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APRIL 2017 on record BUSINESS Update to Express Entry Permanent Residency Eligibility Requirements Improvements In Spousal Sponsorship Application Procedures Recent Changes to the Parent and Grandparent Program Intake Process Proposed Regulatory Changes: Maximum Age of Dependants Removal of Cumulative Duration Limit for Foreign Temporary Workers

2400, 525-8th Avenue SW Calgary, Alberta T2P 1G1 Phone: 403-260-0100 Fax: 403-260-0332 On Record Contents: 1 Update to Express Entry Permanent Residency Eligibility Requirements 4 Improvements In Spousal Sponsorship Application Procedures 5 Recent Changes to the Parent and Grandparent Program Intake Process 6 Proposed Regulatory Changes: Maximum Age of Dependants 7 Removal of Cumulative Duration Limit for Foreign Temporary Workers For additional BD&P publications please visit our web site www.bdplaw.com BUSINESS, EDITOR-IN-CHIEF Rita R. Tripathy rrt@bdplaw.com 403-260-0235 BUSINESS, MANAGING EDITOR Rhonda G. Wishart rwishart@bdplaw.com 403-260-0268 GENERAL NOTICE & DISCLAIMER On Record is published by BD&P to provide our clients with timely information as a valueadded service. The articles contained here should not be considered as legal advice due to their general nature. Please contact the authors, or other members of our Business Immigration Team directly for more detailed information or specific professional advice. Business Immigration Professionals Lawyers Rita R. Tripathy rrt@bdplaw.com...403-260-0235 Jonathan Selnes jselnes@bdplaw.com...403-260-0360 Sydney Black sblack@bdplaw.com...403-260-0104 Paralegal Clara Liu cliu@bdplaw.com...403-267-1600 If you would like any further information on any members of the team, please feel free to contact the team member(s) directly. You may also refer to our website at: www.bdplaw.com

PAGE 1 UPDATE TO Express Entry Permanent Residency Eligibility Requirements By Rita Tripathy and Brittany Scott, Student-at-Law Introduction Effective November 19, 2016, Immigration, Refugees and Citizenship Canada (IRCC) significantly overhauled the points allocation under the Express Entry Comprehensive Ranking System (the 2016 Amendments) and subsequently made further improvements in March 2017 (the 2017 Amendments). The Express Entry system was implemented in 2015 as a system to fast-track applicants for permanent residence for certain economic immigration programs (Federal Skilled Worker Program, the Federal Skilled Trades Program and the Canadian Experience Class). The fast-tracking was based on such factors as age, language ability, education and work experience. 2016 Amendments The key changes in the 2016 Amendments are as follows: Clarification and recognition of arranged employment outside of the Labour Market and Impact Assessment (LMIA); Facilitation of Express Entry for International students with Canadian credentials; and Changes in the deadline for responding to an Invitation to Apply (ITA). Changes to Qualifying Offers of Arranged Employment Under the prior Express Entry System, a foreign national with a qualifying offer of arranged employment automatically received 600 Comprehensive Ranking System (CRS) points which was more than enough to guarantee immediate receipt of an ITA. However, only a permanent, full-time offer of employment that was based on a LMIA issued by Employment and Social Development Canada would qualify as a qualifying offer of arranged employment. The 2016 Amendments reduced the number of points a candidate will be given for a qualifying job offer supported by a LMIA from 600 to 50 points with the exception of executive senior managers (NOC 00) who will now receive 200 points. This change is intended to level the playing field.

PAGE 2 The 2017 Amendments provide that Express Entry candidates with strong French language skills, with or without English language skills, will be awarded additional points by the CRS as of June 6, 2017. Those in executive-level positions (i.e. those working in NOC 00 level positions) will no longer need an LMIA to be recognized as an Offer of Employment. They will instead be awarded 200 points with an employer specific work permit and at least one year of work experience with the employer. The change in points for job offers now arguably more appropriately recognizes the skills and experience of candidates, together with the value the senior positions bring to the economy. The drop in CRS points will severely disadvantage foreign nationals holding LMIA-based work permits in non-executive positions, who would have received 600 CRS points under the previous Express Entry System. Most will now receive only 50 CRS points. As a result, all workers will need to make every effort to maximize their CRS points eligibility under the education, language and work experience categories in order to ensure the highest score possible. The 2016 Amendments provide that workers in Canada on skilled work permits with named employers (i.e. NAFTA professional, intra-company transferees, federal-provincial agreement, or Mobilité Francophone professional) can obtain 50 points for a qualifying job offer. This will allow individuals to obtain points for a qualifying job offer without the need to obtain an LMIA. However, the permanent offer of employment must be made by the employer listed on the work permit, the foreign national must be working for that employer and the foreign worker must have accumulated at least one continuous year of full-time work experience (or the equivalent in part-time work) with that employer. In providing the supporting documentation for the Express Entry application, the employer s offer of employment must be at least one year from the date the employee becomes a permanent resident. Changes to Points for Canadian Educational Credits In response to concerns that the previous Express Entry system disadvantaged international students graduating from Canadian postsecondary educational institutions, the 2016 Amendments attempt to address this problem by awarding additional CRS points for Canadian educational credentials. Candidates will be given additional points for completing a study program in Canada. Under the 2016 Amendments, foreign nationals with Canadian educational credentials will now receive additional CRS points as follows: 15 points for an eligible credential from a one-year or two-year postsecondary program in Canada; and 30 points, for: --An eligible credential from a post-secondary program of three years or more; --An eligible credential from a university-level program at the master s level or at the level of an entry-to-practice professional degree (i.e. a law degree, engineering degree, etc.) for an occupation listed in the NOC at Skill Level A, for which licensing by a provincial regulatory body is required; or --An eligible credential from a university-level program at a doctoral level. We expect that international students may still require an LMIA to provide needed points for Arranged Employment to ensure an invitation will be issued. Change in Deadline for Responding to an ITA The 2016 Amendments increase the period of time that applicants will have to respond to an ITA. Under the previous Express Entry System, applicants had only 60 days to complete an online Application for Permanent Residence. The 2016 Amendments provide that applicants now have 90 days after receiving an ITA to submit an online Application for Permanent Residence. This is an important change because concurrent with the Invitation to Apply is a request of the applicant for a list of required documents. The previous time requirement of 60 days for the gathering of documents of substantiation for most items in the application form was often challenging. 2017 Amendments The key changes in the 2017 Amendments are as follows change in points for language skills; change in points for existing siblings in Canada; and change in job bank registration requirement.

PAGE 3 As part of the 2017 Amendments, the Express Entry system will now award 15 points to candidates with siblings in Canada. Change in Points for Language Skills Before June 16, 2017 candidates can get up to 136 points for their first official language and up to 24 points for their second official language. The 2017 Amendments provide that Express Entry candidates with strong French language skills, with or without English language skills, will be awarded additional points by the CRS as of June 6, 2017. A total of 15 additional points will be awarded for test results of the Niveaux de compétence linguistique canadiens (NLC) at level 7 in all four language skills in French (listening, speaking, reading and writing) and an English test result of Canadian Language Benchmark (CLB) at level 4 or lower. A total of 30 additional points will be awarded for test results of the NLC at level 7 in all four skills in French and English test results of CLB at level 5 or higher. The stated rationale for the change is that French-speaking newcomers contribute to the growth, vitality and prosperity of Francophone minority communities across Canada. Change in Points for Candidates with Siblings in Canada As part of the 2017 Amendments, the Express Entry system will now award 15 points to candidates with siblings in Canada. This is a change from the existing Express Entry system that does not award any points to candidates with siblings in Canada. To get these points, candidates will need to show that the sibling is a Canadian citizen or permanent resident who is living in Canada and is 18 years of age or older. The sibling in Canada must share a mother or father with the principal Express Entry applicant or their spouse or common-law partner. This relationship can be through blood, marriage, commonlaw partnership or adoption. These points will be awarded starting on June 6, 2017. The stated rationale for the changes is that having a sibling in Canada has been shown to improve health and social outcomes by accelerating a newcomer s integration into his or her new life in Canada. Job Bank Registration is Now Voluntary Currently, after completing an Express Entry profile, a candidate must create a Job Bank account if he/she does not have a valid job offer or a provincial or territorial nomination before the candidate is placed in the pool and becomes eligible for an invitation round. The 2017 Amendments remove this requirement. Starting on June 6, 2017, Job Bank registration for Express Entry candidates is voluntary for all candidates. Candidates who meet the minimum entry criteria for Express Entry will be automatically placed into the pool and immediately eligible for invitation rounds. If candidates do not currently have a job in Canada and would like to start their job search, they will still be able to register for Job Bank. Upon the implementation of the 2017 Amendments, employers remain able to use all of their existing recruiting methods, including Job Bank, to find Express Entry candidates. What Do the 2016 and 2017 Amendments Mean for Applicants? We expect that there will be a continued drop in the CRS points required for a candidate to receive an ITA, and in turn, an increased number of invitations. We are starting to see this now. The last few draws reflect the following statistics (see figure 1). As with the system prior to the 2016 and 2017 Amendments, all applicants must take an English test when applying through the Express Entry program. It is advisable for applicants to prepare for the English and French tests well in advance to maximum points. The education and English test results of a spouse of an applicant also help to maximize the applicant s points. Figure 1 DATE OF DRAW # OF INVITATIONS ISSUED CRS SCORE OF LOWEST RANKED CANDIDATE INVITED March 24, 2017 3,749 441 points March 1, 2017 3,884 434 points February 22, 2017 3,611 441 points February 8, 2017 3,644 447 points

PAGE 4 Improvements In Spousal Sponsorship Application Procedures By Emily McDermott, Student-at-Law Introduction Family reunification is one of the pillars of Canada s immigration system. On December 17, 2016 the Government of Canada announced significant changes to its spousal sponsorship application procedures that aimed to reduce processing time for spouses and common law partners seeking to obtain Canadian permanent resident visas. Streamlining of the Process The following procedural changes aim to make the spousal sponsorship process faster and more user-friendly: Before December 15, 2016 2 application kits (one for spouses living in Canada and one for spouses living abroad) 180 pages of guides; separate guides for spouses living in Canada and spouses living abroad 14 guides and checklists 3 relationship questionnaires and 1 sponsorship evaluation form Upfront medical exam and police certificates 26 months to process inside Canada applications (for 80% of cases); processing time varies for outside Canada applications (depending on where an application is submitted) After December 15, 2016 1 application kit for spouses living in Canada or abroad 1 guide, 75 pages 1 checklist 1 relationship and sponsorship form Medical exam and police certificates provided later in the process 12 months to process applications (for 80% of cases) for both inside and outside Canada applications Ability to Work In addition to the changes to the spousal application process, the Government of Canada has announced that it will extend an open work permit pilot program launched in 2014. An open work permit allows an individual to work in any occupation full time or part time for any employer. This program has been extended until December 31, 2017. This program allows spouses to work while their permanent residence application is being finalized. To be eligible for an open work permit, individuals must: Be a spouse or common-law partner living in Canada; Be in the process of being sponsored by a Canadian citizen or permanent resident (under the spousal class); and Have a valid temporary resident status. An open work permit is generally issued within 4 months from the time complete applications for spousal sponsorship and open work permit are received.

PAGE 5 Recent Changes to the Parent and Grandparent Program Intake Process By Fraser Wayne, Student-at-Law The Parent and Grandparent Program (PGP) offers Canadian citizens and permanent residents an opportunity to sponsor their parents or grandparents to immigrate to Canada as Canadian permanent residents. The application process for the PGP has recently undergone significant changes. Canadian citizens and permanent residents who want to apply to become sponsors must first complete an online form on the Immigration, Refugees and Citizenship Canada (IRCC) website. The submission period for submitting the PGP online forms for 2017 has now expired since a 30 day application period was given which started January 3, 2017. All individuals interested in applying in 2018 should review the procedural changes to ensure they understand the process and the deadlines. As a sponsor, an applicant is responsible for ensuring that his/her parent or grandparent does not need to rely on social assistance from the government upon arrival in Canada. To satisfy this requirement, a sponsor needs to make every reasonable effort to provide for the essential needs of his/her parent or grandparent, including financial support. Under the previous system, applications for sponsorship were considered on a first-come, first served basis. The new process abandons this approach. Instead, applicants will now be subjected to a formal lottery system where they will have a designated timeframe to submit online forms through the IRCC website indicating their interest in becoming sponsors. All submissions received within the time limits will have an equal chance of being selected; regardless of the order the submissions are received. The system has borrowed some similar elements from the Express Entry system such as receiving invitations to apply. The new process involves the following steps: Individuals who wish to sponsor their parents or grandparents must first complete an online form on the IRCC website within the designated timeframe indicating their interest in becoming a sponsor. Once the online form is successfully submitted, the applicants will receive a confirmation number. At the end of the submission period, the IRCC will randomly invite 10,000 individuals to formally submit an application. These applicants will then be given 90 days to submit their applications. The IRCC will let all applicants know whether they have been selected to submit an application or not. Unsuccessful applicants will be able to indicate their interest to apply again in 2018. The government implemented these changes, after consulting former applicants, with the goal of providing applicants with better access to a fair and transparent immigration system. In the past, individuals were paying couriers significant fees to ensure their applications were on the top of the pile.

PAGE 6 Proposed Regulatory Changes: Maximum Age of Dependants By Emily McDermott, Student-at-Law In August 1, 2014, the statutory definition of dependent child in the Immigration and Refugee Protection Regulations (the Regulations) was amended from less than 22 to less than 19, reducing the number of family members eligible to apply to immigrate to Canada. The definition of dependent child in the Regulations is used to determine whether a child may be eligible to immigrate as a family member of a citizenship applicant. The rationale advanced by the federal Conservative Government at the time was that older immigrants have a more challenging time integrating into the Canadian labour market. This amendment was intended to enhance the economic integration of immigrant dependent children. On October 28, 2016, the Government of Canada published a proposed change to the dependent child definition that would change the maximum age from 19 back to 22. This is in keeping with the current Government s commitment to family reunification. The Gazette, which records the proceedings of the federal Government, provides the following rationale for this change: When families are able to remain together as an economic household unit, their integration into Canada and their ability to work and contribute to their communities all improve. The proposed increase of the maximum age of dependent children is consistent with the underlying socioeconomic trend that children remain at home longer with their parents, particularly those studying for lengthier periods. 1 If approved, these Regulations are anticipated to come into force in fall of 2017. The new Regulations recognize that the age limit of 19 is too restrictive, as it is not unusual for children to remain with their nuclear family while pursuing higher education. In the interim, as per the current regulations, some individuals are caught in the dilemma of whether to apply for and/or finalize their permanent residency and face not having their children over the age of 19 included in their permanent residency application. If a family with children of ages 20 and 21 chooses to proceed now, the family may still sponsor their dependent children under a Family Class application where they themselves: become a permanent resident; are living in Canada (you cannot sponsor someone if you are a permanent resident living outside Canada); and are able to prove that they have enough income to provide basic needs for their dependent children. Footnotes 1 http://gazette.gc.ca/rp-pr/p1/2016/2016-10-29/html/reg2-eng.php

PAGE 7 Removal of Cumulative Duration Limit for Foreign Temporary Workers By Brittany Scott, Student-at-Law As of December 13, 2016, the cumulative duration limit of 4 years for a working visa no longer applies to all current and future work permit applications. Officers must continue to be satisfied that the requirements of section 183 of the Immigration and Refugee Protection Regulations are complied with, along with other eligibility criteria, such as the need for a Labour Market Impact Assessment (LMIA). This generally includes the requirements that temporary residents: leave Canada by the end of the period authorized for their stay; not work unless authorized to do so; if authorized to work, not enter into an employment agreement, or extend the term of an employment agreement, with an employer who, on a regular basis, offers striptease, erotic dance, escort services or erotic massages; and not study, unless authorized to do so. If applicants wish to remain in Canada on a work permit and the period of time they have been working in Canada meets or exceeds four years, they may apply to extend their stay in Canada as workers, provided they meet the eligibility requirements. If applicants departed Canada because they had previously met the four-year cumulative duration limit, they may apply for a new work permit without having remained outside Canada for four years.

Looking to Start a Business? BD&P s Start-Up and Early-Stage Companies Group is adept at helping emerging companies navigate legal challenges and grow their businesses. Moving your idea or start-up from the conceptual phase to a successfully operating venture usually requires a number of legal considerations and documents. Your early-stage business may face challenges that include deciding on a legal structure (partnership, corporation etc.), protecting intellectual property and raising money to start and grow your operations. Entrepreneurs invariably want a smooth road to market, and making sure you lay the right foundation for your venture will make the transition easier and could save you costs later on. At BD&P, we recognize that early-stage businesses have limited resources. Our start-up friendly special pricing and fee arrangements take that into account. Our Start-Up and Early-Stage Companies Group can provide you the value your business needs, while also harnessing the resources and experience of a full service corporate firm. Our services include the following: Incorporations and advice on your business structure Non-disclosure agreements and other ways to protect your ideas Intellectual property matters including advice on copyrights, patents and licenses Advice on how to find and attract investors to your company Financing documents and advice on securities laws Advice on various employment matters, including employment standards, personnel policies, employment agreements and consulting agreements Guidance on early stage tax considerations and issues Drafting the standard agreements, contracts and documents required to get your business up and running Assistance with the transactional aspects of the business Subject to certain eligibility requirements, some of the above services are offered on a reduced flat fee basis. As a leading Canadian law firm, BD&P can provide you with the guidance your business needs to succeed in all stages of development. As you experience success, you will understand what has made BD&P such a highly respected entrepreneurial firm. Members of our Start-Up and Early-Stage Companies Group would be happy to meet with you for a free consultation and assessment session. Please feel free to contact any of the team members directly. www.bdplaw.com/start-up-and-early-stage-companies/people www.bdplaw.com

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