Genuine Labour Need
The employer must demonstrate a genuine need to fill the position and meet applicable program requirements.
FOR EMPLOYERS
Canadian employers who cannot find qualified Canadians or permanent residents for a position may be able to hire a temporary foreign worker through the Labour Market Impact Assessment process.
Assess Your LMIA EligibilityLMIA FOR EMPLOYERS
A Labour Market Impact Assessment, commonly known as an LMIA, is an assessment completed by Employment and Social Development Canada and Service Canada.
In many situations, a Canadian employer must obtain a positive LMIA before a foreign worker can apply for an employer-specific work permit.
The LMIA process examines the proposed employment, wage, recruitment efforts, working conditions and the potential impact of hiring a temporary foreign worker on Canada's labour market.
Employers must meet detailed program requirements and demonstrate that the position and recruitment efforts comply with the applicable Temporary Foreign Worker Program stream.
WHAT IS AN LMIA?
The LMIA process helps determine whether hiring a foreign worker is justified under Canada's temporary foreign worker rules.
The employer must demonstrate a genuine need to fill the position and meet applicable program requirements.
Employers generally must recruit Canadians and permanent residents before seeking to hire a foreign worker.
The offered wage must meet the applicable wage requirements for the occupation and LMIA stream.
Employment conditions must meet applicable federal, provincial and territorial employment standards.
The employer must meet Temporary Foreign Worker Program requirements and comply with applicable immigration and employment rules.
Service Canada assesses whether hiring the foreign worker is likely to have a positive or neutral impact on the Canadian labour market.
IMPORTANT DISTINCTION
The LMIA application is made by the Canadian employer to Employment and Social Development Canada and Service Canada.
If the employer receives a positive LMIA, the employer can provide the foreign worker with the required documents to support an employer-specific work permit application.
The worker then applies separately to Immigration, Refugees and Citizenship Canada for permission to work in Canada.
In an LMIA-required case, the employer generally completes the LMIA process first. The foreign worker then uses the positive LMIA to support their work permit application.
Discuss Your Hiring PlanLMIA STREAMS
The correct application stream depends on factors such as the wage, occupation, industry, location and purpose of the hire.
Positions offered at or above the applicable provincial or territorial wage threshold are generally processed under the high-wage stream.
Positions offered below the applicable wage threshold are generally processed under the low-wage stream and are subject to additional program restrictions.
Certain highly skilled occupations and qualifying employers may be eligible for the Global Talent Stream.
Employers hiring workers in primary agriculture may use specialized agricultural LMIA streams.
Certain caregiver positions may be processed under specific Temporary Foreign Worker Program requirements.
Employers may also use certain LMIA processes to support skilled workers in connection with permanent residence.
HIGH-WAGE OR LOW-WAGE
Employers must compare the wage offered for the position with the current provincial or territorial hourly wage threshold published by ESDC. These thresholds are updated periodically and should be confirmed before the LMIA is submitted.
Positions at or above the threshold are generally processed through the high-wage stream.
Positions below the threshold generally fall under the low-wage stream and may face additional restrictions relating to the proportion of temporary foreign workers at the work location and other program requirements.
The wage can affect the LMIA stream, recruitment requirements and employer obligations.
Identify My LMIA StreamRECRUITMENT
Recruitment is one of the central parts of many LMIA applications.
Employers generally must make genuine efforts to recruit qualified Canadian citizens and permanent residents.
Job Bank advertising is commonly required, subject to the rules of the applicable LMIA stream.
Employers may also need to advertise through additional recruitment methods that are appropriate for the occupation.
Recruitment must generally be conducted for the required period and at the appropriate time before the LMIA application is submitted.
Employers should retain evidence of advertisements, applicants and recruitment results.
The employer may need to explain why Canadian or permanent resident applicants were not hired.
WAGES
The wage offered to the temporary foreign worker must comply with the requirements of the applicable LMIA stream.
Employers should review the prevailing wage for the occupation and region and ensure that the employment offer is consistent with Temporary Foreign Worker Program requirements.
Offering a lower wage to a foreign worker simply because they require a work permit is not acceptable.
The occupation, wage and location should be reviewed together before recruitment begins.
Review My Proposed WageHIGH-WAGE LMIA
Employers hiring temporary foreign workers in high-wage positions must meet the requirements of the high-wage stream.
The offered wage must fall within the high-wage classification based on the current provincial or territorial threshold.
Employers must meet the applicable high-wage recruitment and advertising requirements.
In many high-wage applications, employers must prepare a transition plan describing steps to reduce reliance on temporary foreign workers.
Employers must continue to meet their obligations after the foreign worker begins employment.
Employers submitting a high-wage LMIA may generally request an employment duration of up to three years, subject to the employer's reasonable employment needs and program requirements.
LOW-WAGE LMIA
Low-wage LMIA applications are subject to additional restrictions intended to limit reliance on temporary foreign workers.
Low-wage positions under the program must generally be full-time, meaning at least 30 hours of work per week.
The proportion of temporary foreign workers in low-wage positions is generally capped at 10% of the workforce at a work location. Certain designated sectors may qualify for a higher 20% cap.
Many low-wage LMIA applications for positions located in a census metropolitan area with an unemployment rate of 6% or higher will not be processed, subject to specific exemptions. The applicable unemployment rates are updated regularly.
Depending on the situation, employers may have additional obligations related to transportation, housing, insurance or worker protections.
For most low-wage positions, the requested employment duration is generally limited to a maximum of one year, subject to stream-specific exceptions.
Temporary rural low-wage measures are in effect from April 1, 2026 to March 31, 2027 in certain participating provinces and territories. Ontario is not currently participating in these rural measures, so Ontario employers should not assume that the temporary rural cap relief applies.
GLOBAL TALENT STREAM
The Global Talent Stream is a specialized LMIA pathway designed for certain Canadian employers seeking highly skilled workers.
Category A may be available to qualifying employers referred by a designated referral partner for unique and specialized talent.
Category B may apply where the employer is hiring for an occupation appearing on the current Global Talent Occupations List.
If the occupation is highly specialized or appears on the Global Talent Occupations List, the Global Talent Stream may be worth reviewing.
Check Global Talent EligibilityGOVERNMENT FEE
For most LMIA applications that support temporary work authorization, the employer must pay a government processing fee of $1,000 for each position requested.
For example, an LMIA application requesting two foreign worker positions would generally involve a $2,000 LMIA processing fee.
Certain agricultural positions and other specific circumstances may qualify for a fee exemption.
The employer cannot charge or recover the LMIA processing fee from the temporary foreign worker.
Review My LMIA CostsRECRUITMENT FEES
Employers must ensure that temporary foreign workers are not charged or required to repay prohibited recruitment fees.
This obligation can extend to recruiters and other third parties acting on the employer's behalf.
Employers should carefully review recruitment arrangements and third-party practices before submitting an LMIA application.
Using a recruiter does not remove the employer's responsibility to comply with Temporary Foreign Worker Program rules.
Review My Recruitment ProcessEMPLOYER ELIGIBILITY
Service Canada may review the employer's business and ability to meet the terms of the employment offer.
The employer must generally operate a legitimate business providing goods or services in Canada.
The position must represent a genuine employment need within the business.
The employer may need to demonstrate the ability to meet the wage and employment commitments made in the LMIA application.
Previous compliance issues or violations may affect an employer's ability to participate in the Temporary Foreign Worker Program.
NOC CLASSIFICATION
The position must be classified under Canada's National Occupational Classification system.
The correct NOC should reflect the actual main duties and responsibilities of the position rather than simply the job title.
The NOC classification can affect wages, recruitment requirements, work permit eligibility and other parts of the immigration process.
Two positions with similar titles can fall under different NOC codes depending on their actual duties.
Review My NOCTRANSITION PLAN
A transition plan may be required for certain high-wage LMIA applications.
The plan describes actions the employer will take to recruit, retain or train Canadians and permanent residents or otherwise reduce reliance on temporary foreign workers.
When an employer submits future LMIA applications, Service Canada may review whether commitments made in an earlier transition plan were followed.
Employers should propose realistic actions and maintain documentation showing that those commitments were implemented.
Prepare My Transition PlanEMPLOYER COMPLIANCE
Receiving a positive LMIA does not end the employer's responsibilities.
The worker should receive wages consistent with the terms approved through the LMIA process.
The employer should provide employment that is substantially consistent with the approved occupation and working conditions.
Employers must comply with applicable federal, provincial and territorial employment standards.
Employers should maintain employment and compliance records as required under the program.
Employers may be inspected to verify compliance with Temporary Foreign Worker Program requirements.
Employers must provide a workplace free from abuse and comply with worker-protection requirements.
NON-COMPLIANCE
Employers participating in the Temporary Foreign Worker Program may be subject to inspections and compliance reviews.
Employers found non-compliant may face consequences such as warnings, monetary penalties, bans from hiring temporary foreign workers or publication of non-compliance information.
Employers should therefore view LMIA compliance as an ongoing responsibility, not simply an application requirement.
Recruitment, job duties, wages and business records should be accurate from the beginning of the LMIA process.
Review Employer CompliancePERMANENT RESIDENCE
Certain employers may apply for an LMIA to support a skilled worker in connection with their permanent residence plans.
If the LMIA is being requested only to support the foreign worker's permanent residence application, the employer is generally exempt from the LMIA processing fee. If the employer is requesting a dual-intent LMIA to support both permanent residence and a temporary work permit, the usual LMIA processing fee applies.
The requirements depend on the worker's occupation, immigration pathway and whether temporary work authorization is also being requested.
An LMIA used in connection with permanent residence should be planned together with the worker's broader immigration strategy.
We can review whether an LMIA or another employer-supported immigration pathway fits the employee's permanent residence strategy.
Review PR Support OptionsLMIA EXEMPTIONS
Before beginning an LMIA application, employers should confirm whether the foreign worker may qualify under an LMIA-exempt work permit category.
Canada's International Mobility Program contains several LMIA-exempt work permit categories based on international agreements, significant benefit, intra-company transfers and other circumstances.
If a valid LMIA exemption exists, an employer may be able to hire the worker without completing the Temporary Foreign Worker Program LMIA process.
An LMIA is a detailed employer process. Before starting, confirm whether a simpler LMIA-exempt work permit pathway is available.
Check LMIA ExemptionsDOCUMENTATION
The exact documentation depends on the business and LMIA stream.
Documents may be required to establish that the business is legitimate and actively operating in Canada.
Employers should retain advertisements, recruitment results and information about Canadian applicants.
The duties, responsibilities, NOC classification and employment conditions should be clearly documented.
Employers should provide accurate wage information consistent with program requirements.
The proposed employment terms should be clearly documented for the foreign worker.
Transition plans, housing documents, recruitment information or other stream-specific records may also be required.
APPLICATION PROCESS
A strong LMIA application begins before the application form is submitted.
Review the occupation, NOC, wage, location and business need.
Determine whether the position falls under high-wage, low-wage, Global Talent or another specialized stream.
Conduct the required recruitment and advertising for Canadians and permanent residents.
Compile business, recruitment, employment and stream-specific documentation.
Submit the application and pay the applicable LMIA processing fee.
Service Canada may contact the employer to review the application and request additional information.
If the application is approved, the employer receives a positive LMIA decision.
The employer provides the required documents to the foreign worker so they can proceed with the work permit application.
COMMON LMIA ISSUES
LMIA applications are highly document-driven and inconsistencies can affect the outcome.
The selected occupation does not accurately reflect the actual job duties.
The employer uses a wage that does not meet the requirements for the occupation or LMIA stream.
Advertisements do not meet the required content, timing or recruitment-method requirements.
The application does not clearly demonstrate why the position genuinely exists within the business.
The job posting, LMIA application, employment agreement and supporting documents contain different information.
LMIA or prohibited recruitment costs are charged back to the temporary foreign worker.
HOW WE CAN HELP
AddPlus Immigration Solutions Inc. can help employers assess the proposed position, identify the correct LMIA stream and prepare the application.
We review the business and proposed position before the employer begins the LMIA process.
We help identify the appropriate occupation classification and review applicable wage requirements.
We help employers plan recruitment and advertising in accordance with the applicable LMIA stream.
We assist with organizing the business, recruitment and employment documents required for the LMIA application.
We assist with responding to requests and questions that arise during LMIA processing.
After a positive LMIA, we can also assist the foreign worker with the related employer-specific work permit application.
IMPORTANT INFORMATION
Temporary Foreign Worker Program requirements are regularly updated in response to labour market conditions and government policy.
Wage thresholds, low-wage restrictions, occupation lists and other eligibility requirements may change over time.
Employers should therefore confirm the current rules before starting recruitment or submitting an LMIA application.
Tell us about your business, position, location, wage and hiring needs. We can help identify whether an LMIA may be appropriate and what steps are required.
Request an Employer AssessmentHIRE THE TALENT YOUR BUSINESS NEEDS
Whether you are hiring one specialized worker or planning for longer-term workforce needs, our team can help you assess the LMIA process, prepare the required documentation and move from recruitment to work permit.
Get LMIA Assistance