Is Canada closing its doors to more foreigners? What the data reveals | Personal Finance

Canadian Prime Minister Justin Trudeau (Photo: PTI)

Is Canada closing its doors to more visitors and temporary residents? The country is increasingly rejecting visa applications and turning away foreign travellers, raising concerns among foreigners, particularly those from India.

In July 2024, Canada turned away 5,853 foreign travellers, the highest monthly figure since January 2019, according to data from the Canada Border Services Agency (CBSA) obtained by the news agency. ReutersAmong these individuals, who were “allowed to leave”, were students, workers and tourists, all of them with official documents.

On average, border officials turned away 3,727 foreign travelers each month during the first seven months of 2024, a 20% increase compared to the same period in 2023. Additionally, officials declared 285 visa holders inadmissible in July, the highest number recorded for any month since at least 2019. Reuters cited CBSA report.

At the same time, Canada’s immigration department has been approving fewer visas. The ratio of rejections to approvals of visitor visa applications peaked in June 2024, surpassing even the highest levels seen during the Covid-19 pandemic. In January, February, May and June 2024, more visitor visa applications were rejected than approved, according to government data.

The trend also extends to study and work permits, which have seen a marked decline compared to the high approval rates of 2022 and 2023.


Changes to the Temporary Foreign Worker Program

Starting September 26, 2024, Canada’s federal government will implement further restrictions on the Temporary Foreign Worker (TFW) program. One of the key changes is that cities with unemployment rates of 6% or higher will no longer process applications for temporary foreign workers from their employers, except in limited circumstances.

Another major change is that employers will now have to hire temporary foreign workers who do not exceed 10% of their total workforce, a rule that was in place before the pandemic. In addition, the maximum duration of employment through the low-wage scheme will be reduced from two years to one year.

These changes are intended to increase employment opportunities for Canadians. According to Employment and Social Development Canada (ESDC), the number of temporary foreign workers will more than double between 2018 and 2023, rising from 108,988 in 2018 to nearly 240,000 in 2023.

Some job categories have seen significant growth in foreign worker approvals. For example, the number of food counter assistants, kitchen helpers and related occupations increased by 4,802% between 2018 and 2023. Similarly, approvals for administrative assistants grew by 1,063%, while light-duty cleaners saw an increase of 1,414%.


Impact on Indian citizens

The changes to the TFW program will likely have a significant impact on Indian nationals, who make up a large portion of Canada’s international student and low-wage worker population. In 2023, about 40% of Canada’s international students were from India, with a large number coming from Punjab. These new restrictions could reduce employment opportunities for low-wage workers, limiting their earnings and future prospects.

Many Indian citizens, including students and their spouses, rely on temporary work permits as a means of subsistence while they study or wait for permanent residency. The new policies will undoubtedly affect these individuals.

“The move will greatly impact Indian students,” says Ajay Sharma, immigration consultant and founder of Abhinav Immigration Services.


Undocumented crossings into the US on the rise

As Canada tightens its visa and foreign worker policies, there has been a sharp rise in the number of undocumented Indian nationals crossing into the United States from Canada. According to the latest data from the US Customs and Border Protection (CBP), 5,152 undocumented Indians entered the United States on foot from Canada in June 2024, the highest monthly figure on record.

The number of Indians crossing from Canada has also surpassed those crossing from Mexico since December 2023, The Indian Express reported, citing CBP data.

The US-Canada border, stretching nearly 9,000 kilometres, is the longest open border in the world, making it a key entry point for undocumented immigrants.

In addition to the increase in border crossings, Canada has seen a surge in asylum applications from Indian nationals. In the first quarter of 2024 alone, Canada’s Refugee Protection Division (RPD) received 6,056 asylum applications from Indian nationals, compared to 9,060 applications for the entire year of 2023.

The upward trend in asylum applications began in 2017, around the same time that Canada relaxed visa restrictions to attract more foreign students. Between 2016 and 2022, the number of international students in Canada grew by 61%, from 523,971 to 844,444, according to official data. Spending by these students also increased significantly, from $15.5 billion to $37.3 billion over the same period.

First published: September 4, 2024 | 1:13 PM IS

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