The Canadian government plans to significantly reduce the number of temporary immigrants allowed into the country over the next three years. This decision, part of the Carney administration's first budget, targets both the temporary foreign worker (TFW) program and the international student program.

By 2026, the government aims to admit only 60,000 temporary foreign workers, a decrease from the previously announced target of 82,000. Additionally, the international student target has been lowered to 150,000 from 305,900. This shift reflects a more stringent immigration policy under Prime Minister Carney compared to his predecessor, Justin Trudeau.

During a recent event at the Canadian Club in Toronto, Carney noted that temporary residents constituted about three percent of Canada’s population in 2018. By the time he took office, that figure had risen to 7.5 percent. "That is an enormous shift in a very short period of time, and far exceeded our ability to welcome people and make sure that they had good housing and services," Carney stated.

The TFW program allows employers to hire foreign workers for jobs that cannot be filled by Canadians. Conservative Leader Pierre Poilievre has called for the program's elimination, arguing it contributes to youth unemployment by bringing in low-wage labor. "The Liberals have to answer: Why is it that they are shutting our own youth out of jobs and replacing them with low-wage, temporary foreign workers from poor countries who are ultimately being exploited?" he said in September.

In contrast, Lynn Bueckert, secretary business manager for the Hospital Employees' Union in British Columbia, defended the program, stating that foreign workers are essential for filling critical positions. She emphasized that they are "sustaining the system, not draining it."

Critics of the TFW program argue it is inherently exploitative. Marisa Berry Mendez, a campaigner with Amnesty International Canada, stated that the cuts do not address the program's exploitative nature. A report from Amnesty International has called for a complete overhaul of the TFW program. Tomoya Obokata, a special rapporteur for the UN Human Rights Office, described the program as "a breeding ground for contemporary forms of slavery."

Berry Mendez highlighted that the TFW visa ties workers to their employers, making it difficult for them to seek permanent residency. She noted, "If they’re in a situation of abuse then they’re pretty much trapped." During her research for the Amnesty report, she encountered numerous accounts of wage theft, unsafe working conditions, and various forms of abuse.

Bueckert advocates for a federal pathway to permanent residency for healthcare workers, while Berry Mendez believes that permanent immigration should be prioritized to meet labor market demands.

The budget cuts have raised concerns among Quebec businesses, who fear that reducing immigration will exacerbate existing labor shortages. Annabree Fairweather, executive director of the Confederation of University Faculty Associations of B.C., warned that the cuts to international students could significantly impact post-secondary institutions.

International students in Canada are expected to pay an average of $41,746 in tuition this academic year, compared to $7,734 for domestic students. As provincial funding for universities has declined, institutions have increasingly relied on international student tuition to fill financial gaps.

Last year, after the federal government capped international student admissions, many institutions faced financial challenges. The Council of Ontario Universities projected a $300 million loss for the previous school year, with further losses anticipated. Some colleges, like Conestoga College in Kitchener, Ontario, have already cut programs and teaching positions due to budget constraints.

Wasiimah Joomun, executive director of the Canadian Alliance of Student Associations, noted that cuts are widespread in post-secondary education. Fairweather added that reduced resources negatively affect both students and faculty, leading to larger class sizes and increased workloads for remaining instructors.

Both Fairweather and Joomun emphasized the need for federal and provincial governments to reassess education funding to address the shortfall caused by the reduction in international student tuition. Fairweather stated, "Targeting international students without addressing the real issue of funding in post-secondary is a short-sighted approach."