Amendments in Canada foreign worker program

April 23, 2015
New rules for Canadian foreign worker program

New method of recognizing employer requirements to hire overseas employees will be implemented from 30 April 2015. This reform was considered earlier, however, it is set to come into effect from now.

So far, under post June 2014 plan, Canadian employers looking to recruit a foreign employee, would require to deem whether the suitable salary for the occupation was below or above the provincial median salary, and whether the profession is low skill or high skill. 

In the majority of situations, high skill roles will be over the median provincial salary and low skilled positions will be under the median provincial salary. It is feasible, but that there can be a low skill profession, whose job bank based median salary pays over the provincial median salary and thus will be deemed high salary and subjected to transition scheme. 

If job bank says that the profession A, which is NOC C level profession, needs a median salary of $X, but it so occurs that $X is really more than the listed provincial median income, that job would be caught as high salary occupation, and will therefore be subject to transition scheme.

In the new scheme, this would be facilitated. The test would ease whether the salaries needed for that profession in line with Job Bank plans are over or below the provincial median salary. If above, then they are in high-salary stream and if below, then they are in the low-salary stream.

The occupations NOC code doesn’t matter. If it needs a median Job Bank salary more than the provincial median, it is high-salary, and if it requires a median Job Bank salary below the provincial median, it is low-salary. 

For low-salary professions, employers are needed to subsume return airfare, offer a contract with arranging responsibilities, and make sure reasonable housing is accessible. The government also updates its jobless surveys which impact, low salary positions where jobless is 6% or greater, in particular fields. 

Further points are:

  • The ESDC (Employment & Social Development Canada) and service Canada, the administrators of the  program, use 2006 NOC (National Occupational Classification) requirements for job equivalency evaluation. 
  • Annual wages are calculated depending on the assumption of 40 hour work week.
  • On 30 April 2015, new forms would be introduced impacting both low and high salary positions. When there were separate forms prior to, both types would now be done on the similar form, and post 30 April, all applications should use the new form.
  • LMIAs for purposes of sustaining Express Entry permanent residence application will also have new or different forms.
  • LMIAs in Quebec would be subject to same prerequisites as all other provinces 
  • LMIAs for high demand professions, high-paid professions (top 10 percent), or short-term work periods will be provided in 10 business days service standard.

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