The cap limit to hire temporary foreign workers was temporarily removed late last month to help businesses in tourism destinations meet their labour needs this summer.
The change means tourism businesses will now be able to hire TFWs beyond the government鈥檚 10 per cent limit for a period of 180 days, according to the Tourism Industry Association of Canada (TIAC).
Bryan Attree, managing director for Tourism Jasper, welcomed the news.
鈥淚t鈥檚 a positive move in the right direction to be able to fully staff tourism businesses in Jasper to the levels that they need to efficiently operate,鈥� said Attree during a telephone interview.
鈥淚t鈥檚 a short term win for tourism and we鈥檙e hopeful that this will carry on for the long term.鈥�
Rob Taylor, vice president of public and industry affairs for TIAC, echoed Attree鈥檚 comments.
鈥淲e鈥檙e looking at significant demand this year particularly out of the United States so we need to make sure that we have an adequate workforce to maintain Canada鈥檚 brand promise and to ensure
Jasper is known not only for its beautiful scenery, but also for quality service and accommodation,鈥� said Taylor.
He said the government decided to temporarily reinstate access to the TFW program for one year while it reviews the program.
鈥淲hat we鈥檙e looking at now is rather than a temporary foreign worker program we should be bringing in permanent workers on a path to citizenship that will be able to provide an adequate workforce going forward.鈥�
While the government reviews the program, local businesses expressed cautious optimism.
鈥淭he adjustment to allow for seasonal TFWs outside of the cap is great news for Jasper and other seasonal tourism destinations,鈥� wrote Jennifer Melanson, director of human resources for the Fairmont Jasper Park Lodge, in an email.
鈥淚t would be helpful to see more transparency around whether or not there is an expedited processing time for the seasonal TFW hiring to ensure the option can be utilized for this summer as the change is only temporary for 2016.鈥�
Despite the changes, she said the impact on the hotel would be negligible because TFWs make up less than five per cent of its workforce.
鈥淭his news does not affect our current recruitment strategy as we would not participate in seasonal TFW hiring, we would continue to consider applying for LMIAs for permanent TFWs to support our business model,鈥� she said, referring to the Labour Market Impact Assessments (LMIA) that businesses must complete before hiring a foreign worker.
For Lyle Hryniuk, owner of Tim Hortons, the new rules are a welcome change, but he said more can be done.
鈥淚n Jasper it鈥檚 crucial that the program remains, the only downside is that it鈥檚 a six month program,鈥� said Hryniuk, who relies heavily on the program to staff his store.
He said he recently applied under the new changes to bring in five more temporary foreign workers to help run the coffee shop this summer.
If approved, he will have 13 TFWs working for him in Jasper, representing about 50 per cent of the store鈥檚 staff.
鈥淲hen you start looking at the costs it does get a little pricy, but at the same time it鈥檚 going to allow us to stay open,鈥� said Hryniuk, explaining it costs $1,000 per foreign worker, plus airfare and other costs.
In 2014, the Conservative government announced a series of reforms aimed at reducing the number of low-skilled, low-wage workers entering the country through the TFW program. Beginning in July 2015, employers were allowed to have no more than 20 per cent of their workforce made up of TFWs, with a plan to lower the cap to 10 per cent starting in July 2016. The fee to hire a TFW was also increased from $275 to $1,000 per worker in 2014.
鈥淲hen the initial changes were brought forward there was really no transition for employers, particularly those in remote and seasonal employment areas like Jasper, which left us with very few options, particularly for hoteliers and those in the accommodation and food services industry,鈥� said Taylor.
Pattie Pavlov, general manager for the Jasper Park Chamber of Commerce, said she was aware of the changes, but from what she鈥檚 heard, many Jasper businesses are unlikely to use the program again because of the high costs.
According to news reports, the Liberal government quietly allowed an exemption for seasonal TFWs in the Maritime fish processing sector late last month. As a result many other sectors that were hurt by the changes to the TFW program began to ask for similar exemptions in order to access foreign low-skilled labour.
Under the new rules, businesses can now apply for as many 180-day positions as they want, but the applications must be made in one bulk application and only one application can be submitted.
All applications must be submitted by Dec. 31 2016, although TFWs are eligible to work in 2017.
According to TIAC, the $1,000 fee per worker and LMIA requirements still apply.
鈥淭he government claims it costs them a $1,000 to process a LMIA and therefore it鈥檚 a cost recovery initiative, so if that鈥檚 what it costs for the government to process then we鈥檒l take them at their word,鈥� said Taylor, explaining in an ideal world employers would pay per application, not employee.
He said one of the biggest misconceptions about the TFW program is that employers are trying to avoid paying fair wages by hiring foreign workers.
鈥淣othing could be farther from the truth,鈥� said Taylor. 鈥淣o Canadian employer is looking to bring in foreign workers if they don鈥檛 have to. It鈥檚 a cumbersome process, it鈥檚 an expensive process and there are no guarantees when you bring that person in.鈥�
He said the vast majority of employers would prefer to hire locally and are already looking at labour groups that are often underrepresented in the workforce, such as Aboriginals, students, retirees and people with physical and mental disabilities.
鈥淎ll of these avenues are pursued before we look overseas to bring in people to work,鈥� said Taylor.
MaryAnn Mihychuk, the minister of employment, workforce development and labour, did not return a request for comment.
Paul Clarke
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