Temporary Foreign Worker Program increases penalties and inspections

The program conducted 2,122 inspections in the last fiscal year, with $2.1 million in fines
Temporary Foreign Worker Program increases penalties and inspections

The Temporary Foreign Worker (TFW) Program has intensified its enforcement efforts by increasing the penalties against non-compliant employers.

Employment and Social Development Canada (ESDC) conducted 2,122 inspections in the last fiscal year, resulting in $2.1 million in fines and 12 employer bans for non-compliance. Supported by a $48 million investment, these measures aim to protect foreign workers and improve reporting and enforcement mechanisms.

ESDC emphasized the protection of foreign workers during their stay in Canada, addressing any abuse or misuse of the program through stringent compliance measures and fines. Under the TFW Program in the last fiscal year, ESDC found that 94 percent of employers were compliant. During this period, non-compliant employers faced $2.1 million in Administrative Monetary Penalties (AMP), a 36 percent increase from the previous year’s $1.54 million. Additionally, 12 employers were banned from the program, up from seven the prior year.

Examples of violations include an employer in the food service industry receiving a $152,000 fine and a two-year ban for breaking federal, provincial, or territorial laws in hiring and recruiting, along with improper worker pay and conditions. An employer in the agriculture sector faced a $46,000 penalty and a five-year ban for failing to provide proper documentation and misrepresenting job descriptions on the Labour Market Impact Assessment (LMIA) application. In the transport sector, an employer was penalized $135,000 and received a ten-year ban for not providing an abuse-free environment and failing to submit required documents.

The Government of Canada has invested $48 million over two years, beginning in 2023–2024, to enhance the Employer Compliance Regime. This funding supports hiring more program inspectors, maintaining the worker protection tip line, and other activities. These include outreach sessions to employer organizations and consulates to raise awareness of worker rights and employer obligations, improved tools for reporting potential misuse of the TFW Program, and a process to escalate urgent health and safety concerns within 48 hours.

In addition, ESDC administers a confidential tip line with live agents providing services in over 200 languages. This line allows workers and others to report mistreatment or abuse anonymously and helps inform workers of their rights. An online reporting tool is also available for reporting suspected abuse or program misuse.