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Canada’s immigration department has introduced new measures to support the construction industry, aiming to tackle labor shortages and boost housing supply.
Major Policy Updates
Immigration Minister Marc Miller announced these changes in Woodbridge, Ontario, on March 7, 2025, emphasizing that the study permit exemption takes effect immediately. Previously, most foreign workers had to apply for study permits from outside Canada, adding delays to their training and employment.
Although the government has yet to confirm when the new permanent residency pathway will open or provide eligibility details, Miller assured that updates will come soon.
The government will establish an advisory council, including representatives from unions, industry employers, and policymakers. This council will provide insights on construction wages and recommend how many foreign workers should be admitted to Canada.
Miller indicated that up to 14,000 foreign construction workers could be admitted but didn’t specify whether through temporary or permanent pathways.
The construction industry has long faced labor shortages, which have contributed to Canada’s housing crisis. The Canada Mortgage and Housing Corporation estimates that 6 million homes need to be built by 2030 to restore housing affordability.
Miller acknowledged the country’s difficulty in training enough skilled tradespeople domestically, noting, “…as hard as we try, we cannot train them here in Canada.” Statistics Canada reports that immigrants already make up 23% of general contractors and residential builders.
To attract more skilled workers, IRCC revised the Express Entry system on February 27, 2025, designating trade occupations as a priority. They also added 19 new occupations, including:
These updates are designed to align immigration with labor market needs, helping fill critical gaps in the construction workforce.
The new regularization pathway builds on previous efforts to support undocumented construction workers. A temporary public policy introduced in January 2020 allowed out-of-status workers in the Greater Toronto Area to apply for permanent residency. By November 2024, around 1,365 workers and their families had secured permanent residency through this policy.
Housing concerns remain central to immigration planning. Under the 2025-2027 Immigration Levels Plan, the government aims to reduce temporary resident admissions to ease housing demand, a move expected to free up around 670,000 housing units.
The plan also introduced an “In-Canada Focus” category, prioritizing candidates with Canadian work experience for permanent residency, helping meet immigration targets without adding new pressures to housing availability.
These strategic immigration changes reflect Canada’s commitment to solving its labor and housing challenges simultaneously. As the policies roll out, they are expected to shape the future of the construction industry and support the country’s infrastructure goals.