- 1011 Parsons Road SW, Edmonton, AB T6X 0X2 - CANADA
- Office # 6, Second Floor, Blook-D, Spring North Commercial, Phase-7, Bahria Town, Islamabad
1011 Parsons Road SW, Edmonton, AB T6X 0X2 - CANADA
Office # 6, Second Floor, Blook-D, Spring North Commercial, Phase-7, Bahria Town, Islamabad
1011 Parsons Road SW, Edmonton, AB T6X 0X2 - CANADA
Office # 6, Second Floor, Blook-D, Spring North Commercial, Phase-7, Bahria Town, Islamabad
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LMIA: How to Get a Labour Market Impact Assessment
Certain employers are required to obtain a Labour Market Impact Assessment (LMIA) when seeking to hire a foreign worker in Canada.
The LMIA is designed to guarantee that bringing in a foreign worker won’t negatively impact Canadian employees.
If you’re an employer interested in hiring a foreign worker, please fill out our contact form to arrange a complimentary phone consultation with The Millennium Immigration.
Table of Contents
- Overview
- High-Wage Workers
- Median Hourly Wages by Province/Territory
- Low-Wage Workers
- Expediting an LMIA: Occupations
- Expediting an LMIA: Wages
- Expediting an LMIA: Job Duration
- Expediting an LMIA: Express Entry
- Advertising Requirements (Including Exemptions)
- Quebec-specific Exemptions and Variations
- About the Cohen Immigration Law Firm
Overview
Canada runs the Temporary Foreign Worker Program (TFWP) to help fill labor shortages when there aren’t any qualified Canadian workers available for a position. To hire a foreign worker, employers typically need to apply for a Labour Market Impact Assessment (LMIA) from the Canadian government, specifically through Employment and Social Development Canada (ESDC). The official assessing the application must confirm that hiring the foreign worker will either positively or neutrally impact the Canadian labor market. Key considerations include ensuring that no qualified Canadians were overlooked in favor of the foreign worker and that the foreign worker will receive a salary and benefits that meet both federal and provincial standards.
The LMIA process varies based on whether the foreign worker falls under the “high-wage” or “low-wage” category. Workers earning below the provincial/territorial median wage are classified as low-wage, while those earning at or above the median wage are classified as high-wage.
After the foreign worker starts their job in Canada, employers may be subject to inspections to ensure compliance with government regulations.
High-Wage Workers
Employers looking to hire high-wage workers must include transition plans with their LMIA application to demonstrate their commitment to reducing reliance on temporary foreign workers over time. Examples of this can include proof of investments in skills training or hiring Canadian apprentices.
Alternatively, employers can show how they are supporting their high-skilled temporary foreign workers in their journey to obtain Canadian permanent residency. Should the employer be subject to an inspection or seek to renew their LMIA, they will need to provide updates on the progress of their submitted transition plan.
These transition plans are intended to ensure that employers utilizing the Temporary Foreign Worker Program (TFWP) are doing so as a last resort for addressing immediate labor shortages.
Median Hourly Wages by Province/Territory
| Province/territory | Median hourly wages as of April 2, 2024 |
|---|---|
| Alberta | $29.50 |
| British Columbia | $28.85 |
| Manitoba | $25.00 |
| New Brunswick | $24.04 |
| Newfoundland and Labrador | $26.00 |
| Northwest Territories | $39.24 |
| Nova Scotia | $24.00 |
| Nunavut | $35.00 |
| Ontario | $28.39 |
| Prince Edward Island | $24.00 |
| Quebec | $27.47 |
| Saskatchewan | $27.00 |
| Yukon | $36.00 |
Low-Wage Workers
Employers looking to hire low-wage workers are not required to submit transition plans with their Labour Market Impact Assessment (LMIA) applications, but they must adhere to specific guidelines.
To limit access to the Temporary Foreign Worker Program (TFWP) and ensure that Canadians are prioritized for available jobs, the Government of Canada has implemented a cap on the number of low-wage temporary foreign workers a business can employ. Additionally, some low-wage occupations may not qualify for LMIA processing. For employers with 10 or more employees applying for a new LMIA, there is a cap of 10 percent on the proportion of their workforce that can be low-wage temporary foreign workers.
Employers offering wages below the provincial or territorial median hourly wage must:
Cover round-trip transportation costs for the temporary foreign worker
Ensure affordable housing is provided
Pay for private health insurance until the worker is eligible for provincial health coverage
Register the temporary foreign worker with the provincial or territorial workplace safety board
Provide an employer-employee contract
The TFWP relies on the latest Labour Force Survey data to assess unemployment rates across Canada, which helps determine eligibility for LMIA submissions for low-wage and lower-skilled positions in the Accommodation and Food Services and Retail Trade sectors.
Applications for these sectors will not be processed in economic regions where the unemployment rate is 6 percent or higher. However, due to its unique labor market conditions, the Government of the Northwest Territories has requested that applications for positions in Yellowknife in these sectors be accepted for processing.
Expediting an LMIA: Occupations
It’s important to note that for any expedited LMIA application, Employment and Social Development Canada (ESDC) will only meet the 10-day service standard if:
The application is complete.
ESDC does not require additional time for consultation or clarification regarding the application.
The employer has not been selected for a compliance review.
According to the Immigration, Refugees and Citizenship Canada (IRCC) website, LMIAs will be processed within a 10-business-day service standard for workers in specific occupational categories:
Highest-Demand Occupations
This 10-day service standard applies only to skilled trades positions where the offered wage meets or exceeds the provincial or territorial median wage. These roles are crucial for the development of significant infrastructure and natural resource extraction projects, making them essential for Canadian economic growth.
NOC 2021 | OCCUPATION TITLE |
|---|---|
72011 | Contractors and supervisors, electrical trades and telecommunications occupations |
72013 | Contractors and supervisors, carpentry trades |
72014 | Contractors and supervisors, other construction trades, installers, repairers and servicers |
72310 | Carpenters |
72020 | Contractors and supervisors, mechanic trades |
72021 | Contractors and supervisors, heavy equipment operator crews |
82010 | Supervisors, logging and forestry |
82020 | Supervisors, mining and quarrying |
82021 | Contractors and supervisors, oil and gas drilling services |
83110 | Logging machinery operators |
82030 | Agricultural service contractors, farm supervisors and specialized livestock workers |
92010 | Supervisors, mineral and metal processing |
92011 | Supervisors, petroleum, gas and chemical processing and utilities |
92013 | Supervisors, plastic and rubber products manufacturing |
93100 | Central control and process operators, mineral and metal processing |
92100 | Power engineers and power systems operators |
92101 | Water and waste treatment plant operators |
72100 | Machinists and machining and tooling inspectors |
72102 | Sheet metal workers |
72104 | Structural metal and plate work fabricators and fitters |
72105 | Ironworkers |
72106 | Welders and related machine operators |
72200 | Electricians (except industrial and power system) |
72201 | Industrial electricians |
72202 | Power system electricians |
72203 | Electrical power line and cable workers |
72204 | Telecommunications line and cable workers |
72205 | Telecommunications installation and repair workers |
72300 | Plumbers |
72301 | Steamfitters, pipefitters and sprinkler system installers |
72302 | Gas fitters |
72400 | Construction millwrights and industrial mechanics |
72401 | Heavy-duty equipment mechanics |
72402 | Refrigeration and air conditioning mechanics |
72403 | Railway carmen/women |
72404 | Aircraft mechanics and aircraft inspectors |
72406 | Elevator constructors and mechanics |
73500 | Crane operators |
73402 | Drillers and blasters – surface, mining, quarrying and construction |
72501 | Water well drillers |
83100 | Underground production and development miners |
83101 | Oil and gas well drillers, servicers, testers and related workers |
93101 | Petroleum, gas and chemical process operators |
Expediting an LMIA: Wages
The 10-day service standard for this category applies specifically to employers hiring temporary foreign workers in the highest-paid occupations—those offering wages in the top 10 percent of what Canadians earn in the respective province or territory. This wage level signifies that the temporary foreign worker possesses the highest skill set in their field and that such skills are challenging to find within the Canadian labor market.
Province/Territory | Median hourly wages effective May 11, 2020 (2019 Wage) |
|---|---|
Alberta | $52.20 |
British Columbia | $45.00 |
Manitoba | $43.27 |
New Brunswick | $39.90 |
Newfoundland and Labrador | $45.00 |
Northwest Territories | $59.52 |
Nova Scotia | $40.87 |
Nunavut | $58.00 |
Ontario | $48.08 |
Prince Edward Island | $38.46 |
Quebec | $44.23 |
Saskatchewan | $46.15 |
Yukon | $48.08 |
Expediting an LMIA: Job Duration
The 10-day service standard for this category is restricted to employers seeking temporary foreign workers for short-term positions, defined as 120 calendar days or less, in any occupation where the offered wage meets or exceeds the provincial or territorial median wage. This includes roles related to equipment repairs, manufacturing, and warranty work.
Once an employer receives a positive LMIA, they should provide a copy to the designated foreign worker. This positive LMIA must be included in the worker’s application for a Temporary Work Permit.
An LMIA can be issued for one or multiple employees, but in cases involving multiple workers, it will only apply to those filling identical positions as specified by the Canadian National Occupational Classification.
There are also various situations in which an employer may be exempt from the requirement to obtain an LMIA. For more information on LMIA exemptions, please click here.
Expediting an LMIA: Express Entry
The 10-day service standard for this category applies specifically to employers submitting an LMIA to support a temporary foreign worker’s application for permanent residence under any of IRCC’s Express Entry-aligned programs.
Foreign nationals looking to immigrate to Canada through an economic class program typically need a minimum of one year of full-time eligible work experience.
Starting in September 2023, IRCC will launch the Recognized Employer Pilot (REP), which will benefit employers with a strong history of utilizing the TFWP. This program offers access to a simplified LMIA application process, longer validity periods for approved LMIAs, and additional advantages.
Advertising Requirements (Including Exemptions)
Employers looking to hire a temporary foreign worker in Canada must pay a processing fee of CAD $1,000 for each Labour Market Impact Assessment (LMIA) request.
When specifying job requirements for LMIAs and job vacancy ads, only English and French are acceptable languages, unless the employer can demonstrate that another language is essential for the position.
Additionally, employers must advertise all job vacancies in the Canadian job market for a minimum of four weeks prior to submitting an LMIA application. They are required to show that they have utilized at least two different recruitment methods beyond posting on the Canada Job Bank. Employers should also target their advertising efforts towards under-represented groups, such as First Nations or persons with disabilities.
Furthermore, employers must confirm that they are aware of the prohibition against laying off or reducing the hours of Canadian workers in the same positions as the temporary foreign workers they wish to employ.
There are various exceptions to the advertising requirements mentioned above. Click here for more information.
Quebec-specific Exemptions and Variations
This section will explore exemptions and variations in the LMIA process that are specific to the province of Quebec.
Work Permits for Holders of a Quebec Selection Certificate (CSQ)
A Quebec Selection Certificate (certificat de sélection du Québec or CSQ) is issued by the Quebec government to individuals approved for immigration to the province. Holders of a CSQ can work in Quebec without requiring their employer to obtain an LMIA. For more information, please visit our CSQ page.
Facilitated List of Occupations
Certain industry sectors in Quebec that are experiencing high labor demand are included on the list of facilitated LMIA occupations. Employers applying under this facilitated LMIA process do not need to provide evidence of recruitment efforts.
Other Workers
Foreign workers who do not qualify under the above categories may need to apply for and obtain a Certificat d’Acceptation du Québec (Certificate of Acceptance to Quebec, CAQ) as well as a temporary work permit before starting their employment in Quebec.
About THE MILLENNIUM IMMIGRATION
Would you like to apply for an LMIA? THE MILLENNIUM IMMIGRATION can assist you. With over 11 years of experience, we help both workers and employers navigate Canadian immigration regulations.
Please fill out our brief form to submit your question directly to our firm. One of our lawyers will reach out to schedule a complimentary phone consultation.