From fast food to construction, employers are increasingly turning to temporary foreign workers

Business demand for temporary foreign workers has increased across the country in recent years, with employers given the green light to hire more than double the number of people under the federal program last year as they did earlier. is five years old.

The program is designed to provide short-term relief to employers as a last resort, but has been scrutinized for its potential impact on the economy as a whole and the vulnerable position in which it can place workers.

Last year, employers were allowed to hire 239,646 temporary foreign workers, about the population of Regina. This represents an increase from 108,988 in 2018, according to figures published by Employment and Social Development Canada (ESDC).

The program’s growth coincided with the government’s easing of hiring restrictions to help businesses facing post-pandemic labor shortages. Some economists (new window) criticized the move, saying it undermined healthy competition for workers in a market economy.

All we hear about is labor shortages, (but) we need to start recognizing that this is actually self-serving talk coming primarily from the Canadian business community, said Mikal Skuterud, professor of labor economics at the University of Waterloo.

As the program has expanded, there has been interest from a wide range of industries.

CBC News analyzed federal job numbers data following positive labor market impact assessments (new window) (LMIA), a document proving that no Canadian is available to accept employment.

The numbers show that while agricultural and greenhouse workers have historically been the most in-demand roles in the program, demand for other jobs is on the rise.

Across the economy, employers have turned to the program to fill positions ranging from administrative assistants (from 287 in 2018 to 3,337 in 2023), light cleaners (from 201 to 3,043), helpers and construction workers (from 132 to 5,353). ).

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An increase in the number of positive LMIA positions does not necessarily mean there are more temporary foreign workers in the country. For example, a licensed employer may change its mind before hiring one.

But it reflects growing employer interest in the program – which by all accounts is growing. Work permit data released by Immigration, Refugees and Citizenship Canada shows the number of temporary foreign workers in the country last year reached its highest level since records began in 2015.

Taking orders and flipping burgers

Fast food chains and restaurants are a significant source of demand for temporary foreign workers. After farm and greenhouse workers, the most approved positions last year were cooks, food service supervisors, food counter attendants and kitchen helpers.

Food counter attendants, in particular, increased from 170 jobs in 2018 to 8,333 in 2023. The top 10 employers allowed to hire the most of them last year were all fast-food operators.

The relationship between the restaurant industry and the Temporary Foreign Worker Program has at times been strained. About ten years ago, controversy surrounding industry’s use of the program led the federal government to impose a temporary moratorium. (new window) in this sector.

But times have changed along with job markets.

Citing significant labor shortages, the federal government doubled down on 2022 (new window) the proportion of low-wage workers that companies could hire through the program, from 10 percent of their workforce to 20 percent.

Some sectors particularly affected by the pandemic, including restaurants, have been given the green light to hire up to 30 percent low-wage staff under the program.

For businesses, one of the main benefits is stability, as work permits are tied to their employer, meaning they cannot easily leave their job to work for a competing company down the street.

It guarantees that a worker will remain employed with them for the duration of the agreement, states the Canadian Franchise Association on its website (new window).

CBC News contacted 14 restaurants and franchise groups authorized to hire the highest number of cooks, food service supervisors and food counter attendants last year.

None agreed to an interview, although a spokesperson for Franchise Management Inc. (new window)which operates Pizza Hut, KFC and Taco Bell franchises, said the program has allowed it to continue operating in rural and northern areas.

Unfortunately, some of these communities often do not have the population base to meet labor demand, Dana Myshrall said in an emailed statement.

The company was allowed to hire 140 food counter attendants last year, although Myshrall said she plans to hire far fewer this year.

Worker experience

For workers, a lack of opportunities at home is usually what pushes people to seek work abroad, said Marco Luciano, director of the advocacy group Migrante Alberta.

Canada is attractive because it is one of the few countries where a temporary job can turn into a permanent residence, he said.

But the experience of a temporary foreign worker can be mixed, he said.

There are good employers who honor their contracts and help workers apply for permanent residency, Luciano said.

My boss (was) really, really good, just really nice, said Ruth St-Martin, a former temporary foreign worker who moved to St. Albert, Alberta, from the Philippines in 2011 to work at an Arby’s restaurant. She has since obtained permanent residency and become an oil and gas laboratory technician.

When I got my permanent residency, I didn’t immediately leave Arby’s, because I wanted to show my loyalty to my boss.

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How the Temporary Foreign Worker Program Works in Canada

Employers must first post the job to find workers locally, says Peter Veress, president of Vermax Group, an immigration consulting firm.

But Luciano said other employers abuse their power and underpay workers, even withholding their pay to make up for money spent on an LMIA. Workers are often afraid to speak out for fear of losing their status in Canada, he said.

Danilo de Léon (new window) doesn’t remember his time on the program fondly. De Leon came to Edmonton, also from the Philippines, in 2009 to work for Bee Clean, a cleaning company contracted by the University of Alberta.

At the time, de Leon and his colleagues claimed the company withheld their wages and threatened them with eviction. (new window). The company later said the unpaid wages were a mistake (new window)apologized and said he would reimburse the workers.

We were treated like slaves. We worked 12 hours a night, we don’t get paid for overtime, no night shift pay, said de Léon about his past experience. He has since become an advocate for migrant workers and is seeking his own permanent residency.

Without my daughter, I wouldn’t have wanted to stay here, but there is no work back home.

Economic impact

Skuterud, the economist, said the temporary foreign worker program may also affect the economy as a whole.

He showed a paper (new window) this suggests that hiring these workers is correlated with lower earnings for Canadian workers in similar jobs and locations.

We don’t like to think about this kind of competition, but of course it’s a harsh reality, he said.

In a statement, ESDC spokesperson Liana Brault said employers are required to offer temporary foreign workers at least the regional median hourly wage for the job in question.

This program is not the only source of temporary workers in the country. International students are also permit holders, as are workers benefiting from the extensive international mobility program. (new window).

But overall, Skuterud believes the growth of all three programs shows the government is moving away from its points-based immigration system and toward a more ad hoc approach in which people attempt to turn a permit into work or study in a permanent status.

It looks like a lottery and your ticket is a work permit, Skuterud said. We must return to a transparent and fair system towards migrants.

“Not really temporary”

This spring, the federal government reversed course on the temporary foreign worker program, tightening the number of such workers a company can hire, citing changes in the labor market. (new window) and a drop in vacancies.

Most employers are now limited to hiring 20 percent low-wage staff under the program. (That’s still higher than the 10 percent limit before the pandemic, and some sectors, like health care and construction, can continue hiring at up to 30 percent.)

As public pressure has increased (new window) Regarding the link between immigration and housing affordability, ESDC’s Brault said the changes were not linked, and based solely on employment figures.

There are different perspectives on how to improve the program. Groups like Migrante Alberta want to see easier access to permanent residency for migrant workers — a recently announced initiative for caregivers. (new window) — while a recent report from senators (new window) called for changes, including an end to closed work permits.

The report said the program was created in 1973 as a limited means of last resort to fill jobs. But 50 years later, this activity has become essential for certain industries, and there is no sign that it will stop anytime soon.

Neither migrant work programs nor workers are truly temporary, It said.

Paula Duhatschek (new window) · News from Radio-Canada