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A Dark Day for Canada: CILA Condemns Immigration Levels Plan 2025-2027

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The Canadian Immigration Lawyers Association condemns today’s Immigration Levels Plan 2025-2027 announcement. Immigrants are a key component of Canada’s prosperity and drastic cuts to permanent and temporary resident levels will create significant economic, fiscal, and social damage to the country.

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“Canada’s fundamental need for immigration has not changed” said Barbara Jo Caruso, Co-President of the Canadian Immigration Lawyers Association (CILA).

“We still have an aging population, low birth rate, and pressing economic and fiscal pressures, hence it is unwise to cut immigration at a time when newcomers are actually part of the solution to enhancing Canada’s living standards.”

“Cutting immigration will cause significant humanitarian harm to people inside Canada and around the world” said Lou Janssen Dangzalan, Member, Board of Directors, of CILA.

“The population of globally displaced persons is at an all-time high, and many of these displaced persons are already here in Canada with no clear pathway to permanent residence. Reducing permanent residence targets will not help.”

The discussion below contains CILA’s commentary on the overall state of the immigration system and recommendations for improvement.

Significance of this year’s plan 

This year’s announcement is significant for three major reasons: 

Plan comes amid challenging period in Canadian immigration 

First, it comes amid a difficult period for the immigration system where client experience remains at an all-time low, and public support for the system has declined due to the perception of government mismanagement. CILA is in agreement that “own goals”, which we will elaborate upon below, by the federal government have exacerbated various immigration system challenges, and regrets that little has been done to meaningfully improve the client experience of IRCC and ESDC applicants. 

Temporary resident caps are new 

Second, the plan contains temporary resident targets for the first time ever. The rationale for including temporary resident targets is to help stakeholders across Canada better plan how to manage newcomer levels and support the integration of newcomers. CILA is unsupportive of arbitrary caps of various permanent and temporary resident categories rather than using an evidence-based approach to the categories. For example, Canada should issue work and study permits based on the dynamic needs of the economy and labour market rather than arbitrarily determine how many visas to issue. The Bank of Canada, a neutral and technocratic institution, has also raised questions on the feasibility of the federal government’s ability to meaningfully reduce the temporary resident population.

It is important to remember there will always be a lag between immigration policy and conditions on the ground, so it is impossible for the federal government to accurately forecast how many foreign workers and students are needed. We saw this recently during the pandemic when the government issued historically high numbers of temporary visas in order to support the post-pandemic economic recovery, only to reverse course this year and claim that Canada had a surplus of newcomers in the labour force. A more prudent approach would be for the federal government to allow work and study permit holders with significant skills in-demand to enter Canada on a rolling basis so we can continue to welcome global talent that can support our economic growth. For example, high-skilled senior executives and students in STEM, the skilled trades, and health professions should not be subject to caps. 

We likely will not see another levels plan until 2026 

The third reason the announcement is significant is it likely represents the last Immigration Levels Plan we will see until after the upcoming federal election. Assuming the election occurs in October 2025, today’s plan will remain in effect until the first quarter of 2026, given Section 94 (1) of the Immigration and Refugee Protection Act (IRPA) states the plan must be tabled within 30 days of Parliament reconvening, which in recent election cycles, has meant new Immigration Levels Plans have had to wait until the New Year.  

This observation is notable because it means Canada will have little flexibility on adjusting its permanent and temporary resident targets for the next two years. This is concerning amid the difficult period the immigration system is currently facing. Newcomers themselves as well as employers will continue to face a great deal of uncertainty over this period until the new federal mandate takes effect following the election and the Canadian government updates the public on their plans over the subsequent three-year period.  

This observation also underscores CILA’s argument that setting arbitrary caps are unwise since a lot will change between now and 2026. While some may argue the caps are reasonable today, they could quickly become outdated with little ability to adjust them until after the election. This could come to the detriment of newcomers and employers.  

Further raising alarm is the lack of federal government consultations leading into today’s plan. While IRCC will claim they held stakeholder consultations, CILA has not found them to be genuine. A more genuine approach would be for the federal government to be open to considering diverse perspectives as it works towards evidence-based policy decisions in the national interest. Since last year, CILA has found the federal government to be reactive and short-sighted in its immigration policies to address rising public concerns. This reactive and short-sighted approach is what has caused our immigration system to get in trouble in the first place.  

As an example of this, the federal government’s decision to aggressively increase permanent resident levels in 2021 during a challenging pandemic operating environment created a cascading effect on permanent and temporary resident programs which are still placing immense pressure on the immigration system today and will continue to do so over the foreseeable future. Another example was to allow international students to work full-time while class was in session. This change added to the growing number of foreign students coming to Canada, primarily to seek employment opportunities rather than academic pursuits. Consulting widely with stakeholders would give IRCC the information it needs to plan for the long-term and make policy decisions that are sustainable.  

While we are unable to change the past, it is incumbent on IRCC to learn from its recent shortcomings and ensure it hosts genuine stakeholder consultations moving forward so that immigration levels planning and other major policy decisions consider various viewpoints and we can proactively and effectively manage a healthier immigration system. 

CILA’s Policy Positions  

Uncertainty for skilled workers, foreign workers, and international students is damaging to Canada

CILA calls on IRCC to ensure policy stability in its various permanent and temporary residence pathways for global talent. The constant flow of policy changes over the past few years has created significant uncertainty and damage to the reputation of Canada’s immigration system. For example, ongoing uncertainty on the International Student Program will likely see Canada’s intake of new students fall short of IRCC’s quota this year which could be  damaging to the Canadian economy.  

As another example, back in June 2022, IRCC stated it was normalizing Express Entry following pandemic disruptions which would give skilled worker candidates inside Canada and abroad more certainty to plan their lives. Unfortunately, Express Entry has been highly unpredictable since the introduction of category-based selection in 2023 and has been further complicated due to recent efforts by IRCC to curtail temporary resident levels. 

This has come at the expense of international students in Canada with high Comprehensive Ranking System (CRS) scores who have made significant investments and contributions to the economy but who remain unable to gain permanent residence. Businesses that have invested in training these international students and benefitted from their skills will be adversely impacted as many are and will be forced to pack their bags and go home or will go underground and work without authorization and without contributing to income tax.  Federal Skilled Worker Program candidates are also unable to receive permanent residence invitations despite having high CRS scores. IRCC’s ad hoc approach to Express Entry goes against the over 40-years of Statistics Canada longitudinal analysis which shows selecting those with high human capital supports economic integration (this longitudinal analysis forms the basis of the CRS).

Canada’s work permit restrictions makes it less competitive

IRCC’s work permit restrictions on the partners of temporary residents are also misguided. It goes against one of the major pillars of the immigration system (family reunification) and also makes Canada less attractive to global talent.  

In addition, IRCC’s lack of options for business immigrants and new October 2024 restrictions on Intra-Company Transfer (ICT) work permits further impairs Canada’s attractiveness to global talent and capital. Canada was once the global leader in attracting business immigrants but has increasingly eroded its competitive standing at a time when it desperately needs talent and investments to support its economic growth. 

IRCC and ESDC must improve the client experience

Further, client experience continues to remain disappointing which also hurts Canada’s attractiveness to global talent and employers. Across most lines of business (economic, family, and humanitarian), processing times remain slow and poorly reported. For instance, even though Canada is looking to reduce the in-flow of work and study permit holders, processing times remain slow amid lower application volumes. 

Throughout this year, the Canadian government has been critical of the temporary resident program without considering several key factors. For example, the ballooning of temporary residents is commensurate with IRCC’s inability to process applications in a timely manner, resulting in newcomers continuously applying for extensions and being categorized as “temporary residents” for long periods of time while waiting for IRCC to approve their permanent resident applications. In addition, Statistics Canada research clearly shows living in Canada as a temporary resident is helpful in promoting economic integration upon gaining permanent residence. As such, CILA reminds the federal government that temporary residents should be predominantly viewed as assets rather than liabilities.

It is imperative that both IRCC and ESDC improve the client experience through the ethical and transparent use of technology such as AI. Although both departments are seeking to reduce volumes, we know that Canada will continue to welcome historically high levels of newcomers moving forward and must be in position to process their applications efficiently. We must also remember that applicants pay significant fees for their visas to be processed within service standards and the federal government is failing to deliver on even the most basic of expectations. The rapid and numerous changes to policy compound an already complex immigration system, making it impossible for individuals and businesses to navigate and contribute to a poor client experience and outcome.

CILA also wishes to continue to emphasize immigration lawyers are assets in helping to improve the client experience. They help clients prepare truthful, complete, and accurate submissions which reduces unnecessary delays with IRCC and ESDC. Unfortunately, the federal government continues to impose barriers on clients benefitting from the expertise of immigration lawyers to submit applications. While the Canada Revenue Agency does not discourage Canadians from hiring accountants, IRCC continues to dissuade the public from hiring immigration lawyers even though Canada now offers well over 300 different permanent and temporary visa options which are being updated almost daily. It is essential the federal government views lawyers as allies in promoting integrity and efficiency in what is an increasingly complex immigration system. 

IRCC needs to do more to facilitate family reunification 

In addition to our earlier comments on work permits for temporary residents, CILA calls on the federal government to identify a more sustainable approach to the Parents and Grandparents Program (PGP). CILA is disappointed IRCC has not welcomed new expressions of interest under the PGP since 2020 which goes against the spirit of the immigration system goal to support family reunification. CILA is in favour of a renewed pool of candidates, higher PGP allocation, weighted lottery, and rolling admissions to allow all eligible Canadians to express their interest in PGP sponsorship. 

Parents and grandparents serve a host of economic and social benefits including providing access to child care which saves costs for Canadian families and allows households to work more hours. They also strengthen the family unit and pass on their mother tongues to younger generations of Canadians.

Humanitarian class: Canada needs to step up as the population of globally displaced is at an all-time high

CILA remains concerned with rising levels of asylum claims and no clear direction from the federal government on how it will manage growing humanitarian pressures. For instance, Canada has welcomed some 300,000 Ukrainians under the CUAET program but it is yet to provide certainty to Ukrainians on how they can transition to permanent residence.  

There are also hundreds of thousands of temporary residents in Canada for humanitarian or other purposes who do not have a clear legal pathway for staying, even though it will be very difficult or impossible for them to return home. CILA believes IRCC needs to be more transparent on its intentions here in order to advance Canada’s humanitarian objectives as well as to help strengthen public confidence in the immigration system.  

Rising humanitarian levels has resulted in municipalities and provinces across Canada calling on Ottawa for more fiscal support. Lack of long-term planning by IRCC has resulted in an unviable fiscal and social situation for both newcomers and jurisdictions across the country.  

CILA calls on IRCC to consult widely with experts across the country to identify how we can best uphold our humanitarian values, while at the same time preparing ourselves adequately in both the short- and long-term to manage our humanitarian programs amid global conflict and displacement being at an all-time high, according to the United Nations. Since the end of the Second World War, Canada has been a global leader in refugee resettlement. Canada should do whatever is practically possible to continue to facilitate the welcoming of resettled refugees.

Concluding Remarks 

Newcomers are vital to Canada’s prosperity due to our aging population, low birth rate, and fiscal pressures. Canada will continue to need to welcome high levels of permanent and temporary residents moving forward to complement Canadian workers, strengthen the economy, reunite families, and provide humanitarian assistance. As such, CILA hopes the federal government will continue to clearly communicate the value and benefits of immigration to Canada.  

Canada currently faces a host of challenges in areas including health care, education system funding, infrastructure, housing, and more. It is the federal government’s role to highlight newcomers are a major part of the solution. For example, welcoming and integrating more health care and skilled trades workers can give Canadians better access to health care and affordable housing. Canada’s prosperity largely depends on newcomers. 

Finally, a major excuse for poor client experience by IRCC and ESDC has been that application volumes have been at all-time highs. With volumes set to come down following today’s announcement, it is fair to expect that both departments will be able to achieve their application service standards moving forward.

Related analysis by CILA 

 

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