Canada’s Creative Approach to Luring Foreign Talent Impacting U.S. H-1B Visa Holders

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On July 16, 2023, the Immigration, Refugees, and Citizenship Canada (IRCC) enacted a new immigration program aimed exclusively at U.S. H-1B visa holders. The program announced that the annual cap of 10,000 applications had been reached in just two days, despite contemplating that the cap would be reached in one year. The Canadian Open Work Permit (OWP) Program does not require that the H-1B foreign national have a job offer in Canada and allows for the foreign national to remain in Canada for up to three years. The program may also lead to a path for permanent residence in Canada.

The program was created to attract foreign talent and is specifically aimed at U.S. H-1B visa holders – those primary applicants in possession of actual H-1B visa stamps, and already vetted and previously employed in the United States. The program mandates that H-1B visa holders present copies of their H-1B visa stamps and their I-797 Notice of Action and permits spouse and children to accompany the holders. Spouse and children may also apply for employment authorization.

Further requirements mandate that the H-1B applicant provide evidence that they currently reside in the United States; they may have to undergo biometrics and a medical examination for purposes of entry to Canada.

The program may further lead applicants to qualify for Canadian permanent residence and ultimately Canadian citizenship. Given the current severe employment-based backlogs in the United States for nationals of traditionally retrogressed countries including India and China, and possibly including more countries in the future, this creative and non-traditional method of one country to corral much needed foreign talent may soon be replicated by others. Several European countries are hungering for talent in the IT and STEM fields, artificial intelligence, and others. While the 10,000 cap in H-1B visa numbers will likely not affect the U.S. at the moment, it is clear that the U.S. should consider revamping not only the H-1B program, especially in light of the fraud this past filing period, but also understand that the global race for talent is on – and the time to work on overhauling our employment-based immigration system is now.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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