees sitting idle at one plant because there’s not enough products to process, while goods at another site go to waste because of a shortage of workers. 

This requires the second change: We need to phase out employer-specific permits over three years, replacing them with sector- or region-specific permits that better align with labour market needs. The government’s announcement doesn’t address this, and so this policy will continue to hurt migrants and employers alike. 

Further, the inspection regime meant to protect workers is ineffective. Employers are often made aware of inspections before they occur, giving them time to conceal wrongdoing and preventing actions against bad actors. Employers are also frustrated by the lack of enforcement; they feel that bad actors tarnish the reputation of the many that follow the rules. 

So, third, it is essential that federal, provincial and municipal governments, who are all responsible for inspections, work together to streamline them, make unannounced visits the default and improve the enforcement of labour standards. 

The time for tinkering is over. When the federal government gets to the next round of changes to the TFWP, they need to act decisively. We cannot afford to perpetuate a system that fails both workers and employers. 

We must overhaul this outdated system, ensuring that migrant workers receive the rights and protections they deserve, and that employers can access the essential labour they need without unnecessary bureaucratic barriers. The future of Canada’s labour market depends on it. 

Senator Ratna Omidvar is chair of the Senate Committee on Social Affairs, Science and Technology, which completed the report, Act Now: Solutions for temporary and migrant labour in Canada. She represents Ontario in the Senate. 

This article was published in The Globe and Mail on October 2, 2024.

Note to readers: The Honourable Ratna Omidvar retired from the Senate of Canada in Novembre, 2024. Learn more about her work in Parliament.