Breaking News for International Students: Canada to cut international student intake by 10% in 2025 amid immigration pressures
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Canada is set to make significant changes to its immigration policies, impacting international students and foreign workers. These changes were recently announced by Immigration, Refugees, and Citizenship Canada (IRCC) and are expected to reduce the number of study permits and work permits issued over the next few years. Canada’s Immigration Minister Marc Miller laid out these updates in a press conference, highlighting the government’s focus on managing immigration more effectively while ensuring the sustainability of the system.
Canada Study Permit Cap to Reduce International Student Intake
One of the biggest announcements involves a cap on the number of Canada Study Permits issued each year. In 2025, IRCC will issue only 437,000 study permits, which is a 10% reduction from the target of 485,000 in 2024. The new cap is part of a broader effort to reduce the intake of international students and stabilize immigration levels.
According to IRCC, this decision will lead to about 300,000 fewer study permits being issued between now and 2026. The cap, initially introduced in January 2023, is now a permanent policy aimed at controlling the flow of international students into Canada. This decision comes in response to rising concerns about the capacity of Canadian institutions and the country’s resources to handle such large numbers of international students.
“The reality is that not everyone who wants to come to Canada will be able to,” said Minister Miller. “Our immigration system must preserve its integrity and be well-managed and sustainable.”
Master’s and PhD Students Now Require Provincial Attestation Letter (PAL)
As part of the changes to the study permit system, master’s and doctoral students are no longer exempt from obtaining a Provincial Attestation Letter (PAL). This requirement, which was previously applied only to undergraduate and college students, has been expanded to include all graduate-level students. The PAL was introduced earlier this year to verify the authenticity of applications and to help manage the number of study permits being issued.
The department has reserved about 12% of the total study permit allocation for these advanced-degree students, recognizing the value they bring to the Canadian labor market. By including graduate students in the PAL requirement, IRCC aims to further control the number of study permits issued while ensuring that students entering Canada contribute to sectors that need skilled workers.
Changes to PGWP Eligibility
In addition to the changes to the study permit system, IRCC has also announced new eligibility requirements for the Post-Graduation Work Permit (PGWP). These changes are expected to significantly reduce the number of PGWPs issued in the coming years.
From November 1, 2024, PGWP applicants must demonstrate specific language proficiency. University graduates will now need a Canadian Language Benchmark (CLB) score of 7, while college graduates must show a CLB of 5. This new language requirement is designed to ensure that graduates have the language skills needed to succeed in the Canadian workforce.
Minister Miller expects this change will result in 175,000 fewer PGWPs being issued over the next three years. This is part of a broader effort to reduce the number of temporary residents on work permits and to tie PGWP issuance to educational programs that align with Canada’s labor market needs.
Limits on Spousal Open Work Permits
Another significant change impacts the eligibility for Spousal Open Work Permits. From later this year, only the spouses of master’s degree students enrolled in programs lasting at least 16 months will be eligible for these work permits. This change is expected to result in 50,000 fewer spousal work permits being issued over the next three years.
Additionally, outside the international student program, spousal open work permits will now be limited to spouses of Canadian citizens or permanent residents who are employed in critical work sectors. This change aims to prioritize work permits for those who can contribute to important industries in Canada while reducing the overall number of temporary residents on work permits.
Impact on Temporary Foreign Worker Program (TFWP)
The changes to Canada’s immigration policies also extend to the Temporary Foreign Worker Program (TFWP). Canada’s unemployment rate has been rising steadily since April 2023, reaching 6.6% in August 2024. With over 1.5 million unemployed people in the country, the government is taking steps to reduce the number of temporary foreign workers entering the job market.
Minister of Employment Randy Boissonnault emphasized that the TFWP should be used only as a last resort and not as a way to replace Canadian workers or suppress wages. He stated that while immigration remains vital for Canada’s economic growth, the focus should be on integrating immigrants into sectors where there is a real need for workers, not just filling low-wage positions.
The government has already taken steps to limit temporary work permits, including pausing the processing of Labour Market Impact Assessments (LMIAs) for low-wage jobs in areas where unemployment is high. The goal is to protect Canadian jobs while ensuring that temporary workers are only brought in when necessary.
Broader Changes to Canada’s Immigration System
This year has been a period of significant change for Canada’s immigration system. Earlier in 2024, IRCC introduced its first-ever cap on study permits and made several changes to PGWP eligibility, including making some students in college programs with licensing agreements ineligible for the work permit.
In March, Minister Miller announced that the Immigration Levels Plan for 2025-2027 will, for the first time, include temporary resident levels. This is part of IRCC’s goal to reduce the number of temporary residents in Canada while maintaining a manageable immigration system.
Other notable changes include:
- Ending the COVID-era policy that allowed visitors to apply for job-supported work permits from within Canada.
- Pausing LMIA processing for jobs in areas with an unemployment rate of 6% or higher.
- Exploring options to further tie PGWP issuance to in-demand sectors of the Canadian economy.
Minister Miller also hinted that there may be changes to Canada’s permanent immigration levels in the future. While he stressed the importance of not “overcorrecting” the system, he acknowledged that significant changes might be needed to ensure the long-term sustainability of Canada’s immigration policies.
Quick Recap
The recent updates from IRCC mark a significant shift in Canada’s approach to immigration, particularly for international students and temporary foreign workers. These measures are aimed at controlling the number of temporary residents in Canada while ensuring that those who do come have the skills and qualifications needed to succeed in the Canadian labor market.
For international students, these changes mean that securing a Canada Study Permit will become more competitive, and eligibility for PGWP will be more stringent. For temporary foreign workers, the focus will be on ensuring that the TFWP is only used when necessary and does not negatively impact Canadian workers.
As Canada’s Immigration Minister Marc Miller stated, the goal is to create an immigration system that is both well-managed and sustainable, setting newcomers up for success while protecting the integrity of the Canadian job market.
For those affected by these changes, staying updated with the latest information from IRCC will be essential to navigating the new rules and requirements. Stay tuned with Khanna Immigration Services for upcoming updates.