Goodbye to Open Work Permit Extensions: New $230 Work Licence Fee Applies From 10 January 2026

Canada Work Permit Extensions – Canada is entering a new phase in its immigration system as temporary foreign workers face a major rule change starting January 10, 2026. The end of open work permit extensions marks a significant shift, especially for individuals who relied on low-cost renewals to maintain legal status. Under the updated policy, a new $230 work licence fee will apply, affecting thousands of workers across the country. This change reflects Canada’s effort to tighten processing controls, reduce backlogs, and standardize permit costs, while encouraging timely applications and clearer compliance within the labour market.

Goodbye to Open Work Permit Extensions
Goodbye to Open Work Permit Extensions

Open Work Permit Fee Change Impacting Canada’s Temporary Workers

The new $230 work licence fee replaces the previous extension-friendly system that many temporary residents in Canada depended on. Earlier, open work permit extensions offered flexibility for individuals waiting on permanent residency decisions or employer approvals. With the revised approach, Canadian immigration authorities aim to streamline applications and ensure cost recovery. For workers across Canada, this means budgeting carefully and submitting applications earlier to avoid lapses in legal status. The policy is expected to particularly affect international graduates, bridging permit holders, and spouses of skilled workers who previously benefited from extension leniency.

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New Work Licence Rules for Foreign Workers Across Canada

Across Canada, foreign nationals must now adjust to stricter timelines and clearer fee structures under the updated work licence rules. The removal of open work permit extensions means applicants can no longer rely on automatic continuations while files are under review. Instead, Canadian workers must apply for a fresh licence and pay the full $230 fee. This approach encourages compliance and reduces long-term uncertainty in the system. Immigration consultants note that the change may initially increase application volumes, but it is designed to create faster, more predictable outcomes for workers and employers alike.

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Category Old Rule New Rule (From Jan 10, 2026)
Open Work Permit Extensions Allowed in many cases Discontinued
Work Licence Fee Lower or waived $230 mandatory
Application Type Extension-based Fresh application required
Status Continuity Implied status common Stricter timelines apply

How Canadian Immigration Policy Is Reshaping Work Permits

Canadian immigration policy is increasingly focused on predictability and administrative efficiency. By ending open work permit extensions, the government aims to reduce prolonged temporary stays without clear outcomes. For immigrants in Canada, this means better planning around job contracts, employer sponsorships, and permanent residence pathways. While the $230 fee adds a financial layer, policymakers argue it supports system sustainability and faster processing. Workers are encouraged to track expiry dates closely and seek professional guidance to align their applications with the new requirements.

What Temporary Residents in Canada Should Prepare For Next

Temporary residents in Canada should treat this policy shift as a signal to plan earlier and more strategically. Employment continuity will depend on timely licence submissions and accurate documentation. Many workers may need to coordinate more closely with employers to secure job offers or Labour Market Impact Assessments where required. Although the change may feel restrictive, it also provides clearer expectations for those navigating Canada’s work permit system. Staying informed and proactive will be essential to avoid disruptions under the new rules.

Frequently Asked Questions (FAQs)

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1. When does the new $230 work licence fee start?

The new fee applies to eligible work permit applications submitted from January 10, 2026.

2. Are open work permit extensions still allowed in Canada?

No, open work permit extensions are being discontinued under the updated rules.

3. Who is most affected by this work permit change?

Temporary foreign workers, international graduates, and spouses on open permits are most impacted.

4. Can workers stay in Canada while their new licence is processed?

Status continuity depends on timely application submission and compliance with the new guidelines.

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Author: Ruth Moore

Ruth MOORE is a dedicated news content writer covering global economies, with a sharp focus on government updates, financial aid programs, pension schemes, and cost-of-living relief. She translates complex policy and budget changes into clear, actionable insights—whether it’s breaking welfare news, superannuation shifts, or new household support measures. Ruth’s reporting blends accuracy with accessibility, helping readers stay informed, prepared, and confident about their financial decisions in a fast-moving economy.

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