HUMAN RESOURCES AND MANAGEMENT RESEARCH STAFF
In the News: Fines Mounting for Violations in Canada’s Temporary Foreign Worker Programs
May 10, 2024 ·
Contributed by: Matt Lundy
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The federal government penalized nearly 200 companies last year for violating the rules of its temporary foreign worker programs, resulting in record fines for infractions such as wage theft and abuse in the workplace.
Ottawa reached 194 decisions against non-compliant employers in 2023 and handed out $2.7-million in penalties, an average of $13,800 per decision, according to a Globe and Mail analysis of figures published by the government. Some employers have also been suspended from hiring temporary labour from outside the country.
While the government reached more decisions of non-compliance in 2021, last year set a new high for fines. And 2024 is shaping up to be even worse.
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Canadian companies have sharply increased their hiring of temporary workers from abroad in recent years, helped by federal policy changes that broadened access to such workers. The government has said its efforts are aimed at addressing labour shortages.
But as companies were granted more access to that pool of workers, some economists and labour advocates raised concerns about the potential for exploitation.
“There’s a subset of companies that are using the Temporary Foreign Worker Program because they’re very poorly managed to begin with,” said Catherine Connelly, a professor at McMaster University and the author of Enduring Work: Experiences with Canada’s Temporary Foreign Worker Program. “They are not able to keep local workers. So their Hail Mary pass is ‘Okay, we’re gonna get temporary foreign workers who cannot quit.’”
Read the full article in the Globe & Mail.
