International Recruitment: Myths and Realities

In many sectors of the economy, workforce requirements have come to the forefront of business concerns. With the unemployment rate in Québec at less than 5%, traditional local recruitment is often unable to meet this key challenge. 

Hence, attracting and retaining temporary foreign workers as an additional recruitment solution is increasingly viewed as a must. Before embarking on this course of action, however, companies need to grasp the issues and rules specific to this type of recruitment and develop hiring strategies geared toward these realities.

Identifying Recruitment Pools

To begin with, an effective strategic plan must consider all available immigration programs as part of the process of identifying recruitment pools. Both the choice of target countries and the planned recruitment efforts will directly affect the processes and time frames required to obtain work permits. Accordingly, Canada has signed many international agreements with countries such as Mexico, Chile, Colombia, and Peru, making it easier to obtain work permits for certain professions and trades. These immigration programs exempt employers from the Labour Market Impact Assessment (LMIA) process, thereby enabling them to by-pass the months-long delays associated with this process. The choice of country also affects the applicability of the visa requirement and, therefore, the time needed to obtain a visa. Job offers must be conditional to obtaining all the necessary immigration authorizations in order to avoid legal proceedings in the event of refusal.

Recruitment and Hiring Processes

Recruiting temporary foreign workers entails a number of specific requirements. In many cases, companies wishing to obtain authorization to hire foreign workers must first demonstrate that, despite significant efforts, they were unable to find a suitable Canadian or permanent resident to fill the vacant position. The rules governing job postings differ widely from traditional practices, and it is crucially important to identify the issues at play. Positions must be clearly defined and assigned the right occupational codes, and salary packages must correspond to the pay scales stipulated by the various immigration programs. It is worth noting that company-specific pay scales may not be in compliance.

Employers’ Financial Commitments and Associated Risks

International recruitment involves a number of financial considerations that need to be factored into the equation. Employers are prohibited from passing on to workers any costs associated with international recruitment or certain government and legal costs associated with obtaining work permits. Employers must also bear the cost of obtaining temporary medical coverage for several categories of workers. Moreover, it is important that employers understand the additional financial commitments they must make toward certain “low-wage” workers, which in Québec refers to an hourly wage of less than $26. Expenditures associated with air travel, assistance in finding affordable lodgings, and so on, are all costs that employers are required to cover as part of the low-wage worker program. These costs are not recoverable and must be factored into the international recruitment process.

May a Temporary Foreign Worker Change Employer?

While most work permits issued to temporary foreign workers are “closed,” which means that these workers are authorized to work only for a specified employer, in a specified position, and under the working conditions specified in the LMIA application or in the job offer submitted to IRCC, they do not have a firm obligation to maintain employment with the company that made all the recruitment efforts. Temporary foreign workers may still benefit from an application made by another employer. They may even take up a new position within a period of about 4 weeks under a special measure that allows them to change jobs or employers while a new work permit application is being processed.

It is worth noting that workers who claim to be victims of harassment or mistreatment may also apply for an “open” work permit, which entitles them to work for any employer. When workers make such an application, the company is not consulted – a practice that is deplored by all employers that take part in the various immigration programs.

Compliance Requirements

Employers have significant obligations with respect to foreign workers; accordingly, they must be prepared for a growing number of compliance inspections. Records must be stored for a period of 6 years in the event of an audit; furthermore, they must contain all the required information. Breaches of the rules may result in financial penalties, the overturning of some work permits, and even a ban from using certain work permit programs. In addition, of course, there are risks to reputation and civil liability for unfairly treated foreign employees.

Magic Formulas

Companies must be wary of the quasi-magical formulas that are increasingly being put forward on the international recruitment market. International recruitment requires a high degree of agility and is proving to be a major strategic change for all parties involved in the process, from human resources managers to financial and executive directors. Companies must also gear up to meet the training, onboarding, and retention challenges specific to temporary foreign workers. Along with the challenges of obtaining temporary work permits, eligibility for permanent immigration and family reunification are major issues that companies with permanent needs must take into consideration.