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Analysts warn Bill C-12 could let Ottawa freeze work-permit and study-permit streams

Dec 24, 2025
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Analysts warn Bill C-12 could let Ottawa freeze work-permit and study-permit streams
Business observers are still digesting the full implications of Bill C-12, but early legal analyses published on December 23 highlight clauses that would allow the immigration minister to suspend or revoke entire classes of temporary visas. Under proposed section 25.3 of the Immigration and Refugee Protection Act, the minister could act unilaterally for up to 24 months if an “emergency or exceptional circumstance” is declared.

Labour-law specialists interviewed by Business Standard say the language is broad enough to cover economic slowdowns, housing shortages or regional unemployment spikes. A future cabinet decision could, for example, halt Post-Graduate Work Permits or cap high-wage Labour Market Impact Assessments without warning. Similar mechanisms exist in Australia and the United Kingdom but normally require parliamentary oversight; Bill C-12 would make cabinet the sole arbiter in Canada.

Analysts warn Bill C-12 could let Ottawa freeze work-permit and study-permit streams


For multinational firms, the ability to move talent quickly into Canadian operations has been a competitive advantage. Technology executives in Toronto and Vancouver caution that investor confidence could be shaken if predictable talent pipelines are at risk of sudden closure. Colleges and universities that recruit fee-paying international students are also lobbying senators to amend the bill, noting that the sector contributes an estimated C$26 billion annually to the economy.

Government sources counter that the “pause power” is a safety valve intended for short-term crises and would be subject to judicial review. Still, immigration lawyers advise employers to front-load applications for key specialists and to diversify relocation destinations within North America until the regulatory landscape stabilises.

The Senate’s Legal and Constitutional Affairs Committee is expected to scrutinise the pause provision when hearings resume on January 13. Amendments could narrow the definition of “emergency” or require advance notice to stakeholders. Until then, businesses should map critical roles dependent on temporary visas and brief senior leadership on potential scenario planning.
Source: Business Standard

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