Canada is getting ready to make big changes to its immigration system between 2026 and 2028. According to Budget 2025, the government will launch new programs to help up to 33,000 temporary workers become permanent residents over 2026 and 2027.
At the same time, the new plan will reduce the number of temporary residents allowed to come to Canada, including international students and temporary foreign workers.
Here’s a breakdown of what’s changing and what it means for people planning to live, work, or study in Canada.
Key Highlights of the 2026–2028 Plan
Canada’s government is planning several updates that affect both temporary and permanent immigration categories.
- New PR Pathways for Temporary Workers:
The federal government will create a new program to help around 33,000 people with work permits transition to permanent residency in 2026 and 2027. - Lower Temporary Resident Targets:
Canada will reduce the number of people admitted as temporary residents (like students and foreign workers).- Temporary resident target for 2026: 385,000, down 43% from 673,650 in 2025.
- International student target for 2026: 155,000, down 49% from 305,900.
- Temporary foreign worker target for 2026: 230,000, down 37% from 367,750 in 2025.
- Stable Permanent Resident Targets:
The total number of people Canada plans to admit as permanent residents will remain at 380,000 for 2026 — the same as last year’s plan. - More Focus on Economic Immigration:
Around 64% of the 2026 immigration spots will go to economic immigration (such as Express Entry and Provincial Nominee Programs), up from 59% last year.
Permanent Residence Admissions: 2026–2028
While temporary immigration will see a decline, permanent immigration goals remain steady.
- 2026 target: 380,000 permanent residents (unchanged).
- Economic programs: 239,800
- Family reunification: 84,000
- Refugee and humanitarian programs: 56,200
- 2027 target: 380,000 (up slightly from last year’s 365,000 target).
- 2028 target: 380,000
The plan also highlights the government’s intention to support rural and remote communities and focus on industries affected by economic challenges or tariffs.
Fewer Temporary Residents, But a Smarter Approach
Although the targets for temporary residents are going down, the government says this doesn’t necessarily mean fewer people will come. In 2025, for example, Canada admitted far fewer temporary workers and students than it had planned, so lowering the targets simply brings expectations closer to reality.
From January to August 2025, only:
- 154,515 temporary foreign workers entered Canada (42% of the target).
- 89,430 international students arrived (29% of the target).
This adjustment will help Canada better manage housing, infrastructure, and labour needs while focusing on long-term immigration goals.
Changes to the Temporary Foreign Worker Program (TFWP)
Prime Minister Mark Carney and his government plan to reshape the Temporary Foreign Worker Program (TFWP) to make it more focused and strategic.
Carney said the program must target key sectors and regions where labour shortages are critical — instead of having a broad, open system.
Currently, Canada issues work permits through two main programs:
- Temporary Foreign Worker Program (TFWP)
- International Mobility Program (IMP)
Most work permits come from the IMP. In 2025, for example:
- IMP target: 285,750
- TFWP target: 82,000
In 2026, the combined total of both programs will be 230,000 work permits, an increase compared to last year’s plan (210,700).
What is the Immigration Levels Plan?
The Immigration Levels Plan is Canada’s roadmap for how many people can move to the country each year as temporary or permanent residents.
It usually sets:
- Firm targets for the upcoming year
- Projected (notional) targets for the next two years
The 2026–2028 plan continues the government’s strategy to balance population growth with housing and economic stability.
Here are the top-level targets:
| Year | Permanent Residents | Temporary Residents | Breakdown (Workers + Students) |
|---|---|---|---|
| 2026 | 380,000 | 385,000 | 230,000 workers + 155,000 students |
| 2027 | 380,000 | 370,000 | 220,000 workers + 150,000 students |
| 2028 | 380,000 | 370,000 | 220,000 workers + 150,000 students |
Why These Changes Matter
Canada’s immigration system has been under pressure due to record-high numbers of temporary residents. These new targets aim to create a better balance — keeping pathways open for workers and families while easing pressure on housing and services.
The new PR pathways for temporary workers show Canada’s commitment to helping those who already contribute to the economy settle permanently.
1. What does it mean to transition from temporary to permanent residence?
It means that people who are already in Canada on a work permit will get a chance to apply for PR without leaving the country. This helps skilled workers become long-term residents faster.
2. Will international students have fewer opportunities to study in Canada?
Yes, the number of study permits will go down, but qualified students can still apply. The focus is on ensuring schools and housing can handle the number of newcomers.
3. Are permanent residence targets being reduced?
No. The PR targets remain steady at 380,000 each year through 2028. The main cuts are in temporary programs.
4. Which immigration categories will get the most spots?
Economic immigration programs such as Express Entry and Provincial Nominee Programs (PNPs) will get the largest share — about 64% of all PR spots in 2026.
5. How will these changes affect future applicants?
Applicants should expect tighter requirements for temporary programs but stronger opportunities to move to PR if they’re already working or studying in Canada.
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