CANADIAN AGRICULTURE & AGRI-FOOD LABOUR TASK FORCE July 14 2017 Hon. Patty Hajdu, Minister of Employment, Workforce Development and Labour 140 Promenade du Portage IV, Gatineau, QC, J8X 2K2 (NC-MIN-EWDL-EDMT-GD@hrsdc-rhdcc.gc.ca; Patty.Hajdu@parl.gc.ca ) Hon. Ahmed Hussen, Minister Immigration, Refugee, and Citizenship Canada Jean Edmonds Building South Tower, 20th Floor 365 Laurier Avenue West Ottawa, ON, K1A 1L1 (Minister@cic.gc.ca; Ahmed.Hussen@parl.gc.ca ) Hon. Lawrence MacAulay, Minister Agriculture and Agri-Food Agriculture and Agri-Food Canada 1341 Baseline Road Ottawa, ON, K1A 0C5 (info@agr.gc.ca; lawrence.macaulay@parl.gc.ca ) Re: Agriculture and Agri-Food Consultation Process and Outcomes Dear Ministers Hajdu, Hussen, and MacAulay: The Agriculture and Agri-Food sector appreciates that Budget 2017 has recognized the sector as a high growth priority. Growing the Canadian AgriWorkforce is an important part of this priority as is securing access to international workers when Canadians are not available. The Agriculture and Agri-Food Labour Task Force (LTF) is keen to participate and support the current reviews and consultations for the Temporary Foreign Worker Program (TFWP). Given the complexities and interconnected elements of the Primary Agriculture review (Seasonal Agriculture Worker Program and Agriculture Stream) and the Meat & Seafood Processing Sector reviews, we have clarified a suggested process and outcomes for your consideration. These suggestions align with the approach taken during the Meat Processing Sector Dialogue with TFWP Directorate facilitated by the Canadian Agricultural Human Resource Council (CAHRC) on June 26. The Labour Task Force is recommending a value chain approach that includes the participation of all government stakeholders to help avoid duplication of resources and obtain the best possible outcomes for all parties. SUGGESTED PROCESS The Labour Task Force suggests that the current reviews and consultations for the TFWP include perspectives from the full agricultural value chain along with a federal and provincial whole of government approach. To support this effort, the LTF recommends the establishment of an Interdepartmental Advisory Council, bringing together Employment and Social Development Canada, Immigration, Refugee and Citizenship Canada, and Agriculture and Agri-Food Canada and relevant Government officials to work with industry to improve programming. Federal Stakeholders to include: ESDC and relevant Service Canada officials, IRCC and relevant Canadian Border Services Agency representatives, and AAFC officials; and Provincial Stakeholders to include: Officials representing Provincial Nominee Programs, Labour Market, and Agriculture. Meat Processing Sector Review: Working out details with industry stakeholders, it is suggested that the Meat Processing Sector Review should take a regional and provincial consultation approach with meetings in the western provinces (BC, AB, SK, MB), Ontario, Quebec, and the Atlantic region. Other suggestions for the consultations are as follows: Day 1 Provincial/Regional Meat Processing Sector Consultations: Included at this meeting should be meat processors handling live slaughter in rural areas that are experiencing vacancies; Provincial Nominee Program and provincial Agriculture Department representatives; Federal Department representatives available from: ESDC & Service Canada; IRCC & CBSA; AAFC, and union representation, if available, to be organized by local processors.
Day 2 Provincial/Regional Primary Agriculture Consultations: While in each province or region, include a second day of meetings for livestock producers who use the Agricultural Stream to maximize Federal Government resources and support the meat processing value chain commodities. At this meeting, include the same Federal and Provincial officials, and a farm worker (actual Agricultural Stream employee), if available, to be organized by local farm employers. Other Day 2 suggested activities that would support a comprehensive review: While in the region/province 1) Tour a farm that uses Agricultural Stream and a meat processing plant in order to analyze agricultural workforce requirements which will also provide opportunities to meet farm and meat processing workers; and 2) Tour the Service Canada offices which process the Agricultural Stream and primary processing Labour Market Impact Assessments to clarify processes being used. Using a whole of government approach, part of this review should include clarification of Work Permit processing locations as well. These processes should be compared to the expedited systems being developed for the Global Talent and Skills Strategy which is processing LMIAs and Work Permits in 20 days. A collaborative, whole of government approach has worked well for the seafood sector consultation which is ongoing. The Federal Government Departments led by ESDC with the Department of Fisheries Office, as well as IRCC and AAFC, are working together with the Atlantic Departments of Labour and an industry group led by the Lobster Processors Association. Working together, the objective of this ongoing seafood review is to ensure the renewable fisheries resource will provide the best economic value for all Canadians. The seafood sector and governments have completed a Collaborative Labour Market Plan. It is requested that the coordination of all Federal Departments be required to act together and to truly engage, which is needed for implementation of this Plan, to ensure an adequate workforce by the fall 2017. This process, working closely with industry, is a model for what the LTF is suggesting now for the meat sector and it value chain suppliers which utilize the Agricultural Stream. OBSTACLES FOR A PATHWAY TO PERMANENCY FOR LIVESTOCK AND MEAT PROCESSING SECTOR The following are regulatory restrictions identified through research which rural abattoirs employees (meat cutters and butchers) are facing for a Pathway to Permanency. Agricultural Stream employees are facing many of these same obstacles. Temporary Foreign Worker Program (TFWP) Cap: restrictive to both increased value-added production and business expansion; Labour Market Impact Assessments (LMIAs) and Visa Work Permit Processing Issues: processing of paperwork is unreliable, takes too long, and a lack of industry knowledge by officials that results in delayed and inappropriate decisions; Work Permits: 1 year is not long enough for TFWs to transition to permanency; National Occupation Classification Codes (NOCs): are restricting access to provincial and federal immigration options; Federal Express Entry: "arranged employment" points decreased in 2016 restricting immigration options for special-skilled retail butchers (NOC B) and other agricultural NOCs which are excluded from Express Entry; Lack of immigration options in many provinces: improved immigration options for TFWs both provincial and federal needs to be a priority. The obstacles identified here are affecting many different agricultural commodities including horticulture. The Primary Agriculture TFWP consultation for SAWP and Agricultural Stream should follow this same collaborative approach, industry working with the same Interdepartmental Advisory Council team to find solutions to improve programming for the Agriculture and Food sector. (See Addendum for detailed list of Livestock and Meat Processing Sector Obstacles to Growth and Rural Immigration) 2
SUGGESTED OUTCOMES The Labour Task Force suggests that the following outcomes for the Agriculture and Food sector be achieved as a result of the 2 ongoing TFWP reviews to support growth for the Agriculture and Agri-Food sector: Establish an Interdepartmental Advisory Council (ESDC/Service Canada, IRCC/CBSA, AAFC)to support better ongoing communications (HUMA Recommendation 17). Change the TFWP name to better reflect agriculture s use of program: The LTF recommends the program be called: Canadian Agriculture and Agri-Food Workforce Program. Within this program the Agriculture and Food sector needs 3 distinct streams to support its unique workforce requirements (HUMA page 9). 1. SAWP remain an identifiable standalone program that deals with seasonal workers and employers in agriculture 2. Agricultural Stream fixes needed 3. Agri-Food Stream for primary processors (Meat and Seafood) new proposed stream with fixes needed Speed up the processing of Agricultural Stream & Agri-Food LMIAs and Work Permits (HUMA Recommendation 2): Implement a Trusted Employer Program with the objective of reducing LMIA processing timelines for employers who have demonstrated trustworthiness in their use of the TFWP. (HUMA Recommendation 3). Improve Pathways to Permanency: remove identified obstacles such as allowing access to special-skilled industrial meat cutters and butchers eligible for Express Entry (HUMA Recommendation 17 and supported by Ministerial Mandate Changes February 2017). Remove TFWP Cap for Agriculture and Agri-Food Primary Processing (HUMA Recommendation 12). Revise the National Commodities List: Broaden Access to Workers For All Commodities (HUMA Report page 29). Agricultural Stream: Adjust housing costs and requirements to support Agricultural Stream workers who are seeking Pathway to Permanency opportunities; and similar to SAWP, Agricultural Stream employers to participate in an annual review with a government Interdepartmental Advisory Council to make improvements to the program. (See Addendum for detailed list of 10 Labour Task Force priorities with examples of simple, common sense ways to improve programming) The Labour Task Force thanks you for the opportunity to participate in the consultation process and is excited to move forward in partnership with the Federal Government to collaboratively work together on a workforce strategy to broaden workforce participation and improve the knowledge and skills of workers in the Agriculture and Agri-Food sector. Sincerely, Mark Wales Labour Task Force Agriculture Co-Chair Mark Chambers Labour Task Force Agri-Food Co-Chair Hon. William Francis Morneau, Minister of Finance (Bill.Morneau@parl.gc.ca) Rodger Cuzner, Parliamentary Secretary Employment and Social Development Canada (rodger.cuzner@parl.gc.ca; rodger.cuzner.a1@parl.gc.ca) Alexis Jonathan Conrad, Assistant Deputy Minister Employment and Social Development Canada (alexis.conrad@hrsdc-rhdcc.gc.ca ) Janet Goulding, Director General, Temporary Foreign Worker Program (janet.goulding@hrsdc-rhdcc.gc.ca) Hon. Ralph Goodale, Minister of Public Safety and Emergency Preparedness (ralph.goodale@parl.gc.ca ) Borys Wrzesnewskyj, Chair Immigration Committee ( Borys.Wrzesnewskyj@parl.gc.ca ) Bryan May, Chair HUMA Committee (Bryan.May@parl.gc.ca ) Pat Finnigan, Chair Agriculture and Agri-Food Committee (Pat.Finnigan@parl.gc.ca ) Mike Bossio, Chair Rural Caucus (Mike.Bossio@parl.gc.ca ) Hon. Wayne Easter, Chair Finance Committee (wayne.easter@parl.gc.ca ) Portia MacDonald-Dewhirst, CAHRC Executive Director, Mary Robinson, CAHRC Chair (macdonald-dewhirst@cahrc-ccrha.ca; mary@robinsons.ca ) 3
ADDENDUM LIVESTOCK & MEAT PROCESSING SECTOR OBSTACLES TO GROWTH AND RURAL IMMIGRATION The following are regulatory restrictions identified through research which rural abattoirs employees (meat cutters and butchers) are facing for a Pathway to Permanency. Agricultural Stream employees are facing many of these same obstacles. Temporary Foreign Worker Program (TFWP) Cap: In 2014 the Government of Canada overhauled the Temporary Foreign Worker Program introducing a cap to limit the number of low-wage temporary foreign workers that a business can employ. The cap s purpose is to significantly restrict access to the TFWP i, to reduce employer usage of the TFWP cutting in half the number of low-wage temporary foreign workers once fully implemented. ii The TFWP cap remains at 10 percent for most companies as of December 2016 announcement. The cap calculation, however, is inaccurate and workers are being triple counted. Although freezing the cap at 20 percent is helpful for some establishments, it is not actually helpful for establishments that were under the 10 percent cap when the June 2014 changes were made. These plants are actually frozen at 10 percent. Because there is no flexibility based on labour shortages and vacancies; this is not helpful for plants seeking to expand operations in order to increase value-added or participate in new trade opportunities. Based on current Labour Market Information research and vacancy numbers provided in this research, stakeholders participating in the study recommended removal of the TFWP Cap for Agriculture and Food in rural areas where there is a demonstrable shortage of workers. They also recommended allowing increased access to foreign workers during the phase-in and expansion of total capacity or of value-added products production when incremental/new positions are created. This is needed because the cap is restricting rural growth and immigration as well as directly reducing current production and putting Canadian jobs at risk. Labour Market Impact Assessments (LMIAs) and Visa Work Permit Processing Issues: Stakeholders report that end to end processing of paperwork for LMIAs by Service Canada and Work Permits processed by Immigration, Refugees and Citizenship Canada (IRCC) can take over 6 months. Meat processing companies pay $1,000 per LMIA application. Industry stakeholders recommend that normal benchmark service standards should apply along with a workable online tracking system. When LMIAs are denied, the company should be able to find out why and an appeal mechanism should be provided. In the two most recent cases of LMIA denials, Canadian farmers income would have been directly affected. Work Permits: In 2014 the work permit duration was changed from two years to one year. One year is too short a duration for employees to achieve permanent residency and is inconsistent with the overarching desire of workers, employers, meat processing unions, and Canadian society to strengthen the pathway to permanency. This is a critical issue for the meat processing sector which is providing settlement services in rural communities across Canada. The one-year work permits are not long enough for these crucial and valued workers to transition and fully integrate, accessing options for permanent residency including required language training and other prerequisites. The short time frame does not allow workers the time they need to complete their Provincial Nominee Program application process. For example, for the PNPs which offer immigration opportunities to meat cutters and butchers, the international worker can be required to work for 6 months prior to applying for the PNP. The PNP process takes 6 months or longer so the worker runs out of time before the one year period. This increases anxiety for workers and employers and it also increases visa and LMIA processing delays. The pathway to permanency for meat cutters and butchers would be greatly enhanced and streamlined if the two year work permit was reinstated, increasing productivity, opportunities for transfer of knowledge; it will allow the increase of employee skills to further benefit the economy and to reduce the incidence of Canadian companies acting as training schools for workers who are forced to depart Canada and who are then recruited immediately by competitors in other countries. National Occupation Classification Codes (NOCs): The skill level that the Federal Government is currently attributing to the butcher and meat cutter occupations is not reflective of the skills and the work required. These are jobs that involve a high level of training, both on-the-job and classroom, to help meet safety and biosafety protocols. The current classification of the meat cutter and butcher occupation is restricting federal and provincial immigration options for butchers and meat cutters. Some provinces, such as Alberta and Manitoba, allow a semi-skilled category for meat cutters within the Provincial Nominee Program. For other provinces, such as Ontario and Quebec, there are no immigration options for meat cutters. Alberta s PNP often gets backlogged and applications are rebooted on a periodic basis. There is an extensive process to change the classification system that can take up to 10 years or longer because the NOCs are used by Statistics Canada. Industry reports that a helpful change for access to retail butchers was made, however, the labour shortage and vacancies are greatest for the industrial meat cutter designation. 4
Federal Express Entry Changes: Special-skilled industrial meat cutters and butchers should be eligible for Express Entry. During the 2016 ongoing immigration review, the points for arranged employment were drastically decreased. While this may be helpful for students and people with university education who are seeking to immigrate to Canadian cities, stakeholders report that this was a huge setback for immigrants seeking to work at rural abattoirs and also in agricultural jobs in rural Canada. The small National Occupation Classification (NOC) change previously made for retail butchers, allowing new federal immigration access, is no longer of value since the recent Express Entry change has decreased the value for arranged employment from 600 points to 50 points. This is especially true in provinces that don t have any provincial immigration options for meat cutters, such as Ontario and Quebec, and also true in provinces where the PNP is backlogged, such as Alberta. Several companies and workers have federal immigration applications in process, within provinces that do not have access to a Provincial Nominee Program. This is causing anxiety for workers and employers alike. Feedback from stakeholders indicates that human capital points need to be awarded for competencies beyond university education, on-the job training should also be included. Both TFWs and new immigrant workers need to be recognized as providing human capital that is highly valuable to Canada, providing human capital and unique skills that are a priority. Meat cutter skills are particularly valuable as human capital to rural abattoirs where the labour shortage is the most critical. Stakeholders also report that recognizing and including the value of arranged employment as a human capital asset and priority for the meat cutter occupation in rural abattoirs is key to finding a solution to this issue. Agriculture and Agri-Food Workforce Action Plan Solutions Summary Introduction The Canadian Agriculture and Agri-Food Workforce Action Plan (WAP) is a roadmap designed to address the sector s critical and pervasive labour shortages which have been identified as the biggest business risk management issue for the industry. The plan was developed by the national Agriculture and Agri-Food Labour Task Force (LTF), an advisory body comprised of industry representatives from every aspect of the agriculture and agri-food value chain, with extensive industry input over the last three years. The WAP initiative is led by the Canadian Agricultural Human Resource Council and supported by over 85 partner organizations working collaboratively to secure a sustainable workforce. The Agriculture and Food sector is committed to this initiative because a strong and stable workforce will allow the industry to remain globally competitive, take advantage of export targets set by the Federal Government in Budget 2017 (increase Agri-Food exports from $56 Billion to $75 Billion by 2025), and to ensure the security, safety and sustainability of food for all Canadians. 1. Increase the Supply of Labour A. Improve Access to Temporary and Seasonal Labour (see Page 2) B. Improve Access to Domestic Labour Develop a Jobs Resource Centre for Industry o To clarify the vast number and types of jobs, job requirements and career pathway options within the agriculture to support career exploration o To include a searchable and robust on-line jobs resource Develop Career Promotion Initiative and Tools for Industry o To create a centralized repository of materials to develop and disseminate information to raise awareness and increase access to labour 2. Improve the Knowledge & Skills of Workers A. Develop a Learning Resource Centre A centralized mechanism to improve access to learning options for students, job seekers, employees, employers B. Align Training with Industry Needs To ensure learning meets workplace requirements now and into the future C. Increase Investment in HR Management and Training To support use of best practice management techniques and increased investment in training and skills development to enhance recruitment, employment, safety and retention 5
Agriculture and Agri-Food Labour Task Force Expected Outcomes to Improve Access to International Workers 1. ESDC/IRCC: Develop an Integrated & Permanent Labour Solution for the Agriculture and Food Sector to support Budget 2017 export commitments: When Canadians are not available, a new program called the Canadian Agriculture & Agri-Food Workforce Program, will support the Agriculture and Food employers allowing them to access global talent with the skills the sector needs. This new Program to have 3 Streams (Supported by HUMA Report, page 9): Seasonal Agriculture Worker Program SAWP remain an identifiable standalone program that deals with seasonal workers and employers in agriculture Agricultural Stream fixes needed to make functional Speed up processing LMIAs & Work Permits, Federal Pathway to Permanency for all NOCs when Provincial Nominee Programs not available, Housing Regulations better aligned for sector requirements, 2 Year Work Visas to support a Pathway to Permanency, Similar to SAWP, Agricultural Stream employers to participate in annual review with a government Interdepartmental Advisory Council making improvements to the program. Agri-Food Stream for Primary Processing new proposed stream with fixes needed to make functional Speed up processing LMIAs & Work Permits, Federal Pathway to Permanency for all NOCs where Provincial Nominee Programs not available, Flexibility in Cap for rural and expansion, 2 Year Work Visas to support Pathway to Permanency 2. ESDC/IRCC: Speed up Processing of Paperwork including LMIAs (ESDC) and Work Permits (IRCC) for Agricultural Stream and Primary Processing: (HUMA Recommendation 2) a) Implement a Trusted Employer Program with the objective of reducing LMIA processing timelines for employers who have demonstrated trustworthiness in their use of the TFWP (HUMA Recommendation 3) For example, a Trusted Employer classification for employers applying for workers with a strong track record could function as a Nexus type status in order to simplify LMIA and Work Permit processing requests b) Recognition of Agriculture and Agri-Food as high demand and high growth priorities for the TFWP and for federal immigration (LMI vacancies Ag and Food sector, Budget 2017 export targets) c) Establish a dedicated single office, separate from the SAWP Simcoe office, for Labour Market Information Applications for Agricultural Stream and Primary Processing. A phone number with someone answering queries should be available when there are LMIA issues. 6 months for LMIA and Work Permit end to end processing of paperwork is too long for Agriculture and Food sector, provide a better benchmark for LMIA and Work Permit processing For example, use the Global Talent Stream developed for High Skilled jobs with 20 days end to end LMIA and Work Permit processing as an example to improve processing times Create a Centre of specialization like other sectors have established for LMIAs - the SAWP Simcoe office is also a good example to find ways to speed up the processing of paperwork for Ag Stream and Primary Processors 3. ESDC/IRCC: Improve Pathway to Permanency a) ESDC/IRCC: Better interdepartmental communications between ESDC and IRCC regarding a federal Pathway to Permanency for all NOCs where PNP not available (HUMA Recommendation 17 and supported by Ministerial Mandate Changes February 2017) For example, the Atlantic Immigration Strategy is a great precedent to use for what needs to be developed to support a Pathway to Permanency: http://www.acoa-apeca.gc.ca/ags-sca/eng/atlantic-growth.html b) IRCC: Modification within the Express Entry Program s point system to value arranged employment for Agriculture and Food sector jobs: ESDC/IRCC: Recognize and accept the skills that are needed in Agriculture and Primary Processing as valuable human capital assets needed by Canada. All NOCs should be accepted. If TFWs have worked on a Canadian farm or in primary processing these employees have received valuable on-the-job training from Canadian employers, this needs to be recognized and these workers should be a priority for immigration as they have Canadian training and arranged employment with the skills needed for rural Canada. c) ESDC/IRCC: 2 year work visa to allow time that includes language training and other pre-requisites for transition to permanency (HUMA Recommendation 1) d) IRCC/Provinces: Better federal, provincial communications between Provincial Nominee Programs and Federal immigration options regarding Agriculture and Food workers. (HUMA Recommendation 17) e) ESDC: Ag Stream: Adjust housing costs and requirements: Change housing requirements to allow more flexibility, employer to subsidize no more than 30% of gross income. Adjust accommodation inspections so they occur annually within a period that aligns with the seasonal nature of prospective non-domestic workers and their housing needs 6
4. ESDC/IRCC: Remove TFWP Cap for Agriculture and Agri-Food (HUMA Recommendation 12): a) Allow flexibility in rural areas where there is a demonstrable shortage of workers b) Allow increased access to foreign workers during the phase-in expansion of total capacity or of value-added products production when incremental/new positions are created 5. ESDC/IRCC: Better Ongoing Communications Supporting Agriculture and Food Sector (HUMA Recommendation 17): a) An interdepartmental advisory council to work on issues related to Rural Employment and Immigration. b) Establish an online system to include an online tracking process with a tracking number assigned to the worker and the employer. For example, the tracking system should function like Fed-Ex so employers can check the status of their application. An email notification subscription self-service be developed by ESDC and Service Canada, similar to the CanadianFood Inspection Agency (http://www.inspection.gc.ca/about-the-cfia/newsroom/emailnotification/eng/1481653931267/1481654078038) c) Establish a phone number for Agricultural Stream users and processors to contact if they have issues with their LMIAs d) When ESDC makes changes to programming which affect Agriculture and Food sector, notification should be made to the commodity affected or the sector. For example, when federally regulated wage rates are updated, the commodities listed on the National Commodity List should be notified by distributing this information to them. This is easily achievable by working with the Canadian Agricultural Human Resource Council and commodity associations. e) Distribute industry Labour Market Information (LMI) to Service Canada officers who are processing LMIAs so all parties have the most current vacancy and labour shortage information. For example, distribute CAHRC LMI reports: national, provincial and commodity specific fact sheets and reports to all Service Canada offices processing LMIAs. 6. ESDC: Broaden Access to Workers For All Commodities (HUMA Report page 29): Expand the National Commodities list to include a more comprehensive commodity list for agriculture and clarify the process for inclusion on the NCL to ensure all employers within the agriculture industry can access the global talent they require. For example, Immigration and Refugee Protections Regulations, section 315.2, primary agriculture definition is much broader than the TFWP current National Commodity List: o ESDC: NCL: https://www.canada.ca/en/employment-social-development/services/foreign-workers/agricultural/agricultural.html o IRCC: Immigration Regulations: http://laws-lois.justice.gc.ca/eng/regulations/sor-2002-227/page-58.html 7. ESDC/IRCC/Statistics Canada: Update National Occupational Codes: Update agriculture and value-added processing NOC codes with consultation and input from industry to ensure content describes actual work being conducted in today s employment environment 8. ESDC: Update Wage Rates Through Industry Consultation: Adjust methods for determining wage rates and ensure they are set through industry consultation to reflect multi-region operations and collective bargaining agreements. When these wages are updated inform industry prior to changing website 9. IRCC/ESDC: Adjust Work Permits (HUMA Recommendation 15): Revert back to the treatment that existed prior to the 2014 change, permitting Ag Stream applications to have a proper legal transfer system prior to initial entry to allow interested employees and employers to share an employee s time and services. Provide more training to Foreign Service Officers to ensure industry positions are well understood and a high priority. Provide feedback to the employer if a candidate is denied 10. ESDC/IRCC/AAFC: Implement Canadian Agriculture & Agri-Food Workforce Action Plan (Supported by HUMA Report, page 9): Support industry efforts to strategically address national labour shortages and ensure a strong domestic labour supply into the future by facilitating the implementation of the long term elements of the Canadian Agriculture & Agri- Food Workforce Action Plan i ESDC: Overhauling Temporary Foreign Worker Program 2014 https://www.canada.ca/en/employment-social-development/services/foreign-workers/reports/overhaul.html ii ibid 7