New Changes to Canada’s PGWP Restrict Access for International Students

The Canadian government is considering changes to the Post-Graduation Work Permit (PGWP) program to better align it with specific labor market needs, which will restrict access for international students.

This intention was hinted at in previous announcements about reforms in the international education sector and is now confirmed in a document shared with provinces and educational institutions.

A document from Immigration, Refugees, and Citizenship Canada (IRCC) seen by Business Elites states the aim of these consultations is “to align PGWP eligibility with labour market needs, reduce the overall number of PGWP holders, and increase the chances that international students have jobs that match their education and training.”

These changes would modify the current PGWP program, which currently allows all international graduates from publicly funded higher education programs to work in any sector without restrictions.

IRCC’s Proposed Actions on PGWP

The IRCC is seeking feedback on several points:

• Which occupations should be eligible for the PGWP in different regions.
• Whether any student groups, such as French-speaking students or those with graduate degrees, should be exempt from these changes.
• Additional requirements, like proof of a job offer in a designated shortage occupation or language proficiency, should be necessary for PGWP eligibility beyond one year.

The IRCC is also asking whether these changes should apply immediately to all graduates or if a ‘grandfathering’ approach should be used, allowing current international students to stay eligible under existing rules.

Additionally, the government is exploring if the proposed changes would meet the long-term workforce needs of various regions and if provinces can provide a clear path to permanent residency for international students with job offers in key sectors.

Background

Earlier this year, the IRCC made significant changes to the PGWP by discontinuing eligibility for students at public-private partnership colleges and limiting post-secondary study permits below the master’s degree level.

Immigration Minister Marc Miller said these measures were needed because the rapid increase in international students had put too much pressure on housing, healthcare, and other services.

The possibility of post-study work opportunities has been a major draw for international students in Canada.

Historically, Canada has been highly rated for its post-study work rights and pathways to permanent residency.

A 2021 survey by the Canadian Bureau for International Education showed that 72.5% of 41,512 international students at 67 post-secondary institutions intended to apply for a post-graduate work permit.

By the end of 2023, there were 1,040,985 study permit holders, marking a 29% increase from the previous year and a 63.2% rise from the 637,780 holders in 2019, before the pandemic.