A major legal decision in Quebec has resulted in a $2.1 million settlement for hundreds of migrant workers who were allegedly misled into working without valid permits. The ruling by the Superior Court of Quebec approved compensation and imposed compliance obligations on companies involved in what was described as a fraudulent recruitment scheme.
Justice Catherine Piché approved the agreement, calling the case unusual because it involved workers who were induced to work under the false promise of obtaining valid work permits in Canada. The settlement was deemed fair, reasonable, and in the best interests of class members.
The class action was initiated by the Immigrant Workers Centre after it uncovered a system that allegedly encouraged migrant and immigrant workers to accept jobs without proper authorization. The lawsuit targeted several entities, including companies linked to Newrest, along with staffing and immigration firms accused of facilitating the scheme.
Who is covered by the settlement? The class includes people who worked since October 2020 without valid permits, including those employed in Montreal production units, as well as their heirs in cases where workers have died. Lawyers estimate that roughly 300 to 400 individuals may benefit, with average compensation expected to range between about $4,000 and $6,000 depending on claims.
Part of the settlement also recognised earlier efforts to regularise workers’ immigration status. Legal advocates worked with Immigration, Refugees and Citizenship Canada to create a special process allowing affected workers to apply for temporary resident permits and open work permits. Many applicants successfully obtained legal status through this initiative.
The court described this regularisation campaign as unprecedented, noting that it helped workers who often lacked knowledge of their rights, had limited financial resources, or faced language barriers. It also highlighted how the case contributed to broader awareness of exploitation risks within migrant labour systems.
Beyond financial compensation, the agreement imposes ongoing obligations on the companies involved. Employers must ensure migrant workers hold valid permits and receive the same working conditions as other employees. Independent audits and internal investigations were conducted, and disciplinary actions were taken against certain staff members.
The decision comes amid wider scrutiny of migrant labour conditions. Reports from groups such as Amnesty International and comments by UN experts have raised concerns about vulnerabilities within temporary foreign worker programmes, including power imbalances that can expose workers to exploitation.
Overall, the settlement is seen as an important step toward accountability and improved protections for migrant workers in Canada, while also highlighting the need for stronger oversight of recruitment practices and immigration processes. If you want, I can expand this further or adapt it for your migrants site editorial style.