Canada is rolling out a new accelerated immigration pathway for H-1B visa holders, aiming to attract highly skilled professionals from the United States, including Indians who are considered a vital part of the skilled workforce there. The plan, part of the 2025 Federal Budget, reflects Canada’s strategy to strengthen its innovation ecosystem and address labour shortages in advanced sectors.
The new policy comes at a time when many skilled workers in the US are facing visa uncertainty and rising fees under the H-1B programme.
According to the Canadian government, the initiative is designed to draw professionals in healthcare, research, and advanced industries, fields where Canada faces persistent workforce gaps.
The official statement said the programme will “strengthen Canada’s innovation ecosystem, address labour shortages, and attract top talent.” The government also sees it as a chance to boost productivity and retain global talent in sectors critical to long-term growth.
A RESPONSE TO THE US H-1B CHALLENGES
In recent years, the United States has tightened its visa rules, making it harder for skilled foreign workers to secure or renew H-1B visas.
In 2024, the US government increased visa filing fees and introduced stricter compliance requirements for tech companies.
Canada’s new pathway appears to respond directly to that shift, offering an alternative for thousands of professionals, mainly from India, currently based in the U.S.
Under the earlier Tech Talent Strategy announced in 2023, Canada had already opened temporary work permits for 10,000 H-1B visa holders in the US That programme received an overwhelming response, filling all available spots within 48 hours.
The new initiative expands on that success and aims to create a permanent channel for high-skilled migration.
The 2025 Federal Budget identifies healthcare, biotechnology, clean energy, and artificial intelligence as priority areas for recruitment. Canada has been facing shortages in these industries, particularly in medical professionals and STEM-related fields.
The government expects the new pathway to help companies in Toronto, Vancouver, and Montreal attract global talent that might otherwise go to Silicon Valley or Europe. It also supports Canada’s broader goal of positioning itself as a global innovation hub by 2030.
BROADER IMMIGRATION CONTEXT
The announcement comes amid strained relations between India and Canada, following reports that Canada rejected 74% of Indian student visas in August 2025, citing documentation issues and fraud concerns. Despite this, Indian nationals remain the largest source of skilled immigrants to Canada, particularly in technology and engineering roles.
By offering a clear and predictable route for professionals, the Canadian government hopes to attract displaced H-1B workers and strengthen its innovation-driven economy.
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