Some Foreign Workers in Canada Being Charged Thousands in Illegal Fees for Employment

Key Takeaways

  • Some immigration experts in Canada have raised the alarm about fraud impacting temporary foreign workers.
  • Reportedly, several foreigners in Alberta province have paid illegal fees to employers or work agencies over promised jobs.
  • Canada launched the open work permit scheme as one of its measures to protect foreigners facing or at risk of exploitation.

Several immigration experts in Alberta have voiced concerns about a “common scam” affecting temporary migrant workers in this Canadian province.

The fraud may include employers, immigration consultants, and employment agencies that, in some cases, allegedly work together and promise jobs to temporary migrant workers, often in exchange for tens of thousands of dollars, VisaGuide.World reports.

According to CBC News, they sell labour impact assessments (LMIAs), an official document that most employers must obtain before hiring a foreign worker. Through an LMIA, employers in Canada must prove that a Canadian citizen or permanent resident could not fill the vacancy.

Under Canadian immigration laws, charging foreign workers for such a document is illegal. The LMIA application fee of $1,000 should be paid by the employer facing a worker shortage.

Foreigner Claims to Have Paid Almost $40,000 for a Job

However, some foreigners told CBC they had spent tens of thousands of dollars in exchange for a promised job they never got.

Sanajabin Sheikh, a 36-year-old woman from India, claims to be one of the victims of this scam. Sheikh, who came to Canada on a visitor visa, said she paid about $40,000 to some immigration advisers and recruiters who promised her a work permit along with a job as a food service supervisor at a Calgary daycare.

However, the job she received differed from the one she was promised. Instead of working as a full-time food service supervisor, Sheikh said she was asked to clean toilets and windows and change diapers during seven or eight shifts in total.

After this, Sheikh quit and submitted a civil claim against the employer and the consultants without a lawyer. Sheikh’s allegations have not been tested in court, while her former employer has denied them.

Moreover, Alberta’s Ministry of Jobs, Economy and Trade received 508 complaints from temporary foreign workers in 2023-24, with 338 of them showing signs of human trafficking.

Meanwhile, an immigration consultant believes the number of foreign workers being exploited is higher, but some of them are afraid to speak out.

Scam Is Flourishing Due to a Poorly Structured Program, Immigration Consultant Says

As further reported, Canada has been facing such an issue for at least 30 years.

Steven Paolasini, a licensed immigration consultant in Calgary, said the number of scam cases is increasing because of a “poorly structured” temporary foreign worker program that relies on trusting the employer.

Among other things, he suggested Canadian authorities take measures to protect temporary foreign workers better.

Canada Introduced Open Work Permits to Protect Workers Experiencing Abuse

In 2019, the Canadian government introduced the open work permit in its effort to tackle this issue. Therefore, an open work permit is granted to temporary foreign workers facing or at risk of exploitation.

This permit allows them to quickly exit the abusive situation and look for new work with a different employer.

Jeffrey MacDonald, a spokesperson for Immigration, Refugees and Citizenship Canada

Authorities further revealed that the number of open work permits has steadily increased since 2019, reaching 2,061 in 2023.

Other measures taken by the Canadian government include introducing new regulations in 2022 aiming to protect temporary foreign workers, among others.

However, according to the list of fines since 2016, no employer has been fined specifically for charging fees regarding hiring.

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