Canadian Immigration Changes and Your Food and Grocery Business

Canada’s food and beverage industry relies heavily on immigrants, whether they’re working in kitchens, on farms, or running small food businesses. But recent changes to Canada’s immigration policies could have a big impact on how this industry operates. Let’s break it down in simple terms to understand what’s happening and what it might mean for the food on your plate.

Fewer Workers, Bigger Challenges

One of the biggest changes is that Canada is reducing the number of permanent residency invitations by over 20%. This means fewer people will be able to move to Canada and stay long-term. For an industry like food and beverage, which already struggles with labour shortages, this could make it even harder to find workers.

From dishwashers and servers to farmhands and factory workers, many roles in this sector are filled by immigrants. With fewer newcomers coming in, restaurants may face longer wait times, and farms might struggle to harvest their crops on time.

Tighter Rules for Students

The discontinuation of the Student Direct Stream (SDS)—a program that allowed international students to come to Canada faster—will likely have a ripple effect. Many international students work part-time jobs in restaurants or cafes while studying. Without this program, fewer students may choose to come to Canada, shrinking the pool of part-time workers available to the industry.

Restaurants and food delivery services that rely on flexible, part-time staff could be hit the hardest.

Scrutiny on Asylum Claims

The new immigration rules also include stricter scrutiny of asylum claims. While asylum seekers make up a smaller portion of the food industry workforce, many still find work in restaurants or agricultural jobs while they wait for their claims to be processed. If fewer asylum seekers are accepted, the industry could lose another group of valuable workers.

Balancing Act: Labour Shortages vs. Population Aging

On the positive side, the government says it’s balancing immigration levels to address labour shortages and Canada’s aging population. This suggests that while fewer people may be invited to stay permanently, efforts might still be made to attract workers in key areas like food production.

However, this approach may not immediately solve the problem. The food industry often needs workers quickly, and tighter immigration rules could slow down the process.

What This Means for Businesses and Customers

For businesses, these changes mean they’ll need to work harder to attract and keep staff. Some might raise wages or offer better working conditions, but this could lead to higher menu prices or grocery bills for customers.

You might also notice fewer new food businesses opening. Immigrants often bring unique ideas and cuisines to Canada, creating vibrant and diverse dining experiences. With fewer newcomers, the variety of food options could shrink over time.

What Can Be Done?

While the changes bring challenges, there are ways to adapt:

1. Streamlining Temporary Work Programs: Simplifying processes for temporary workers could help fill labour gaps.
2. Investing in Automation: Technology, like automated farming equipment or kitchen tools, could reduce the need for workers in some areas.
3. Focusing on Retention: Businesses can improve job conditions to attract and keep local talent, even if it means higher upfront costs.

A Time of Change for the Food Industry

Canada’s new immigration rules are creating uncertainty for the food and beverage industry. With fewer workers coming in, businesses will need to adapt to ensure they can keep serving customers while managing rising costs.

For consumers, these changes may mean higher prices and fewer choices in the short term. But with creative solutions and government support, the industry can find ways to thrive in this new landscape.

What are your thoughts? How do you see these changes affecting your business and service decisions?