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Temporary Foreign Workers in Meat Processing Plants

The study "Foreign workers in the Canadian food manufacturing industry" was published by Statistics Canada in April 2021. Workers' Forum is providing highlights of the study as concerns the meat processing industry. The full study can be found here

The study defines a "foreign worker" as "... a temporary resident who is working in Canada and receiving a T4 slip (Statement of Remuneration Paid) from an employer in the food manufacturing industry. This captures temporary residents who are authorized to work with a work permit under the Temporary Foreign Worker Program (TFWP) or International Mobility Program (IMP), as well as those who are authorized to work without a permit (e.g., refugee claimants), certain study permit holders and those who hold any other type of permit except visitor visas. Permanent residents are not considered foreign workers.

According to the study, there were 3,800 temporary foreign workers in the meat processing sector in 2017, or 3.9 per cent of all workers. "Foreign workers" in the meat processing industry are mainly men (76%) and 88 per cent are under the age of 45 with more than half under the age of 35. Close to 90 per cent work in plants with more than 100 workers. They are concentrated in the Prairie provinces (43%) and in Quebec (33%). The majority are not recruited through the TFWP, but through the International Mobility Program.[1]

The study showed a large wage gap between "foreign workers" and all workers in Canada. Across all industries, "foreign workers" make up 2.9 per cent of all workers but earn only 1.6 per cent of all wages. In meat processing they make up 3.9 per cent of all workers, but earn only 2.4 per cent of all wages paid.

Permanent Residency

Another significant finding of the study is the decline in the number of temporary foreign workers who get permanent resident status. The study covers the years 2005 to 2017.

The study looked at workers who obtained their first work permit between 2005 and 2013. It found that almost two-thirds (63.2%) of the 2005 entry cohort made a transition to permanent resident status at some point between their entry year and 2018 -- the end of the observation period. Of the 2005 cohort, 49.5 per cent got permanent resident status in their first five years in Canada, and 23 per cent got permanent residency in the first two years in Canada. In contrast, only 41.7 per cent of the 2013 cohort made a transition to permanent resident status in the first five years following entry (i.e., from 2014 to 2018), and only 5.4 per cent made this transition in the first two years.

This shows the impact of the "4 and 4" rule imposed by the Harper government in 2014. Under this rule, when a temporary foreign worker's work permit expired, if they had worked in Canada for four years, they would not be eligible for a new work permit for four years, and were expected to leave the country. While the Trudeau government removed the rule, it was completely indifferent to the situation of workers who had become undocumented because of the rule. It is not known how many undocumented workers remain in Canada whose employment is not reflected in the StatsCan study because they work in the "shadow economy."

Food Processing Skills Canada (FPSC) conducted a labour market information study of Canada's meat processing industry.[2] The survey states there were 60,000 workers in the meat processing industry, and 7,300 vacancies. According to this study, in 2017, 1,800 workers (or three per cent of the workforce) were hired through the TFWP. The study reports that temporary foreign workers, along with recent immigrants and refugees, make up 13 per cent of the industry's workforce.

The study concludes, "Notwithstanding the success employers have had with the TFWP, no one sees this as panacea (e.g., it's very expensive and out of reach for most companies). Rather it is viewed as a stop-gap measure to address an ongoing problem. Instead, employers are looking to migration, both domestic and international, to fill the labour gap, revitalize their communities and grow their businesses."

This statement indicates that despite recruitment of temporary foreign workers by the global meat processing giants on a significant scale for more than 15 years, they still have a large turnover of workers because of the unacceptable working conditions and low wages which have defined the industry under neo-liberal globalization. Despite their protestations about wanting immigration, not temporary foreign workers, the meat processing monopolies continue to demand increased numbers of migrant workers, and the trend is that fewer workers, not more, become permanent residents.

Notes:

1. International Mobility Programs include spouses of "skilled workers" coming to Canada under the Express Entry streams, workers transitioning to permanent residency, spouses of international students, and international exchange programs such as International Experience Canada (IEC) which provides "working holiday visas" to youth from the following countries: Australia, Austria, Belgium, Chile, Costa Rica, Croatia, Czech Republic, Denmark, Estonia, France, Germany, Greece, Hong Kong, Ireland, Italy, Japan, Korea (Republic of), Latvia, Lithuania, Mexico, Netherlands, New Zealand, Norway, Poland, Portugal, San Marino, Slovakia, Slovenia, Spain, Sweden, Switzerland, Taiwan, Ukraine, and the United Kingdom.

2. For the full Food Processing Skills Canada (FPSC) labour market information study click here 


This article was published in

October 17, 2021 - No. 96

Article Link:
https://cpcml.ca/WF2021/Articles/WO08962.HTM


    

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