They went crazy with the TFW program, LMIA, and immigration generally in order to reduce inflation. But this is not the kind of inflation that ordinary Canadians think of when we think of inflation -- grocery prices, etc. It's the inflation that business leaders freak out about: wage inflation.
And so the gov't acted, and increased the supply of skilled and unskilled labour, and here we are.
It's amusingly also the same inflation that led to Trudeau Sr. getting in a pile of trouble in the late 70s, too. In that case instead of immigration they tried the ill-fated "wage and price controls" legislation... which was... not popular.