LABOUR MARKET IMPACT ASSESMENT

LMIA, or Labour Market Impact Assessment, is a crucial process within the Canadian immigration system. It assesses the impact of hiring a foreign worker on the Canadian labor market. This assessment ensures that hiring foreign talent doesn’t negatively affect Canadian job opportunities. An approved LMIA can open doors for employers to bring in skilled workers from abroad, contributing to Canada’s diverse workforce and economic growth.

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LMIA STEPS

In Canada, employers must secure approval from Employment and Social Development Canada (ESDC)/Service Canada to hire a foreign worker temporarily. This approval comes in the form of a Labour Market Impact Assessment (LMIA), which confirms the need for a temporary foreign worker and that no qualified Canadian worker is available for the job.

The LMIA-based work permit involves a two-phase application process:

  1. LMIA Application to Service Canada: Employers first apply for an LMIA, demonstrating that there is no Canadian citizen or permanent resident available to fill the position, thereby justifying the hiring of a foreign worker. A positive LMIA indicates that the employment of the foreign worker is expected to have a neutral or beneficial effect on the Canadian job market.
  2. Work Permit Application to IRCC: After receiving a positive LMIA, the employer moves to the next step, where the foreign worker applies to Immigration, Refugees and Citizenship Canada (IRCC) for a work permit, utilizing the positive LMIA as part of their application.

Types of LMIA

There are six types of Labour Market Impact Assessment outside of Quebec

High-wage or low-wage LMIA

LMIA for Caregivers

LMIA for Agricultural Worker

Temporary Foreign Academic

Dual Intent LMIA (Express Entry)

Temporary Foreign worker through Global Talent Stream

Get Started with an LMIA

Costs Involved

Processing fees are $1000 (certain exemptions apply to LMIA supporting PR applications only and LMIA for a caregiver to low-income families)

Purpose of an LMIA

The LMIA process, conducted by ESDC, ensures that hiring a foreign worker won't adversely affect the Canadian labor market. Employers must provide detailed information about the job and demonstrate that efforts to hire Canadian citizens or permanent residents were unsuccessful.

Advantages to the Employer

The hired individual will receive a two-year work permit, which is a closed permit, meaning they are only authorized to work for the employer who obtained the LMIA. 

Increasing Your Chance of Approval

When applying for an LMIA, employers must disclose comprehensive details about the job, the number of Canadians or permanent residents who applied, were shortlisted, interviewed, and reasons for not hiring them. A positive LMIA is more likely for specialized positions with competitive salaries..

Processing Time

The whole process from start to finish takes around 4 months. The actual processing times once an application is submitted vary from 9 days - 58 days depending on the type of LMIA. 

ESDC's Evaluation Criteria

ESDC evaluates LMIA applications based on several factors, including compliance with labor laws, competitive salary relative to the job's location, high or low wage categorization, genuine skill shortages, the employer's efforts to hire Canadians or permanent residents, existing labor disputes, the unique skills the foreign worker brings, and the potential impact on the job market and job creation.

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COMMON LMIA QUESTIONS

Explore answers to common queries about LMIA’S and our services.

Canadian employers facing labor shortages typically need an LMIA before hiring a foreign worker. Exceptions exist under LMIA Exemption Codes and the International Mobility Workers Unit’s guidelines.

Employers must pay a processing fee, advertise the position in Canada, use multiple recruitment methods, provide a transition plan, invest in Canadian skill training, and ensure no Canadian workers are laid off.

Rejections may occur due to employer ineligibility, non-compliance, high local unemployment rates, specific NOC type restrictions, or if fraudulent or incomplete documentation is provided.

It supports both a work permit and an Express Entry application, potentially aiding in Permanent Residence applications. The employer must define whether the foreign worker is being hired under a high or low wage relative to the provincial median wage rate.

A consultant’s in-depth knowledge of ESDC requirements and labor market trends helps tailor your application to meet specific criteria, significantly improving your chances of approval..

Consultants manage the entire process, from gathering necessary documentation to ensuring accuracy and compliance with the latest guidelines, thus streamlining your application submission.