IRCC Announces Major Policy Changes in 2025–2026 Departmental Plan

Canada’s IRCC plan for 2025–2026 cuts immigration targets, caps temporary residents, and changes Express Entry rules. New work permits for specific sectors and upgraded refugee pathways accompany digital modernization, impacting applicants, employers, and communities across the country.

Key Takeaways

• IRCC lowers permanent resident targets to 395,000 in 2025, declining through 2027.
• Temporary resident caps limit arrivals to 5% of Canada’s population by 2026.
• Express Entry removes job offer points, focusing on in-demand skills and French speakers.

On June 20, 2025, Immigration, Refugees and Citizenship Canada (IRCC) released its 2025–2026 Departmental Plan, setting off the most sweeping changes to Canadian immigration policy in recent years. The plan comes as Canada 🇨🇦 faces growing pressure on housing, public services, and infrastructure, while still aiming to support economic growth and uphold its humanitarian values. These changes will affect permanent resident hopefuls, temporary workers, international students, employers, and communities across the country.

Let’s break down what’s changing, why it matters, and what it means for different groups.

IRCC Announces Major Policy Changes in 2025–2026 Departmental Plan
IRCC Announces Major Policy Changes in 2025–2026 Departmental Plan

Major Changes in the 2025–2026 IRCC Departmental Plan

Who is affected?
People applying for permanent residence
– Temporary residents (international students, foreign workers)
– Employers and educational institutions
– Refugees and Francophone communities
– Canadian communities and service providers

What’s changing?
– Lower permanent resident (PR) targets
– New caps on temporary residents
– Overhaul of the Express Entry system
– Permanent Economic Mobility Pathways Pilot
– New sector-specific work permits
– Changes to Post-Graduation Work Permit (PGWP) and Spousal Open Work Permit (SOWP) rules
– Expansion of Francophone and refugee pathways
– Digital modernization of IRCC services
– New Free Trade Agreement (FTA) work permits
– Updated refugee identification documents

When and where?
– Changes begin rolling out from spring 2025 and continue through 2027, affecting all of Canada 🇨🇦.

Why now?
– Canada 🇨🇦 has seen record population growth, with 98% coming from immigration and 60% from temporary residents in 2024.
– Public concern over housing shortages, healthcare strain, and infrastructure limits has pushed the government to act.
– The plan aims to balance economic needs, community capacity, and humanitarian commitments.


Permanent Resident Admissions: Lower Targets, Higher Competition

One of the most talked-about changes is the reduction in permanent resident admissions. The IRCC Departmental Plan sets the following targets:

  • 2025: 395,000 PR admissions (down from 500,000 in 2024)
  • 2026: 380,000 PR admissions
  • 2027: 365,000 PR admissions

What does this mean for applicants?

  • More competition: With fewer spots, applicants will face tougher selection standards, especially those applying from outside Canada 🇨🇦.
  • Focus on in-Canada applicants: Over 40% of new permanent residents will be students or workers already living in Canada 🇨🇦.

Why is this happening?
The government wants to make sure that immigration levels match what communities and services can handle. By focusing on people already in Canada 🇨🇦, the plan aims to help temporary residents settle permanently and ease the strain on housing and public services.


Temporary Resident Caps: New Limits for Students and Workers

For the first time, IRCC is putting a cap on the number of temporary residents allowed in Canada 🇨🇦. This includes international students and foreign workers.

  • By 2026, temporary residents will be limited to 5% of Canada’s total population.
  • Temporary Foreign Worker Program (TFWP): Only 82,000 new permits will be issued each year.
  • International Mobility Program (IMP): 285,750 permits in 2025, dropping to 128,700 in 2026.
  • Total new arrivals: 673,650 in 2025, 516,600 in 2026, and 543,600 in 2027.

What does this mean for temporary residents?

  • Harder to get in: Stricter eligibility and documentation will make it more difficult for new international students and foreign workers to come to Canada 🇨🇦.
  • More competition for permits: With fewer permits available, applicants will need to meet higher standards and provide more proof of eligibility.

Impact on communities and employers:
Employers who rely on temporary foreign workers, especially in agriculture and fish processing, will need to adjust to new rules and possibly look for Canadian workers first. Educational institutions may see fewer international students, which could affect their budgets and planning.


Express Entry System: Major Overhaul to Fight Fraud and Target Skills

The Express Entry system, which manages applications for skilled workers, is getting a big update:

  • Job offer points removed: Starting spring 2025, having a job offer will no longer give extra points in the Comprehensive Ranking System (CRS). This is meant to stop fraud and make the process fairer.
  • Targeted draws: IRCC will focus on inviting people with in-demand skills, such as healthcare, trades, and French language ability.

How does this affect applicants?

  • New strategies needed: Applicants who relied on job offers to boost their CRS scores will need to focus on other factors, like Canadian work experience, education, and language skills.
  • More opportunities for in-demand skills: People with experience in priority sectors or who speak French may have a better chance of being invited.

Step-by-step for Express Entry (as of spring 2025):

  1. Create an Express Entry profile (no job offer points).
  2. Get an Educational Credential Assessment (ECA) and language test results.
  3. Receive a CRS score based on updated rules.
  4. Wait for targeted draws (priority for in-demand sectors and French speakers).
  5. Apply if invited. Existing applications and invitations are not affected by the new rule.

For more details on the Express Entry process, visit the official IRCC Express Entry page.


Permanent Economic Mobility Pathways Pilot: New Hope for Refugees

The Economic Mobility Pathways Pilot, which helps skilled refugees become permanent residents, will become a permanent program by the end of 2025. This move opens new doors for refugees with valuable skills, giving them a clear path to settle in Canada 🇨🇦 and contribute to the economy.


Sector-Specific Work Permits: Agriculture and Fish Processing

IRCC will launch a new foreign labour stream and work permit for agriculture and fish processing. This is designed to help employers in these sectors fill jobs that are hard to staff with Canadian workers.

What’s new?

  • Targeted opportunities: Only for agriculture and fish processing jobs.
  • New conditions: Applicants and employers must meet specific requirements, which will be announced as the program rolls out.

PGWP and SOWP Changes: New Rules for International Students and Their Families

The Post-Graduation Work Permit (PGWP) and Spousal Open Work Permit (SOWP) programs are changing:

  • PGWP: The field of study requirements will be updated. Not all programs will qualify for a work permit after graduation.
  • SOWP: Eligibility for spouses of foreign workers and international students will change, with new rules on who can apply.

What does this mean for students and families?

  • Check your program: International students must make sure their field of study qualifies for a PGWP.
  • Spousal eligibility: Spouses of students and workers should review the new rules before making plans to join or stay in Canada 🇨🇦.

Francophone and Refugee Pathways: Supporting Diversity and Integration

  • Welcoming Francophone Communities Initiative: This program will be fully operational over 2025–2026, helping French-speaking newcomers settle outside Quebec.
  • New PR pathway for refugee students: IRCC is exploring a new permanent resident pathway for refugee students, which could help more young people find safety and opportunity in Canada 🇨🇦.

Digital Modernization: A New Era for IRCC Services

To make immigration processes faster and more user-friendly, IRCC will roll out a new online account for all clients in 2025–2026. This single-window digital platform will:

  • Allow applicants to manage all applications in one place
  • Use automation and data analytics to speed up processing and improve program integrity

This move is expected to reduce wait times and make it easier for people to track their applications.


Free Trade Agreement (FTA) Work Permits: New Opportunities

Canada 🇨🇦 will implement new FTA work permits with Indonesia and Ecuador, and is negotiating more with other countries in the Asia-Pacific region. These permits make it easier for people from partner countries to work in Canada 🇨🇦 under special rules.


New Refugee Protection Identity Document (RPID): More Secure and Inclusive

As of March 25, 2025, the new RPID replaces the old Refugee Protection Claimant Document (RPCD). The RPID is valid for six years and offers better security and inclusivity for refugee claimants.


Implications for Stakeholders

For Permanent Residents and Applicants:

  • Higher competition: Fewer spots and higher standards mean applicants must strengthen their profiles.
  • Express Entry changes: Focus on Canadian work experience, education, and language skills, especially French.
  • New pathways: Refugees and those in Canada 🇨🇦 on temporary permits have more options to become permanent residents.

For Temporary Residents:

  • Stricter caps: Harder to get study and work permits, with more documentation required.
  • Program changes: Students and spouses must check new eligibility rules for PGWP and SOWP.
  • Sector-specific permits: Opportunities in agriculture and fish processing, but with new conditions.

For Employers and Educational Institutions:

  • Fewer international students: Could impact school budgets and planning.
  • New work permit streams: Employers in agriculture and fish processing benefit, but must follow new rules.
  • Stricter documentation: Especially for temporary positions like summer camp counsellors.

For Refugees and Francophone Communities:

  • Better identification: The new RPID offers more secure and inclusive ID for refugee claimants.
  • More support: Francophone newcomers and refugee students have more pathways and support for integration.

Background: Why These Changes Now?

Canada 🇨🇦 experienced record population growth in 2024, reaching 41.5 million people. Most of this growth came from immigration, especially temporary residents. Public concern over housing shortages, healthcare, and infrastructure led to a strategic review of immigration policy. The 2025–2026 IRCC Departmental Plan is the result, aiming to balance economic needs with community capacity and public confidence.


Looking Ahead: What’s Next?

  • Further reductions: Both permanent and temporary resident targets will continue to drop through 2027.
  • Digital upgrades: The new online platform will roll out over the next two years.
  • New pathways: Ongoing talks for more FTA work permits and sector-specific programs.
  • Potential new PR pathway for refugee students: Still under review.

Official Statements and Reactions

The Minister of Immigration, Refugees and Citizenship stressed the need for “sustainable immigration levels consistent with community and service capacity,” and a focus on “transitioning temporary workers to permanent residence.” Provinces, municipalities, and employers were consulted to make sure the new targets fit local needs. Educational institutions and advocacy groups have raised concerns about the impact of fewer international students and tighter work permit rules.


Practical Steps for Applicants and Stakeholders

Express Entry Applicants:

  • Create a profile (no job offer points)
  • Get ECA and language test results
  • Focus on Canadian work experience and in-demand skills
  • Watch for targeted draws

Temporary Foreign Workers and Students:

  • Check new eligibility and caps
  • Review updated PGWP and SOWP rules
  • Apply for sector-specific permits if eligible
  • Quebec CSQ holders: No longer need proof of Quebec acceptance for work permit renewal after PR application

Employers:

  • Prepare for stricter documentation and fewer permits
  • Explore new sector-specific streams

Refugees and Francophone Newcomers:

  • Use the new RPID for identification
  • Explore new pathways and support programs

Where to Find More Information

For the most up-to-date details, always check the official IRCC website. The full Departmental Plan is available here.

As reported by VisaVerge.com, these changes mark a turning point in Canadian immigration policy, with wide-ranging effects for individuals, families, employers, and communities. Staying informed and prepared is more important than ever as the new rules take effect.


Key Takeaways

  • Permanent resident and temporary resident targets are dropping.
  • Express Entry is changing—job offer points are gone, and targeted draws will focus on in-demand skills.
  • New sector-specific work permits and permanent pathways for refugees are coming.
  • Digital modernization will make IRCC services faster and easier to use.
  • Check official sources regularly for updates and detailed eligibility rules.

By understanding these changes and planning ahead, applicants and stakeholders can better prepare for the new era of Canadian immigration.

Learn Today

IRCC → Canada’s Immigration, Refugees and Citizenship Canada governing immigration policies and services.
Permanent Resident → An individual authorized to live in Canada indefinitely without Canadian citizenship.
Express Entry → An electronic system that manages skilled worker immigration applications to Canada.
Post-Graduation Work Permit (PGWP) → A permit allowing international graduates to work in Canada post-study under certain conditions.
Temporary Foreign Worker Program (TFWP) → A Canadian program that permits employers to hire foreign temporary workers.

This Article in a Nutshell

Canada’s 2025–2026 IRCC Plan cuts immigration targets, imposes temporary resident caps, and overhauls Express Entry. New sector-specific permits and refugee pathways offer opportunities but increased competition challenges applicants nationwide.
— By VisaVerge.com

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