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Labor Market Impact
Assessment

A document allows Canadian employers to hire foreign workers

General information

Labor Market Impact Assessment (LMIA) is a document that allows a Canadian employer to hire foreign workers to come to Canada and work for them exclusively

Basic requirements
Recruitment
Demonstrate enough efforts to hire Canadian or Permanent Residents before offering a job to foreign workers
Wages
Comparable to the wages paid to Canadian or Permanent Residents in the same occupation and work location
Working conditions
Provide the same working conditions to foreign workers and ensure they are covered by workplace safety insurer
Business legitimacy
In good financial standing and not on the list of non-compliance employers or offering prostitute services
Processing fee
$1,000 for each position requested
Low-wage stream
Proportion of temporary workers
Unless exempted and depending on the sector, the number of foreign workers generally cannot exceed 20% of the total workforce
High-wage stream
Transition plan
To hire, retain and train Canadian or Permanent Resident and reduce reliance on hiring Foreign workers
Agricultural Stream
Wages
Ensure or provide suitable and affordable housing, regular transportation, and health insurance at a reasonable cost
Global Talent stream
Unique and specialized expertise
The occupation is on Global Talent Occupations list or referred by a designated referral partner. Labour Market Benefits Plan is required to demonstrate the lasting and positive benefits to the Canadian labor market.
Median hourly wages by province or territory

Updated: 2024-08-13 10:44:42 PST

Province/territoryMedian hourly wages before April 2, 2024Median hourly wages as of April 2, 2024
Alberta$28.85$29.50
British Columbia$27.50$28.85
Manitoba$23.94$25.00
New Brunswick$23.00$24.04
Newfoundland and Labrador$25.00$26.00
Northwest Territories$38.00$39.24
Nova Scotia$22.97$24.00
Nunavut$35.90$35.00
Ontario$27.00$28.39
Prince Edward Island$22.50$24.00
Quebec$26.00$27.47
Saskatchewan$26.22$27.00
Yukon$35.00$36.00

Application process

Process timeline of preparing and reviewing the application
between the employer with Employment and Social Development Canada

Recruitment efforts
Stage 1

The employer conducts hiring activities to recruit Canadians and Permanent Residents based on certain requirements.

Application submission
Stage 2

Recruitment efforts failed, employer submit LMIA application to Employment and Social Development Canada (ESDC).

Interview
Stage 3

ESDC officers conduct a phone interview with the employer to confirm the business information before making the decision.

Decision
Stage 4

Application approved, the employers receive a positive LMIA that allows them to start hiring temporary foreign workers.

Success factors

Crucial elements affect the decision of
Labor Market Impact Assessment

Business profit
Age
Language
French
Recruitment
Wages
Canadian work experience
Compliance history
Work experience
Management experience
Admissible
Letter from employer
Occupation in Canada
Field study in Canada
Business industry
Unemployment rate
Community referral letter
Farm experience
Job offer
Business proposal
Education in Canada

Processing time

Depending on the occupation, wages and region of the hiring positions

Updated: 2024-09-11 05:29:35 PST

StreamTime in business days
Global Talent Stream7
Agricultural stream14
Seasonal Agricultural Worker Program6
High-wage stream51
Low-wage stream53
Permanent resident stream97

Specific requirements

Important requirements the employers should note

  • The Labor Market Impact Assessment allows business owners who are in short supply to find a replacement who is a permanent resident or Canadian citizen.
  • The certificate allows businesses to hire foreign workers, qualified and able to enter, to fill positions that are in short supply for 1-2 years, depending on the position.
  • Before the expiration of the employment period, the employer must find a replacement, or file another assessment request, which the current employee can use to renew and continue working.

Immigration Ineligibility

  • The employer who has a non-compliance history in immigration law and regulation or fails to pay a financial penalty
  • The employer who offers sex-related products and services

Basic requirements

  • Processing fee of $1000 non-refundable for each position, unless:
    • Hiring caregiver to provide childcare in their home to a child under 13 years of age for families or individuals with a gross annual income of $150,000 or less
    • Hiring caregiver to provide home care for individuals requiring assistance with medical needs
  • In good financial standing and not on the list of non-compliance employers or offering prostitute services
  • If an employer hasn't participated in any TFW program in the last 6 years, they must demonstrate efforts to maintain an abuse-free workplace and ensure no affiliations with any employers ineligible for the TFWP program
  • Demonstrate enough efforts to hire Canadian or Permanent Residents before offering a job to foreign workers

Hiring position

  • Use either English or French, unless demonstrating the essential need for another language
  • Have the wage that is highest of EITHER the median wage for the same occupation and regions as defined on Job Bank OR within the wage range of current employees for the same job, work location, skills and years of experience
  • Have employment contract
  • The employee is only obliged to perform the duties listed in the employment contract
  • The number of foreign workers is limited at maximum of 20% of the total workforce, unless exempted and in high demand sectors
  • The employer is responsible for providing transportation between the employees' residences and their workplace, as well as round-trip transportation between their home country and Canada at the beginning and end of their employment
  • Ensure or provide affordable housing at reasonable cost
  • Ensure foreign workers are covered by public health insurance or pay for private insurance until eligible for the public coverage

Exemptions to the cap

Exemptions to the 20% cap on foreign workers

  • NOC 80020, 80021, 82030, 82031, 84120 - Farm managers/supervisors and specialized livestock workers
  • NOC 85100, 85101, 85103 - General farm workers, nursery and greenhouse workers and harvesting labourers
  • NOC 31301, 32101, 33102 - Caregiving positions for health care institutions
  • Positions to support Permanent Resident application under Express Entry program
  • Highly mobile or truly temporary positions (120 calendar days or less)
  • Positions in seasonal industries (270 calendar days or less)

Positions under temporary policy or pilot programs

The proportion increased to the limit of 30% in high demand occupations, from April 30, 2022 to August 30, 2024

  • NAICS 23 - Construction
  • NAICS 311 - Food Manufacturing
  • NAICS 321 - Wood Product Manufacturing
  • NAICS 337 - Furniture and Related Product Manufacturing
  • NAICS 622 - Hospitals
  • NAICS 623 - Nursing and Residential Care Facilities
  • NAICS 72 - Accommodation and Food Services

The proportion increased to the limit of 30% in high demand occupations, on and after 1/5/2024

  • NAICS 23 - Construction
  • NAICS 622 - Hospitals
  • NAICS 623 - Nursing and Residential Care Facilities

Issuance of 2-year work permits for businesses in the manufacturing of meat products since December 2, 2019

  • NOC 63201 - Butchers in retail and wholesale
  • NOC 65202 - Meat cutters and fishmongers (retail and wholesale)
  • NOC 82030 - Agricultural service contractors and farm supervisors
  • NOC 84120 - Specialized livestock workers and farm machinery operators
  • NOC 85100 - Livestock labourers
  • NOC 94141 - Industrial butchers and meat cutters, poultry preparers and related workers
  • NOC 95106 - Labourers in food and beverage processing
  • The Labor Market Impact Assessment allows business owners who are in short supply to find a replacement who is a permanent resident or Canadian citizen.
  • Before the expiration of the employment period, the employer must find a replacement, or file another assessment request, which the current employee can use to renew and continue working.

Immigration Ineligibility

  • The employer who has a non-compliance history in immigration law and regulation or fails to pay a financial penalty
  • The employer who offers sex-related products and services

Basic requirements

  • Processing fee of $1000 non-refundable for each position, unless:
    • Hiring caregiver to provide childcare in their home to a child under 13 years of age for families or individuals with a gross annual income of $150,000 or less
    • Hiring caregiver to provide home care for individuals requiring assistance with medical needs
  • In good financial standing and not on the list of non-compliance employers or offering prostitute services
  • Demonstrate enough efforts to hire Canadian or Permanent Residents before offering a job to foreign workers
  • If an employer hasn't participated in any TFW program in the last 6 years, they must demonstrate efforts to maintain an abuse-free workplace and ensure no affiliations with any employers ineligible for the TFWP program
  • The Transition plan lists activities to recruit, retain, and train Canadian permanent residents and citizens and reduce dependence on foreign workers.

Hiring position

  • Use either English or French, unless demonstrating the essential need for another language
  • Have the wage that is highest of EITHER the median wage for the same occupation and regions as defined on Job Bank OR within the wage range of current employees for the same job, work location, skills and years of experience
  • Ensure foreign workers are covered by public health insurance or pay for private insurance until eligible for the public coverage
  • Have employment contract
  • The employee is only obliged to perform the duties listed in the employment contract

Transition plan exemptions

Occupations exempt from transition plan requirements

  • Caregiver for private household employers (NAICS 8141) under NOC codes 31301, 32101, 44100,44101 or for health care institutions (NAICS 62) under NOC 31301, 32101, 33102
  • Position under the Seasonal Agricultural Worker Program, the Agricultural Stream and other primary agriculture occupations
  • Positions working in a limited duration (1 day to a maximum of 2 years) such as: local employment rely on foreign worker's expertise in order to start (project-based occupations such as consultant for business management, specialized engineer for a dam construction project), impossible to transition to Canadian or Permanent Resident, short-term employment is the norm for the industry (Film and Entertainment positions, emergency repairs and warranty work)
  • Unique skill (under NOC 00 hiring by a foreign government)
  • Occupations under Quebec’s facilitated LMIA process
  • LMIA processing fee does not apply to occupations under NOC 80020, 80021, 82030, 82031, 84120, 85100, 85101, 85103
  • The agricultural labor program allows businesses to hire workers to work in the agricultural industry for up to 2 years
  • Before the expiration of the employment period, the employer must find a replacement, or file another assessment request, which the current employee can use to renew and continue working.

Basic requirements

  • Not on the non-compliance employers list
  • In good financial standing and not on the list of non-compliance employers or offering prostitute services
  • Produce certain agricultural products on primary agriculture farm
  • Demonstrate enough efforts to hire Canadian or Permanent Residents before offering a job to foreign workers
  • If an employer hasn't participated in any TFW program in the last 6 years, they must demonstrate efforts to maintain an abuse-free workplace and ensure no affiliations with any employers ineligible for the TFWP program

Hiring position

  • Use either English or French, unless demonstrating the essential need for another language
  • Have employment contract
  • The employee is only obliged to perform the duties listed in the employment contract
  • The employer is responsible for providing transportation between the employees' residences and their workplace, as well as round-trip transportation between their home country and Canada at the beginning and end of their employment (deductible to the payroll, except BC)
  • Provide affordable housing at a reasonable cost
    • on-farm housing: deduct a maximum of $30 per week from the wage, unless otherwise specified by the province
    • off-site housing: deduct a maximum of $30 per week from the wage unless otherwise specified by the province if in low-skilled occupations under NOC 84120 - Farm machinery operators only, 85100, 85101, 85103 OR ensure the rent does not cost more than 30% of the gross monthly earnings if in high skilled occupations under NOC 80020, 80021, 82030, 82031, 84120 - Specialized livestock workers only
  • Ensure all foreign workers have public health insurance coverage, or finance private insurance until they qualify for public coverage, with all employees being insured by the same provider
  • Have the wage that is highest of EITHER the applicable federal/provincial minimum wage OR the wage paid for the same occupation and regions by agriculture commodities as below:

Seasonal Agricultural

  • Seasonal Agricultural Worker Program allows employers to hire temporary foreign workers for a maximum period of 8 months from certain countries which Canada has bilateral agreements with, including Mexico and Caribbean countries such as Anguilla, Antigua & Barbuda, Barbados, Dominica, Grenada, Jamaica, Montserrat, St. Kitts-Nevis, St. Lucia, St. Vincent & the Grenadines, Trinidad & Tobago
  • Provide adequate, suitable and affordable housing for foreign workers with the occupancy rate for each unit not exceed the maximum allowable occupancy rate
  • In-home caregiver allows families or individuals to hire a temporary foreign worker to provide care in a private residence to children, seniors or persons with certified medical needs for the occupations such as
    • NOC 44100 - Child care provider, live-in caregiver, nanny
    • NOC 31301 - Registered nurse or registered psychiatric nurse
    • NOC 32101 - Licensed practical nurse
    • NOC 44101 - Attendant for persons with disabilities, home support worker, live-in caregiver, personal care attendant
  • Caregiver may be eligible to apply for permanent residency after having enough qualifying experience
  • Caregiver will be issued a work permit with a validity up to 3 years
  • Before the expiration of the employment period, the employer must find a replacement, or file another assessment request, which the current employee can use to renew and continue working.

Basic requirements

  • Processing fee of $1000 non-refundable for each position, unless:
    • Hiring caregiver to provide childcare in their home to a child under 13 years of age for families or individuals with a gross annual income of $150,000 or less
    • Hiring caregiver to provide home care for individuals requiring assistance with medical needs
  • Not on the non-compliance employers list
  • Demonstrate enough efforts to hire Canadian or Permanent Residents before offering a job to foreign workers

Hiring position

  • Use either English or French unless demonstrating the essential need for another language and have ability to communicate effectively and independently
  • Have post-secondary education for high-skilled positions OR relevant experience, qualifications or training for low-skilled positions
  • May partner with another employer (maximum of 2 official employers)
  • Have the wage that is highest of EITHER the median wage for the same occupation and regions as defined on Job Bank OR within the wage range of current employees for the same job, work location, skills and years of experience
  • Have employment contract
  • The employee is only obliged to perform the duties listed in the employment contract
  • Must pay the round-trip transportation costs to arrive at the work location in Canada at the beginning, and return to their home country at the end
  • Living in the employer's home is not mandatory and free of charge, OR ensure suitable and affordable accommodation are available in the community of work location unless hired in high-wage position
  • Ensure foreign workers are covered by public health insurance or pay for private insurance until eligible for the public coverage
  • Global Talent Stream is one of the Labour Market Impact Assessment streams that allows an innovative company to hire an individual with unique and specialized talent referred by a designated partner in Category A OR on the Global Talent Occupations List of Category B
  • This is a priority stream with the fastest processing time of 8 business days

Immigration Ineligibility

  • The employer who has a non-compliance history in immigration law and regulation or fails to pay a financial penalty
  • The employer who offers sex-related products and services

Basic requirements

  • $1,000 for each position requested, non-refundable, unless hiring caregiver in certain circumstances
  • In good financial standing and not on the list of non-compliance employers or offering prostitute services
  • If an employer hasn't participated in any TFW program in the last 6 years, they must demonstrate efforts to maintain an abuse-free workplace and ensure no affiliations with any employers ineligible for the TFWP program
  • Labour Market Benefits Plan demonstrates the commitment to activities that will have lasting and positive impacts on the Canadian labor market such as job creation (occupation under Category A) OR increasing skills and training investments (occupation under Category B) for Canadian and Permanent Resident

Hiring position

  • Use either English or French, unless demonstrating the essential need for another language
  • Ensure foreign workers are covered by public health insurance or pay for private insurance until eligible for the public coverage
  • Have employment contract
  • The employee is only obliged to perform the duties listed in the employment contract

An innovative company (referred by a designated referral partner in Category A)

  • Has a focus on innovation
  • Has a willingness, and is capable of growing or scaling up
  • is seeking for a unique and specialized talent
  • has identified a qualified foreign worker for potential hire
  • For the first 2 positions, pay at least $38.46/hour or $80,000/year or equivalent to the prevailing wage if higher, and $72.11/hour or $150,000/year for subsequent positions

Activities that benefits Canadian labour market

include but are not limited to these activities

  • Increasing full-time and part-time job opportunities for Canadian and Permanent Resident;
  • Establishing or enhancing educational partnerships with local or regional post-secondary institutes or with other organizations that are supporting skills and training (for example, providing post-secondary institutes with free licenses or other access to specialized software that will help to build student skills on key industry tools);
  • Providing paid co-op or internship opportunities for Canadians and permanent residents at the firm;
  • Developing, implementing or participating in initiatives that increase the participation of underrepresented groups in the workplace, (for example, hosting and/or attending events that support the professional development and/or hiring of underrepresented groups in the labour market and women in high-skilled technical and/or leadership roles at the firm);
  • Providing direct training to Canadians or permanent residents, including supporting employees to travel to and attend industry or industry sector conferences relevant to the development of their specialized skillset;
  • Ensuring that the highly skilled foreign workers directly supervise and mentor Canadian workers at the firm to support knowledge transfer;
  • Increasing growth of revenue, employment or investment at the firm;
  • Developing or improving best company practices or policies related to attraction/retention of Canadian workforce (for example, by supporting code sprints and hackathons to hire new employees); and
  • Developing or enhancing partnerships with organizations that assist with the identification of top domestic capital
Category A - Designated referral partners

Pan-Canadian

The Atlantic Region

New Brunswick

Newfoundland and Labrador

Nova Scotia

Prince Edward Island

Ontario

Quebec

Alberta

British Columbia

Manitoba

Northwest Territories

Saskatchewan

Category B - Global Talent Occupations

Have the wage that is highest of EITHER the median wage for the same occupation and regions as defined on Job Bank OR within the wage range of current employees for the same job, work location, skills and years of experience

  • NOC 20012 Computer and information systems managers
  • NOC 21210 Mathematicians and statisticians
  • NOC 21211 Data scientists
  • NOC 21220 Cybersecurity specialists
  • NOC 21221 Business system specialists
  • NOC 21222 Information systems specialists
  • NOC 21223 Database analysts and data administrators
  • NOC 21230 Computer systems developers and programmers
  • NOC 21231 Software engineers and designers
  • NOC 21232 Software developers and programmers
  • NOC 21233 Web designers
  • NOC 21234 Web developers and programmers
  • NOC 21300 Civil engineers
  • NOC 21310 Electrical and electronics engineers
  • NOC 21330 Mining engineers
  • NOC 21390 Aerospace engineers
  • NOC 22310 Electrical and electronics engineering technologists and technicians
  • NOC 21311 Computer engineers, except software engineers and designers
  • NOC 22220 Computer network technicians
  • NOC 22222 Information systems testing technicians
  • NOC 51120 Producer, technical, creative and artistic director and project manager – Visual effects and video game
  • NOC 52120 Digital media designers