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Why Canada is cutting back on temporary foreign workers

The Decibel

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Canada's Reductions in Temporary Foreign Workers: A Political and Economic Perspective

The Canadian government is facing criticism over rising job scarcity and housing issues, prompting a reevaluation of its immigration policies, particularly concerning temporary foreign workers (TFWs). Currently, temporary residents constitute 6.8% of the population, and the government aims to reduce this number to 5%. The stark increase to 2.8 million temporary residents in just two years has raised concerns among Canadians about sustainable population growth. This surge includes various categories of labor, such as international students and asylum seekers. Political parties are responding vigorously, with the Conservatives attributing housing and job market challenges to the influx of TFWs, while the NDP calls for extensive reforms of the TFW program, especially its low-wage stream. Advocates for abolishing the low-wage stream argue that it perpetuates low wages in industries that Canadians have increasingly shunned, effectively creating a dependency on cheap labor and potentially leading to exploitative practices. The debate highlights the need for a balanced approach to immigration that considers economic viability and the well-being of the native labor market.

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