The Canadian government has updated its guidance for intra-company transfers (ICT).

Key Points:

  • Immigration, Refugees and Citizenship Canada (IRCC) introduced updates under section R205(a) of the Canadian Interests — Significant Benefit program.
  • Officials clarified that intra-company transferees must be currently employed in an executive, managerial or specialized knowledge capacity transferring from a foreign enterprise of an existing multinational corporation to be considered for the ICT immigration pathway. IRCC provided further guidance on how to assess whether the enterprise is considered a multinational corporation.
    • A multinational corporation will now be defined as a company that has business operations in a least one country other than its home country that generates revenue beyond its borders.
  • IRCC also clarified additional details on the eligibility criteria for foreign nationals for intra-company transfer, specifically surrounding remote work.
    • A reasonable explanation of why a foreign national must be in Canada will now be required if the work can be completed remotely.
    • Intra-company transferees must now work at the physical commercial premises where business operations are conducted to be eligible for ICT. Going forward, individuals will not be eligible if business operations are not conducted on physical commercial premises.

Additional Information: IRCC officials stated that ICT should not be used to transfer an enterprise’s general workforce to affiliated entities in Canada. The government is also redefining “specialized knowledge” and whether certain positions require specialized knowledge. The government is releasing policy updates affecting temporary work permit applications, including the changes announced here for intra-company transfers.

BAL Analysis: Employers should be aware of these important changes. BAL will continue to monitor developments and will provide more information as it becomes available.

This alert has been provided by the BAL Global Practice Group.

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