LMIA
LABOUR MARKET
IMPACT ASSESSMENT
Most employers who want to hire temporary foreign workers (TFWs) must first complete a Labour Market Impact Assessment (LMIA).
The Temporary Foreign Worker Program (TFWP) is a federal government immigration program that allows Canadian employers to hire temporary foreign workers to fill skill and labour shortages. The program is regulated through various government agencies in different capacities, including Immigration, Refugees and Citizenship Canada (IRCC), Canada Border Services Agency (CBSA), and Service Canada via Employment and Social Development Canada (ESDC).
In order to hire TFWs through this program, employers must complete an LMIA. The two main purposes of the LMIA are to establish the following:
A) That the employer is experiencing a provable labour or skill shortage.
B) That there are not enough qualified Canadians and permanent residents to fill that shortage.
There are two main streams under an LMIA: high and low-wage. A high-wage LMIA is for a position that is paid at or above the overall provincial median wage where the job offer is located, and a low-wage LMIA is for a position with a wage lower than the provincial median.
If an employer can successfully complete the application and provide sufficient evidence of the labour shortage they are experiencing, as well as the efforts they have made to recruit Canadians and permanent residents before turning to the TFWP, Service Canada will approve the application. The approved LMIA can then be used to support the work permit applications of foreign workers.
There are other ways for employers to hire TFWs (such as express entry and provincial nomination), but an LMIA is the most commonly used method. While the LMIA is an extensive and complicated application process, the requirements that foreign candidates have to meet are less strict than other immigration streams.
EXPRESS ENTRY
PROVINCIAL NOMINATION PROGRAMS
REGIONAL PROGRAMS
