With significant changes to permits and laws, Canada’s 2025–2027 Immigration Plan will for the first time include temporary residents such as those with employment and study permits.

By November 1, Immigration, Refugees, and Citizenship Canada (IRCC) hopes to unveil the 2025–2027 Immigration Levels Plan, which will bring about major adjustments to Canada’s immigration system. Temporary residents, including individuals with visitor visas, work permits, and study permits, will be included in the plan for the first time. This is a significant change in Canada’s immigration policy.

The Immigration Levels Plan has traditionally concentrated on establishing goals for permanent residents over a three-year timeframe. These goals affect the labour economy, housing and healthcare systems, and population growth. But now that temporary residents are included, Canada’s migration policy is changing to meet more significant issues.

Temporary Resident Population and Policy Adjustments

More than 2.5 million temporary residents, or 6.2% of the total population, were housed in Canada in 2023. By controlling the admission of new temporary immigrants, the government hopes to lower this number to 5% over the course of the following three years. Preliminary measures have already been laid out, but the final plan will disclose the exact numbers for future arrivals.

Changes to Study Permit Caps

The IRCC implemented a study permit cap in January 2023, processing just 606,000 applications with an anticipated approval rate of 360,000, a 35% decrease. The action was taken to control the increasing number of foreign students in Canada, despite prior hostility to such limitations.

By 2025, there will be even more limitations, bringing the total number of processed study permits down to 437,000. Previously exempt from the cap, master’s and doctoral students will now be included. These measures are meant to better control the flood of overseas students, who will make up 42% of Canada’s temporary residents in 2023.

Adjustments to Open Work Permits

Additionally, there will be changes to open work permits, particularly to Spousal Open Work Permits (SOWPs) and Post-Graduation Work Permits (PGWPs). The IRCC intends to lower the number of permits granted by 175,000 over the following three years and implement stricter language proficiency standards for PGWP applicants.

In a similar vein, 50,000 fewer SOWPs will be granted, and eligibility will now be contingent on program duration and in-demand industries. Although highly qualified workers’ spouses will still be eligible, the goal of these adjustments is to reduce the number of open work permits issued by 325,000.

Temporary Foreign Worker Program Revisions

Employers will only be able to hire 10% of their personnel as temporary workers under changes to the Temporary Foreign Worker Program (TFWP). Furthermore, the two-year employment duration for low-wage workers under the TFWP will now be limited to one year.

Unless there are exceptional circumstances, applications from areas with unemployment rates more than 6% will not be considered. By lowering reliance on temporary foreign labor, this modification aims to uphold the TFWP’s original intent as an employer’s “last resort.”

Permanent Resident Targets and Policy Adjustments

By 2025 and 2026, Canada aims to admit 500,000 new permanent residents yearly, according to its 2024–2026 Immigration Levels Plan. Although 60% of these admissions are anticipated to be economic migrants, the order of priority for different immigration categories may change.

These possible changes are being fueled by public sentiment, healthcare pressures, and worries about affordable housing. According to recent reports, many Canadians are becoming increasingly concerned about the impact on social services and infrastructure, even though support for immigration is still strong.

Balancing Temporary and Permanent Migration

In an attempt to balance preserving economic growth with tackling the issues brought on by a sizable number of temporary residents, Canada included temporary residents in its Immigration Levels Plan. The administration wants to make sure that immigration keeps boosting the labor market while simultaneously protecting disadvantaged arrivals.

As Canada navigates both domestic issues and international migration patterns, the 2025–2027 plan will be a crucial document influencing the country’s immigration strategy in the years to come.