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Securing Your LMIA-Based Work Permit

Home » Work » LMIA – Based Work Permit
by Kathy Watkins

Obtaining a Labour Market Impact Assessment for Hiring Foreign Workers

For employers in Canada aiming to hire foreign workers, a Labour Market Impact Assessment (LMIA) is often a necessary step. The LMIA ensures that hiring an international employee will not negatively impact the Canadian labor market. If you’re an employer planning to hire a foreign worker, complete our contact form to arrange a free telephone consultation with Immigration to Canada.

The Temporary Foreign Worker Program (TFWP) in Canada helps bridge workforce gaps when no qualified Canadian workers are available. Typically, employers must submit a Labour Market Impact Assessment (LMIA) application to Employment and Social Development Canada (ESDC). The ESDC assesses whether the foreign worker’s employment will have a positive or neutral effect on the Canadian labor market. This assessment involves verifying that no qualified Canadian workers were overlooked for the position and ensuring the foreign worker’s salary and benefits comply with federal and provincial standards.

The LMIA process varies based on whether the prospective employee is classified as “high-wage” or “low-wage.” Workers earning below the provincial/territorial median wage are labeled as low-wage, while those earning at or above the median wage are considered high-wage. 

LMIA-Based Work Permit

Hiring High-Wage Workers through the Temporary Foreign Worker Program

Employers aiming to recruit high-wage workers must include comprehensive transition plans with their LMIA application. These plans should demonstrate the employer’s commitment to gradually reducing their dependence on temporary foreign workers. For instance, investing in skills training programs or hiring Canadian apprentices are effective ways to illustrate this commitment.

Another strategy for employers is to assist their high-skilled temporary foreign workers in obtaining Canadian permanent residency. If an employer is selected for an inspection or if they submit a renewal application for their LMIA, they will need to provide updates on the progress of the transition plan they initially submitted.

The primary goal of these transition plans is to ensure that employers are adhering to the purpose of the Temporary Foreign Worker Program (TFWP). The TFWP should be used as a last and limited option to meet immediate labor requirements, not as a permanent solution.

By implementing these measures, employers are not only complying with the TFWP regulations but are also contributing to the Canadian labor market by prioritizing the development and incorporation of domestic talent.

For any business looking to utilize foreign expertise effectively while fulfilling TFWP requirements, seamless integration of these transition strategies is imperative. This not only aligns with regulatory standards but also aids in fostering a sustainable workforce.

Navigating the Employment of Low-Wage Temporary Foreign Workers in Canada

Employers aiming to recruit low-wage temporary foreign workers are not required to submit transition plans alongside their Labour Market Impact Assessment (LMIA) applications. However, they must adhere to a distinct set of regulations that govern these hires.

To ensure that Canadian job seekers are given priority and to restrict the influx of temporary foreign workers under the Temporary Foreign Worker Program (TFWP), the Government of Canada has implemented a cap. This cap limits the number of low-wage temporary foreign workers that a business can hire. Some low-wage positions may even be denied LMIA processing. Specifically, employers with a workforce of 10 or more individuals applying for a new LMIA are limited to having no more than 10 percent of their employees as low-wage temporary foreign workers. 

For employers offering wages below the median hourly rate for their respective province or territory, they must:

The Temporary Foreign Worker Program (TFWP) leverages the most recent Labour Force Survey to assess unemployment rates across various regions in Canada. These rates are critical in determining which regions qualify for employers to submit Labour Market Impact Assessments (LMIAs) for low-wage or lower-skilled positions within the Accommodation and Food Services sector and the Retail Trade sector.

Please note that LMIA applications for these industries will not be processed in economic regions where the unemployment rate stands at 6 percent or higher.

However, given the unique labor market conditions in Yellowknife and upon the request of the Government of the Northwest Territories, LMIA applications for positions in these sectors located in Yellowknife will be accepted for processing regardless of the local unemployment rate.

Fast-Tracking Your LMIA for In-Demand Jobs

For those looking to streamline their Labor Market Impact Assessment (LMIA) applications, please be advised that Employment and Social Development Canada (ESDC) will adhere to its 10-day service standard only if specific criteria are met. These include:

As outlined by Immigration, Refugees and Citizenship Canada (IRCC), LMIAs will be processed within a 10-business-day timeframe for individuals in particular job categories:

High Demand Occupations

This expedited service standard applies exclusively to skilled trade positions where the wage offered meets or exceeds the provincial or territorial median wage. Such roles are crucial to the advancement of significant infrastructure and natural resource extraction projects, thus playing a pivotal role in bolstering Canada’s economic growth.

LMIA-Based Work Permit

Accelerating an LMIA: Employment Duration

The 10-day processing standard for this category is exclusively available to employers seeking temporary foreign workers for short-term positions, defined as 120 calendar days or fewer, in any occupation where the wage offered meets or exceeds the provincial or territorial median wage. Roles that qualify under this category typically involve tasks related to equipment repairs, manufacturing, and warranty services.

Upon obtaining a positive LMIA, the employer must send a copy to the designated foreign worker. The positive LMIA is a crucial component of the worker’s application for a Temporary Work Permit.

A single LMIA can be issued for one or multiple employees. For multiple employees, the LMIA will only cover positions that are identical, as outlined by the Canadian National Occupation Classification.

Streamlining LMIA Processing for Express Entry: A Guide

Expedited LMIA Processing for Express Entry

For employers looking to support a temporary foreign worker’s permanent residency application through IRCC’s Express Entry programs, there’s a 10-day service standard in place. However, this expedited service is exclusive to this specific category.

For economic class immigration, foreign nationals generally need at least one year of full-time, qualifying work experience to be eligible.

Starting from September 2023, Immigration, Refugees and Citizenship Canada (IRCC) will launch the Recognized Employer Pilot (REP). This initiative will offer a simplified LMIA application process, extended validity for approved LMIAs, and additional benefits to employers who regularly participate in and maintain a good standing within the Temporary Foreign Worker Program (TFWP).

By streamlining these key processes, Canada aims to facilitate smoother and quicker immigration pathways for skilled workers, benefiting both employers and prospective immigrants under the economic class programs.

Essential Advertising Guidelines for Hiring Temporary Foreign Workers

Employers in Canada looking to hire temporary foreign workers must adhere to a processing fee of CDN $1,000 for each Labour Market Impact Assessment (LMIA) application.

For both LMIAs and job vacancy advertisements, only English and French are acceptable languages to list as job requirements, unless the employer can substantiate the necessity of another language for the specific role.

Additionally, all job openings must be advertised within the Canadian labor market for a minimum of four weeks prior to submitting an LMIA application. Employers must demonstrate the use of at least two additional recruitment strategies beyond posting on the Canada Job Bank. Focused efforts should be made to target under-represented groups, including First Nations and individuals with disabilities.

Furthermore, employers must attest to their awareness that they are legally forbidden from reducing the hours or laying off Canadian workers who are employed in the same role(s) as the temporary foreign worker(s) they intend to hire.

Quebec-Specific Exemptions and Variations in the LMIA Process

This article explores unique exemptions and variations in the Labor Market Impact Assessment (LMIA) process specifically for the province of Quebec.

Work Permits for Quebec Selection Certificate (CSQ) Holders

A Quebec Selection Certificate, known as certificat de sélection du Québec (CSQ), is granted by the Quebec government to individuals approved for immigration to the province. CSQ holders can work in Quebec without requiring their employers to obtain an LMIA. For more details, visit our CSQ information page.

Facilitated LMIA Process for High-Demand Occupations

Quebec maintains a facilitated LMIA occupation list for industries with high labor demand. Employers applying through this streamlined LMIA process are exempt from providing recruitment effort documentation.

Other Foreign Workers

Foreign nationals who do not qualify under the aforementioned categories must secure a Certificat d’Acceptation du Quebec (Certificate of Acceptance to Quebec, CAQ) and a temporary work permit to commence employment in Quebec.

FAQ
What is an LMIA-Based Work Permit?

An LMIA-Based Work Permit is a type of work authorization issued by the Canadian government that allows a foreign worker to work in Canada. This permit is contingent upon the issuance of a Labour Market Impact Assessment (LMIA), which confirms that hiring the foreign worker will not negatively impact the Canadian job market.

What is a Labour Market Impact Assessment (LMIA)?

A Labour Market Impact Assessment (LMIA) is a document issued by Employment and Social Development Canada (ESDC) that an employer in Canada may need to obtain before hiring a foreign worker. The LMIA verifies that there is a need for a foreign worker to fill the job and that no Canadian worker or permanent resident is available to do the job.

How can my employer apply for an LMIA?

Your employer must submit an application to Employment and Social Development Canada (ESDC) providing details about the job offer, the efforts made to recruit a Canadian worker, and other relevant documentation. The application process also typically involves a processing fee and a potential interview.

What are the processing times for an LMIA-Based Work Permit?

Processing times for an LMIA-Based Work Permit can vary depending on several factors, including the completeness of the application and the current workload of the processing centre. On average, it can take several weeks to a few months. It's important to check the latest processing times on the official government website for the most accurate information.

Can my family accompany me if I have an LMIA-Based Work Permit?

Yes, if you obtain an LMIA-Based Work Permit, your spouse or common-law partner may be eligible for an open work permit, and your dependent children may be eligible to study in Canada without needing a separate study permit. However, each family member must meet the relevant eligibility criteria.

Immigration to Canada: What Are Open and Closed Work Permits?

An open work permit allows foreign workers to work for any employer in Canada without needing a Labour Market Impact Assessment (LMIA) or a job offer. A closed work permit, on the other hand, restricts the worker to a specific employer who has secured a positive LMIA and provided a job offer. If the worker changes employers, they must apply to change the conditions of their work permit to continue working legally in Canada.

Immigration to Canada: What Is a PGWP?

The Post-Graduation Work Permit (PGWP) is for international students who have completed at least 8 months of full-time studies at a Designated Learning Institution (DLI). It allows them to gain professional work experience, which can help in becoming eligible for Canadian immigration programs. Eligibility criteria must be met to apply through Immigration, Refugees and Citizenship Canada (IRCC). The PGWP duration depends on the length of studies, with a maximum of 3 years. You can only get it once, and upon its expiration, you must either obtain Canadian permanent resident status, another temporary permit, or leave Canada.

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