• New Rules May Lower Minimum Salary for Some Foreign Workers
  • June 7, 2012
  • Law Firm: Fragomen Del Rey Bernsen Loewy LLP - New York Office
  • Canadian labor authorities restructured the minimum wage system for temporary foreign workers on May 25. Under the revised system, employers can pay temporary foreign workers a wage that is up to 15% below the median for a high-skill occupation and 5% below the median for a low-skill occupation, provided the wage is the same as that paid to Canadian workers in the same job.

    Employers paying Canadian workers more than the median wage are required to pay any foreign worker the same wage.

    Employers who do not employ any Canadian workers in an occupation must pay temporary foreign workers the median wage for the occupation.

    Employers must be able to clearly document that their temporary foreign workers make the same or higher wage than their Canadian workers if paying them below the median.

    Under prior rules, employers were required to pay temporary foreign workers the median wage for the occupation in the region where the foreign national would work regardless of the wage paid to their Canadian employees.