Education Journalist | Study Abroad Strategy Lead | Updated On - Apr 10, 2026
Indian students enrolled in co-op and internship programmes in Canada no longer need a separate work permit to complete their placements — a change that took effect on April 1, 2026. The move eliminates a long-standing administrative requirement that had forced students to hold two permits simultaneously to complete a single degree programme.
Immigration, Refugees and Citizenship Canada (IRCC) confirmed the change on April 9, 2026, stating that a valid study permit with on-campus work conditions is now sufficient for eligible post-secondary students to participate in work-integrated learning placements — including co-ops, internships, practicums, and mentorships — provided the placement is a mandatory component of their programme and accounts for 50% or less of total programme duration.
As of January 2026, Canada had 460,695 active study permit holders. Indian students have historically made up close to 40% of Canada's international student population, making this one of the most consequential administrative changes for Indian students currently enrolled in STEM, business, and engineering programmes with mandatory co-op components.
What Changed on April 1
Previously, any international student enrolled in a programme with a co-op or work-integrated learning component was required to obtain a separate co-op work permit in addition to their study permit. The two permits had to be held simultaneously — a process that added cost, paperwork, and processing delays, and in some cases caused students to miss placement start dates.
Under the new rules, the co-op work permit requirement is removed entirely for eligible post-secondary students. One study permit now covers both studying and working as part of the programme.
IRCC said it will also withdraw all pending co-op work permit applications. Students who had already applied do not need to take any action — IRCC will notify them directly.
The eligibility conditions under the new system are:
- The student holds a valid study permit with on-campus work conditions
- The work placement is confirmed as a programme requirement by the Designated Learning Institution (DLI)
- The student is enrolled full-time at a post-secondary DLI
- The programme is at least six months long and leads to a degree, diploma, or certificate
- The work placement totals 50% or less of the overall programme
Secondary school students are not covered by this change and still require a co-op work permit.
The PGWP Gap: What's Still Being Consulted
The co-op permit removal is the first in a broader package of amendments IRCC announced on April 1. The remaining proposals — which are still in the consultation phase — include two changes that would directly affect Indian graduates waiting on post-study work authorisation.
The first would allow international students to work without a work permit while waiting for a decision on a study permit extension. The second would extend the same protection to graduates waiting for a Post-Graduation Work Permit (PGWP) decision.
Currently, a gap exists between the time a student graduates and the time their PGWP is approved. While existing IRCC regulations do allow graduates to begin working full-time during this window — provided they completed their programme, were eligible to work off-campus during studies, and applied before their study permit expired — the rules are not widely understood, and many graduates remain uncertain about their work rights during this period.
If implemented, the proposed change would formally codify work authorisation during the PGWP processing gap, removing the ambiguity that has left thousands of graduates in limbo each year.
IRCC said consultations with provinces, territories, and education stakeholders are planned for spring 2026. No implementation timeline has been announced.
What This Means for Indian Students in Canada Now
The co-op permit removal has immediate practical consequences for Indian students in programmes with mandatory work placements — particularly those in engineering, computer science, business analytics, and health sciences at universities such as the University of Waterloo, University of Toronto, McMaster, and UBC, where co-op components are standard.
Previously, students had to budget for a co-op work permit application fee on top of their study permit costs. That fee is now eliminated for post-secondary students.
The change also removes a processing delay risk. Co-op work permit applications could take several weeks to process, and students who had not received their permit in time sometimes had to defer or miss placement opportunities. That risk no longer applies.
For students currently in Canada with a pending co-op work permit application, IRCC will withdraw the application automatically. No refund process has been announced for fees already paid, and students should monitor their IRCC account for official notification.
The Bigger Picture: Easing Rules Amid a Shrinking Student Population
The changes come as Canada continues to reduce its overall temporary resident population. New student arrivals in January 2026 were down 37% year-on-year, with 7,040 new arrivals compared to 11,215 in January 2025. Over the full year 2025, total arrivals fell 53% compared to 2024.
IRCC has set a target of 155,000 new study permit arrivals for 2026 — down from 305,900 in 2025 and 485,000 in 2024. Study permits issued to Indian students dropped nearly 50% in 2025 compared to the previous year.
Against that backdrop, the administrative easing signals a shift in approach: Canada is reducing the volume of new students coming in, but is simultaneously working to reduce friction for those already enrolled. IRCC described the co-op permit removal as a step toward cutting "administrative burden and operational inefficiency" — not an expansion of who is authorised to work.
For Indian students already in Canada navigating a tighter immigration environment, the removal of the co-op permit requirement is a meaningful reduction in administrative load. The proposed PGWP gap protections, if implemented, would add a further layer of stability for graduates in the months between completing their degree and receiving their work permit.
What Indian Students Should Do Now
If you are currently enrolled in a co-op programme:
- Confirm with your DLI that your placement qualifies under the new eligibility conditions
- Check your IRCC account — if you had a pending co-op work permit application, IRCC will withdraw it and notify you
- You do not need to reapply or take any action; your study permit now covers the placement
If you are a recent graduate waiting on a PGWP:
- Under existing IRCC rules, you can work full-time while your PGWP application is being processed, provided you completed your programme, were eligible to work off-campus during studies, and applied before your study permit expired
- The proposed formal codification of this right is still in consultation — it has not yet been implemented
- Monitor your IRCC account and the official canada.ca notices page for updates on the PGWP gap proposal
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