Canada Unveils Major Immigration Policy Updates for 2025–2026

The Government of Canada has published its 2025–2026 Departmental Plan for Immigration, Refugees and Citizenship Canada (IRCC), outlining a number of significant changes aimed at shaping the country’s immigration landscape over the coming year.

This comprehensive plan includes the introduction of new immigration pathways, policy reforms, and a continued focus on system improvements. Here’s a summary of the key initiatives and updates:

New Permanent Residency (PR) and Work Permit Options

1. Economic Mobility Pathways Pilot (EMPP) Becomes Permanent
   IRCC will formally launch a new permanent residency pathway by making the EMPP a permanent immigration stream. This pilot originally helped skilled refugees immigrate through economic programs and is now set to become a permanent fixture by the end of 2025.
2. New Work Permit Stream for Agriculture and Fish Processing Sectors
   A specialized stream and a unique work permit will be introduced to support labour needs in agriculture and fish processing—two sectors facing chronic labour shortages.
3. Revised Post-Graduation Work Permit (PGWP) Criteria
   The government plans to update which fields of study are eligible for PGWPs to better align with labour market demands.
4. Changes to Spousal Open Work Permits (SOWPs)
   The eligibility for spouses of international students and foreign workers to obtain SOWPs will be modified, though details on stricter or broader access are still emerging.
5. New Free Trade Agreements (FTAs)
   Canada will implement FTAs with Indonesia and Ecuador, which are expected to include provisions for labour mobility. Further work is being done to negotiate new work permit options with other trade blocs, such as the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) and the Association of Southeast Asian Nations (ASEAN).
6. New Online IRCC Account for Clients
   A new digital portal will soon allow all applicants to manage their immigration files online, streamlining communication and document submission.
7. PR Pathway for Refugee Students Under Exploration
   A potential new stream is being studied that would give refugee students a more direct route to permanent residency.
8. Welcoming Francophone Communities Initiative
   This program will become fully operational across Canada by the end of 2026, aiming to improve the experience for French-speaking newcomers outside of Quebec.

Technology and Innovation

• GeoMatch Pilot Program
  IRCC is testing a new tool, developed in partnership with Stanford University, called “GeoMatch.” This algorithm is designed to help Express Entry applicants find the best location in Canada based on their background and career prospects.

Commitments and Ongoing Goals

IRCC reiterated several policy priorities, including:

• Continuing to prioritize healthcare workers, skilled trades, educators, and French speakers in Express Entry category-based draws.
• Maintaining a target that at least 40% of new permanent residents should come from temporary residents already in Canada.
• Speeding up processing for family sponsorship applications.
• Issuing 80,000–84,000 LMIA-based work permits under the Temporary Foreign Worker Program—less than half of the 184,000 issued in 2023.
• Reducing the number of temporary residents to 5% of Canada’s population, and capping permanent resident admissions to 1% of the total population.
• Improving integration support through enhanced funding for settlement services.
• Expanding online passport renewal services.

Public Perception and Performance Goals

• IRCC aims to process 80% of applications within standard processing times.
• The department is targeting a 90% satisfaction rate among its applicants.
• IRCC hopes 65% of Canadians will support immigration levels by the end of the fiscal year—up from just 50% in 2024.
• International students and tourists are expected to contribute over $36 billion annually to the Canadian economy.

Policy Context

These new directions continue a broader policy shift seen since 2024, where the federal government tightened immigration due to pressures on housing, infrastructure, and public services. Canada also became more selective with international student permits and restricted low-wage job offers in areas with high unemployment.

The federal Immigration Levels Plan for 2025–2027 also included a notable 20% reduction in permanent resident intake, and a new focus on managing net temporary resident growth. Provinces were instructed to allocate 75% of their PNP nominations to people already living in Canada.

For a consultation about Immigration options, reach out to the CAD IMMIGRATION today!