Many are discussing a potential point of no return. Is the perception of Canada as a welcoming land of immigrants shifting? Amid an unprecedented housing crisis, the government is scaling back its immigration goals yet still praises the economic contributions of foreign talent. Despite this, many affected—especially students—view these policy changes as significant obstacles to their aspirations in Canada. This article offers a detailed analysis of the situation.
Unprecedented protests in Canada
In Ontario, British Columbia, Manitoba, and Prince Edward Island, similar scenes unfold as international students come together to protest the federal government's stringent new immigration policies. Over 70,000 international graduate students face the threat of deportation under these regulations, a figure highlighted by the British press and echoed by frustrated protesters. Canadian media reports that many of these students had intended to apply for permanent residency after their studies. Under the revised rules, which include restrictions on study permits, they face possible expulsion—even those who meet the required criteria for permanent residency.
The plight extends to other temporary residents, including workers whose permits expire soon. Feeling forsaken by a government that once welcomed them with open employment opportunities, these individuals reflect on a time not so long ago during the COVID-19 pandemic when the Trudeau administration loosened restrictions to alleviate severe labor shortages. Although the labor market has somewhat stabilized since then, the shortages persist, albeit less acutely than in 2021 or 2022. The Prime Minister has acknowledged foreign workers' critical role in sustaining the economy through the pandemic but notes that the economic landscape has since shifted.
Canadian dream shattered for international students
For international students in Canada, the recent policy shifts feel like betrayal. In response, they have launched a nationwide series of protests since the end of August. They argue that the new policy will cut permanent residence permits by 25%, contradicting the official narrative that blames them for exacerbating the housing crisis. Instead, they pinpoint elected officials for failing to implement coherent policies.
Contrary to some Canadians' views, temporary residents claim they bear the brunt of corporate restructuring and economic downturns first. They emphasize their vital role in fostering the nation's growth and contributing to the Canadian economy and are calling on the government to extend their work permits and clarify the path to permanent residency.
International students often invest heavily—financially and emotionally—to pursue their "Canadian dream," involving their entire families and years of repaying loans. It is not feasible for them to simply "return to their country" after dedicating years to their education in hopes of securing a promising career. Their protests are not just for their own future but also for that of potential international students and professionals. They are raising alarms about the repercussions of these policy shifts. If unaddressed, Canada risks being overshadowed by other countries, losing a substantial share of its international talent, and damaging its long-term global reputation.
International students in the era of immigration restrictions
How did we arrive at this juncture? Towards the close of 2022, Sean Fraser, the then Minister of Immigration, emphasized the country's commitment to welcoming 465,000 new immigrants in 2023 and 485,000 in 2024, aiming for a total of 1.5 million by 2025, aligning with the governmental agenda. Fraser reiterated that Canada's foundation was built on the back of immigration. Confronted with critical labor shortages and a shrinking population, Canada had broadly opened its doors to international talents.
Capping the number of international students
A significant shift in policy and personnel occurred a year later. On December 7, 2023, the new Minister of Immigration, Marc Miller, announced an increase in the financial requirements for international students. Since January 1, 2024, they must possess at least CAD 20,635—75% of the low-income threshold—to qualify for a visa, a significant rise from the previous requirement of CAD 10,000. This adjustment reflects the impacts of inflation and the ongoing housing crisis. However, Miller explicitly refused to blame the housing crisis on international students. Ironically, Sean Fraser, who previously served as Minister of Immigration, is the current Minister of Housing.
More restrictions were introduced on January 22, 2024, when the Ministry of Immigration decided to cap the issuance of study permits at approximately 360,000, marking a 35% drop from 2023. The ministry cited the protection of international students from exploitation by some universities and the escalating cost of living as reasons for the cap. This measure is intended to last two years and does not impact the renewal of study permits or applications from students already enrolled at Canadian universities. The most affected provinces are those with the highest concentrations of international students, such as Ontario and British Columbia, against the backdrop of a persistent housing crisis.
End of the post-Covid euphoria
In June, Prime Minister Justin Trudeau acknowledged the end of the post-Covid euphoria, noting significant shifts even in sectors previously affected by labor shortages. Consequently, in July, the government proposed reforming the post-graduate work permit system to ease the issuance of permits to graduates from sectors still experiencing shortages while tightening eligibility for others.
This adjustment aligns more closely with business needs. The government insists this is not an attempt to tighten overall immigration rules but a practical response to labor market dynamics. Plans for implementing this reform are slated for 2025. However, a notable policy shift took effect on September 1: international students beginning a program under a study agreement are now ineligible for a post-graduate work permit upon completing their studies.
Following these changes, international students now perceive the proposals as further tightening of restrictions. On August 26, Immigration Minister Marc Miller announced a recalibration of the Immigration Plan to accommodate students and foreign workers better. This adjustment involves capping the annual intake of new immigrants at 500,000 until 2026, effectively reducing the number of international students and temporary workers. Despite these changes, Canada's commitment to economic immigration remains steadfast. It constitutes 60% of all immigration and plays a vital role in the country's growth and demographic support.
Should we fear a mass departure of international students?
The future commitment of international students to Canada is uncertain. These students reflect on their sacrifices for a nation that now seems less welcoming. For many contemplating their next steps, the "Canadian dream" no longer exists. With new caps, higher financial demands, escalating tuition fees, and rising living costs, the perceived benefits of staying in Canada are dwindling.
These students also report significant hurdles in professional integration. Young foreign graduates frequently encounter unemployment, job insecurity, and the necessity to accept unrelated odd jobs, leading to "devalued resumes." Many feel compelled to take these positions due to the difficulty of finding work that aligns with their qualifications.
Despite the potential drain of foreign talent, the government remains optimistic about its immigration strategy. It emphasizes that its approach is more adaptable than those of other countries and continues to advocate for an "open immigration policy." The Ministry of Immigration is dedicated to improving the welcome and integration of immigrants, reinforcing its commitment to an inclusive approach.
