Labour Market Impact Assessment

LMIA: Key to Canadian Work Authorization

In Canada, a Labour Market Impact Assessment (LMIA) is a document that assesses the impact that hiring a foreign worker may have on the Canadian labour market. Employers in Canada may require an LMIA before they can hire a foreign worker for a job vacancy. An LMIA is intended to ensure that hiring a foreign worker will not negatively impact Canadian workers.

Once an employer has obtained a positive LMIA, the foreign worker can apply for a work permit to work in Canada. The LMIA serves as proof that the employer has made an effort to hire Canadian workers first and that no qualified Canadians are available for the job.

To apply for an LMIA work permit in Canada, the foreign worker must provide proof of a positive LMIA, a valid job offer from a Canadian employer, and evidence that they meet the requirements of the job, such as work experience, education, and language proficiency.

LMIA work permits are usually issued for a specific period of time and are tied to a specific employer. This means that if the foreign worker wants to change employers, they will need to obtain a new LMIA and work permit.

It is important to note that not all jobs in Canada require an LMIA. Some jobs are exempt from the LMIA process, such as jobs covered by international agreements or jobs that fall under certain categories, such as intra-company transfers or professionals under NAFTA.

What is a positive Labour Market Impact Assessment (LMIA)?

A positive Labour Market Impact Assessment (LMIA) is a document issued by Employment and Social Development Canada (ESDC) that indicates that a Canadian employer has demonstrated a need to hire a foreign worker to fill a job vacancy, and that there are no qualified Canadian citizens or permanent residents available to fill the position. To obtain a positive LMIA, the Canadian employer must submit an application to ESDC, which will be evaluated based on the availability of Canadian workers for the job, wages and working conditions being offered, and the impact that hiring a foreign worker may have on the Canadian labour market. If ESDC approves the application and issues a positive LMIA, the Canadian employer can use the document to support their application for a work permit for the foreign worker.

What are the LMIA Application Requirements?

To apply for a Labour Market Impact Assessment (LMIA) in Canada, an employer must meet certain requirements and provide specific documentation as part of their application. Here are the general requirements for a LMIA application:

• Job Offer: The employer must have a valid job offer for a full-time, permanent, or temporary position in Canada.
• Recruitment Efforts: The employer must demonstrate that they have made efforts to recruit Canadian citizens and permanent residents for the position, such as advertising on job bank and in newspapers.
• Wages and Working Conditions: The employer must offer wages and working conditions that are consistent with the prevailing wage for the occupation in the region where the job is located. They must also demonstrate that the foreign worker will receive the same benefits and working conditions as Canadian workers.
• Business Information: The employer must provide information about their business, such as their legal name, business number, and contact information.
• Fee Payment: The employer must pay the application fee, which varies depending on the type of application and the number of positions being requested.
• Additional Supporting Documentation: The employer may be required to provide additional documentation, such as a detailed job description, proof of the employer’s efforts to recruit Canadian workers, and evidence of the foreign worker’s qualifications and experience.

How to apply?

The LMIA application may be submitted up to 6 months before the anticipated start date of the job.

There are 2 ways you can apply:

1. Online through the LMIA Online Portal, or
2. By emailing a PDF application form

1. Apply online-
   To access the LMIA Online Portal, the applicant must first have a Job Bank account.
   Step 1 – Create a Job Bank for employers account
   Step 2 – Access the LMIA Online Portal using your Job Bank for employers’ credentials.
   Step 3 – Submit your application.
   
   • Create and fill out the LMIA application.
   • Upload all required documents supporting your business legitimacy
   • Submit the application form along with the required documents, and
   • Pay the processing fee.
2. Send a PDF application form by email-
   If the applicant is unable to apply through the LMIA Online Portal, they may request an exemption and a PDF LMIA application form.

What are the Exemptions to LMIA Requirements?

There are several exemptions to the Labour Market Impact Assessment (LMIA) requirements in Canada, which means that employers can hire foreign workers without having to obtain an LMIA. Here are some examples of LMIA exemptions:

1. International Agreements: Some foreign workers may be exempt from the LMIA process under international agreements, such as the Canada–United States–Mexico Agreement (CUSMA), which allows for certain professionals to work in Canada without an LMIA.
2. Intra-Company Transfers: Foreign workers who are being transferred to a Canadian branch of their company may be exempt from the LMIA process.
3. International Exchange Programs: Foreign workers who are participating in international exchange programs, such as co-op placements or youth mobility programs, may be exempt from the LMIA process.
4. Significant Benefit: Foreign workers who can demonstrate that their presence in Canada will bring significant social, cultural, or economic benefits may be exempt from the LMIA process.
5. Other Exemptions: Other exemptions may apply for certain occupations, such as researchers, clergy, and emergency service providers, or for certain situations, such as refugees and their family members.

It is important to note that while an LMIA may not be required for these exemptions, foreign workers may still need to obtain a work permit to work in Canada.