Thank you.
Thank you, Mr. Chair and members, for inviting the Agriculture and Agri-Food Labour Task Force to participate in your temporary foreign worker program review.
I am a farmer from Elgin County, Ontario. I’m the chair of the Canadian Agricultural Human Resource Council and the co-chair of Canada’s Agriculture and Agri-Food Labour Task Force.
The agriculture industry is a high-impact industry that is facing very critical workforce shortages, as Portia has mentioned. Currently the industry relies on international workers through the temporary foreign worker program to fill a portion of its vacant positions. Based on extensive research and industry consultation, improvements to accessing international workers are required for the agriculture and agri-food industry to succeed and grow.
The current mechanisms of the temporary foreign worker program are restrictive and difficult to use. Industry recommends that the agriculture and agri-food industry be removed from the existing temporary foreign worker program and a new, dedicated Canadian agriculture and agri-food workforce program be created to address the unique aspects of our industry. I am pleased to share the industry’s concerns and recommendations with you today to inform you on your review.
The agricultural and agri-food industry is a large and very impactful sector of the Canadian economy, contributing almost 7% to our country’s GDP. It is also the key driver of most provincial economies, producing food and agricultural products that support ever-increasing demand in Canada and around the world. Unfortunately, at this time the industry is struggling to address a both protracted and extensive labour shortage. Businesses are unable to find Canadians to work on their farms and in their processing facilities.
The industry, as Portia has mentioned, has tens of thousands of vacant positions that remain unfilled, vacancies that cost the industry billions of dollars in lost sales. As a farmer, there is nothing more discouraging than planting a crop and not having enough people available at key harvest times. That leads you to make decisions to not grow certain things.
Industry stakeholders have expressed significant concern about the immediate labour challenges facing Canadian agriculture and agri-food businesses and the risks to their viability and their growth in the future. This issue is critical and is affecting all aspects of the industry, including all commodities across the value chain. These shortages mean significant risks to the sector.
This issue has been well researched and documented in the Canadian agriculture and agri-food workforce action plan and is supported by the new agriculture labour market information research that the Canadian Agricultural Human Resource Council has recently released, which Portia spoke to.
The agriculture and agri-food industry has many unique workforce challenges that contribute to the current shortage. The industry, as mentioned, operates mainly in rural locations with limited availability to Canada’s workforce. Jobs involve handling live animals and plants, which will perish without dedicated attention. There are seasonal aspects to the work because of Canada’s climate, and the work is sometimes physical and strenuous. For these reasons, the industry struggles to meet its labour demands.
Hiring Canadian workers is the first priority of our industry. Employers expend extensive efforts to recruit and retain Canadians. However, when Canadian workers are not available to meet the workforce requirements for the industry, international workers are sought as needed to fill vacant positions.
The agriculture and agri-food industry uses various streams of the temporary foreign worker program, including the seasonal agricultural worker program, otherwise known as SAWP. Commodities not on the national commodities list and processors use the main part of the temporary foreign worker program.
The seasonal agricultural worker program is celebrating its 50th anniversary this year. SAWP is one of the longest-standing and most successful labour mobility programs in North America. Authorities from Canada and each participating country in the Caribbean and Mexico co-operate to run the program, in close coordination with employers, all the while safeguarding the labour rights of employees. Current research clarifies the value of the program to Canadian businesses and to the workers who participate in the program and bring their earnings back to their home countries. Both the SAWP and the agricultural stream programs have regulated wages, regulated housing, and a serious compliance regime. The labour task force recommends no changes to SAWP.
Not all agriculture and agri-food businesses can access the SAWP program, so other streams of the temporary foreign worker program are also used to fill vacant positions. The streams and rules are cumbersome and complex, yet access to international workers is essential to Canada’s farmers and processors. Without foreign workers, agriculture and agri-food businesses would have too many unfilled positions and would close.
Research clarifies that international workers secure Canadian jobs: every foreign worker in the seasonal agricultural program creates two additional Canadian jobs, every beef sector worker creates 4.2 additional Canadian jobs, and every butcher creates six additional Canadian trimmer jobs in meat processing plants.
These are important statistics.
When Canadian workers are not available, access to international workers is vital to meet Canada's food and agricultural production. The need to improve access to international workers is clear. Recent changes to the temporary foreign worker program have made things worse and have resulted in extensive challenges for the industry that are constraining the ability of Canadian agriculture businesses to succeed.
The industry struggles with the cumulative duration rule, which blocks Canadian-trained, uniquely skilled seasonal workers, such as beekeepers and grain farmers, from returning to their jobs after four years. These are positions that businesses depend on and for which they are unable to find Canadians.
Additionally, the 30-20-10 cap on the number of temporary foreign workers within a business is restricting operations such as meat processing plants, which are already facing excessive shortages.
Furthermore, there is a need to improve pathways to permanency to allow successful foreign employees access to viable ways to become permanent residents in Canada. Businesses want to keep their workers, and they are supporting them in various ways, including extensive language training. They are unable to retain their workers when pathways to permanency are limited or non-existent for some agricultural commodities.
When farms and processing plants are unable to fill positions, their ability to continue to operate is jeopardized. This is bad for business and bad for Canada.
Canada's Agriculture and Agri-Food Labour Task Force has expended extensive effort reviewing and analyzing workforce issues facing all aspects of the industry. The task force is composed of industry representatives from every aspect of the agriculture and agri-food value chain. This group has documented a solutions-oriented action plan that includes clear recommendations on much-needed improvements in securing workers for the industry. The agriculture and agri-food workforce action plan is backed by over 75 agriculture industry associations.
I'm going to conclude because time is limited.
Canada depends on the agriculture and agri-food industry in terms of economic activity and the valuable food and products it produces. Currently the ability of the industry to thrive is being thwarted because there are extensive job vacancies. The labour task force recommends that government partner with industry to fix the labour situation and deliver on the Canadian agriculture and agri-food workforce action plan to allow Canada to expand its market share and become the food supplier of choice to the world.
Thank you.