Thank you, Mr. Chairman. Thanks for giving me the opportunity to speak today on the subject of closed work permits.
My name is Mark Chambers. I'm the VP of Canadian pork production for Sunterra Farms. Sunterra is a value-added food production company based in Alberta. We have primary agriculture production with grain, hogs, pork processing, a salami plant, and a greenhouse division producing strawberries and tomatoes. We also have a retail division in stores in Calgary, Red Deer and Edmonton, providing groceries to Alberta consumers.
Like many other businesses in Canada, Sunterra has been using the temporary foreign worker program for many years with great success. Most of the program for us has been used for closed work permits under the temporary foreign worker program, LMIA-dependent permits. It has enabled us to continue our operation with success, just as many other businesses in Canada have, especially in tight labour markets.
At Sunterra, we've used the program as a stepping stone for year-round employees to transition to becoming permanent residents of Canada. As an employer, we provide guidance and help in accessing the different PR streams while the employees continue to work. On many occasions, when a temporary foreign worker arrives in a rural community, they transition to a PR. Then they bring their family and stay in that rural community. That's been a real pillar for us.
This program has been a cornerstone in maintaining the balance of labour markets and safeguarding the interests of Canadians as well. It's especially true for agricultural and agri-food businesses. They are located in rural parts of Canada. We know that we have rural depopulation occurring in Canada, so recruiting Canadians to fill vacant positions can be very difficult.
While this program has been good for our business, it doesn't come without its costs and challenges, because four arms of the government are involved in facilitating this program—ESDC, Service Canada, IRCC and CBSA. As you can imagine, having all four departments work in sync can be a bit of a challenge. Very often, changes occur to the program—it's a very fluid program—and they're not always positive for users of the program. I do understand that at times the temporary foreign worker program is a little bit of a hot potato, but today they have introduced newer rules with ongoing inspections and unannounced inspections to ensure that the program is delivering the requirements to the employees who are using the program.
The program has made some great progress in reducing the time it takes to obtain an LMIA, a labour market impact assessment. That's through ESDC and Service Canada's efforts. They've done a great job of that. There's still a challenge on the side of IRCC on the time it takes to process work permits. Even within Canada, it can take up to four and a half months. From overseas and different countries, it can take even six or nine months to process a work permit. I think Fernando touched on this.
One misconception of closed work permits is that the employee is tied to an employer. While that may be true, it is not permanently true. If a temporary foreign worker does want to leave their current employer, they can apply to another producer or employer who has an LMIA or who can obtain an LMIA. They can submit an application online. Within about 10 days, they can start working for that new employer. That process was introduced through COVID. It was a very positive step and continues to be a very positive step.
Closed work permits do offer a sense of job security for the workers, as there is a contractual agreement between the employee and the employer. It states the agreed-upon hours, rates of pay, accommodation, travel and things like that.
There are some costs and nuances to the program. One in particular today is housing. We spent a lot of time with ESDC discussing this, because currently under the agriculture stream you can charge only $30 a week for on-site housing, even if the employee lives in a three-bedroom farmhouse alone. The little nuance is that if that employee chooses to move to town on their own behalf, that house must remain open in case they want to move back. If the employer needs to hire another temporary foreign worker, he then has to rent another house. I'm sure, as we know today, rent is not $30 per week. We've been continuing to converse with ESDC on that, but thus far we haven't reached any common ground.
One of the other things we've talked about many times with ESDC and Service Canada is having a stand-alone agricultural and agri-food program outside the temporary foreign worker program. These jobs are proven to be continually in demand and difficult to attract Canadians to, with the amount of recruiting we do. If we could have a stand-alone program outside the temporary foreign worker program, it would seem to make sense. It might reduce some of the challenges from the public, being that it's such a political hot potato.
In conclusion of my opening statement here, I think closed work permits are good for balancing the needs of workers and Canadians to ensure that there's a “Canadians come first” approach to the workforce. It also aids in getting workers to rural Canada, to the in-demand jobs that are needed there. Year-round employees have the opportunity to apply for permanent residency, and many of them stay with their families in the rural locations, which is very helpful for Canada, with the rural depopulation that's going on. At the time when they become a PR, their family members arrive and some of those family members also work in the rural workplaces, which also increases the workforce.
Immigration has been the backbone of Canada and continues to be part of our prosperity, so we need to ensure that we have immigration for rural Canada—