Canada – Regs Aim to Foster Employer Compliance with Foreign Worker Programs

Canada – Regs Aim to Foster Employer Compliance

This GMS Flash Alert provides highlights of the new Canadian immigration regulations that are coming into force on December 1, 2015.

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New Canadian regulations1 coming into force on December 1, 2015, will further the government’s efforts (1) to encourage employers’ compliance with the conditions of the Temporary Foreign Worker Program / International Mobility Program and (2) to deter non-compliance. 

WHY THIS MATTERS

The previous rules simply did not address all possible non-compliance situations.  For example, there was only one available action against employers that are found non-compliant following an inspection by the immigration authorities – a two-year ban from the above-noted programs.  There was a need to introduce a range of sanctions of varying degrees that could be applied in accordance with the severity of the contraventions.

Given these new regulations, it is important for employers to create and effectively implement a Compliance Action Plan when availing of the Temporary Foreign Worker Program / International Mobility Program. 

Highlights of New Regulations

  • A system of Administrative Monetary Penalties (AMPs) which penalizes employers for specific conducts that result in non-compliance. 
  • Consequences for violations range from warnings to periods of ineligibility to employ foreign workers – “bans” of 1, 2, 5, and 10 years (and a permanent ban may be imposed for the most serious violations). 
  • Provisions for employers to voluntarily disclose non-compliance such that accepted voluntary disclosure may reduce the penalties levied.

RELATED RESOURCE

For more details, see “Enhanced Employer Accountability: A New Era of Foreign Worker Compliance,” in e-Alert (2015/10), a publication of the KPMG Law LLP, a KPMG International member firm in Canada

KPMG NOTE

Citizenship and Immigration Canada has been careful to note that the new regulations are not intended to be punitive; rather, they are intended to protect foreign workers who require a work permit to work in Canada and to protect the Canadian economy and labor market.

CONTACTS

For assistance with immigration-related matters pertaining to Canada, please contact your local qualified immigration counsel*, or the following immigration professional with the KPMG International member firm in Canada:

 

Howard Greenberg 

Tel.: +1-416-943-0288 x224 

hgreenberg@kpmglaw.ca 

 

*  KPMG LLP (U.S.) does not provide any immigration services.  

The information contained in this newsletter was submitted by the KPMG International member firm in Canada.

© 2016 KPMG LLP, a Canada limited liability partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Flash Alert is an Global Mobility Services publication of KPMG LLPs Washington National Tax practice. The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

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