Immigration Experts Sound Alarm on Job Scam Targeting Temporary Foreign Workers

Immigration lawyers and consultants are concerned about the troubling trend in Alberta, wherein scammers are capitalizing on the vulnerability of temporary foreign workers to charge unauthorized fees for Labour Market Impact Assessment (LMIA) needed by employers to hire those workers. 

Scammers posing as employers collude to promise unsuspecting job applicants and charge thousands of dollars in fees, even though, according to law, the job should come at no cost to the employee. 

Once employers receive a positive LMIA, they are responsible for ensuring they remain in compliance with the terms of the letter.

The TFWP was designed to issue work permits to foreign nationals who can help fill labour market gaps in Canada. 

Businesses in Canada that wish to hire foreign nationals through the TFWP must support their application with an LMIA demonstrating no qualified Canadians or permanent residents to fill the role.

The Scam

The scam typically begins with the promise of a job offer. Scammers reach their targets through various platforms, including social media, job boards, and direct emails. 

Fraudulent immigration services may charge anywhere from $2,000 to $200,000 for a guaranteed offer of employment, ignoring the clear guidelines on the government website.

Employers must pay $1000 in fees to the government for an LMIA. However, a job seeker posted an email from a fraudulent recruiter demanding a $22,000 to $35,000 payment for LMIA and other services on an immigration subreddit. 

The government fee employers must pay for LMIA is $1,000, and there are clear guidelines on its website on employers’ requirements. 

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The schemes often promise an expedited immigration process or guaranteed job placements, taking advantage of their target’s desperation and eagerness to relocate.

Some online posts complaining about LMIA scams date back to 2016 and earlier, indicating that it is more of a perennial problem. 

In 2022, the immigration minister, Sean Fraser, told the CBC that Canada could do better when recruiting foreign workers.

Some victims may receive a job offer that appears too good to be true, often accompanied by an employment contract. 

The positions advertised are usually in high-demand sectors such as construction, hospitality, and agriculture. The offer letter is usually professionally formatted, making it hard for victims to distinguish between genuine and fake offers.

Impact on Victims

A settlement worker in a Toronto community support centre said they have had cases of LMIA issues but declined to divulge further details.

The consequences of falling for such scams are devastating, financially and emotionally. 

Many deplete their life savings or get into debt to pay the fraudulent fees. This financial strain can lead to long-term economic hardship, especially for low-income people.

Emotionally, individuals and families with hopes of a better future only to have their dreams shattered. The betrayal and loss of trust can lead to depression, anxiety, and other mental health issues. 

Legally, some victims may unknowingly become involved in illegal activities, such as providing false information on immigration forms or using forged documents, leading to severe repercussions, including deportation and bans on re-entering Canada. 

Combating the Scam

Employment and Social Development Canada has online guidelines for reporting abuse of TRW. 

Even though it’s translated into several languages, realistically, some temporary foreign workers may not have access to the vital information. However, it’s a positive step.

In response to the rising number of cases, Alberta’s immigration authorities and advocacy groups are taking proactive steps to combat the scam and support victims. Other provinces are taking similar action.

But the scam goes beyond Canada’s borders. A CBC report on July 17, 2024, said fake documents were sold to a man in Lagos with a promise of a job in Canada by a fellow Nigerian. 

An immigration lawyer told CBC News that he had seen fake job offers for the past 20 years, while the head of a newcomers’ centre said she had seen the scam evolve for 30 years.

In 2023, Canada’s federal government intensified its efforts to penalize employers violating the TFWP rules. This enforcement is essential for maintaining the program’s integrity and protecting foreign workers. 

The government has issued $2.1 million in Administrative Monetary Penalties (AMP) to non-compliant employers, an increase from the previous $1.54 million.

Worker protection

Canadian law protects all workers. Canada takes the abuse of temporary foreign workers (TFW) and the program (TFWP) seriously. 

Employers who abuse workers or the program could face a penalty or be banned from the program, among other punitive actions. 

Examples of abuse are threats to an employee’s status in Canada or bullying and abuse. 

Other forms of abuse are if the employer refuses to allow the worker to leave the work site or holds on to their passport or other document. 

It is illegal to underpay the employee, not give them time off, or if the work they do does not match what the Labour Market Impact Assessment (LMIA) says.

The increased enforcement of the Temporary Foreign Worker Program regulations highlights Canada’s commitment to protecting temporary foreign workers. 

Canada aims to ensure fair and safe treatment for all workers by issuing significant penalties and enhancing the Employer Compliance Regime.

Continuous efforts

The job scam targeting temporary foreign workers in Alberta and elsewhere is a stark reminder of the vulnerabilities faced by individuals seeking better opportunities abroad. 

While the impact on victims is severe, the concerted efforts of immigration authorities, advocacy groups, and international bodies offer hope. 

Through increased awareness, stricter regulations, and robust support systems, the government is taking significant steps to protect TFWs from falling victim to such fraudulent schemes by unscrupulous individuals. 

However, continuous vigilance and collaboration are essential to ensure the safety and well-being of those aspiring to build a new life in Canada.