Review of sweeping reforms to study permit policies: What to expect in 2024

Credit to Author: Canadian Immigrant| Date: Wed, 20 Dec 2023 14:21:43 +0000

For foreign nationals, a study permit represents an excellent opportunity to come to Canada, learn new skills and provide options to work and remain in Canada after graduation. However, with a national housing crisis and skyrocketing costs of living, many students are struggling financially. This puts students in a vulnerable position and at an increased risk of exploitation. Growing concerns that some post-secondary institutions are providing inadequate education for foreigners are also mounting.

On December 7, 2023, Immigration, Refugees and Citizenship Canada (IRCC) announced four sweeping changes to study permit policies, impacting both current and prospective international students.

In announcing the changes, Immigration Minister Marc Miller directly addressed this issue stating that “there are, in provinces, the diploma equivalent of puppy mills that are just churning out diplomas and this is not a legitimate student experience.”

Below is a deeper look into each of these policy revisions and their impacts on study permit eligibility and conditions for international students. 

Increases to cost-of-living requirements 

For the first time in decades, IRCC will increase the cost-of-living requirement for study permit applicants. When applying for a study permit, prospective students must demonstrate that they can support themselves and if applicable, their accompany family members, while in Canada. To do so, applicants must submit proof that have a minimum amount of “cost-of-living” funds, in addition to funds required for tuition and travel costs. The cost-of-living funds threshold has been set at $10,000 for a single study permit applicant since the 2000s. Effective January 1, 2024 however, single applicants will need to demonstrate that they have at least $20,635 for the cost-of-living requirement.

This increase may be prohibitive to some applicants, meaning fewer individuals may qualify for a study permit. Although this may be a side effect of the change, IRCC stated that raising the cost-of-living requirement is essential to ensure that international students are financially prepared for life in Canada and therefore less vulnerable to exploitation.

Additional points to consider about this policy revision:

• The cost-of-living threshold will be adjusted at the end of each year.
• The changes also apply to applicants under the Student Direct Stream.
• The Province of Quebec sets its own minimum funds threshold, meaning that students destined for Quebec need to check the specific guidelines set by the Province each year.

Extension of the waiver of 20-hour cap on off-campus work

IRCC’s temporary public policy allowing some international students to work-off campus more than 20 hours per week will be officially extended to April 30, 2024. The policy was originally set to end on December 31, 2023. This means that eligible current study permit holders can continue to work more than 20-hours per week off-campus without a work permit until April 30, 2024, coinciding with the end of the school term.

The policy was initially introduced back in November 2022 at a time when employers across the country were facing significant labour shortages in the post-pandemic economy. The policy aimed to fill these labour market needs by allowing students to work more hours off-campus during the school year.

When first introduced, the policy was met with some initial criticism. However, in the weeks leading up to its expiry, many students, universities and advocacy groups called for the extension of the public policy on a permanent basis. At this time, it is unclear whether the policy will be extended further. However, IRCC stated they are continuing to consider options for the future, including expanding the cap on off-campus work to 30 hours a week.

Additional points to consider about this policy revision:

• Students should always check the conditions listed on their study permit as there may be additional restrictions limiting working while studying.
• Full-time work will still be permitted on scheduled breaks such as summer holidays, but to take advantage of this option, individuals must be a full-time student both before and after the break.
• International students must comply with the conditions of their study permits at all times, including the requirement to actively pursue their course or program of study while they are in Canada.

Ending distance learning facilitation measures

As most post-secondary institutions moved to online instruction during the pandemic, IRCC introduced temporary measures allowing international students to pursue online studies from abroad while remaining eligible for a post-graduation work permit. As now most international students have returned to studying in person in Canada, IRCC announced that these measures will officially come to an end on September 1, 2024. As a consequence, after this date, only time spent studying in Canada will count towards the length of a future post-graduation work permit.

No more extended work permits for expired/expiring Post-Graduate Work Permits

Amidst post-pandemic labour shortages, IRCC introduced a special measure that allowed for international graduates with a recently expired or expiring post-graduation work permit to qualify for an additional or extended work permit of up to 18 months. These measures provided post-grads who wished to stay longer to opt to extend their work permit and allowed Canada to retain high-skilled talent. However, IRCC decided not to extend this policy any further. This means that after December 31, 2023, post-graduate work permits will once again only be issued up to a maximum of 3 years, depending on the length of studies.

Whether these particular policy changes will in fact protect students from vulnerable financial circumstances remains to be seen. What is clear however is that these changes are indicative of a broader critical review of the International Study Permit Program currently underway at IRCC, that will likely lead to more program changes – and more uncertainty for applicants. As this dynamic issue unfolds, IRCC has the precarious task of protecting the integrity of the Study Permit Program while respecting Canada’s economic need for international students.

Maxine Blennerhassett is with Canadian immigration law firm Larlee Rosenberg.

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