As Canada virus cases pass 1,000, asylum seekers to be turned back; jobless claims soar

In relief for Canada's agriculture sector, temporary foreign workers to be allowed in

OTTAWA/TORONTO (Reuters) - Canada will turn back asylum seekers who walk over the U.S.-Canada border, Prime Minister Justin Trudeau said on Friday, as economic damage from the coronavirus outbreak intensified and a ban on non-essential travel across the world’s longest undefended border was set to come into effect.

More than 500,000 applications for Canadian unemployment benefits were made so far this week, versus just under 27,000 in the same week last year, Trudeau said. The monthly number of unemployment insurance claims last year averaged 239,000.

“This is of course an unprecedented situation and it is putting a lot of pressure on our system, but we’re on it,” he told reporters outside his house, where he has been in isolation since his wife tested positive for the virus last week.

Air Canada (AC.TO), the country’s largest carrier, said on Friday it will temporarily lay off more than 5,100 employees.

The jobless claims indicate an unemployment rate over the next two months “probably the likes of which we have not seen in the post-war era,” said Bank of Montreal Chief Economist Douglas Porter.

The Bank of Canada on Friday said it would take additional measures to help ensure financial markets continue operating smoothly “given the rapidly evolving uncertainty”.

Canada’s tally of reported cases of the COVID-19 respiratory illness caused by the coronavirus has surpassed 1,000, along with 12 deaths.

It closed its borders to most foreign nationals and agreed with the United States this week to close their shared border. A notice from the U.S. Homeland Security Department (DHS) said restrictions will begin at 11:59 p.m. EDT Friday and last until April 20.

Trudeau said the measure to return asylum seekers who walk into Canada outside official border stations was a temporary one to protect the health of Canadians during the coronavirus outbreak.

Thousands have illegally crossed the Canada-U.S. border to file refugee claims in recent years, spurred by tougher U.S. immigration policies under President Donald Trump’s administration.

The Canadian Council for Refugees said it was “shocked” at the decision to turn back migrants.

As the border deadline approached, traffic was already snarled on some crossings early on Friday owing to stepped-up screening measures by the Canada Border Service Agency.

In a relief for Canada’s agriculture sector, temporary foreign workers are exempt from the restrictions.

Trudeau’s government has pledged C$27 billion ($18.6 billion) in support, which could blow out the fiscal deficit and lead to higher government borrowing by nearly 40%, according to Reuters calculations.

Additional reporting by Allison Lampert in Montreal, Moira Warburton in Toronto and Rod Nickel in Winnipeg; editing by Shounak Dasgupta, Jason Neely, Andrea Ricci, Marguerita Choy and Cynthia Osterman

In relief for Canada's agriculture sector, temporary foreign workers to be allowed in


OTTAWA (Reuters) - Canada will allow temporary foreign workers with valid visas to enter the country, officials said on Friday, offering possible salvation to the agriculture industry even as Ottawa moves to limit the spread of a coronavirus outbreak.

Canada’s labor-strapped farms rely heavily on nearly 60,000 temporary foreign workers to help plant and harvest crops like fruit and vegetables. They also account for about 3% of meat and seafood processors’ labor force.

Ottawa this week said it would close its borders to all foreign nationals, except U.S. citizens, prompting industry concerns about the potential damage to this year’s harvest.

Deputy Prime Minister Chrystia Freeland told reporters that “valid work and student visas to come to Canada will be respected... and that includes temporary foreign workers.”

Those individuals, like all persons entering Canada from abroad, will be required to self-isolate for 14 days upon arrival, she added.

Many of the workers come to Canada via the Seasonal Agriculture Worker Program. It allows farmers to hire workers from Mexico or certain Caribbean countries for a maximum of eight months, provided they can offer workers a minimum of 240 hours of work within a period of six weeks or less.

Farm groups said a lack of workers would challenge Canada’s agriculture supply chain.

In a notice sent on Wednesday, the groups sent a document to Prime Minister Justin Trudeau and his cabinet outlining suggested ways to get workers from countries whose borders or airports are shut to Canada, including the use of chartered flights, said sources with direct knowledge of the file.

The proposal laid out how farmers could maintain operational health and safety and ensure workers, who often live in close-quarters on farms, could self-isolate for 14-days upon arrival, the sources said.

A senior government official told Reuters on Thursday all options were on the table and discussions with provincial counterparts were ongoing.