This includes an expectation of 60,000 workers through the Temporary Foreign Worker Program (TFWP) and 170,000 through the International Mobility Program (IMP).
New regulations are set to enhance the hiring capabilities for low-wage temporary foreign workers, especially for employers with multiple small work locations. Previously, such employers were constrained to hiring low-wage temporary foreign workers to represent a maximum of 10% of their workforce, with a 20% limit applicable to certain in-demand sectors like health care, construction, and food production. The revised guidelines allow employers to hire one low-wage temporary foreign worker at a work location with fewer than 10 employees, and for specified in-demand sectors, up to two workers can be hired at each qualifying location.
Employment and Social Development Canada (ESDC) modified its program requirements as of August 18, 2026. Eligible employers can now use the employee count at each individual work location to determine their limit on low-wage temporary foreign workers, rather than basing it solely on the entire national workforce. This change is particularly beneficial for businesses with multiple small establishments. For instance, an employer with several small restaurants or care facilities may qualify for more low-wage foreign workers under the new calculation.
The workforce calculation encompasses full-time and part-time employees, temporary foreign workers who hold approved Labour Market Impact Assessments (LMIAs) but have not commenced work, and open positions for which LMIA applications are being submitted. Part-time staff averaging fewer than 30 hours a week count as 0.5 of an employee in this evaluation.
Despite these adjustments, the requirement for employers to secure a positive or neutral LMIA before hiring or retaining workers through the TFWP remains unchanged. The LMIA process is designed to ensure that no qualified Canadian citizen or permanent resident is available for the position. Furthermore, since September 2024, low-wage LMIA applications have typically not been processed for jobs in urban areas with over 6% unemployment.
Employers utilizing the low-wage stream must also adhere to specific conditions, such as covering the worker’s transportation costs to and from Canada, securing appropriate housing, and providing private health insurance if the worker is not under a provincial or territorial health plan. Most temporary work permits granted in Canada are issued through the International Mobility Program, which generally bypasses the LMIA process.
