How Trudeau's slashing low-wage & temporary foreign workers will impact Indians? Explained

Canada is dealing with a fast-growing population, which experts say is putting stress on housing and public services like healthcare.

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Canadian Prime Minister Justin Trudeau on Monday announced that his government is reducing low-wage and temporary foreign workers in the country. Justin Trudeau announced that he is taking this decision so that 'our businesses' can 'invest in Canadian workers and youth. Canada's latest decision to decrease low-wage and temporary foreign workers may impact millions of Indians. Notably, Canada is among the top destinations where people of India especially from Punjab go for higher studies, employment, and a better lifestyle.  Now, the question arises why Canada which is known as a migrant-friendly nation is coming up with such measures. Below is what you should know- 

Why Canada is cutting down low-wage and temporary foreign workers?

As per reports, Canada is dealing with a fast-growing population, which experts say is putting stress on housing and public services like healthcare. The increasing demand has raised concern regarding meeting the demand for resources and services.

According to federal statistics, immigration was responsible for about 97% of Canada’s population growth last year. This significant rise in the number of people coming to Canada has created challenges in managing essential services, as more people need access to homes, hospitals, and other public facilities. At the same time, Canada’s unemployment rate has increased to 6.4% in the last two months, with an estimated 1.4 million people unemployed across the country.

The government is now working on solutions to balance population growth with available resources. But, this is unlikely to benefit the millions of Indians aiming to reside in Canada. 

In a press conference, Canada's Prime Minister Justin Trudeau said that the government plans to reform the Temporary Foreign Worker Program due to a shift in the labour market. He emphasised that changes are needed to protect both Canadian workers and temporary foreign workers.

“It’s not fair to Canadians who are struggling to find good jobs, and it’s not fair to temporary foreign workers, some of whom are being mistreated and exploited,” Trudeau said. 

"We’re reducing the number of low-wage, temporary foreign workers in Canada. The labour market has changed. Now is the time for our businesses to invest in Canadian workers and youth," Justin Trudeau said in a post on X on Monday.

For the unversed, under the Temporary Foreign Worker Program, the Canadian government allows employers in Canada to hire foreign nationals. Workers brought in under the program are referred to as Temporary Foreign Workers and are allowed to work in positions that are not filled by Canadians.

Indians in Canada

As per reports, India contributed 26,495 temporary foreign workers to Canada in 2023 under the Temporary Foreign Worker Program (TFWP), making it one of the top ten countries of origin for these workers. Prime Minister Justin Trudeau stated that, with changes in the labour market, businesses should now focus on investing in Canadian workers and youth.

Earlier this year, Canada introduced a two-year cap on new international student visas. This decision aims to address the housing crisis and reduce issues caused by certain educational institutions.

In the meanwhile, India and Canada's diplomatic relationship are also going down day by day. Recently, Khalistani supporters invaded India Day Celebrations in Canada. Pro Khalistan elements chanted anti-India slogans as well as they disrespected the tricolour in front of the celebrating Indians. 

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