Canada’s Immigration Landscape: Political Shifts and Policy Targets

Faced with housing supply shortages, immigration has become a key concern on both sides of Canada’s political divide (The Economic Times). Canada’s newly elected Prime Minister, Mark Carney, ran on a platform that set a permanent resident target of 395,000 in 2025 or 0.95% of the projected population. Carney’s Liberal Party has also proposed a cap for Foreign Workers and International Students of less than 5% of Canada’s population by the end of 2027. However, the party is hoping to expand economic immigration, with the goal of increasing Francophone immigration outside of Quebec by 1.5% by 2027.

Prior to the election, however, Canada’s federal agency for Immigration, Refugees, and Citizenship Canada (IRCC) moved to reduce economic immigration by removing points for arranged employment within the Comprehensive Ranking System (CRS) of the Express Entry program, effective March 25, 2025 (The Economic Times).

Changes to Express Entry: What Employers and Candidates Need to Know

The Express Entry system manages immigration applications for Canada’s key economic immigration programs. CRS scores classify candidates for invitations to apply (ITAs) for permanent residence. To receive points under Express Entry, a job offer must meet the following criteria:

• Full-time and non-seasonal
• At least a year in duration
• For a skilled job in the National Occupation Classification (NOC) Training Education
• Experience and Responsibilities (TEER) level 0, 1, 2, or 3.
• Be issued within the past year
• From an employer not affiliated with an embassy, consulate, or high commission.

Job offers usually need to be supported by a Labour Market Impact Assessment (LMIA), which employers must apply for and receive to prove that a Canadian worker was not available to fill the role (CIC News).

Impact on Candidate Profiles and CRS Scores

The changes to Express Entry have led to significant reductions in the higher tiers of CRS Scores, with significant numbers of candidate profiles dropping out of the 480-600 CRS score range and into lower score ranges between March 16 and April 14.

At least in the short term, Canadian-based companies, or companies moving skilled labor to Canada, may need to change their approach to recruitment to look for candidates who will score better under the new rules. Changes like these also diminish the value of Canadian employment as a qualification for those hoping to establish permanent residence, particularly employees with Labour Market Impact Assessment (LMIA)-supported or employer-specific work permits.

The Growing Importance of Salary Competitiveness

With the shift away from employer-arranged job offers, salary competitiveness will become even more important in global recruitment for Canadian talent. According to our recent salary comparison report, Canadian compensation for high-skilled roles sometimes lags behind that of countries like the U.S. and Switzerland, which could make it more difficult to attract international candidates without providing additional incentives.

HR teams may want to focus more on education, language proficiency, and previous experience working in Canada in their recruiting efforts. Meanwhile, assignees hoping to stay in Canada long-term may wish to explore Provincial Nominee Programs as an alternative to Express Entry.

Looking Ahead: What’s Next for Canada’s Global Skills Strategy

In the long term, the Liberal Party’s desire to revitalize its Global Skills Strategy and attract high skilled workers could lead to further changes, especially for French speakers moving outside Quebec. CapRelo will continue to monitor and share developments with our Canadian and multi-national clients and their assignees.