Immigration, Refugees and Citizenship Canada (IRCC) has proposed an amendment to the Immigration and Refugee Protection Act (IRPA) to introduce a new permanent economic immigration category for workers with experience and training at TEER (Training, Education, Experience and Responsibilities) levels 4 and 5.
The department states that this new pathway aims to modernize the economic immigration system by broadening the selection criteria to include candidates with a wider variety of skills and experiences.
IRCC also notes that detailed ministerial instructions regarding the new category and its pathways will be published in the Canada Gazette this fall.
Canada's TEER System
Introduced in 2022 as part of the modernization of the National Occupational Classification (NOC) system, Canada’s TEER (Training, Education, Experience and Responsibilities) system replaced the “Skill Levels” used in NOC 2016.
TEER levels 0-3 encompass occupations typically requiring post-secondary education or a specific apprenticeship duration. TEER levels 4 and 5 apply to occupations that generally require only a high school education, on-the-job training, or, in the case of TEER 5, no formal education but some short-term work experience.
Currently, occupations classified under TEER 4 and 5 are generally ineligible for federal economic immigration programs like those managed by Express Entry. This often results in newcomers working in these roles facing more challenges in obtaining permanent residency, contributing to Canada’s temporary resident population.
Many newcomers to Canada initially arrive as temporary residents and, due to current labor market conditions, some end up in what Statistics Canada defines as “low-skilled” jobs. A recent study highlighted a trend where temporary foreign workers (TFWs) and international students are increasingly employed in low-skilled sectors such as accommodation, food services, and retail trade.
The study noted that these shifts might lead to a higher proportion of low-skilled TFWs among new immigrants, impacting their earnings and slowing their integration into the Canadian economy.
Temporary Resident Levels
The introduction of new permanent resident pathways for TEER 4 and 5 newcomers reflects IRCC's effort to reduce the number of temporary residents in Canada. Earlier this year, the department announced its goal to stabilize temporary resident levels, which had reached over 2 million in 2023.
The department noted that the current levels of temporary residents were no longer sustainable for Canada’s economy. Immigration Minister Marc Miller stated that Canada has recovered 138% of the jobs lost during the COVID-19 pandemic.
Traditionally, there have been no caps on temporary residents, including workers, students, and visitors. However, this year, IRCC has reversed this approach by setting a hard cap on the number of international student applications it will process. Additionally, the department will include temporary resident levels in the 2025-2027 Immigration Levels Plan, which is expected to be released by November 1.
To further manage the number of temporary residents, IRCC plans to increase the number of “domestic draws.” This strategy focuses on transitioning temporary residents already in Canada to permanent status before considering new foreign nationals from abroad.
Recently, there has been a rise in the number of Express Entry draws for candidates with provincial nominations and those in the Canadian Experience Class, who are typically already living and working in Canada as temporary residents. In July alone, IRCC issued 14,575 invitations to apply to these candidates.
These actions aim to help IRCC meet its annual permanent resident targets for this year and the next, while also reducing the temporary resident population.
Comments