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Rethinking the Temporary Foreign Worker Program: Is Canada’s Workforce Losing Ground?

Austin Campbell

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Temporary Foreign Worker Program

The Temporary Foreign Worker Program (TFWP) was initially designed to support Canadian businesses during genuine labour shortages. But over time, it has sparked growing concern. Critics argue that it’s no longer just a support system—it’s displacing Canadian workers, holding back wages, and hitting the youth employment sector the hardest.

Recent trends paint a worrying picture. From fast-food chains to construction sites, employers are relying more on temporary foreign workers than ever before. And as this surge continues, the Canadian workforce, especially young job seekers, seems to be losing out.

Temporary Foreign Worker Program in Canada: The Rising Numbers

The scale of the program is hard to ignore. In just ten months—from January to October 2024—Canada issued over 160,000 new work permits under the TFWP. While this helped employers fill vacancies quickly, it also raised serious questions about wage suppression and job availability for Canadians.

Here’s a snapshot of how the numbers have changed:

YearWork Permits Issued% Increase (since 2019)
2019~66,000
2023120,000++82%
2024160,000++142%

Much of this increase is concentrated in sectors that traditionally provide first jobs to youth, like retail and food service. For example, Tim Hortons hired 714 temporary foreign workers in 2023, compared to only 58 in 2019. These entry-level positions were once stepping stones for young Canadians.

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Who Is Paying the Price? Canadian Youth.

Youth unemployment has taken a hit.

  • In 2022, the national unemployment rate for youth (ages 15–24) was around 9%.
  • By 2024, it surged past 14%—the highest level seen in over a decade, excluding pandemic years.
  • In Toronto alone, youth unemployment rose by 50% in two years, leaving over 120,000 young people jobless.

This spike isn’t just a coincidence. It runs parallel to the sharp rise in TFWP hiring in youth-dominated sectors. As more foreign workers fill these entry-level jobs, young Canadians face fewer chances to gain experience and build careers. Ironworkers Union (Local 97) has even called for an immediate end to the TFWP, urging the government to invest in training and upskilling Canadians instead.

A One-Size-Fits-All Model Is Not Working

It’s important to separate seasonal agricultural workers from the broader TFWP. Many foreign workers on farms help fill seasonal gaps that Canadians typically don’t apply for. But lumping this group with other sectors misrepresents the issue. Agriculture may truly need temporary help, but that’s not necessarily the case for coffee shops or retail counters.

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Here’s why this distinction matters:

  • Seasonal Agricultural Workers: Come for fixed periods, fill roles with little local interest.
  • General TFWP Workers: Increasingly used in low-wage, year-round roles with a local labour supply.

By merging both into one policy, Canada risks distorting its labour market strategy and hurting its own workforce.

Finding the Balance: Jobs for Canadians First

Nobody’s arguing against a diverse, growing workforce. Immigration plays a major role in shaping Canada’s economy. But when temporary labour policies begin to limit opportunities for Canadians, especially youth, it’s time to reassess.

Instead of relying heavily on foreign labour for year-round roles, the focus should be:

  • Supporting employers through training programs.
  • Incentivizing businesses to hire local youth.
  • Reworking the TFWP into a more targeted, sector-specific tool.

Time to Reevaluate the Temporary Foreign Worker Program in Canada

The Temporary Foreign Worker Program in Canada was never meant to be a replacement for Canadian labour. Yet, current trends suggest it’s becoming exactly that. To protect wage standards, reduce youth unemployment, and build a stronger economy, it’s time to rethink the system.

Canada must put its workers first, especially its youth. Reforming the TFWP isn’t just a policy move. It’s a step toward long-term economic fairness.

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