Study Permit and New Changes

Amidst rising concerns about affordability, housing, and inflation, it’s easy to understand the frustration many Canadians are experiencing. These issues are real and significant, but it’s critical that we do not make immigration policies the scapegoat or implement reactionary changes that will have negative long-term impacts on Canada’s future. Recent amendments to Canada’s international student policies are a case in point—they may address short-term pressures but come with serious long-term consequences that we cannot afford to overlook.

Canada’s Immigration Minister, Marc Miller, recently confirmed that the cap on international student admissions will remain in place. This cap will limit the number of study permits issued to 437,000 in 2025, down 10% from the 2024 target of 485,000. The cap will continue into 2026, resulting in 300,000 fewer international student permits over the next few years.

This significant shift is part of broader changes aimed at managing the growing numbers of temporary residents in Canada. According to Miller, “not everyone who wants to come to Canada will be able to—just like not everyone who wants to stay in Canada will be able to.” While the aim is to preserve the integrity and sustainability of Canada’s immigration system, the long-term effects of such a restrictive approach could be detrimental.

Among the new measures is a requirement for master’s and PhD students to obtain a Provincial Attestation Letter (PAL), ensuring their study permit applications are genuine. Only 12% of allocation spaces are reserved for these students, despite their known contributions to the Canadian labor market. Additionally, new language proficiency requirements have been introduced for the Post-Graduation Work Permit (PGWP) program, raising the bar for applicants with a Canadian Language Benchmark (CLB) score of 7 for university graduates and 5 for college graduates.

Perhaps one of the most controversial changes is the restriction of Spousal Open Work Permits to spouses of master’s students in programs lasting at least 16 months. This change alone will reduce the number of permits by 50,000 over the next three years, a clear signal that Canada is becoming a less welcoming destination for international students and their families.

Ten key issues that have emerged:

But here’s where the consequences start to show. These policy changes, driven more by political posturing than sound planning, could spell trouble for Canada’s future. Here are ten key issues that have emerged:

1. Faculty and staff at educational institutions are losing jobs: With fewer international students, programs are shrinking, leading to layoffs of teachers, administrators, and support staff.
2. Reduced revenue for Canadian universities and colleges: International students, who pay significantly higher tuition, are a major source of revenue for educational institutions. Losing these funds means less money for research, facilities, and academic programs.
3. A decrease in economic activity: International students contribute not just through tuition but through everyday spending on housing, groceries, transportation, and services. Their absence is being felt in local economies across Canada.
4. Weakening labor force supply: Many international students stay in Canada post-graduation, filling jobs in key sectors like healthcare, tech, and engineering. Cutting their numbers means we lose this pool of talented, skilled workers.
5. Reduced tax revenue: These students work part-time and contribute to the tax base. Fewer students mean less tax revenue for the country, affecting everything from infrastructure to public services.
6. Negative impact on innovation: Canada has benefited immensely from the diversity and perspectives international students bring. They are often the source of groundbreaking ideas and entrepreneurial ventures. Reducing their presence could stifle innovation.
7. Damage to Canada’s reputation as a top study destination: As Saeed Basiri, an international student from Iran, noted, Canada was once the top choice for students worldwide. With these new restrictions, we’ve fallen behind the U.S. and U.K., losing our competitive edge.
8. Impact on mature students and their families: By restricting spousal work permits, we are making it harder for older, more experienced students to bring their families and settle here. These students often bring significant skills and expertise, which will now be lost.
9. Strain on key sectors of the economy: Many international students work in in-demand sectors like hospitality and retail during their studies. Cutting their numbers will exacerbate labor shortages in these areas, particularly as Canada’s unemployment rate rises.
10. A short-sighted approach to long-term needs: Canada’s economic growth is increasingly reliant on immigration, expected to account for 100% of growth by 2032. Reducing immigration levels now, particularly of skilled workers and students, will hurt Canada’s economic trajectory.

Canada needs a balanced Immigration Policy:

Ultimately, these changes seem more like political moves than sound policy. They may provide a temporary solution to the housing and affordability crises, but they ignore the real issues—like housing supply, zoning laws, and funding for social services. Blaming international students or immigrants for systemic problems is short-sighted and dangerous.

Canada needs a balanced, sustainable immigration policy that addresses both labor market needs and economic growth. International students have long been an integral part of our country’s success, contributing billions to the economy and enriching our cultural fabric. Limiting their opportunities may provide short-term relief, but the long-term consequences could set Canada back in a big way.

As we move forward, we need to reconsider these policies and ensure we are building a Canada that continues to be a global leader, not a country that closes its doors to the very people who help it thrive.

How we can Help!

With so many changes happening in Canada’s immigration policies, it can be challenging to stay updated and navigate the complexities. From study permit regulations to evolving work permit requirements, keeping up with these shifts requires expert guidance. Akrami & Associates Immigration Law Firm is here to help you maneuver through these changes and ensure you are on the right track. Whether you’re applying for a visa, work permit, or permanent residency, our experienced team is ready to provide the support and knowledge you need. Reach out to us today for personalized assistance.

info@thevisa.ca

416.477.2545