Canada will allow low-wage temporary foreign worker approvals to run for up to two years from 6 November, doubling the current one-year limit, in a package of reforms aimed at easing labour shortages.

Employment and Social Development Canada said Labour Market Impact Assessment applications in the Low-wage Stream submitted on or after 6 November can now support employment for a maximum of two years. The change was announced by Patty Hajdu, the Minister of Jobs and Families, who said the programme exists to fill shortages in critical sectors where qualified Canadian workers are not available.

Early childhood educators added to exemptions

Early childhood educators were also added on 6 November to the list of occupations exempt from processing restrictions in cities where unemployment is 6 per cent or higher. They join healthcare, construction and food processing workers on the exemptions list. Budget 2026 provides 151.5 million Canadian dollars over five years to improve service delivery under the programme, and 82 million dollars over four years for the Migrant Worker Support Program, which helps workers understand their rights.

Further changes proposed for 1 March 2027 would depend on provinces and territories opting in. Under the proposal, employers in those regions could hire temporary foreign workers for up to 15 per cent of their workforce in the Low-wage Stream, up from the current 10 per cent cap, while priority sectors would keep a 20 per cent limit. Rural communities would keep full access to all low-wage occupations.

Ms Hajdu is due to meet provincial and territorial counterparts in the coming weeks to discuss the proposals. The government said it would keep working with provinces, industry and labour groups to protect the integrity of the programme, and that Canadians remain first in line for available jobs.