"One per site": New rules open doors for low-wage workers in Canada
This story has significance for readers across Kenya and beyond.
- Canada has revised Temporary Foreign Worker Program to support small businesses hiring low-wage foreign workers
- Eligible employers can now hire one low-wage foreign worker per site, enhancing workforce flexibility
- Provincial adjustments allow increased low-wage caps for employers in rural areas amid ongoing labor shortages
In a recently announced update, Canada’s Employment and Social Development Canada (ESDC) revised the Temporary Foreign Worker Program (TFWP) rules on 18 August 2026, providing greater flexibility for employers with multiple small work locations.
The changes are particularly beneficial for businesses struggling to fill low-wage positions.
New cap calculations explained
The adjustment allows eligible Canadian employers with fewer than 10 employees at each work location to hire one low-wage foreign worker per site.
If the employer operates in certain sectors, such as health care, construction, or food production, they may employ up to two low-wage foreign workers at each location.
This marks a significant shift from the previous rule, which confined the hiring cap to the employer's total workforce across all locations.
Previously, the alternative calculation applied only to those with fewer than 10 employees overall.
The revised measures allow for individual location assessments, which means employers can now recruit workers even when the standard percentage would restrict them to fewer than the allowable number.
When assessing staffing levels, employers must count all full-time and part-time workers, as well as any temporary foreign workers with authorized Labour Market Impact Assessments (LMIAs) who haven't started work, including vacant positions covered by active LMIA applications.
Notably, part-time employees averaging under 30 hours weekly count as half a worker.
Defining low-wage workers
Positions classified as low-wage are those paying below 120% of the regional median wage listed in Canada's federal Job Bank—currently pegged at KSh 5,325 (CAD 36.92) per hour in Ontario.
Roles meeting or exceeding that threshold may qualify under the TFWP’s high-wage stream, which does not impose a workforce cap.
Employers participating in the low-wage stream must also adhere to certain requirements, such as covering return travel costs for the worker and ensuring accommodation expenses do not exceed 30% of the employee's pre-tax income.
Furthermore, they must provide private health insurance when provincial coverage is not available.
The recent rule changes arrive as a response to ongoing labour shortages that many smaller businesses face in filling low-wage roles.
Since March 13, 2026, Canadian provinces have been granted the ability to raise the low-wage cap to 15% specifically for employers operating in rural areas.
However, a freeze on processing low-wage LMIA applications in urban regions experiencing unemployment rates above 6% has been in effect since September 2024.
It is vital to note that the TFWP functions independently from Canada's International Mobility Program (IMP), which encompasses most nationally issued work permits and does not necessitate an LMIA.
The Canadian government plans to admit 60,000 foreign workers through the TFWP and an additional 170,000 via the IMP under its 2026 immigration levels strategy.
UK Updates Register of Employers Licensed to Sponsor Work Visas
TUKO.co.ke reported that the UK updated its official register of employers licensed to sponsor foreign workers.
The list included more than 142,000 organizations authorised to issue Certificates of Sponsorship.
These employers can sponsor eligible foreign nationals through routes including the Skilled Worker and Temporary Worker visas.
The register provides applicants with a way to identify employers approved by UK authorities. It also helps foreign workers verify whether potential employers are licensed to sponsor them.
Source: Legit.ng
Source: TUKO.co.ke
Reporting originally appeared via TUKO. Read the full source for additional context.