The federal government has fined the owner of a Canadian Tire franchise in Etobicoke, a suburb of Toronto, more than $100,000 for breaking rules under Canada’s Temporary Foreign Worker (TFW) Program. The store owner, Ezhil Natarajan, is also the subject of a separate, ongoing investigation by Ontario’s Ministry of Labour over allegations of worker exploitation.
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Violations Include Wage Reductions and Job Role Changes
According to Employment and Social Development Canada (ESDC), which oversees the TFW program, Mr. Natarajan committed violations in two critical areas:
- Foreign workers were paid less or had working conditions that did not match the employment offer.
- Employees were assigned different roles than those for which they were initially hired.
Though ESDC has not released full details, these violations echo concerns raised over a year ago when several foreign workers at the store reported having their wages arbitrarily reduced and their job duties changed without consent or legal process.
Worker Testimonies Reveal Pattern of Exploitation
In 2024, The Globe and Mail reported that at least 13 foreign workers either quit or were terminated after complaining about unfair treatment at Natarajan’s store. One former employee, Rowell Pailan, stated that his hourly wage dropped from $20 to $16.55 after being demoted from a supervisor role to a shelf stocker—without a new work permit, a clear violation of TFW guidelines.
Employer Fails to Pay $111,000 Penalty, Banned from TFW Program
The fine, issued in July 2025, was published on ESDC’s non-compliant employers list. As of early October, Mr. Natarajan has not paid the $111,000 penalty, which has rendered him ineligible to hire through the TFW program going forward.
Mr. Natarajan did not respond to recent media inquiries about the fine. His lawyer has previously denied the allegations and indicated an intent to challenge them.
Ontario Labour Investigation Still Ongoing
In parallel, Ontario’s Ministry of Labour has been investigating Mr. Natarajan since 2024. A spokesperson confirmed that the probe remains active, but no decision has yet been made.
Recruiting Firm Also Fined for Illegal Practices
Further scrutiny has fallen on Allison Jones Consulting Services Inc., the recruitment firm Mr. Natarajan used to hire foreign workers. The company was fined $165,000 in June 2025 for illegally charging job placement fees to foreign workers—fees that are expressly prohibited under Ontario law.
Worker Rowell Pailan reported paying more than $10,000 to the recruiter for his position at Canadian Tire. This has sparked broader concerns about the recruitment and placement practices used by several Canadian Tire franchise owners.
Canada’s TFW Program: A System Under Fire
The Temporary Foreign Worker Program, originally designed to fill labour shortages in agriculture, retail, and other sectors, has long faced criticism for enabling worker exploitation. Its “closed work permit” structure ties workers to a single employer, making it difficult for them to leave abusive workplaces without losing their legal right to work in Canada.
Critics and Politicians Call for Overhaul
Political leaders, including Conservative Leader Pierre Poilievre, have ramped up criticism of the program. Poilievre has called for the abolition of the TFW program, linking it to rising youth unemployment and wage suppression in Canada.
Following a pandemic-era expansion that dramatically increased Labour Market Impact Assessment (LMIA) approvals, the federal government has recently moved to tighten eligibility criteria in an effort to reduce temporary resident numbers.
Some Workers Receive Protection Through Open Work Permits
Six of Mr. Natarajan’s former employees have since received open work permits through the Open Work Permit for Vulnerable Workers Program—a federal initiative designed to protect foreign workers facing abuse. One worker, whose name is being withheld due to fear of employer retaliation, accused Mr. Natarajan of issuing verbal threats and warning that non-compliance would result in reduced hours and pay.
Canadian Tire Responds with Policy Change—But Questions Remain
Canadian Tire has not confirmed whether Mr. Natarajan remains the franchise owner of the Etobicoke location. However, following media investigations in 2024, the company banned franchisees from using recruiters or immigration consultants who charge fees to foreign workers—a move aimed at ending exploitative hiring practices.
New Advanced Canada Workers Benefit Payment Arriving October 10
Final Thoughts: Is Reform Enough for the TFW Program?
This case is just one of many that highlight the deep structural flaws in the TFW program. While some workers have received support, many others remain vulnerable due to the program’s restrictive design and lack of enforcement oversight.
Rather than scrapping the program entirely, as some critics propose, there is a growing call for meaningful reform—including stronger protections for workers, transparent employer accountability, and an immigration pathway that does not depend on silence in the face of abuse.