(CANADA) Canada will offer a new path to permanent residency for up to 33,000 work permit holders under a plan set out in Budget 2025 and detailed in the 2026–2028 Immigration Levels Plan, with transitions set to begin in 2026 and continue through 2027. The initiative focuses on people already living and working in Canada, especially those in skilled jobs and sectors facing shortages. Officials say the move is designed to better match immigration intake with labour needs while easing pressure from record levels of temporary residents.
Purpose and scope of the measure
The measure will run over two years and target temporary workers with strong ties to local communities who are paying taxes and building careers in the country. According to the federal plan, the policy is framed as a one-time effort to “recalibrate” the system by moving established workers into permanent status while reducing the volume of new temporary entries in the years ahead.
- Who it targets: temporary workers with recent Canadian work experience and strong local ties.
- Timing: transitions begin in 2026 and continue through 2027.
- Size: up to 33,000 permanent resident spots over two years.
The government estimates the fiscal cost at $19.4 million over four years starting in 2026–27, mostly to cover processing by Immigration, Refugees and Citizenship Canada (IRCC) and related departments, with some of that spending offset by higher fees.
Important: This is presented as a one-time recalibration rather than an ongoing permanent program.
How this fits into broader intake targets
Officials linked the measure to broader intake targets that shift the balance between temporary and permanent streams. The 2026–2028 plan tightens the intake of temporary residents:
- Temporary arrivals: target drops from 516,600 in 2025 to 385,000 in 2026, with further reductions planned after that.
- Permanent residency focus: more than 40% of new permanent residents in 2025 are expected to be people already in Canada as students or workers.
By opening a dedicated path to permanent residency for part of the existing temporary workforce, the government aims to stabilize communities and workplaces and reduce churn caused when permits expire and workers must depart despite ongoing demand for their skills.
Selection approach and priorities
Category-based selection in Express Entry will support the effort, with priority given to candidates who have recent Canadian work experience in jobs the economy needs most.
Priority areas include:
– Health care
– Social services
– Skilled trades
– Education
– French speakers (to support Francophone communities outside Quebec)
The plan aligns with recent Express Entry practices emphasizing occupation-specific invitations and French-language draws to meet policy goals.
Benefits and intended outcomes
Moving temporary workers to permanent residency is intended to:
– Improve job stability (permanent residents can change employers more freely)
– Help families plan for the future, reducing stress from permit renewals
– Strengthen community ties and local engagement
– Reduce employer turnover and lower hiring/training costs
– Stabilize services like housing, health care, education, and child care
VisaVerge.com reports this responds to employer calls for secure pathways for workers who have already proven themselves on the job.
Administrative and fiscal considerations
The budget estimate of $19.4 million over four years highlights the administrative work required:
– Processing permanent residency applications involves security checks, medicals, and background reviews.
– Some costs are expected to be recovered through higher fees, but IRCC will face pressure to keep wait times down.
– IRCC has had backlogs historically; stakeholders will watch closely for signs of strain once intake begins.
Concerns, critics, and unanswered questions
Critics and advocates will likely raise questions about:
– Allocation: How will the 33,000 spaces be divided across sectors, provinces, and applicant categories?
– Equity: Will lower-wage or seasonal workers benefit, or will the focus be narrowly on skilled occupations?
– Protections: Advocates may demand clear protections and transparent selection rules to avoid confusion and unfair outcomes.
IRCC has not released full application details or selection dates beyond the two-year window. That leaves questions about eligibility criteria and selection mechanics until official rules are published.
Practical implications for workers and employers
- The announced timing (through 2026 and 2027) gives workers and employers a planning horizon.
- The design suggests the government wants to avoid a rush by:
- Spreading admissions across two years
- Channeling candidates through category-based draws matched to labour needs
For official information as it becomes available, readers can monitor the IRCC Immigration Levels Plan at: https://www.canada.ca/en/immigration-refugees-citizenship/services/immigrate-canada/immigration-levels-plan.html
Economic and political context
Economically, the argument is straightforward: existing workers can be productive immediately as permanent residents, reducing training costs and stabilizing sectors such as:
– Hospitals and long-term care
– Child care
– Construction
Community groups note that permanent status helps families secure more stable housing and plan schooling, which benefits local economies.
Politically, the move represents a pivot from heavy reliance on temporary programs toward rewarding those who put down roots. The success of the policy will depend on:
– The number of qualified candidates from each sector
– How the economy evolves through 2026 and 2027
Key takeaway
- Up to 33,000 work permit holders will have an opportunity to become permanent residents over a two-year window starting 2026.
- The focus is on skilled roles, in-demand jobs, and French-language ability.
- Full eligibility rules and application details are pending; stakeholders await fast, clear guidance from IRCC.
For now, the plan signals fewer new temporary entries and more stability for people already living and working in Canada — but important details about selection and allocation remain to be published.
This Article in a Nutshell
Canada will offer a one-time, two-year pathway to permanent residency for up to 33,000 existing work permit holders beginning in 2026, per Budget 2025 and the 2026–2028 Immigration Levels Plan. Targeted at temporary workers with recent Canadian experience, the initiative prioritizes health care, skilled trades, social services, education and French speakers. The government budgets $19.4 million for processing costs over four years. The policy aims to stabilize labour markets, reduce churn and better match immigration intake to economic needs, though eligibility details remain pending.
