Canada’s 2025-2027 Immigration Plan: What It Means for International Students and Workers

In March 2024, Canada unveiled its Immigration Levels Plan for 2025-2027, signaling a notable evolution in its immigration strategies. For the first time, Canada set clear targets for both temporary and permanent residents, reshaping its immigration landscape. This detailed breakdown explores the plan and its implications for students, workers, and prospective permanent residents.

Understanding the Plan

The new plan is a direct response to persistent challenges like labor shortages, housing pressures, and fraud in immigration programs. The government aims to balance the roles of temporary and permanent residents, improve the economy, and create sustainable opportunities for newcomers.

Key Goals of the Plan:

Reduce temporary residents to just 5% of Canada’s total population by 2026.
Prioritize economic immigrants for permanent residency.
Increase focus on French-speaking immigrants outside Quebec.
Enhance rules and regulations to curb fraud and ensure fairness.

Temporary Resident Targets

The number of temporary residents (TRs)—including international students and foreign workers—is set to decline from 673,650 in 2025 to 543,600 by 2027.

International Students

International students will continue to represent a significant portion of TRs, with their share rising to 56-59% by 2027. However, stricter regulations are being implemented to manage their numbers:

2025: 305,900 students are expected, a sharp drop from 682,889 in 2023.
Post-Graduation Work Permits (PGWPs) and other programs for students will also face stricter oversight, making planning and compliance more critical for prospective students.

Temporary Foreign Workers (TFWs)

TFW numbers will also see a significant reduction:

By 2027, only 82,000 permits will be issued annually, down from over 184,000 in 2023.
Industries heavily dependent on TFWs, like agriculture and hospitality, will be most affected.

These changes reflect Canada’s shift to a more sustainable immigration framework, aiming to balance short-term labor needs with long-term solutions.

Permanent Resident Targets

The plan sets ambitious but reduced targets for permanent residency (PR):

2025: 395,000 PR admissions.
2027: 365,000 PR admissions, a 30,000 reduction over two years.

Economic Immigrants

Canada will continue prioritizing skilled workers, caregivers, and professionals in healthcare and skilled trades. This focus aligns with the country’s labor market demands, especially in sectors hit hardest by worker shortages.

Family Reunification

Family reunification will account for about 22% of PR admissions, allowing families to live, work, and study together.

Over 58,350 refugees are also expected to be admitted annually under PR programs.

French-Speaking Immigrants

By 2027, the share of French-speaking immigrants outside Quebec will rise to 10%, supporting Canada’s linguistic diversity and encouraging settlement across the country.

What These Changes Mean for You

For International Students

The reduction in student numbers and stricter PGWP rules mean early planning is essential.
Students should focus on building strong academic profiles and aligning their study choices with high-demand sectors, such as healthcare and technology.

For Skilled Workers

Economic PR pathways are becoming more competitive. Those with experience in healthcare, caregiving, and skilled trades will have an advantage.
Fluency in French can boost eligibility for PR programs outside Quebec.

For Employers and Industries

Stricter Labor Market Impact Assessments (LMIAs), wage thresholds, and caps on low-wage workers will make hiring processes more challenging. Industries that traditionally rely on TFWs will need to adapt quickly.

Temporary Resident Reduction: A Closer Look

Reducing TRs to 5% of the total population by 2026 marks a significant shift. This approach is designed to reduce dependence on temporary programs and encourage long-term settlement solutions:

International Mobility Program (IMP): A 63% cut from 2023 levels.
TFWs: A focus on ensuring fair wages and better working conditions through revised LMIA policies.

Canada’s Future Immigration Landscape

This plan showcases Canada’s commitment to balancing the needs of its economy, newcomers, and existing residents. While the number of temporary residents is decreasing, opportunities for permanent residency are evolving to attract high-demand talent in key sectors.

For prospective immigrants, aligning your goals with Canada’s economic priorities—whether as a student, worker, or entrepreneur—has never been more important.

How ZuroEducationHub Can Help

At ZuroEducationHub, we understand how these changes might impact your plans to study or work in Canada. Whether you’re navigating stricter study permits, PGWPs, or exploring PR options, our experts are here to guide you every step of the way.