Intra-Company Transfers to Canada: A Guide for Global Employers
Canada is one of the top destinations for international businesses, and the Intra-Company Transfer (ICT) program offers a streamlined process for employers seeking to transfer skilled employees to Canada. This program allows international businesses to move qualified employees to Canadian branches, subsidiaries, or affiliates, facilitating the growth of their Canadian operations.
Here’s an overview of the Intra-Company Transfer program, who is eligible, and how companies can leverage this pathway to strengthen their Canadian presence.
What is the Intra-Company Transfer Program?
The Intra-Company Transfer (ICT) program allows multinational companies to transfer employees from foreign offices to Canadian branches, subsidiaries, or affiliates. It is designed to help companies strengthen their Canadian workforce by bringing in skilled workers with specific expertise that can contribute to business operations and growth.
Employees may be transferred under the ICT program to fill executive, senior managerial, or specialized knowledge roles in Canada. This program is beneficial for companies looking to expand or enhance their Canadian operations with individuals who are already familiar with the company’s practices and goals.
Types of Intra-Company Transfers
There are three main categories of employees eligible for the ICT program:
- Executives: These individuals hold top-level positions with significant authority in the company and are responsible for setting goals and policies. Executives typically manage large sections of the company and oversee important decision-making processes.
- Senior Managers: Senior managers are responsible for managing and directing teams or entire departments. They have a high level of authority in the company and are tasked with overseeing the company’s operations at a strategic level.
- Specialized Knowledge Workers: These individuals possess expertise in specific areas, such as engineering, technology, marketing, or operations. They are essential to the company’s unique operations and provide skills that may not be readily available in the Canadian labour market.
Eligibility Requirements
To qualify for an Intra-Company Transfer, both the employer and the employee must meet specific criteria:
- Employer Requirements:
- The company must have a qualifying relationship with the foreign entity, such as a parent company, subsidiary, or affiliate.
- The employer must be a legitimate, active business with operations both in Canada and abroad.
- Employee Requirements:
- The employee must have worked for the foreign company for at least one year in a full-time, continuous role before being transferred.
- The employee must be coming to Canada to work in an executive, senior managerial, or specialized knowledge capacity.
Work Permit Process for Intra-Company Transfers
Intra-company transferees do not require a Labour Market Impact Assessment (LMIA), which is typically required for most work permits in Canada. Instead, they can apply for a work permit directly through the ICT program.
The process involves several key steps:
- Employer Documentation: The employer must provide documents proving the company’s legitimate operations, such as proof of the qualifying relationship with the foreign entity and evidence of ongoing business activity in both Canada and abroad.
- Employee Documentation: The employee must submit evidence of their qualifications, including proof of employment for at least one year with the foreign company and the role they will occupy in Canada.
- Application Submission: Employees can submit their work permit application either online or at a Canadian visa office abroad. Once the application is processed, they will be issued a work permit that allows them to work in Canada for a specified period.
- Visa Requirements: Employees from certain countries may need to apply for a temporary resident visa (TRV) in addition to the work permit, depending on their nationality.
Duration and Extensions
The duration of an Intra-Company Transfer work permit typically depends on the position the employee is being transferred into and the company’s needs in Canada:
- Executives and Senior Managers: These individuals may be issued work permits that can be extended for up to 7 years.
- Specialized Knowledge Workers: These individuals can be issued work permits that can be extended for up to 5 years.
Work permits may be extended, provided the employee continues to meet eligibility criteria and the employer’s operations remain active and in need of their expertise.
Advantages of Intra-Company Transfers
The ICT program offers several advantages for both employers and employees:
- Faster Entry to Canada: Since the ICT program does not require an LMIA, the process is faster compared to other types of work permits, allowing employees to begin their work in Canada more quickly.
- No Labour Market Test: Unlike many work permits, ICTs do not require companies to prove that there are no Canadians or permanent residents available for the role, making it easier to fill specialized or executive positions.
- Work with Family Members: In many cases, employees transferred under the ICT program can bring their spouses and dependent children to Canada, where their family members may be eligible for open work permits or study permits.
- Pathway to Permanent Residency: While the ICT program is initially for temporary employment, employees may eventually be eligible to apply for permanent residency in Canada through pathways like Express Entry, if they meet the criteria.
Key Considerations for Employers
- Compliance with Canadian Immigration Laws: It is crucial for employers to ensure that their business and employees comply with all requirements for the ICT program. Failing to meet eligibility requirements or improperly managing employee work permits can result in penalties or refusal of work permits.
- Sufficient Documentation: Employers should be prepared to submit comprehensive documentation supporting the employee’s qualifications, the company’s relationship with the foreign entity, and the need for the employee in the Canadian operation.
- Regular Monitoring: Employers must keep track of the employee’s work permit expiration and ensure that any necessary extensions or updates are filed before the permit expires.
Conclusion
The Intra-Company Transfer program is a valuable tool for multinational companies looking to bring key personnel to Canada. It offers a streamlined process with fewer requirements than other work permits, making it an attractive option for businesses aiming to expand their operations or share expertise with Canadian branches. By understanding the eligibility criteria, application process, and advantages of this program, employers can successfully navigate the transfer process and benefit from a skilled workforce in Canada.
