Intra-Company Transfer (ICT) Program allows the relocation of an employee from one country to another within the same company. The transferred employee can work in a different branch or subsidiary but remain employed by the same company.
The ICT program is often used by large multinational corporations that have operations in multiple countries. It allows companies to transfer employees with specialized skills or knowledge, without having to go through the lengthy process of obtaining a work visa for each employee.
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Intra-Company Transfer Program allows for the seamless transfer of key personnel, such as executives, senior managers, and specialized employees with unique skills and knowledge, to support the growth and expansion of Canadian operations.
Through the Intra-Company Transfer Program, employees may also have the opportunity to apply for permanent residency in Canada through certain immigration programs.
Canadian Experience Class (CEC) and Provincial Nominee Programs (PNPs) are two popular immigration programs that consider work experience in Canada as a strong factor in their eligibility criteria.
Compared to hiring new employees in different locations, the Intra-Company Transfer Program can be a cost-effective solution for companies.
This is because the relocation expenses of existing employees are often lower than recruiting and training new employees.
At Chitra & Associates, we provide services to help you with your application creation, immigration strategy, legal representation and even consultation services. Our team of experts will help you every step of the way to ensure that you have the best chance of success in your application. Contact us today to get started!
The Intra-Company Transfer Program is a Canadian immigration program that facilitates the transfer of foreign workers to Canada for temporary or permanent job assignments within their company's corporate structure.
This program aims to contribute to the growth and competitiveness of the Canadian economy by allowing businesses to bring in skilled workers from abroad.
If you are a business owner looking to expand your operations to Canada, the Intra-Company Transfer Program may be the perfect solution for you. This program allows eligible foreign workers to transfer within their company's corporate structure and come work in Canada.
Intra-company transferees who meet certain criteria may apply for work permits.
You can apply for Intra-Company Transfer if you are:
Employed by a multi-national company and seeking entry to work in a parent, subsidiary, branch, or affiliate of that enterprise.
Transferring to an enterprise that has a qualifying relationship with the enterprise in which you are currently employed, and will be undertaking employment at a legitimate and continuing establishment of that company. A reasonable minimum guideline for the duration of this relationship is 18–24 months.
To be transferred to a position in an executive, senior managerial, or specialized knowledge capacity.
Employed continuously (via payroll or by contract directly with the company) by the company that plans to transfer them outside Canada in a similar full-time position (not accumulated part-time) for at least one year in the three-year period immediately preceding the date of the initial application.
The Intra-Company Transfer Program offers a valuable avenue for multinational businesses to relocate three specific categories of staff to Canada: executives, senior managers, and employees with specialized skills.
Executive
These individuals are typically company owners, influential shareholders, or business partners.
They principally steer the company's management or a significant function within it.
They are responsible for establishing goals for the organization or top-tier management teams and have extensive decision-making power.
Their role is not generally linked to the production of a product or the provision of a service. Instead, they supervise managers who, subsequently, manage the teams accountable for product development or service provision.
Senior Managers
These individuals are primarily involved in overseeing the work of other managerial, supervisory, or professional employees.
They might also manage an essential function within the company or a department or division of the organization.
They typically do not engage in service delivery to customers or participate in product creation.
Workers with Specialized Knowledge
These individuals display high levels of proprietary knowledge and advanced expertise.
It should be noted that merely claiming proprietary knowledge or advanced expertise is insufficient for an applicant to qualify for relocation to Canada without first securing a positive Labour Market Impact Assessment (LMIA).
An Intra-Company Transfer Work Permit is specially designed for companies with branches in different countries and allows them to transfer certain employees from their international offices to a branch, subsidiary, or affiliate in Canada.
ICT Work Permit is particularly beneficial for multinational companies needing to exchange specialized knowledge or executive management personnel between their international and Canadian divisions.
It is employer-specific, meaning the employee can only work for the employer stated in the permit, at the specified location, and for the stipulated period.
Work permits under the Intra-Company Transfer Program are typically valid for a time period of 1 to 2 years. For employees associated with start-up companies, the validity of the work permit may be restricted to one year. Extensions for these permits can be sought, allowing specialized knowledge workers to extend their stay up to 5 years, and executives or managers up to 7 years.
However, immigration officials may limit the Intra-Company Transfer work permit duration to one year for employees intending to work with newly formed companies in Canada.
Interestingly, certain nationals from countries that are exempt from visa requirements may enjoy the privilege of a three-year Intra-Company Transfer work permit.
Citizens from visa-exempt countries like the United States, the UK, the EU, Australia, and Japan, could reap benefits from their nations' Free Trade Agreements with Canada, potentially acquiring a three-year Intra-Company Transfer work permit. The program provides an opportunity to secure a work permit through an exemption from the Labour Market Impact Assessment (LMIA) under code C12.
Thus, certain circumstances might necessitate an LMIA.
When renewing an intra-company transfer work permit, applicants need to prepare and submit a set of specific documents, each providing vital information about the applicant's status and their employer's operations.
Current ICT Work Permit: This document verifies the applicant's existing ICT work permit status. It should include key information such as the permit's validity period, the specified employer, and the nature of the work.
Evidence of Ongoing Qualifying Relationship: This serves as proof that the relationship between the applicant and the employer is still active and meets the requirements of the Intra-Company Transfer program.
Proof of Business Operations: These documents confirm that the employer is actively conducting business in Canada.
Staffing Records: These records demonstrate that the employer has a workforce in Canada.
Intra-Company Transferee should ensure these documents are up to date and accurately reflect their current situation and the ongoing operations of their employer. It's critical to prepare these documents carefully, as any discrepancies can affect the renewal process.
Intra-company transferees must bear in mind the maximum work permit durations set for their specific roles.
Once these durations are reached, and the ICT work permit expires, transferees must complete one full year of full-time employment in the company outside of Canada if they wish to re-apply as an intra-company transferee.
For specialized knowledge workers, this duration extends to 5 years, while for managers or executives, it lasts up to 7 years. Upon reaching these limits, the ICT work permits expire, signaling the end of the transferees' eligibility to work in Canada under the Intra-Company Transfer program.
However, this does not mark the end of their international careers. Intra-company transferees who wish to reapply as intra-company transferees have the option to do so, but they must first complete one full year of full-time employment with the company outside of Canada. This requirement ensures that transferees continue to foster a strong relationship with the parent company and maintain their specialized knowledge or managerial expertise, thus enhancing the value they bring upon their return to the Canadian division.
Although there are no required minimum investment amounts set by the Canadian government for companies venturing into Canada through the Intra-Company Transfer Program, such businesses are expected to be financially stable with sufficient capital to sustain their Canadian operations and additionally employ local workforce.
Hence, companies should be able to exhibit a gross sales record exceeding $250,000 annually along with access to liquid resources of at least $100,000 to cater to the operational expenses for the first year.
Beyond the principal investment capital, Intra-company transferees must also show that they possess additional financial resources or assets to support their Canadian business in case it doesn't achieve self-sustainability by the end of the first year.
Step 1: Establish Your Business' Canadian Identity
Set up your business in Canada as a parent, subsidiary, or affiliate of your home company. Make sure all legal formalities are fulfilled.
Step 2: Develop a Comprehensive Business Plan
Create a strategic business plan that details your proposed operations in Canada. This should include a thorough market analysis, your strategies for generating profits, and hiring plans for the upcoming 2-3 years, taking into account industry norms. Future cash flow forecasts should also be part of this in-depth document.
Step 3: Accumulate Necessary Documentation
Assemble all the mandatory documents, which may include your company's bank statements, articles of incorporation, proof of investment capital and other pertinent documents. These will be essential when preparing your work permit application.
Step 4: Submission of Work Permit application
Once all of the above steps are completed and your work permit application is ready, submit it for review and await the decision. Make sure all details are accurate to avoid any potential setbacks.
Entrepreneurs with flourishing businesses in their home nations are eligible to apply for the Intra-Company Transfer Work Permit with the intent to scale their operations to Canada.
However, there are additional prerequisites that entrepreneurs must fulfill to obtain a work permit under the Intra-Company Transfer program:
The main company should be operational for at least a year, preferably three years before branching out to Canada.
The main company should have a solid financial base and the capability to sustain foreign operations in Canada.
The aspiring intra-company transferee applying for an intra-company transfer work permit should have been employed or involved with the main company continuously for at least 12 months during the three years preceding the immigration application.
The main company should have a connection to the Canadian company, classified as a parent, subsidiary, or associate company.
The Canadian operation should be a feasible business and generate jobs for Canadians.
Is it your business' first expansion to Canada?
If it's your first business expansion to Canada, immigration officers will validate the following:
A robust business plan attests that the Canadian operations will be a feasible business and generate enough revenue to cover its costs and pay its employees.
The expansion will lead to job creation for Canadians.
The company has enough scale to necessitate an executive or a manager in Canada.
Applicants for the Intra-company transfer program must provide the following documentation:
Confirmation of Current Employment
Employment History
Job Description
Proof of Specialized Knowledge
Canadian Job Outline
Duration of Stay
Enterprise Relationship Description
In Canada, intra-company transferees may be eligible to apply for permanent residency after obtaining and maintaining legal status in the country.
This process is not automatic and depends on individual circumstances.
After living and working in Canada, they may qualify under programs such as the Canadian Experience Class (CEC), a part of the Express Entry system, or through Provincial Nominee Programs (PNPs).
The Canadian Experience Class is a part of the Express Entry system, a program that fast-tracks the immigration process for intra-company transferees who have at least one year of skilled work experience in Canada.
On the other hand, the Provincial Nominee Program offers an alternative route to permanent residency. PNPs allow Canadian provinces and territories to nominate individuals who wish to immigrate to Canada and are interested in settling in a particular province.
Intra-company transferees aspiring to become permanent residents should thoroughly evaluate all available options and determine which immigration program best suits their circumstances.
The Intra-Company Transfer Program offers a multitude of benefits for organizations and their employees that extend beyond its basic premise of fostering company expansion and facilitating workforce movement.
No Minimum Investments: Unlike other immigration programs, the Intra-Company Transfer Program does not stipulate a minimum investment threshold. This allows companies of all sizes to consider expanding their business in Canada without heavy initial capital requirements.
Family Inclusion: The Intra-Company Transfer Program is family-friendly. Intra-Company Transfer Transferees are allowed to bring their immediate family members with them to Canada, offering a high-quality life experience for the entire family.
No Physical Presence Requirement: Crucially, the Intra-Company Transfer Program does not mandate that the applicant be physically present in Canada during the application process. This flexibility can reduce disruption to the applicant's current work and life arrangements.
Option for Permanent Residency: The Intra-Company Transfer Program also opens the door to permanent residency in Canada. This offers a long-term option for those who wish to make Canada their home.
Transfer Key Staff: The Intra-Company Transfer Program enables companies to transfer their key staff, including executives, senior managers, and employees with specialized knowledge, to their Canadian operations. This helps ensure consistency in operations and maintain the company's standards across borders.
Fast-Tracked Process: Lastly, the Intra-Company Transfer Program often provides a faster processing time compared to other immigration programs. This rapid turnaround can be incredibly beneficial for companies looking to get their operations up and running quickly in Canada.
On average, Intra-Company Transfer can take anywhere between a few weeks to several months. Check your processing time here.
It is crucial to apply well in advance of the intended transfer date to account for potential delays.
To expedite the process of your Intra-Company Transfer applications, aspiring Intra-Company Transferees should ensure that all the required documents are submitted correctly and the application is filled out in detail.
Yes, you can bring your spouse and child to Canada if you get your Intra-Company Transfer Work Permit. They may be eligible for open work permits and study permits respectively.
Yes, you can renew your Intra-Company Transfer Work Permit before it expires. It's advisable to start the renewal process at least 30 days before your current permit expires to maintain your status and continue working legally.
An Intra-Company Transfer Work Permit does not typically require a Labour Market Impact Assessment (LMIA). The Intra-Company Transfer Work Permit is designed to facilitate the transfer of employees from an overseas office to a Canadian office of the same company.
No, you cannot work for another company while on an Intra-Company Transfer Work Permit. The permit is specific to the employer and role that sponsored your transfer
The Intra-Company Transfer Work Permit is an employer-specific work permit. This means it's tied to the employer who sponsored your application and you are not allowed to work for another employer on this permit.
When it comes to work permits in Canada, there are two prominent types: employer-specific work permits and open work permits.
An employer-specific work permit, as the name suggests, is tied to a specific employer. This implies that the holder of such a permit can work only for the employer mentioned in the permit. The permit also specifies the location where the work is to be performed and the duration of work. This type of permit is often issued under the Intra-Company Transfer program, allowing employees to work for a specific branch, affiliate, or subsidiary of their current employer in Canada.
On the other hand, an open work permit provides greater flexibility to the permit holder. It is not restricted to a specific employer or location, allowing the holder to work for any employer in Canada.
If you are from a visa-exempt country, you may be able to apply for an Intra-Company Transfer Work Permit at Canada’s Port of Entry (POE).
There is generally no language requirement for the Intra-Company Transfer Program. However, having proficiency in English or French can be beneficial for your stay in Canada.
You can apply for permanent residency in Canada after you have worked as an Intra-Company Transferee for at least one year. However, you will need to meet other eligibility criteria set by the Canadian immigration authorities. Take a profile eligibility assessment to find out.
Canada's employment landscape offers alternative pathways for individuals seeking work permits, such as the Global Talent Stream and Provincial Nominee Program, which may serve as alternatives to the Intra-Company Transfer (ICT) Program.
Global Talent Stream (GTS) is a part of Canada's Temporary Foreign Worker Program ideal for innovative firms in Canada that need to access unique and specialized foreign talent, or for foreign workers with skills that are in high demand in Canada's job market.
Provincial Nominee Program (PNP) allows provinces and territories in Canada to nominate individuals who wish to immigrate to Canada and who are interested in settling in a particular province. These programs are designed to help skilled workers, semi-skilled workers, and entrepreneurs with the skills, education and work experience to contribute to the economy of that province or territory.
Both the Global Talent Stream and Provincial Nominee Program offer viable alternatives to the ICT Program depending on your individual circumstances and the specific needs of your business.
“Qualifying relation” in the Intra-Company Transfer Program refers to the relationship between the overseas company and the Canadian company. This could be a parent company, branch, subsidiary, or affiliate relationship.
Although business owners need to work towards realizing the objectives outlined in the plan, there is no formal retribution for not hitting the initially stipulated targets. It is, instead, a testament indicating that an entrepreneur has conducted in-depth feasibility studies prior to branching out into the Canadian market, gaining a robust comprehension of the local market dynamics and competition.
If your company doesn’t show a profit in its first year, it doesn't necessarily mean you'll lose your Intra-Company Transfer Work Permit. The profitability of the business is just one of many factors that immigration officials consider when reviewing your work permit status.
Nonetheless, your business must be authentic and actively involved in operations, implying that it should be providing goods or services to its clients. Moreover, your organization should possess a tangible location, such as an office or warehouse, and should employ a minimum of one Canadian workforce member who holds a Permanent Residency or Canadian citizenship.
