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  • Essay / Unemployment and the Temporary Foreign Worker Program...

    More than five years after the 2008 economic crisis, the Canadian economy is still in troubled waters. Annual gross domestic product (GDP) growth has remained below 2% and below economists' forecasts (Hodgson, 2014), largely due to the delay in the US and European recovery. Added to this is the country's unemployment rate, which has hovered around 7% for more than a year, while the rate for 15-24 year olds is almost double, at 13.6% (Statistics Canada, 2014 ). Clearly, the country needs more jobs. However, at the same time, Canadian companies have called on temporary foreign workers (TFWs) to fill what they call a “job gap”: there are places in the country where the labor supply is work is non-existent and where outside help is needed to fulfill certain roles. This has ignited a storm of controversy, both in business and politics, with widespread accusations of corporate greed and government apathy, as unemployed Canadians appear to be passed over for available jobs. This paper will explore how TFWs play a necessary role in the economy and do not "take jobs" from Canadians, then analyze what governments and businesses can do to change the program, how immigration reform can play a role in job creation. and reducing unemployment, and the risks to the economy that focusing on a “skills gap” rather than a “jobs gap” can have. In order to understand the need for TFWs, it is important to determine exactly where workers are placed and what roles they fill. In total, 202,510 temporary foreign worker positions existed in 2012, an increase of approximately 50,000 compared to the previous year (Economic and Social Development Canada, 2013). Of these workers, almost 100,000, or half of the middle of paper, a field most Canadians would try to avoid. Ultimately, temporary foreign workers and unemployment are two intertwined issues that Canadian businesses and government officials will have to deal with as the economy seeks to restart and refresh. Even though TFWs do not have a significant effect on unemployment – ​​due to their need for unattractive jobs in inaccessible locations – they nevertheless open a debate about what the government should do regarding foreign workers and immigrants, how to ensure that Canadians are always taken into account. first for employment, and what type of “skills gap” actually exists in the country and how to address it. Canada's vast geography and abundant natural resources are both a blessing and a curse for its economy and employment. If politicians and business leaders can manage both effectively, the country will be a better place..