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More changes to the Temporary Foreign Worker Program in effect
By Benjamin Guth, Director of Operations, Diamond Global Recruitment Group
April 4, 2011
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Many new changes to the Temporary Foreign Worker (TFW) Program came into place at the beginning of this month. Major changes such as the four year cap and penalties for employer violations of the program can be found here.
The rationale behind the changes is to protect foreign workers and to ensure that the program is used for legitimate labour shortages only. Ultimately, the goal is to eliminate the abuses of the TFW Program.
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In addition to the cap on length of employment and employer penalties, Service Canada has presented additional guidelines and requirements of the TFW program. These additional guidelines may look familiar but you must read them carefully in order to be compliant with the new laws.
Effective April 1, 2011 if you are hiring TFWs for the first time, you will need to do the following:
- If you or your workers are utilizing the services of a third party agency, the employer is responsible to pay for the services, fees and costs. Employers are not permitted to recoup recruitment fees from temporary foreign workers.
- Be prepared to demonstrate that you meet the minimum advertising requirements by providing proof of advertisement for a minimum of fourteen calendar days, during the three months prior to applying for a LMO and the results of your efforts to recruit Canadians or permanent residents. This proof includes copies of advertisements, number of Canadian applicants and why they were rejected (detailed recruitment summary) as part of the LMO process. Records of your efforts should be kept for a minimum of two years, in the event that a Service Canada Officer contacts you to verify your advertising efforts. We recommend that you apply above and beyond the minimum requirements. The more work you put in to finding Canadians/permanent residents, the better chance you will have at receiving your application.
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- You are encouraged to conduct ongoing recruitment efforts, including under represented groups that face barriers to employment (e.g., Aboriginal peoples, older workers, immigrants/newcomers, persons with disabilities and youth). The advertisement should be on recognized Internet job sites, in local and regional newspapers, at community resource centres and in local regional employment centers.
- Submit a detailed description of the main business activities.
- Submit a signed explanation of how hiring a temporary foreign worker meets the employment needs of the employer. A detailed cover letter will make or break your application.
- Submit a signed statement that you will abide by the Temporary Foreign Worker Program requirements.
- If provincially available, you will be required to submit a copy of the business license. If not required by the province of operation, submit substitute documents such as a T4 Summary of remuneration paid or copies of corporate income tax returns.
If you are a returning employer and would like to hire a temporary foreign worker, Service Canada is ensuring past compliance by requesting the following information regarding your current or past TFWs:
- Payroll records and/or a statement of earnings (pay slips)
- Timesheets showing dates and hours worked including overtime hours
- Job descriptions
- Employment contract
- Collective agreement, if applicable
- Work permits of temporary foreign workers
- Receipts for private health coverage for the first three months if applicable
- Registration and receipts for provincial workplace safety insurance
- Receipts of transportation costs, if applicable
- Proof of accommodations provided by employer, if applicable
Remember, this is just the bare minimum. Make sure to go above and beyond when submitting LMO applications to Service Canada. An accurate, well documented case has a better chance of approval.
If you feel that this entire process seems overwhelming, you are correct. Unless you have a designated human resources professional on board that can dedicate 50 hours to preparing and monitoring an LMO, it may be cost effective to hire a professional. The CRFA has recommended partners who can take the pain away.
Diamond Recruiting is a CRFA-approved foreign recruiter, and CRFA members are entitled to a 5% discount when using Diamond’s services. Contact Diamond at 416-730-0029 ext. 240/1-888-886-8209, or by email at crfa@diamondglobal.ca.
Not a CRFA Member? Click here to join.
About the author:
Benjamin Guth is Director of Operations at Diamond Global Recruitment Group.
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