CALGARY, Alberta, April 10 (Reuters) - The Canadian government said on Tuesday it will ease immigration rules for skilled workers as it looks to alleviate labor shortages in the oil, mining and construction industries.
Immigration Minister Jason Kenney said the government will modify its Federal Skilled Worker Program, which has been skewed towards professionals, to try to attract trades people and other skilled workers that are in short supply in Canada during the current commodities boom.
The new system will also increase the role of employers in the immigration system, allowing them to fill vital jobs faster.
"In the past it would be virtually impossible for skilled trades people to get past our rigid economic immigration programs," Kenney said in a speech to a Calgary business audience. "They would need post-secondary degrees and high levels of language proficiency. This meant ... skilled workers couldn't get in."
Kenney said the new program will be based on job offers from Canadian employers that can show that the would-be immigrant has credentials and experience equivalent to Canadian certification standards.
Immigrants admitted under the new plan would not be required to be as fluent in English or French as professional applicants must be, though some language requirements would still apply.
According to ministry data, skilled workers currently make up just 3 percent of all foreign skilled workers emigrating to Canada. Kenney said he expected the new rules to attract "several thousand" skilled workers initially, and then become more popular.
"Over time, if there's sufficient demand from Canadian employers, it could grow into the tens of thousands," he said.
High prices for oil, metals and minerals have sparked an investment boom in Canada, squeezing the available supply of skilled labor and forcing employers to import temporary foreign labor to fill staffing gaps, a measure that Kenney said may be less needed as more skilled workers emigrate to Canada.
"The temporary foreign worker program is there for acute and short-term labor shortages and that will probably always be in some demand," he said. "But I hope that by better linking the permanent immigrants with labor shortages there will be less dependence on the temporary foreign program."
The government expects the new program to be in place later this year. (Reporting by Scott Haggett; Editing by Peter Galloway)
Human Resources and Skills Development Canada (HRSDC)’s new Accelerated Labour Market Opinion (ALMO) Program for eligible employers should start today. The ALMO allows eligible employers to receive labour market opinions (i.e. confirmation from HRSDC that proposed positions for temporary foreign workers cannot be filled by resident workers) within 10 days of submission, as opposed to several weeks. The LMO requirement is waived in certain situations, including for intra company transferee applications.
Eligibility Criteria
To be deemed eligible to participate in the ALMO process, an employer must:
Have had at least one LMO approved within the last two years;
Have a clean compliance record with the Temporary Foreign Worker (TFW) Program and not be in the process of being audited at the time of application
Not have been the subject of an investigation, an infraction and/or serious complaint, nor have any unresolved violations under provision laws; and
Consent to participate in a subsequent audit process.
Registration Process
Employers seeking to participate in the ALMO program must register by completing a paper application form and faxing it to Service Canada.
Approved employers will be issued a password and have access to an online account. Employers will also be able to appoint third part representatives to make submissions on their behalf.
Service Canada has not yet indicated how long the registration process will take.
Key Features of the ALMO
The key features of the ALMO Program as we currently understand it are as follows:
Processing of LMO applications will be reduced from 12‐14 weeks to 10 days;
HRSDC will not require proof of recruitment to be submitted with the application, however employers will still be obligated to complete and retain recruitment efforts (including advertising);Although there will be less documentation required upon submission of the application, HRSDC intends to complete regular and thorough compliance audits on all employers to ensure compliance with Canadian immigration regulations; and The ALMO process will be limited to applications for managerial or high skilled occupations (NOC O, A and B).
Commentary from Greenberg Turner
Greenberg Turner notes the following points:
The significantly faster processing times under the ALMO Program will allow pre-screened employers to meet business demands in a more responsive manner. However, it is critical that employers exercise extreme caution when filing an application.
Upon initial review, it appears as though the formal filing requirements will be relaxed, but the process will be predicated on regular and comprehensive auditing of applications.
Based on recent discussions with HRSDC, it is anticipated that employers may be subject to initial audits under the ALMO Program as early as the third quarter of 2012.
To date, compliance audits have been primarily remedial. However, recent discussions suggest impending amendments to Canadian immigration law, which will permit authorities to take punitive measures against employers for a broader range of possible infractions.
This puts an employer at greater risk of being removed from the ALMO Program, being subject to financial penalties, and/or being denied access to the temporary foreign worker program for a period of time.
As such, it is critical that employers develop an appropriate immigration policy and process to create an effective compliance framework and ensure their organisation is “audit ready.”
Another report, this one by the Institute for Research on Public Policy (IRPP), claims to have the answer to Canada's immigration woes. Just limit immigration during recessionary times, it says.
As has been widely reported, many new immigrants to Canada are struggling financially. The unemployment rate among this group is now four to five percentage points higher than general population, under-employment in this group is between 25 to 35 per cent and one out of every five new immigrants is living in poverty.
The Stephen Harper government, like its Liberal predecessors, has taken a three-pronged approach to curb the declining economic welfare of Canada's immigrants. It has implemented a comprehensive foreign credential recognition program, invested in settlement services and has re-focused immigration policy based on our economic needs.
But the problems persist.
While the authors of the IRPP study support many of the Harper government's policies on immigration, it also suggests newcomers did better in the '60s, '70s, and '80s, because back then we adjusted immigration flows based on Canada's economic performance.
"During recessions economic outcomes deteriorate more among recent immigrants than among the Canadian-born," the study notes, claiming between 2008 and 2009 the unemployment rate rose two percentage points among the Canadian-born and 5.9 percentage points among recent immigrants.
"Reducing immigrant inflows in recessions or shortly thereafter restricts labour supply in a period when labour demand is falling. It also helps prevent longer-run economic 'scarring' that can occur when new labour market entrants are unable to obtain jobs or are unable to practise their skills over a long period."
Other points in the report:
- Canada has one of the largest immigration programs per capita among developed countries. Canada currently receives twice as many immigrants as the United States, proportionately, and this remains true even counting estimates of U.S. illegal immigrant flows.
- Data from the 2006 census shows that immigrants are earning 60 to 70 per cent of the wage earned by the average Canadian-born worker in their first few years in the country, compared to 85-90 per cent in the late 1970s.
- Unlike the recent Fraser Institute report, which argued that immigrants cost Canada billions every year, the IRPP report concludes that "immigration has a very modest impact on measures such as [gross domestic product] per capita and the government's balance sheet, although whether it is positive, negative or zero is open for debate, with most observers favouring 'small positive.'"
- The study also suggests Canada should be targeting younger immigrants and those that speak English and/or French.
People insecure of how to go about the big move to another country often choose to adopt the services of an ‘immigration consultant’, who facilitates the process from assessment to settlement. However, many of the emigrants end up feeling cheated and disappointed with what they get in return for the large sum of money they paid, the effort they made and the time it took.
Citizenship and Immigration Canada (CIC) in 2009 conducted a research to find out which methods people used most when they migrate to Canada, one of the most popular immigration destinations in the world and in the UAE in particular. Results of the research indicated that 50 per cent of the respondents had used help, and of this group 51 per cent had opted for an immigration consultant or lawyer to facilitate the process rather than family or friends.
Immigration consultants are a much preferred option for people migrating. According to the research results, most people who had done so, wanted help with the cumbersome immigration process because it was difficult to understand or complete. A large number of people thought that professional assistance would increase their chances of success and a few believed (mistakenly) that they needed to hire a representative in order to migrate.
“I would definitely recommend people to ask the help of an immigration consultant,” says Felix Roy Tom, Canada immigration consultant at Vision Dubai. “The paperwork can be really complicated and a small mistake could affect your chance of success. However, we are here only to help and we do not affect the outcome of the application.”
Resorting to an immigration consultant does not come without a price. In the UAE, costs range between Dh10,000 and Dh15,000, which people are willing to pay to make a life change.
However, satisfaction with the services paid for is often low. According to the research done by CIC, one-third of the respondents had a negative experience with the consultant they had dealt with. Judging by the numerous complaints on forums discussing migration consultancy offices, negative experiences are still common into 2012.
“It is very unfortunate, but there are a lot of consultancies that require people to pay before anything is done,” acknowledges Felix.
Contrary to the genuine approach towards a successful application, many people say they feel that they were ‘tricked’ into signing a contract regardless the potential of a successful application. “I can't understand what really happened, it's like they are using ‘black magic’ there,” says Emma, a UAE resident who tried to migrate to Canada through a consultancy company in Dubai. “The pen was ready for me to sign and the consultant was in a hurry to get my credit card to do the transaction. I don’t know how they tricked me into signing, I am usually very careful of signing papers.”
Another person who tried to migrate to Canada writes on a forum that he was told he would be assessed with 71 points, enough to be eligible for application. Once he had signed the contract and paid Dh12,000, his assessment turned out to be 61 points and application was impossible.
Once the contract is signed between a customer and an immigration consultant, the customer is bound to pay, and disappointed people describe how there is a ‘before signing’ and ‘after signing’ treatment. The latter is often characterised by rudeness and inattention. On a forum discussing immigration consultants in Dubai, a UAE residents describes how she filed her application in 2009 and paid Dh11,000, after which she never heard from them again, despite her trying to contact their office.
According to Emma, the problem is that, on paper, the company is doing nothing wrong. “They clearly state that once the contract is signed, one must pay the full amount, which cannot be refunded.” However, what consultants say before the customer signs might be a complete different story.
“The consultant told me that if ever I or my husband would be declined, we could get a 100 per cent refund of what we paid to them… even if we would not be satisfied with the development of our application and wish to cancel it.”
In the research by CIC, the most common complaint of respondents having a negative experience with an immigration consultant was that the information given by the consultant later turned out to be wrong. Other complaints included being promised a job in Canada that did not exist, being asked to pay for placement for a job, being asked to pay for papers that were usually free or being guaranteed a visa.
Complaints and negative experience are shared openly on public forums and people seek advice from others in selecting the right consultancy agency. However, the agencies discussed are in thriving business. “Seeing their too-large ads in newspaper really still makes me feel bad,” says Emma, who finally decided not to complete her application with the agency she had signed with and paid.
What to watch-out for:• Do thorough research on the company you are about to deal with. • Do not pay for assessments before all necessary documents are delivered. • Read the contract you sign carefully. • Information regarding visa application procedures, assessments, labour categories or current status of available applications can often be found on the official immigration website of the country you wish to immigrate to.
We are here only to help and we do not affect the outcome of the application, says a consultant
Canadian dollar relative to US dollar, September 2007 to January 2008 (Photo credit: Wikipedia)
By Louise Egan
OTTAWA (Reuters) - Canada's stagnant job market bounced back in March with a stunning 82,300 net new jobs, the biggest jump since September 2008, in a possible turning point for the economy that could put pressure on the central bank to raise interest rates.
The job gains, reported by Statistics Canada on Thursday, were spread fairly evenly across several sectors and were mainly in the private sector and in full-time positions.
Analysts surveyed by Reuters had forecast, on average, a gain of just 10,000 jobs in the month.
"Hibernation is over for Canadian employment. After a lengthy lull it's come roaring back with a rather incredible gain," said Doug Porter, deputy chief economist at BMO Capital Markets.
The jobless rate in the month dipped to a six-month low of 7.2 percent from 7.4 percent, compared with expectations for a rise to 7.5 percent.
Canadian jobs data tends to be volatile month-to-month and policy makers usually like to see the data over several months before declaring a trend.
But markets reacted immediately. The Canadian dollar rose to a session high against its U.S. counterpart, touching C$0.9931 versus the U.S. currency, or $1.0069, up from about C$0.9977 just before the release of the data.
Overnight index swaps, which trade based on expectations for the central bank's key policy rate, showed that traders increased bets on a rate hike in the second half of 2012 after the data.
"This follows hard on the heels of some tougher talk from the Bank (of Canada) so I think it is just going to increase the chatter that the bank may be going earlier than the market had expected," said Porter.
Most analysts have predicted the Bank of Canada will hold its key interest rate steady at 1.0 percent until next year.
Canadian growth slowed in the final quarter of 2011 and job creation has disappointed for the past several months, falling behind that of the United States for the first time since the 2008-09 recession.
Camilla Sutton, chief currency strategist at Scotia Capital, said the latest report suggests Canada's underperformance relative to the U.S. may have been short-lived.
"I think the biggest fear about Canada is that we had front-loaded the recovery or the expansion, and that things were beginning to dwindle. Now it really does throw an important hole in that argument," she said.
Most of the hiring in March took place in service industries which added 57,500 to payrolls, led by health care and social assistance and information, culture and recreation.
The goods-producing sector added 24,900 jobs, helped by manufacturing and construction.
(Reporting by Louise Egan, editing by Bernadette Baum)
