Labour Market Impact Assessment (LMIA)

Labour Market Impact Assessment (LMIA)

Labour Market Impact Assessment (LMIA) is a document required by Canadian employers who wish to hire foreign workers. It serves as proof that there is a need for a foreign worker to fill a job position because no qualified Canadian citizens or permanent residents are available to do so. An LMIA helps maintain balance in the labor market by ensuring that foreign hires do not negatively affect job opportunities for Canadians.

Who Needs an LMIA?

Canadian Employers

  • Any employer looking to hire a temporary foreign workerunder the Temporary Foreign Worker Program (TFWP).
  • Employers wishing to offer a job to a foreign national for permanent residency through programs like the Express Entry system.

Foreign Workers

  • Foreign workers who need to apply for a work permit under the Temporary Foreign Worker Program.
  • Applicants for permanent residency through certain streams, where a positive LMIA can help boost their Comprehensive Ranking System (CRS) score in the Express Entry pool.

Types of LMIAs

High-Wage LMIA

  • This applies to jobs where the wage offered is above the provincial or territorial median hourly wage.
  • Employers must submit a transition plan explaining how they plan to reduce reliance on temporary foreign workers by investing in training or hiring Canadians.

Low-Wage LMIA

  • For jobs where the wage offered is below the provincial or territorial median wage.
  • Employers face additional restrictions, such as limits on the number of low-wage temporary foreign workers they can hire.

LMIA for Global Talent Stream (GTS)

  • This is a fast-tracked LMIA process designed for employers looking to hire highly skilled foreign workers in tech and innovation sectors. The GTS allows for expedited processing (as little as 10 business days).

LMIA for Agricultural Workers

  • Employers can apply for an LMIA to hire temporary foreign workers in agricultural sectors, such as farm laborers or harvesters.
  • Includes specific programs such as the Seasonal Agricultural Worker Program (SAWP), which allows employers to hire foreign workers on a seasonal basis.

LMIA for Caregivers

  • For employers looking to hire in-home caregivers to care for children, seniors, or people with medical needs.
  • Must demonstrate that no Canadian is available to fill the position, and caregivers are generally eligible for work permits.

LMIA for Express Entry

  • For employers offering permanent job positions to foreign workers applying for permanent residency through Canada’s Express Entry
  • A positive LMIA can provide the worker with an additional 50 to 200 points in the Express Entry Comprehensive Ranking System (CRS), improving their chances of receiving an Invitation to Apply (ITA) for permanent residence.

An LMIA plays a critical role in securing both temporary work permits and permanent residency for foreign workers. Here’s how it works:

 

Facilitating Work Permits:

  • Once a Canadian employer obtains a positive LMIA, the foreign worker can apply for a work permit. This LMIA must be submitted with the work permit application.
  • The positive LMIA demonstrates that hiring the foreign worker will not negatively impact the Canadian labor market, helping the foreign worker secure a work permit under the Temporary Foreign Worker Program (TFWP).

 

Supporting Permanent Residence:

  • In addition to temporary work permits, LMIAs also support foreign workers looking to obtain permanent residence.
  • If a foreign worker receives a permanent job offer from a Canadian employer supported by a positive LMIA, they can apply through the Express Entry system under programs such as the Federal Skilled Worker Program (FSWP) or Canadian Experience Class (CEC).
  • A positive LMIA can provide significant points in the CRS score, which increases the chances of receiving an Invitation to Apply (ITA) for permanent residency.

Not all foreign workers require an LMIA to work in Canada. Under the International Mobility Program (IMP), certain categories of workers are exempt from the LMIA requirement, including:

  • Intra-Company Transferees: Employees transferring within the same multinational company.
  • Free Trade Agreements: Workers covered by trade agreements such as NAFTA/USMCA.
  • Youth and Exchange Programs: Programs like International Experience Canada (IEC).

 

For these LMIA-exempt categories, the employer can directly hire the foreign worker without obtaining an LMIA.

Navigating the LMIA process can be complex and time-consuming, both for employers and foreign workers. At Immisa Immigration, we offer:

  • LMIA Application Assistance: We assist employers in completing the necessary paperwork, preparing transition plans, and submitting the LMIA application to Service Canada.
  • Work Permit Applications: Once an LMIA is approved, we help foreign workers apply for their work permits quickly and efficiently.
  • Permanent Residency Support: For foreign workers looking to transition to permanent residency, we provide guidance on how to leverage a positive LMIA to improve their CRS score under Express Entry.

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