Canada rolls out the red carpet for foreign talent
Sean Fraser, the Minister of Immigration, presented the government's new plan during the Collision tech conference on June 27th in Toronto. The minister announced a plan based on three main axes to attract foreign talent and combat labor shortages.
Attracting digital nomads
The first plan, called the "digital nomad strategy," targets digital nomads. The trend of digital nomadism has not gone unnoticed, with an increasing number of countries adapting to this lifestyle and creating their visas. Digital nomads are a financial boon to local economies and contribute to their host country's international reputation, often by sharing their experiences on social media.
Canada looks to participate in this mutually beneficial operation. Thus, the digital nomad strategy will allow foreign professionals working for foreign companies to stay and work in Canada for up to six months. If they find employment in Canada, they can extend their stay longer. For now, there are no predefined quotas. Minister Fraser prefers to rely on the demand from expat candidates rather than setting an "artificial limit".
Boosting recruitment of foreign Tech talent
The second initiative, the "tech talent strategy," focuses on foreign talent in the Tech industry. To keep the market competitive, Fraser announced the creation of a new immigration pathway by the end of the year. This pathway targets permanent residents working in or employing workers in STEM fields (Science, Technology, Engineering, and Mathematics). This new pathway (with a lottery system by category) will be included in the Express Entry visa program. The strategy will also allow the "world's most talented individuals" to "come to Canada to work in tech companies, whether or not they have a job offer."
To increase efficiency, Fraser plans to accelerate the processing of work permits. Five years ago, a previous strategy failed due to excessively long processing times. This time, speeding up the processing will enable companies to "access the talent they need, when they need it." For now, there are no specific details about the qualifications of these professionals or the potential number of eligible individuals. Fraser speaks of an "innovative system" that aligns with similarly innovative international mobility programs. Nevertheless, the government hints that the strategy for Tech talent will target foreign professionals qualified in "certain in-demand professions" or those capable of working with companies selected by the government for their "contribution to Canada's innovation goals."
Special work permit for H-1B visa holders
The unprecedented layoffs in the Tech industry have not gone unnoticed. The situation is particularly severe in the United States, putting many H-1B visa holders in urgent need of finding new employment, risking potential deportation. Canada considered these workers in its third plan. Since July 16th, the Canadian government has opened its doors to a new stream of work permits reserved for expats working in the United States under the H-1B visa. The permit will allow 10,000 H-1B visa holders (out of approximately 400,000 currently in the U.S., according to Minister Fraser) to come and work in Canada.
10,000, and potentially more? Fraser indeed talks about a "test." The executive wants to observe the effects of this strategy on a sample of foreign talent before considering possible adjustments. Approved expatriates will obtain an open work permit for up to three years, allowing them to work for "almost any employer, anywhere in Canada," according to the government's statement. Their spouses can also apply for a temporary resident visa.
Will Canada extend its strategy to other countries? Not at the moment. Fraser points out the significant similarities between the Canadian and American technology markets, with employers sometimes having companies on both sides of the border. These close trade relations also explain Canada's strategy. Fraser prefers first to observe the implementation of this plan. Nevertheless, he does not entirely rule out the possibility of opening up to other countries.
Start-up visa and permanent residence
There are changes to the Start-up visa program. Initially, the program allowed foreign entrepreneurs backed by a Canadian venture capital fund (designated by the government), a group of potential investors, or a business incubator to apply for permanent residence.
To address long waiting times, the number of visas will be increased from 1,000 to 3,500. This figure is expected to increase further in 2024 and 2025. For individuals with pending applications, Fraser promises to issue three-year work permits for applicants and their families. Once again, the goal is to attract foreign professionals as quickly as possible.
Another announcement from the Ministry of Immigration: start-up visa holders will be eligible to apply for an open work permit for up to three years, instead of the current one-year work permit that restricts them to work only for their start-up. This measure follows the demands of start-up entrepreneurs, as it is difficult for them to pay themselves a full salary at the beginning of their business. The open work permit will allow them to earn additional income and approach the development of their business with more confidence. Each member of the entrepreneurial team will be eligible for this benefit.
New measures regarding studying and working in Canada
It will now be easier for temporary expat workers to study in Canada. Study permits will be extended for work permit holders from now on. This new measure removes the previous caps on the duration of accessible study programs for foreign workers without study permits (previously limited to a maximum of six months). The new measure is set to last for three years.
While essential to the Canadian economy, temporary foreign workers have faced difficulties when it comes to studying. Continuous education allows them to gain skills, complete training, and access better job opportunities or positions within their companies. These foreign workers can now study full-time or part-time throughout the duration of their work permit or for the entire duration of the measure.
This measure is specifically intended for foreigners with a valid work permit or those awaiting an extension since June 27th. However, a foreign worker who wishes to pursue studies longer than the duration of their work permit will need to apply for a separate study permit.
The government is delighted with this new measure, which should be beneficial for both expats and the State. By gaining new skills, foreign workers will be better equipped to build better careers, improve their quality of life, and access higher-level positions. Meanwhile, the country will benefit from the skills of these workers as it struggles with talent shortages – a virtuous circle that supports growth. Good news keep coming for expats and potential expats to Canada. The country is still looking forward to welcoming 465,000 new immigrants this year, 485,000 in 2024, and 500,000 in 2025.
Useful links:
