What is a Labour Market Impact Assessment?
A positive Labour Market Impact Assessment (LMIA) is typically required before a Canadian employer can hire a temporary foreign worker. This assessment verifies the labour market and protects both Canada’s job marketplace and foreign workers in temporary positions.
LMIA-Exempt Work Permits
Only specific circumstances allow for LMIA-exempt work permits.
Assessing the Merits of a Labour Market Impact Assessment Application
To obtain a Canada work permit, applicants typically follow a two-step process. When evaluating an LMIA application, ESDC considers several factors:
- Are Canadians available and willing to fill the job?
- Did the employer make sufficient efforts to hire a Canadian worker?
- Will hiring a foreign national create or retain jobs in Canada?
- Do the working conditions meet Canadian labour standards?
High-Wage vs. Low-Wage Employees in LMIA
LMIAs apply to specific employers, positions, and regions. Therefore, a positive LMIA does not permit a worker to change jobs or employers or move to another Canadian region.
Median Hourly Wages by Province/Territory for LMIA
| Province/Territory | Wage ($/hr) |
|---|---|
| Newfoundland and Labrador | $21.12 |
| Prince Edward Island | $17.49 |
| Nova Scotia | $18.85 |
| New Brunswick | $18.00 |
| Quebec | $20.00 |
| Ontario | $21.15 |
| Manitoba | $19.50 |
| Saskatchewan | $22.00 |
| Alberta | $25.00 |
| British Columbia | $22.00 |
| Yukon | $27.50 |
| Northwest Territories | $30.00 |
| Nunavut | $29.00 |
High-Wage Workers and the LMIA Requirement
Employers seeking to hire high-wage workers must submit a transition plan when the wage equals or exceeds the provincial or territorial median hourly wage.
Low-Wage Workers and LMIA Processes
For low-wage workers, employers do not need to submit a transition plan. This cap will phase in over the next two years, allowing time for a transition to a Canadian workforce.
Processing Times for Labour Market Impact Assessment
Processing times for LMIA applications can vary significantly. Generally, applicants can expect results within a few weeks to several months.
Fees and Additional Employer Requirements for LMIA
Employers must pay a processing fee of CDN $1,000 for each LMIA application (unless it supports permanent residency) along with a CDN $100 Privilege Fee. Additionally, companies must advertise on the Canada Job Bank for at least four weeks before submitting an LMIA application and demonstrate two other recruitment methods. Only English and French can appear as employment requisites for the LMIA application. Furthermore, employers must attest they will not lay off or reduce the hours of Canadian workers while employing temporary foreign workers.
Q&As about Labour Market Impact Assessment
Q1: What is a Labour Market Impact Assessment (LMIA)?
A: An LMIA serves as a form of labour market verification that protects Canada’s job marketplace. For more details, visit LMIA: How to Get a Labour Market Impact Assessment.
Q2: What distinguishes high-wage and low-wage workers in terms of LMIA?
A: High-wage workers require a transition plan, while low-wage workers face a cap on the number that can be employed.
Q3: What are the LMIA processing times and fees?
A: Processing times range from a few weeks to several months, with a processing fee of CDN $1,000 and additional employer requirements. For more information, check Five things you need to know about Labour Market Impact Assessments.
