Travelling midway may tear down carnival for good if feds restrict temporary foreign workers

A midway in Manitoba has been encouraging thrill-seekers to “step right up” for more than 60 years, but the current owner worries new federal government rules may prevent him from welcoming more guests next year.

Ken Kiernicki said his Wonder Shows midway, a travelling carnival popping up at summer fairs throughout rural Manitoba, couldn’t operate without dozens of temporary foreign workers (TFWs) to assemble the rides and run the games.

“Basically, if I don’t get them, I’m going to shut my doors because I just can’t find people to work,” he said.

We operate “from the end of April to the end of August, and we haven’t even had one person come to the show office [this year] and say, ‘Hey, I want a job.'”

The federal government announced Monday it would cut back on the number of temporary foreign workers it accepts.

Ottawa specifically plans to refuse applications for low-wage workers in areas of the country with an unemployment rate of at least six per cent in most sectors, except in “food security sectors,” like agriculture, food and fish processing and industries with major staffing shortages like construction and health care.

Impact in Manitoba not yet known

It’s unclear at this point what the federal government considers a low wage, or if any parts of Manitoba may be impacted, as the unemployment rate in the province in July was 5.7 per cent, even though all employment sectors were being counted.

Kiernicki said over time it’s become more challenging to find employees for the midway he’s owned since 2000. He found interest from domestic workers was waning, and newcomers didn’t want to leave their families for the majority of the summer.

“We were just about ready to close the doors,” Kiernicki said.

That changed when midway operators in other provinces told him about the TFW program.

He welcomed his first 10 employees in 2019. He’s added five more seasonal workers, all from Jamaica, in every successive year, except for the two summers where pandemic restrictions grounded the midway. He’s planning to apply for 30 workers next year — more than half his entire staff of 45 to 50 people.

“They’re hard workers. They enjoy coming here for four months,” said Kiernicki, who explained the vast majority of his seasonal workers choose to return the next summer. “They’re here to save some money and have a little bit of a better life back home.”

Feds focused on low wages

Under the new rules, however, Wonder Shows — if it’s permitted to hire temporary foreign workers — would be prevented from hiring more than 10 per cent of its total staff through the TFW program.

Kiernicki said he couldn’t put on his show with only a handful of seasonal employees.

The federal government intends to curtail the number of low-wage temporary workers after some experts say the spike in foreign arrivals has fuelled unemployment among immigrants and young people.

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Housing Minister Sean Fraser — who was immigration minister when the TFW regulations were first relaxed in 2022 to address post-pandemic labour shortages — said clamping down on temporary workers will also alleviate some of the stress on the housing market, especially at the lower end of the spectrum where competition for more affordable homes is fierce.

In the case of Kiernicki’s workers, however, the company covers their lodgings. 

Starting wages at his midway are around $16, slightly higher than the provincial minimum of $15.30, but his employees earn more because they often work 60 hours a week and earn time-and-a-half pay for their hours above the standard work week.

He also spends roughly $4,000 in fees and flights for each temporary worker.

“I don’t like spending that money, but it makes the show go.”

Chamber worried about business impact

Manitoba Chambers of Commerce president and CEO Chuck Davidson said he’s worried the policy change will be detrimental to some businesses, especially those based in rural communities where the competition for workers is stiff.

“The reality is that businesses throughout the province, and this is not a big secret, have had a challenge with attraction of talent and immigration has been a key staple of a growing economy here in Manitoba and has been key for growing our workforce,” he said.

In recent years, businesses in Manitoba have been using temporary workers in greater numbers than ever before, particularly in the transportation sector.

A man wearing a black suit and blue and white tie speaks in front of reporters holding microphones.
Manitoba Chambers of Commerce CEO Chuck Davidson is eager to learn more about the new measures to the temporary foreign worker program, but he’s worried it could hurt some businesses that rely on the seasonal help. (Tyson Koschik/CBC)

An analysis of federal data shows Manitoba businesses in the trades, transport, equipment operators and related occupations sector were cleared to hire 1,467 temporary foreign workers in 2023 — an increase of 1,283 per cent from the 106 employees permitted in 2018, according to figures from Employment and Social Development Canada.

The Manitoba Trucking Association has heard complaints some foreign workers in its industry are being exploited with inadequate pay, benefits and protections — referring accusations to enforcement agencies in a bid to root out any misuse of the TFW program.

The association wasn’t available Monday to speak about the policy change, which may also impact some trucking businesses treating their employees well. 

The provincial government also wouldn’t provide an opinion on Monday regarding the federal announcement. Spokesperson Ryan Stelter said the government is reviewing the policy change.

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