20 employers banned from Temporary Foreign Worker Program

'Our enhanced inspection practices, stronger enforcement measures, and tougher penalties are working'

20 employers banned from Temporary Foreign Worker Program

A total of 20 employers have been banned from using the Temporary Foreign Worker (TFW) Program as the federal government intensifies its efforts to protect the health and safety of temporary foreign workers.

The number comes from the inspections conducted by Employment and Social Development Canada (ESDC) between April 1 and Sept. 30, 2024.

The number of employers banned is a fivefold increase from the same timespan the previous year, according to the government.

"Workers in Canada deserve and expect to feel safe and protected in the workplace. That’s why we’re taking steps to further protect temporary foreign workers and hold bad actors accountable,” says Steven MacKinnon, minister of employment, workforce development and labour.

Previously, Ottawa permanently banned Toor Vineyards from accessing the program because of violations related to pay and working conditions, among others.

$2.1 million in TFWP penalties

During the same period, ESDC also issued $2.1 million in Administrative Monetary Penalties (AMPs) to these employers, more than double the amount in the same period in 2023, according to the federal government.

Previously, from April 1, 2023 to March 31, 2024, the federal government agency also issued $2.1 million in AMP to non-compliant employers.

For the April 1 and Sept. 30, 2024 period, ESDC conducted 649 employer compliance inspections, of which 11 percent were found to be non-compliant. 

During that period, non-compliance violations included:

  • Pêcheries Lebreton & Fils Ltee – an employer in the seafood product preparation and packaging industry – was fined $365,750 and banned from the program for two years after violating several requirements and conditions, including failing to retain necessary records, non-compliance with hiring and recruiting laws, not compensating foreign workers properly, and not providing a workplace free of abuse.
  • Ultra Shine Building Maintenance Inc. – an employer in janitorial maintenance – was fined $124,000 and prohibited from participating in the TFW Program for five years for improper pay and working conditions.
  • 1384553 BC Ltd. – an employer in the farming sector – was fined $75,000 and banned from the TFW Program for five years for failing to provide required documentation to inspectors, being absent from a scheduled meeting with inspectors, and failing to demonstrate they were operating a legitimate business.

The full list of employers found to be non-compliant with the TFW Program rules is available here.

“Today’s compliance report clearly demonstrates that our enhanced inspection practices, stronger enforcement measures, and tougher penalties are working,” says MacKinnon. “Employers must follow the rules, and we will continue to take decisive action to protect workers’ rights and well-being while growing our economy.”

Stricter guidelines for penalties

To combat program misuse and increase worker protections, ESDC has implemented stricter guidelines for AMPs.

In 2023, penalties increased from $15,000 to $45,000 and a 5-year ban for employers who do not provide documents and who are found to be claiming a business that does not exist or exists illicitly. Since fall of 2024, the same penalties also apply to employers who refuse to meet with inspectors and who do not attend inspections.

Additionally, employers who are not actively engaged in their business operations now face penalties of $15,000 for each negatively affected temporary foreign worker, rather than a total fine of $15,000 for non-compliance.

ESDC also significantly expanded its efforts to monitor and combat Labour Market Impact Assessment (LMIA) misuse, implementing the following key changes:

  • more rigorous oversight in high-risk areas when processing LMIAs and conducting inspections;
  • eliminated attestations from professional accountants or lawyers as proof of business legitimacy to help ensure job offers are genuine; and
  • increased use of Ministerial Instructions to suspend positive LMIAs in cases of suspected Program misuse or illicit activity, preventing employers from hiring additional workers.

Previously, Syed Hussan, executive director at Migrant Workers Alliance for Change, described the system that governs migrant workers' employment in Canada as “systemic slavery”.

Ottawa has since introduced significant changes to its Temporary Foreign Worker (TFW) Program, aimed at safeguarding Canadian workers while continuing to protect migrant workers from potential fraud and exploitation.

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