Ottawa’s new immigration stream for undocumented construction workers represents a significant policy shift—addressing labor shortages while revealing systemic flaws in skilled worker immigration pathways. The government is now taking steps to reconcile these issues.

In March 2025, former Minister of Immigration, Refugees, and Citizenship Canada (IRCC) Marc Miller announced a new policy providing pathways to legal status for undocumented construction workers already in the country. This measure will help mitigate the ongoing housing crisis by granting permanent resident status to up to 6,000 workers in Canada’s construction sector. Moreover, apprentices in the sector, who are currently studying in Canada without a permit, will be allowed to complete their education without penalty.

As part of this initiative, the government is also creating an advisory council to improve migrant-government relations and working to find solutions for labour gaps amongst construction workers. This council will be composed of “representatives from the federal government, industry leaders, and unions”. The council will serve as a liaison between the government and the workers, as they collaborate to elaborate strategies to protect workers and ensure they remain in the industry. 

This policy offers significant benefits to undocumented and out-of-status workers. Indeed, due to a lack of legal recognition and bargaining power, they might not have been able to leave exploitative jobs. This has resulted in manipulative relationships between employer and employee, detrimental to workers’ wellbeing. 

Nevertheless, some critics argue that this policy sets a precedent for migrants staying in Canada beyond their legal status. This concern, however, often stems from a misunderstanding of how these migrant workers contribute to Canada’s economic landscape, and are vital actors in mitigating the housing crisis.

Canada’s Housing Crisis

This new policy allows for an influx of workers which are needed to address the labour shortages plaguing Canada’s housing sector, thus helping to mitigate affordability concerns. The construction industry has long prioritized the hiring of domestic labour, but “changing career preferences of Canadian youth and rising retirement levels” have prompted a strong policy reorientation. 

The concern among economists largely centers on population growth. With an aging population and waves of baby boomers retiring, Canada’s labor force would have shrunk significantly without immigration. 

Canada’s construction industry is strongly supported by immigrants, which directly impacts the housing market and infrastructure development. A recent study found that 23 per cent of all residential builders and general contractors in Canada are migrants. Therefore, ensuring that there is a legal pathway for migrant workers will be a helpful step towards sustaining and improving current levels of economic growth and infrastructure expansion.

While skilled foreign workers can already apply for entry to Canada through the Express Entry system, this new policy provides another pathway for those already contributing to the construction sector; it acknowledges the role of migrants in strengthening Canada’s labor force rather than restricting their participation.

A Shift from Previous Approaches

Previously, Canada’s housing policy focused on restricting rather than integrating migrants into the workforce to address the supply-side challenges of the housing crisis. This new approach represents a significant departure from the policies outlined in the Liberal government’s 2025-2027 Immigration Levels Plan, which sought to reduce both permanent and temporary immigration levels, citing housing supply concerns as a key justification.

This restrictive approach reinforced a social perception of immigrants as a strain on Canada’s social programs and infrastructure, leading to greater challenges in integrating newcomers into society. Recognizing this issue, the new policy marks an institutional shift toward acknowledging and utilizing the economic contributions of migrants.

The roots of this policy shift can be traced back to January 2020, when construction workers in  high-demand regions were given the opportunity to apply for permanent residence status. This initiative was extended multiple times before finally expiring on December 31, 2024.

The new policy builds on this framework, acknowledging both the persistent labor shortages in the construction sector and the invaluable contributions of undocumented workers to Canada’s economy. By transitioning from a restrictive approach to one focused on integration and workforce stability, Canada is taking a more pragmatic stance on immigration in the face of economic and social challenges.

Edited by Isabelle Monette

The opinions expressed in this article are solely those of the author and they do not reflect the position of the McGill Journal of Political Science or the Political Science Students’ Association.

Featured image by dennisbehm obtained via Flickr