Temporary foreign worker changes side-swipe fashion industry

Canada's fashion industry appears to be the latest sector of the economy side-swiped by changes announced earlier this summer to the Temporary Foreign Worker Program.

Fashion industry companies that hire foreign models saythey have been lumped into the same category as employers who hire low-skilled workers in the fast-food industry.

• Businesses needing skilled workers sideswiped by changes

Canadian retailers, modelling agencies, photographersand hundreds of other members of the fashion industry arecalling on the federal government to expedite applications to bring in foreign modelsand eliminate the $1,000 fee employers must payfor every foreign worker they hire.

Alecia Bell, president of Toronto's Elite Model Management, one of the world'smost prestigious modelling agencies, says she recentlylost a contract worth $300,000due to delays created by the changes, and fears the new rules will put more Canadian jobs at risk.

In an interview with CBC News, Bell explained that not receiving a work permit in time to hire a foreign model meant 25 to 35 Canadian jobs had to get cancelled including hair and makeup artists, stylists, photographers, videographers, equipment rentals, caterers and car services. "The trickle-down effect is massive.

"These are people that rely on us for their income...while they may not work for three weeks, they have rates that are established for that one or two weeks of work that are high enough to substantiate their profession. Losing that client is devastating financially."

Bell said Canadian retailers such as HoltRenfrew, Hudson's Bay Company, Reitmans, Suzy Shier, just to name a few must hire foreignmodels for their catalogue shoots in order to compete with international retailers operating in Canada.

While Canadian clients do support and hire homegrownmodels, Bell said the local talent poolis small.

A second client recently told Bell itsees the $1,000 fee per foreign worker as"cost-prohibitive." Coupled with the delays in obtaining work permits, the client told her it will take a $500,000 shoot to New York at the end of August because itcan't risk losing the foreign models itneeds.

Bell, backed by over 150 members of the fashion industry, has requested an urgent meeting with Immigration Minister Chris Alexander. She has also written to Employment Minister Jason Kenney.

Members of the fashion industry have also launched two separate petitions, posted on Change.org,urging the government to consider the "economic hardship" the new rules are having on their business. To date, both petitions have collected 300 signatures.

High-skilled or low-skilled?

Fashion employers are the latest group to come forward with complaints the new rules are having a negative impact on their ability to hire high-skilled workers.

Groups in the tourism, health, tech and business community have also been inadvertently affectedby rules intended to curb alleged abuses in the program.

Representatives ofthe film and TV industry met with Alexander in July, whenthey were given his personal assurance thatwork permits for foreign actors and directors wouldbe issued in a timely manner. Employers who hireforeign musicians have managed to get anexemption from the new rules.

Thegovernment has promised to process applicationswithin 10 business daysfor employers who want to hire high-skilled foreign workers.

Butwhether a job is considered high-skilled or low-skilled is no longer determined by a standardized list of occupations in the labour market but by whether the position falls above or below the provincial median hourly wage.

In cities like Toronto and Montreal, hubs for the fashion industry in Canada, that ratestands at $21 in Ontario and $20 in Quebec.

The government has defended the new system calling it "more objective and accurate," but Bell said it doesn't reflect the way models are paid.

"It's not an accurate assessment of our industry at all," Bell said addingthat foreign models get paid anywhere from $100 an hour to upwards of $500 an hour, not to mention they don't work a traditional 9-5 job.

"I was even further concerned that no one thought to speak with us about such a significant change."

Employers in the tourism industry, such as David Lynn,the president and CEO of the Canada West Ski Areas Association, told CBC News last month thenew system is too simplisticand doesn't factor inthe total compensation, including things like bonuses and gratuities.

Bell told CBC News that after repeated attempts at reaching the government, the office of Immigration Minister ChrisAlexander got in touch with herto set up an upcoming meeting.

Alexander's office declined comment on this specific case, referring CBC News to EmploymentMinister JasonKenney's office.

Kenney's office declined to specifically comment on the fashion industry's plea for concessions, but said the changes to the program were made after a thorough review to "ensure that employersput Canadians first and do more to recruit Canadians at home before hiring temporary foreign workers."