Restaurants Canada is calling on provincial governments to formally request a temporary increase to the cap on temporary foreign workers in rural regions, warning that restaurants are still waiting for a response weeks after the federal government made the measure available.
The federal government announced the temporary cap increase on March 13, allowing rural areas facing severe labour shortages to access more temporary foreign workers (TFWs) — but only if provinces submit a formal request. Employers became eligible to participate on April 1, but most have yet to hear from their provincial governments, the association says.
Kelly Higginson, president and chief executive officer of Restaurants Canada, said the need is immediate.
“We need long-term workforce solutions that include investments in youth training, technology and immigration with a path to permanent residency, but in the meantime, restaurants need workers now.”
TFWs make up three per cent of the foodservice workforce and are considered a last resort, the association says. Employers must demonstrate they have been unable to hire locally at the prevailing market wage before bringing in a TFW. The workers typically fill skilled roles such as chef or cook positions, or hard-to-fill shifts such as overnight work.
When those roles go unfilled, the association says restaurants are forced to cut hours, drop shifts or close entirely.
Rural communities
Higginson said the stakes extend beyond individual businesses.
“In some rural communities, restaurants may be the only source of local employment for youth. They are community gathering spaces, places for travelers and locals to have a meal. Losing a restaurant in these communities is devastating.”
Restaurants Canada notes that TFWs also fill gaps in communities with aging populations, shrinking workforces and declining youth participation rates.
Industry context
The association’s Many Hands Make Restaurants Work campaign draws attention to broader labour pressures in the sector. Despite ranking second among all industries for wage growth since 2021, the foodservice sector currently has 70,000 vacant jobs across Canada.
The industry employs more than 1.2 million people and serves more than 23 million visitors every day, according to Restaurants Canada. Thirty-nine per cent of foodservice workers are youth.
Restaurants Canada is a national, not-for-profit association representing Canada’s foodservice industry, which it describes as a $125-billion sector and the top source of first-time jobs in the country.
