Canada has announced a major immigration measure that could allow up to 2 lakh temporary residents already living in the country to transition to permanent residency by the end of 2027. The announcement, made on November 5 under Budget 2026 and the 2027–2029 Immigration Levels Plan, is aimed at retaining skilled workers, addressing labour shortages and bringing greater stability to the country's immigration system.
Under the proposed one-time transition programme, up to 2 lakh temporary residents will get an opportunity to become permanent residents. This measure will be implemented alongside the country's regular permanent resident admission targets.
Of the 2 lakh spaces, 1 lakh will be reserved for skilled workers eligible through the Express Entry system or the Provincial Nominee Programme (PNP). The government will coordinate with provincial and territorial administrations to identify workforce requirements and support the transition of eligible workers.
Canada sets permanent and temporary immigration targets
According to Immigration, Refugees and Citizenship Canada (IRCC), the 2027–2029 Immigration Levels Plan will maintain annual permanent resident admissions at 3.8 lakh for each of the three years.
The government has also set an annual target of 3.7 lakh new temporary resident arrivals during 2027, 2028 and 2029. This includes 2.2 lakh temporary workers and up to 1.5 lakh international students every year.
Of the 2.2 lakh worker arrivals, 1.7 lakh will come through the International Mobility Program, while 50,000 spaces have been allocated to the Temporary Foreign Worker Programme (TFWP). Employers hiring through the TFWP generally need to obtain a Labour Market Impact Assessment (LMIA), demonstrating that hiring a foreign worker is necessary and that no suitable Canadian citizen or permanent resident is available for the position.
Focus on skilled workers and economic immigration
The new plan places considerable emphasis on economic immigration, which will account for 64.4% of permanent resident admissions over the next three years. The move is intended to attract skilled professionals who can address persistent labour shortages, support economic growth and meet regional workforce requirements.
Canada has also announced higher targets for French-speaking permanent residents outside Quebec. Their share is expected to increase to 9.5% in 2027, 10.5% in 2028 and 12% in 2029.
Previous immigration commitments to continue
The federal government has also committed to completing two one-time initiatives announced under Budget 2025. These include permanent residence for up to 1.15 lakh protected persons already in Canada and 33,000 work permit holders during 2026 and 2027.
Through these measures, Canada aims to retain people already contributing to its economy while managing new immigration arrivals and reducing pressure on housing, healthcare and public services.
The proposed 2 lakh transition programme is an additional measure and does not mean that all temporary residents will automatically qualify for permanent residence. Eligibility and implementation details will be important for applicants to watch.
