Struggling Tim Hortons franchisee cites limits to foreign workers: report
· Toronto Sun
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A Tim Hortons franchisee in Eastern Ontario hired more than half of its employees from Temporary Foreign Worker programs at some of its restaurants, according to a report citing bankruptcy court filings.
M.G.B. Ventures Inc., based in Alexandria, about 50 kilometres north of Cornwall, operates six Tim Hortons restaurants in the region including in Hawkesbury, Dunvegan, Vankleek Hill and L’Orignal.
According to a court affidavit obtained by Blacklock’s Reporter , the company indicated that 41 of 156 employees at its restaurants were temporary foreign workers. At its Alexandria location, nearly 83% — 19 of 23 workers — were hired from the program while the Dunvegan store employed 15 of 25 migrant workers — 60% of its staff.
Changes to foreign workers
M.G.B. Ventures Inc. blamed the bankruptcy proceeding on Canadian government changes to temporary worker programs.
“The Government of Canada significantly restricted Temporary Foreign Worker programs,” M.G.B. Ventures Inc. submitted to Ontario Superior Court. “As a result the company employs a lower number of temporary foreign workers.”
Canada Revenue Agency is owed $1.6 million while the Bank of Nova Scotia ($1 million) and Crown-owned Business Development Bank ($600,000) are other creditors named in the filing, the report said.
Last week, Ontario Superior Court Justice Marc E. Smith granted M.G.B. Ventures Inc. a 45-day extension to submit a proposal to creditors to sell the restaurants.
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‘Challenging’ to recruit employees
“The company operates restaurants in smaller Eastern Ontario communities where population is low and recruiting employees is challenging,” the owners wrote in a Bankruptcy And Insolvency Act filing. “To meet its workforce requirements the company participates in Temporary Foreign Worker programs.”
In 2024, the Liberal government reduced permits for temporary workers from 12 months to six months and also compelled companies in the restaurant industry to prove that they were attempting to hire not only Canadians but foreign residents such as “asylum seekers with valid work permits here” like Ukrainian war refugees.
However, some “time-limited measures” were put in place by the government that went into effect in April that allowed restaurant operators in “eligible rural regions” to increase the number of low-wage foreign workers.
‘Productivity challenges’
“Canada is facing a shrinking labour force and ongoing productivity challenges,” an Oct. 28, 2025 memo for the Deputy Minister of Industry quoted Tim Hortons operators.
“Persistent labour shortages continue to limit the restaurant industry’s operational success, forcing businesses to focus on survival rather than expansion.”
The government said the food sector was facing 63,000 job vacancies, but didn’t explain that number.
“Franchisees such as Tim Hortons across Canada are facing rising operational costs while trying to keep prices affordable for consumers,” said the memo. Tax breaks and migrant workers “would help franchisees maintain customer traffic and support affordability during a time of economic pressure.”