The Canadian government has unveiled significant changes to its immigration policies to support the country’s construction sector. These changes aim to address persistent labor shortages and bolster efforts to expand housing availability nationwide.

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Key Changes Announced

Marc Miller, Minister of Immigration, Refugees, and Citizenship Canada (IRCC), announced the following major updates during a press conference in Woodbridge, Ontario, on March 7, 2025:

1. New Pathway for Undocumented Construction Workers

o Up to 6,000 undocumented construction workers already residing in Canada will have reserved immigration spaces, allowing them to apply for permanent residence.

2. Study Permit Exemption for Apprenticeships

o Qualified temporary foreign workers will be permitted to enroll in apprenticeship programs without requiring a study permit. Previously, foreign workers needed a study permit to pursue such opportunities, limiting their ability to enhance their skills within Canada.

Advisory Council on Construction

Miller also announced the formation of an advisory council dedicated to guiding federal policy on construction workforce issues. This council will include government representatives, labor unions, and industry employers, with its first meeting scheduled for next week. The council will provide recommendations on:

• Prevailing wages for construction workers

• The number of foreign construction workers admitted annually

Additionally, up to 14,000 foreign construction workers may be admitted under various immigration pathways, though details on whether these will be permanent or temporary entries remain unclear.

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Rationale Behind the Policy Shift

Canada's construction sector has long struggled with labor shortages, which have exacerbated the country’s housing crisis. The Canada Mortgage and Housing Corporation estimates that an additional 6 million homes are required by 2030 to restore housing affordability. Minister Miller acknowledged that Canada's domestic workforce cannot fill this gap alone, stating, "As hard as we try, we cannot train them [skilled trades and construction workers] here in Canada."

Statistics Canada reports that 23% of general contractors and residential builders in the country’s construction sector are immigrants, further emphasizing the industry’s reliance on foreign talent.

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Express Entry Revisions for Tradespeople

In a related development, IRCC made significant modifications to the Express Entry system on February 27, 2025, prioritizing trade occupations for permanent residence applications. The department expanded the list of eligible trades, adding 19 new occupations, including:

• Construction managers

• Construction estimators

• Bricklayers

• Roofers and shinglers

• Floor covering installers

• Painters and decorators (excluding interior decorators)

These changes reflect Canada's commitment to attracting skilled tradespeople who can help address labor shortages in the construction sector.

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Support for Out-of-Status Construction Workers

The government’s latest announcement builds on previous efforts to assist out-of-status construction workers. In January 2020, IRCC introduced a temporary public policy allowing such workers in the Greater Toronto Area (GTA) to apply for permanent residence. This program, which expired on December 31, 2024, granted permanent residence to approximately 1,365 construction workers and their dependents.

Housing and Immigration Policy Alignment

Housing concerns have significantly influenced Canada’s immigration policies. The 2025-2027 Immigration Levels Plan reflects a shift toward prioritizing in-Canada candidates to alleviate housing pressures. This includes the “In-Canada Focus” category, which aims to grant permanent residence to 82,890 immigrants already working in Canada in 2025. The government believes this approach will help address labor needs without further straining housing availability.

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Looking Ahead

While the government has yet to provide a detailed timeline for implementing the new construction worker permanent residence pathway, these changes mark a pivotal step in addressing labor shortages and strengthening the construction industry. Further details on eligibility criteria and application procedures are expected in the coming months.

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