Canada Sees Sharp Decline in International Students and Temporary Workers in 2025

Canada is witnessing a major shift in immigration this year, with a sharp drop in the number of international students 🎓 and temporary foreign workers 👷 entering the country. The trend is already signaling changes in both the education sector 🏫 and the labor market 💼.

📊 Study Permits Drop Nearly 40%

According to data released by Immigration, Refugees and Citizenship Canada (IRCC) on August 28:

• Study permits issued in Jan–Jun 2025: 149,860

• Same period in 2024: 245,055

• 🔻 A 38.9% decrease

• Monthly average fell from 40,842 ➝ 24,976

If the current pace continues, Canada is expected to issue around 300,000 study permits in 2025 — very close to the federal target of 305,900 🎯. This suggests that Ottawa’s efforts to create a more sustainable immigration system are on track.

⚖️ Changing Composition of Newcomers

The profile of newcomers is also shifting:

• Share of study permits: 69.2% ➝ 58.8%

• Share of Temporary Foreign Worker Program (TFWP) permits: 30.8% ➝ 41.2%

• Indian students 🇮🇳 saw the steepest decline, with permits dropping nearly 50% to 47,695.

🚫 Why the Decline?

The reduction is linked to new IRCC policies introduced in 2024, including:

• Caps on study permits ✍️

• Higher financial requirements 💰

• Stricter rules for the Post-Graduation Work Permit (PGWP) 🎓

• Limits on off-campus work hours ⏰

• Cancellation of the Student Direct Stream (SDS) fast-track ❌

🏫 Impact on Education

Universities and colleges are already feeling the impact. In British Columbia, Kwantlen Polytechnic University and Langara College have announced additional layoffs due to falling international enrollment. Universities Canada warns that 🇨🇦 risks losing access to the global talent it needs most.

👷 Decline in Work Permits

It’s not just students — temporary work permits are also down significantly:

• Work permits (Jan–Jun 2024): 245,137

• Work permits (Jan–Jun 2025): 119,234

• 🔻 A 51% decrease, meaning 125,903 fewer foreign workers entered Canada.

Looking ahead, the numbers could fall even further. In May, Finance Minister Mark Carney said the Liberal government plans to introduce additional restrictions on international students and temporary workers as part of its effort to ease the housing crisis 🏠.

🛂 Permanent Residents Still on Track

Permanent resident admissions are also expected to slow compared to last year. Under its three-year immigration plan, IRCC set a 2025 target of 395,000 new permanent residents.

• Already landed (Jan–Jul 2025): 246,300

• ✅ On track to meet the annual target.

💬 IRCC’s Statement

“Canada’s immigration system has long been a source of national pride 🇨🇦 and economic vitality 📈. We are now focused on building a more balanced system that restores public confidence while continuing to welcome newcomers.”

👉 Bottom line: Canada is tightening its immigration system, with fewer students and workers arriving this year. While the government says this will ensure long-term sustainability ⚖️, the ripple effects on universities, employers, and the economy will be closely watched in the months ahead.

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Canada Sees Sharp Decline in International Students and Temporary Workers in 2025