Canada is preparing for an unprecedented immigration challenge as nearly five million temporary permits are set to expire by the end of 2025.
Immigration Minister Marc Miller recently addressed these pressing issues during his testimony before the Commons Immigration Committee. Among the affected are temporary foreign workers, international students, and asylum claimants who are actively contributing to the workforce.
Conservative MP Tom Kmiec voiced apprehensions over the government’s readiness to handle the situation, asking how Canada plans to ensure compliance from the 4.9 million visa holders who may be required to leave the country.
Responding to these concerns, Minister Miller assured the committee that the Canadian Border Services Agency (CBSA) is committed to enforcing immigration laws.
He stressed that the majority of temporary residents are expected to depart voluntarily once their permits expire. Regarding the expiration of 766,000 study permits by December 2025, Miller noted that many international students would likely pursue options to extend their stay, such as renewing their permits or applying for post-graduate work permits.
Statistics Canada data shows the significant role of temporary residents in Canada’s labor force. The Temporary Foreign Worker Program (TFWP) and the International Mobility Program (IMP) constitute a substantial share of the workforce. In 2021, 87% of TFWP permit holders and 69% of IMP permit holders were actively employed. Additionally, international students, who often work part-time while studying, make up a vital segment of the economy.
However, the rapid growth in temporary residents has drawn criticism for its impact on Canada’s infrastructure and social services. Prime Minister Justin Trudeau has acknowledged these challenges, citing increased pressure on housing, healthcare, and other essential services. “While temporary foreign workers are crucial to Canada’s economic needs, the current pace of immigration is unsustainable,” Trudeau remarked.
The Canadian government has introduced significant changes to its immigration policies, aiming to reduce the intake of both permanent and temporary residents.
By 2025, the annual target for permanent residency will drop from 500,000 to 395,000, representing a 21% reduction. Similarly, the number of temporary foreign workers is projected to decrease by over 40% by 2026, while international student intake will decline by 10%.
These measures are designed to balance the demand for labor with the country’s capacity to provide adequate housing, healthcare, and other resources. However, critics argue that such reductions may negatively impact industries heavily reliant on foreign labor, potentially worsening labor shortages in key sectors.
The surge in temporary residents—now comprising 7.3% of Canada’s population—has amplified existing challenges in housing, healthcare, and the cost of living.
Immigration analyst Darshan explained, “The growing number of temporary residents is exacerbating Canada’s housing crunch and putting unsustainable pressure on the healthcare system.”
He further suggested that workers from countries like India, who make up a significant portion of Canada’s immigrant population, may begin exploring opportunities elsewhere due to these escalating challenges.