Sweeping Changes to Canada’s Study Permit Program — “The Cap Is Here To Stay”

The further restrictions placed on international students may come as a surprise, given the negative press Canada’s student program is currently experiencing. However, the Immigration Minister Marc Miller notes that these changes are needed to bring the levels of temporary residents in Canada in line with the target of 5%. 

“We have allowed certain aspects of this to get overheated and for too long.” – Immigration Minister Marc Miller

But that’s not to say there’s only bad news to glean from these recent changes. Anyone who lives abroad and wants to study in Canada may still be able to do so. And, as a result of the changes, it’s also more likely that international students will be able to find work in Canada during their studies and after graduation. It’s just also likely that the application process will be a little more complex, so planning early is more important than ever. 

With that out the way, let’s dig into the announced changes and what they mean for international students currently studying in Canada and those looking to study here in the future. 

Key Takeaways

• Canada’s temporary resident population jumped from 437,000 in 2019 to 1.2 million in 2023.
• Today’s announcement outlined an intent to introduce 6 new measures, all intended to create sustainable volumes of temporary residents in Canada. 
• Measures include extending the intake cap, language requirements for post-graduation work permits and restricting access to the spousal open work permit. 
• Measures are due to come into effect starting November 1st, 2024.

Tune into this reel for a brief recap

What Are The New Measures For International Students In Canada?

The government announced that there will be six new measures for international students looking to study in Canada: 

• Increased Language Requirements: International students will need to demonstrate a CLB 7 for university graduates and CLB 5 for college graduates to apply for post graduation work permit on or after November 1, 2024. 
• PGWP Eligibility Based On Level Of Study: For prospective students applying after November 1st, Post graduation work permit eligibility will depend on the level of study. For those applying after November 1, 2024, graduates of bachelor’s, master’s and doctoral programs will still be eligible for a PGWP of up to three years. Graduates from public colleges whose studies are linked to labour market shortages in Canada may also be eligible for a PGWP of up to three years. Those studying College-level programs not aligned with labour shortages and those studying at private colleges will not be eligible for a PGWP. 
• PGWP Dependent on Field of Study: Graduates from programs at public colleges will remain eligible if they graduate from a field of study related to an occupation in long-term shortage. This PGWP could be up to three years. 
• Masters and Doctoral Students Subject To Cap: Master’s and PhD students will be subject to the study permit intake cap. However, about 12% of the cap allocation will be reserved for these students. 

• PALS for Post-Graduates: Masters and doctoral students will now need a Provincial Attestation Letter (or Territorial Attestation Letter).
• Reduced Spousal Open Work Permit Eligibility: Spousal Open Work Permits will be reserved to the spouses and common law partners of students in doctoral programs and certain masters programs, including those for professional programs and certain pilot programs.
• Spousal Open Work Permit Restriction: Limiting work permit eligibility to spouses of foreign workers in management or professional occupations or in sectors with labour shortage. 

The Canadian government expects that these changes will result in 300,000 fewer study permits being issued over the next three years, alongside a reduction of 175,000 fewer PGWPs in the near future.  

When Do These New Measures Come Into Effect?

Some measures, including the restrictions on SOWPs and PGWP being tied to level of study, will come into effect November 1st, 2024. Other measures will be introduced over the next few months. 

What Are The New Language Requirements For Canada’s Study Permit Program? 

The language level required will depend on the level of study undertaken. 

Those who have studied at a University level (Bachelor, Master or Doctorate) will need to demonstrate a CLB level 7. College graduates will need to demonstrate a CLB level 5. 

• Learn more about Canadian Language Benchmarks.

What Sectors Are In Demand In Canada With Long-Term Shortages? 

The government has not outlined exactly which programs are going to be eligible for spousal open work permits or a PGWP, however, we can guess that some or all of the following programs and industries may be included: 

• Skilled trades programs
• Health care
• Construction
• STEM workers
• Professional services workers, including lawyers.

As outlined during the live press conference: 

400,000 skilled trades workers will retire by 2032, it’s a great tsunami. We’ve got another demand of about 300,000 more skilled trades workers. So you can see that we have a challenge of making sure we have enough people with the right skills to get the right training to fit into jobs that are needed so we can grow the country.  

We will keep an eye on changes in this sphere. If you’d like to stay up-to-date about announcements, register for our newsletter. 

Can I Bring My Spouse or Common Law Partner To Canada On My Study Permit? 

The previous restrictions announced earlier this year are still in effect. This initial change restricted Spousal Open Work Permits (SOWP) to the spouses and common law partners of students studying at the Masters and PhD level, as well as a limited number of undergraduate programs linked to occupations with long-term shortages. 

The change announced today further restricts the eligibility for SOWPs to doctoral candidates, with a carve out for Masters and other students studying to work in occupations tied to long-term shortages. In other words, Masters students are no longer automatically eligible for SOWPs. 

A further reduction of SOWP does not specifically target international students but affects all foreign workers in Canada. Starting later this year, only spouses of foreign workers in management or professional occupations or in sectors with labour shortages will be eligible to apply for a SOWP. Previously, the spouse of a foreign worker working in Canada was eligible for a SOWP, with no restriction to type or level of work.

These changes are expected to reduce the number of SOWPs by 50,000. 

I Thought Study Permit Rates Had Dropped, So Why Is Canada Further Restricting The Number of International Students? 

These changes are being brought in to address the high levels of temporary workers, which have not decreased in line with the government’s promise to reduce the number to 5% of Canada’s population. 

Minister Boissonnault noted that the temporary worker program is designed to fluctuate with economic conditions in Canada. It works like an accordion, he noted, expanding when the need for workers increases (such as immediately following the pandemic) and constricting when the need for workers decreases. This is what we’re seeing right now, due to an extended period of high interest and borrowing costs. In other words, the reduction in temporary workers isn’t indicative of Canada not valuing international workers – it just reflects the economic reality in Canada. 

How Do These Changes Impact Current Students In Canada? 

When the study permit cap was first announced in January 2024, study permit renewals were exempt from the cap. With this latest announcement, IRCC has not commented on whether study permit renewals continue to be exempt from the cap. 

Restrictions to PGWPs will apply to applicants who submit after November 1st, 2024. This means that this measure could impact current international students. 

There is no information on whether the SOWP limitations will apply to current international students. 

What To Do If You Want To Study In Canada As An International Student? 

While immigration policies can change at any moment, it does seem that Canada is committing to attracting and retaining workers in sectors that are in-demand or are experiencing a long-term shortage. International students may be more likely to succeed in receiving a study permit and PGWP by committing to studying within these sectors. So, an early step should be keeping up-to-date with any changes in this space, as well as researching in-demand sectors in Canada. 

As we outlined above, we don’t have specific information from IRCC at the moment regarding which long-term shortage occupations and in-demand sectors will be eligible for a PGWP for college-level graduates, but we can make guesses based on existing policies that it could relate to health care, construction and trades, STEM occupations, and other professional degrees. 

Otherwise, given the increasing requirements (such as PALs and TALs for Masters and PhD students) and the uncertainty, it is a good idea to start preparing your application as early as possible. 

Finally, rejection rates for study permits in Canada are reportedly higher than previous levels. This means that it’s important to submit a complete application that doesn’t raise questions or concerns for the visa officer. We recently published a guide to writing a strong letter of explanation for your study permit. We recommend checking out that piece, and subscribing for our international student roadmap via your free Moving2Canada account.