Canada to set first-ever cap on temporary residents

Canada is poised to implement historic restrictions on the influx of temporary residents, marking a significant departure from its traditional open immigration policies. Immigration Minister Marc Miller announced plans on Thursday to gradually reduce the number of temporary residents admitted over the next three years, starting with the imposition of caps in September.

These limits will encompass international students, foreign workers, and asylum seekers, reflecting a shift aimed at addressing affordability and housing challenges.

Minister Miller emphasized the necessity of ensuring “sustainable” growth in temporary residency, aiming to decrease it to 5% of the population from the current 6.2%.

Highlighting a recent surge in temporary residents, with figures climbing to 2.5 million in 2024 from one million in 2021, Minister Miller stressed the need for efficiency in the immigration system.

While acknowledging Canada’s reliance on temporary foreign workers to mitigate labor shortages, he emphasized the imperative for changes to enhance efficacy.

Exceptions will be made for sectors facing acute labor shortages, such as construction and healthcare, allowing them to maintain current levels of temporary workers until at least 31 August.

However, other industries will face stricter criteria for employing temporary foreign workers, requiring proof that these roles couldn’t be filled by permanent residents or citizens.

Critics have condemned the move, arguing that it unfairly targets temporary foreign workers, who often work under precarious conditions. They assert that migrants are being scapegoated for broader affordability and housing issues.

These policy changes follow earlier measures, including setting limits on international student admissions, resulting in a planned 35% decrease in approved study permits.

Some educational institutions have expressed concern that such caps could deter students from choosing Canada for their studies, potentially impacting their revenue streams.

These developments mark a significant shift for Canada, which has traditionally embraced open immigration to address labor shortages and demographic challenges.

The decision to impose restrictions comes amid mounting pressure on the Trudeau government to address the increasingly unaffordable housing market, where home prices average C$700,000 and rent has risen by 22% in the last two years.

CANADA