Making Temporary Permanent: The Silent Transformation of the Temporary Foreign Worker Program

Abstract

During the mid-2000s the number of temporary foreign workers (TFWs)present in Canada increased dramatically, more thantripling in eight years. Thebulk of the increase was due to an expansion of theTemporary Foreign WorkerProgram (TFWP) to include lower-skilled occupations. The stated reason for theexpansion was to address short-term labour shortages. Contrary to expectations,upon the onset of the economic downturn in 2008, the number of TFWs did notdecrease significantly, and appears to be increasing again in 2010 and 2011. Thispaper tracks the evolution of the TFWP from a stable program designed toaddress short-term labour needs in high-skilled occupations into a broaderlabour market tool. The paper examines the most recent available statistical datafor the TFWP and other documentary evidence to argue the role of the TFWP inCanada’s labour market has quietly shifted, becoming a permanent, large-scalelabour pool for many industries, reminiscent of European migrant workerprograms. The paper also examines the potential labour market implications ofan expanded, entrenched TFWP.