Overview

• Canada plans to cut the number of temporary residents by about 20% over the next three years to address housing shortages and labor market alignment.
• Currently, over 2.5 million temporary residents live in Canada, constituting 6.2% of the population, with a goal to reduce this to 5%, or about 2 million.
• The new policy will set annual targets for temporary immigrants, including foreign workers, international students, and asylum claimants, for the first time.
• Recent rapid population growth has strained infrastructure and services, worsened housing shortages, and increased living costs, prompting policy adjustments.
• The government will also review temporary worker streams to ensure alignment with labor market needs and reduce abuses in the system.