What Canada’s New Labour Market Rules Mean for Foreign Job Seekers

Kenyan job seekers eyeing opportunities in Canada face a mixed outlook of extended employment timelines and looming hiring restrictions under sweeping changes to the country’s Temporary Foreign Worker Programme.

Announced on Friday, November 6, the reforms double the maximum duration of Labour Market Impact Assessment (LMIA) approvals from one year to two years. An LMIA is a mandatory clearance Canadian employers must secure before recruiting foreign labor, proving that local citizens are unavailable to fill open positions.

The extension is designed to grant foreign workers longer employment stability without requiring employers to undergo repeated approval processes.

However, a stringent clampdown on low-paying jobs takes effect on March 1, 2027. In cities with populations exceeding 250,000 and unemployment rates below six per cent, employers will only be permitted to hire foreign workers in occupations officially identified as facing labor shortages.

Similar restrictions will extend to smaller metropolitan areas with populations between 100,000 and 250,000, as well as rural areas within larger metropolitan regions.

At the same time, the Canadian government is proposing to raise the threshold of foreign workers eligible employers can hire from 10 per cent to 15 per cent of their total workforce in selected towns. Priority industries such as healthcare, construction, and food processing will retain their existing 20 per cent ceiling.

Canadian Minister of Jobs and Families Patty Hajdu explained that the measures are meant to balance domestic employment priorities with business needs.

"While Canadians must always be first in line for available jobs, employers in key sectors continue to face labour shortages that can limit growth and affect communities across the country," Hajdu said.