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Journal article

Temporary foreign worker factor a rising challenge in Alberta and B.C

Date

2011

Authors

G. Meggs

Journal title

Business in Vancouver

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The $10 million class action suit filed recently in Vancouver against Denny’s Restaurants by 50 Filipino temporary foreign workers (TWF) underlines the critical need for regulation of this exploding section of the labour force.

The worker’s allegations of non-payment of wages and overtime – strenuously and categorically denied by Denny’s – are exactly the type of concerns that forced Alberta to create a temporary foreign workers’ complaint hotline and two storefront offices more than four years ago.

Alberta, with an estimated TFW workforce of 31,000 in 2009, and B.C., with about 18,000 TFWs, lead the country in the use of these employees. Both provinces rely more on TFWs than on immigrants to meet labour force requirements, despite a downturn during the 2008 recession.

Temporary workers have become a fixture in both provincial labour markets, regardless of rising unemployment.

But in Alberta, unlike B.C., the government has updated its labour standards enforcement – at least a little – to reflect the new reality.

“Our province has become a revolving door for a disposable workforce,” said Gil McGowan, president of the Alberta Federation of Labour (AFL), “rather than a welcoming place where immigrants come to build their lives.

“Despite much higher unemployment, particularly among young Albertans, we continue to bring in thousands of temporary foreign workers. This suggests that the TFW program was never about a labour shortage. It was – and is – about suppressing normal wage growth for the lowest-income Albertans.”

In response to pressure from the AFL, which hired its own legal advocate to push for justice for TFWs, the Alberta government opened storefront complaint services in Calgary and Edmonton and created a toll-free complaint line. Two years later, the labour ministry added eight inspectors in the face of a new wave of complaints.

Now even those measures are under review by Alberta Labour Minister Thomas Lukaszuk, who thinks it might be time to reconsider the entire program.

Lukaszuk was forced to act after the opposition New Democrats released government inspection records showing that 74% of employers inspected in 2008 were guilty of labour standards violations.

McGowan said his province must do more by raising regulation and monitoring to Manitoba standards for recruiters and employers.

But Alberta’s program is exemplary compared with this province, where there are no support services for temporary foreign workers and no inspection program.

In fact, Victoria is in the midst of a massive restructuring of contracts with immigrant support services that many believe will force closure of scores of the non-profits, particularly in rural areas.

Victims of employer wrongdoing do not just fade away. In many cases, they fade into the underground economy so they can send desperately needed cash to their families at home.

Just days after the Denny’s suit, B.C.’s Employment Standards Branch awarded $229,000 in back pay to 59 African workers who endured slave-like conditions while tree-planting for Khaira Enterprises.

While waiting for this meagre award, many of these workers became homeless, a costly burden for taxpayers that Khaira declined to shoulder.

Confronted with these realities, the federal government has invited TFW employers to register for a toothless voluntary compliance program that reinforces the need to respect basic Canadian laws on human rights, labour standards and worker safety.

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Economic sectors

General relevance - all sectors

Target groups

Public awareness and Employers, agencies and their representatives

Geographical focuses

Alberta and British Columbia

Languages

English