Working in Canada Starting July 17, 2026: New Minimum Wages for Foreign Workers and Updated Rules for the TFWP Program

Canada has updated the conditions for hiring foreign workers under the Temporary Foreign Worker Program (TFWP) and established new minimum hourly wage rates for low-wage workers. The changes affect employers in all provinces and territories and have expanded the list of cities subject to hiring restrictions. Learn more about the new wage thresholds, geographic restrictions, requirements for Canadian businesses, and the role of the LMIA in the hiring process

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The Canadian government has adopted further changes to the rules governing the hiring of foreign workers, which took effect on July 17, 2026. The updates affect the Temporary Foreign Worker Program (TFWP) and pertain to the minimum hourly wage, geographic restrictions, and employer responsibilities.

In this article, we’ll cover the new wage thresholds by province, the list of cities with hiring restrictions, requirements for Canadian businesses, and the general principles of the TFWP.

Are you planning to go to Canada to work under the TFWP and don’t know where to start preparing?

The practical guide from the Visit World portal contains the latest requirements for applicants, a list of required documents, and step-by-step instructions for completing the LMIA process.

What has changed in the TFWP as of July 17, 2026?

The updates primarily affected the low-wage segment of the program—the category through which Canadian companies most frequently recruited workers from abroad. Employers are now required to offer a wage of at least 120% of the median hourly wage in their province or territory. This requirement applies to the entire territory of Canada without exception.

The changes are part of a broader government strategy to reduce the share of temporary foreign workers in the Canadian labor market. The government is gradually limiting opportunities for large-scale recruitment of low-wage candidates from abroad and increasing pressure on employers to prioritize local applicants for job openings.

Read more about the new documentation requirements for digital nomads in Canada here.

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New Hourly Wage Thresholds by Canadian Province

The updated minimum rates for the low-wage category of the TFWP are as follows:

• Ontario — 36.92 Canadian dollars (previously 36.00);
• British Columbia — 38.40 Canadian dollars (previously 36.60);
• Alberta — 37.50 Canadian dollars (previously 36.00);
• Quebec — 36.00 Canadian dollars (previously 34.62);
• Northwest Territories — 48.00 Canadian dollars (unchanged).

Employers who are not prepared to offer the specified rate lose the right to recruit foreign candidates under the program’s low-wage stream. The threshold amounts will continue to be reviewed in line with changes in the median wage in each region.

See also: What do you need to know before traveling to Canada in 2026?

In which Canadian cities are there hiring restrictions under the TFWP?

The government continues to block new applications for low-wage positions and to deny work permit renewals in metropolitan areas with unemployment rates of 6% or higher. The list of cities with current restrictions includes:

• Toronto;
• Ottawa–Gatineau;
• Montreal;
• Calgary;
• Edmonton;
• Vancouver;
• Hamilton;
• London;
• Windsor;
• Oshawa;
• Kitchener–Cambridge–Waterloo;
• Saskatoon.

In addition to the cities listed above, restrictions are in effect in a number of cities in the provinces of Newfoundland and Labrador, New Brunswick, Ontario, Alberta, British Columbia, and Saskatchewan. Companies located outside these areas may still hire low-wage foreign workers, provided they fully comply with federal requirements.

How a foreigner can get a job in Canada in 2026 — we explain it here.

Additional Requirements for Canadian Employers

A business planning to apply for an LMIA in the low-wage sector must meet several mandatory conditions:

• limit the proportion of temporary foreign workers to 10% of the company’s workforce, and for certain industries (including construction and the food industry) — to 20%;
• post the job opening publicly for at least eight weeks within the last three months;
• include Indigenous people, people with disabilities, and young people aged 15 to 30 in the selection process;
• invite all relevant candidates from the Job Bank database with a rating of two stars or higher to an interview;
• provide affordable housing for foreign workers;
• cover the cost of round-trip airfare.

A separate temporary exemption is provided for rural employers in participating provinces: until March 31, 2027, they may hire up to 15% of their workforce under the program. The measure is intended to support regions where labor shortages are most acute.

Read this article to learn about the updated rules for obtaining permanent residence in Canada, new passport fees, and changes to work permits.

How does the Temporary Foreign Worker Program (TFWP) work, and what is the role of the LMIA?

The TFWP allows Canadian companies to recruit foreign candidates for positions that could not be filled by local citizens or permanent residents. The basis for hiring is the Labour Market Impact Assessment (LMIA)—an assessment of the impact on the Canadian labor market that an employer is required to obtain before making an offer to a foreign worker.

After a positive LMIA decision, the foreign worker applies for a work permit tied to a specific employer and position. The salary is determined based on whichever is higher: either the regional average wage for the occupation or the amount earned by a Canadian worker in a similar position.

Who will be most affected by the new employment rules in Canada?

The changes primarily limit access to low-wage jobs in major metropolitan areas. Foreign workers without specialized skills or with job offers for entry-level positions will face fewer available options and will have to wait longer for suitable offers.

Candidates with relevant qualifications or job offers that exceed the new salary thresholds have a good chance of navigating the TFWP process without additional complications. Specialized professions in high demand on the Canadian market remain a priority for the issuance of work permits.

Remember! Job hunting in Canada requires thorough preparation: checking current applicant requirements, evaluating relevant programs, and compiling a complete set of documents. The up-to-date employment guide from the Visit World portal includes a list of available employment pathways, step-by-step instructions for submitting applications, as well as checklists for employers and candidates.

Order the Canada Employment Guide from the Visit World portal to get complete information about the TFWP, LMIA, and related procedures, and to plan your move with minimal risks!

Reminder! We previously reported that Canada is raising the work experience requirement for Express Entry starting in 2026.

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Products from Visit World for a comfortable trip:

Checklist for obtaining a visa and necessary documents for Canada;

Legal consultation on immigration to Canada;

Travel insurance for foreigners in Canada;

Medical insurance worldwide.

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