Law360 Canada (August 20, 2026, 3:04 PM EDT) -- Prince Edward Island is seeking input from residents on proposed regulations that would allow for greater scrutiny of employers who use temporary foreign workers — and penalties for those who break the rules.

The feedback will be used to form the regulations for the Temporary Foreign Worker Protection Act, which, among other things, establishes an employer registry and “introduce penalties for anyone who does not comply with the Act,” states a government news release.

The draft regulations of the Act were developed following public consultations in the spring of 2025.

For one, the new regulations would put in place a publicly accessible employee registry. A separate information page states the registry will “assist the province in identifying employers who hire foreign nationals, as well as determining whether employers use licensed foreign worker recruiters.”

Employers would also have to provide information about themselves, including whether they recruited foreign nationals directly or through a recruiter; the type of position to be filled by the worker; the educational and language requirements of the position; the wages and benefits offered; the number of foreign nationals they employ; and whether efforts were made to recruit Canadians or permanent residents for the positions.

The Act would also establish an “administrative penalty framework” and introduce penalties of between $500 and $3,000 for those who fail to follow the rules.

Penalties would double for repeat offenders.

P.E.I. Minister of Workforce and Advanced Learning Zack Bell said his province is “committed to making sure every worker … is treated fairly and has access to safe and transparent employment opportunities.”

“These new measures are about taking a proactive approach to building a strong system,” said Bell in a statement. “Employer registration will help us identify who is hiring foreign workers and ensure they are operating responsibly, while administrative penalties will provide important tools to enforce the law when violations occur. Together, they will help ensure we have the right safeguards in place to protect workers and maintain confidence in the system.”

The release notes the Act is being brought into force in phases.

Phase 1 took place back in April 2025. The information page speaks to this.

“This phase included a licensing requirement for recruiters involved in recruiting foreign nationals for employment in the province, helping to increase oversight and accountability within the foreign worker recruitment industry,” it states. “The province is now moving forward with Phase 2 of the Act, which will bring into force the employer registration and administrative penalty provisions.”

The number of temporary foreign workers in P.E.I. has been increasing over the last decade.

According to data compiled by Canada’s government, P.E.I. had 420 people holding work permits under Canada’s Temporary Foreign Worker Program in 2015. That number had increased to 1,460 by 2024 and dipped only slightly to 1,405 in 2025.

If you have any information, story ideas or news tips for Law360 Canada, please contact Terry Davidson at t.davidson@lexisnexis.ca or 905-415-5899.