Construction Union Demands Pause on Foreign Worker Program Amid Abuse Claims

The International Union of Painters and Allied Trades (IUPAT) is urging the Canadian government to pause the Temporary Foreign Worker program in the construction sector, citing “rampant” employer abuse. The union is calling for an independent audit to investigate the extent of fraud and misuse within the program.

The demand comes after IUPAT’s local unit in Burnaby, BC, DC38, uncovered financial abuse of migrant workers at a British Columbia painting company. Dan Jajic, business manager of DC38, alleges that some construction companies are using the TFW program to undercut competitors by submitting lower-cost bids, effectively taking contracts away from businesses paying living wages to Canadian workers.

The union’s investigation focused on Concord Painting and Wallcovering Ltd., a Burnaby-based company. According to IUPAT, temporary foreign workers were allegedly forced to perform unpaid overtime and charged above-market rents for employer-owned housing. 

Altamira Gold Corp. — sponsored Sponsored · Altamira Gold Corp.

One Indonesian worker reported being offered a wage of $23 per hour with overtime pay before arriving in Canada. However, upon arrival, he claims Concord informed him of a lower wage and unexpected costs, including rent and repayment of a supposed “debt” for bringing him to Canada. Bank statements show significant deductions from the worker’s earnings — over $1,000 to cover the supposed debt, room, and board in a house shared with eight other people.

Concord’s general manager, Motor Ma, denied these claims, claiming that all overtime was paid in accordance with provincial labor laws.

IUPAT argues that the closed work permit system, which ties workers to a specific employer, exacerbates power imbalances and leaves foreign workers vulnerable to exploitation. A recent United Nations report described the TFW program as a “breeding ground for contemporary forms of slavery” partly due to this system.

A recent investigation by the Toronto Star also revealed that the government expedited applications for the program by “directing processing officers to skip crucial steps designed to prevent fraud.” 

While the Canadian government recently announced restrictions on the low-wage stream of the TFW program, the construction sector remains exempt from these changes. IUPAT is pushing for greater accountability and stricter regulations to prevent abuse within the program.

“It is rampant for abuse and I believe it is happening all over,” Jacic pointed out.

“We want employers who are abusing these systems to know that there are penalties and you cannot get away stock-free.”


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

8 Mining Stocks Our Viewers Asked Us to Review | Sept 14th-18th

Canada Is Finally Fast-Tracking New Mines | John Passalacqua – First Phosphate

Gold & Silver Just Added $2 Billion to This Project | Aya Gold – Bourmadine PEA

Recommended

Mercado Minerals Signs LOI for La Franca, Adding 750 Metres of Undrilled Vein at Zamora

Goliath Hits Visible Gold In Bonanza Zone Step-Outs, Drills 9.12 g/t Gold Equivalent Over 11.27 Metres

Related News

Ottawa to Offer Low-Cost Construction Loans to Build More Student Housing

Housing Minister Sean Fraser on Monday announced a new initiative to support the construction of...

Tuesday, January 30, 2024, 03:48:00 PM

Tim Hortons Pressed Ottawa for Higher Foreign Worker Cap Over 18 Months

Tim Hortons and its parent company have spent more than 18 months pushing Canadian officials...

Friday, December 5, 2025, 03:10:00 PM

Canada Sees Record-High Surge of Asylum Claims Filed by International Students

Nearly 14,000 international students in Canada filed asylum claims in the first nine months of...

Thursday, November 21, 2024, 02:09:00 PM

Pierre Poilievre Calls for End to Canada’s Temporary Foreign Worker Program

Conservative Leader Pierre Poilievre demanded Wednesday that Canada’s government immediately scrap its Temporary Foreign Worker...

Thursday, September 4, 2025, 11:21:00 AM

The Growing Cost of Mass Immigration on Canadians

Canada, long celebrated for its welcoming stance towards immigrants, now finds itself at a crossroads...

Saturday, August 10, 2024, 08:43:29 AM