LMIA Application for Employers
Labour Market Impact Assessment (LMIA):
A Guide for Canadian Employers
A Labour Market Impact Assessment (LMIA) is a document required for Canadian employers who wish to hire foreign workers. It demonstrates that no Canadian citizen or permanent resident is available to fill the position, and hiring a foreign worker will not negatively impact the Canadian labour market.
Overview of the Labour Market Impact Assessment :
The Labour Market Impact Assessment (LMIA) is a document employers in Canada may need to hire foreign workers. It ensures the employment of foreign talent does not negatively affect the Canadian labor market.
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When Is an LMIA Required?
- An LMIA is generally required for
employer-specific work permits
- unless the job is exempt due to:
- International agreements (e.g., CUSMA/USMCA).
- Public policy considerations (e.g., Francophone Mobility).
- Canadian interests or reciprocal employment agreements.
Employer Responsibilities for LMIA
1. Job Posting and Recruitment Efforts
- Employers must show they made significant efforts to recruit Canadians or permanent residents before turning to foreign workers. This includes:
- o Posting the job for at least 4 consecutive weeks.
- o Advertising on at least 3 different platforms (e.g., Job Bank, private job boards, newspapers).
- o Ensuring ads target underrepresented groups, such as Indigenous persons or persons with disabilities, if applicable.
2. Comply with Wages and Working Conditions
- o The wage offered must meet or exceed the median hourly wage for the occupation in the region.
- o Working conditions must align with provincial/territorial labor laws.
3. Pay LMIA Processing Fee
- o The fee for most LMIA applications is $1,000 CAD per position.
- o The fee is non-refundable, even if the LMIA is denied.
4. Submit a Complete LMIA Application
Employers must submit all required forms and documents to Employment and Social Development Canada (ESDC).
Types of LMIA Applications
1. High-Wage Positions
- o For jobs where the wage is at or above the provincial/territorial median hourly wage.
- o Employers must submit a transition plan to show how they will reduce reliance on foreign workers.
2. Low-Wage Positions
- o For jobs below the provincial/territorial median hourly wage.
- o Employers may have additional requirements, such as:
- o Capping the number of foreign workers they employ.
- o Capping the number of foreign workers they employ.
3. Agricultural Stream
- o For farm-related positions, including seasonal agricultural work.
- o Includes requirements for housing and transport for workers.
4. Global Talent Stream (GTS)
- o For highly skilled workers in specialized occupations (e.g., tech).
- o Offers expedited LMIA processing (as fast as 10 business days).
5. Permanent Residence Stream
- o For positions intended to support foreign workers applying for permanent residence.
6. Caregiver Stream
- o For hiring in-home caregivers for children, seniors, or people with disabilities.
Documents Required for LMIA
1. General Documents
- • Completed LMIA application form (specific to the stream).
- • Job offer letter or employment contract.
- • Proof of recruitment efforts (job postings, resumes received, reasons for rejection).
- • Proof of business legitimacy (e.g., business registration, tax documents).
2. Stream-Specific Documents
- • High-Wage: Transition plan.
- • Low-Wage: Proof of transportation/accommodation arrangements.
- • Agricultural: Proof of need for seasonal labor.
- • Global Talent: Endorsement by a designated partner organization.
Application Process
1. Prepare Recruitment Efforts
- o Advertise the job for a minimum of 4 weeks.
- o Ensure the job ad includes all key details (wage, job duties, qualifications, location).
2. Complete the Application
- o Fill out the LMIA form specific to the job category.
- o Include all supporting documents.
3. Pay the Processing Fee
- o Use the appropriate payment method as instructed by ESDC.
4. Submit the Application
- o Submit the completed application and supporting documents to the appropriate Service Canada Processing Centre.
- o Applications can be submitted via mail or email (depending on the LMIA type).
5. ESDC Review
- o Service Canada will review your application to assess:
- • Recruitment efforts.
- • Wage and working conditions.
- • Impact on the labor market.
6. Receive Decision
- o If approved, the employer receives a positive LMIA.
- o Provide a copy of the LMIA and job offer to the foreign worker, who will use it to apply for a work permit.
Processing Times
- • Processing times vary depending on the type of LMIA and location.
- • Global Talent Stream: 10 business days.
- • Other streams: Typically weeks to months.
Costs for Employers
Expense
Amount
LMIA Processing Fee
$1,000 CAD per position
Recruitment Advertising
Varies by platform
Worker Transportation*
Applicable for low-wage and agricultural positions
Low-Income Cut-Off (LICO) for Low-Wage Jobs
Employers hiring for low-wage positions must consider the cap on foreign workers and ensure compliance with wage standards.
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