Helping Canadian Businesses Hire Foreign Workers through LMIA
What is an LMIA?
An LMIA is a document issued by Employment and Social Development Canada (ESDC) that assesses the impact a foreign worker will have on the Canadian labour market. In other words, it’s a way for the government to ensure that hiring a foreign worker will not have a negative effect on Canadian workers. It is a document where the employer asks the Canadian government for their approval to be able to hire a foreign worker.
Who Can Apply for an LMIA in Canada?
Employers
Any employer in Canada who wants to hire a foreign worker can generally apply for an LMIA as long as they cannot find a Canadian citizen or permanent resident to fill the position. This includes both small businesses and large corporations. However, to be eligible, the employer must demonstrate that there is an immediate need to hire a worker and the financial capacity to pay his/her wages.
Foreign Workers
Foreign workers who have been offered a job in Canada and wish to work in the country must have a positive LMIA from their prospective employer in order to apply for a work permit. Note that there are some exceptions to the LMIA process, including the International Mobility Program, which allows some foreign workers to enter Canada without an LMIA. However, this program is based on international trade agreements and reciprocal agreements between Canada and other select countries. Fill out the form and find out if you are eligible to apply for an LMIA.
Applying for an LMIA
The Labour Market Impact Assessment (LMIA) application process in Canada can vary depending on the type of job being offered to a foreign worker. Two main categories of jobs are considered in the LMIA process: high-wage and low-wage positions. But what exactly do these terms mean, and how do they affect the LMIA application process?
High Wage Positions
High wage positions refer to jobs that pay a wage higher than the median wage published by the Canadian government for that occupation in the region where the job is located. These jobs typically require higher levels of skill and experience, and the LMIA application process for high wage positions requires a transition plan or supporting the future permanent residence of the foreign worker.
Low Wage Positions
Low wage positions refer to jobs that pay a wage lower than the median wage published by the Canadian government for that occupation in the region where the job is located. The LMIA application process for low wage positions will involve a more in-depth assessment of the impact that the hiring of a foreign worker will have on the Canadian labour market and the recruitment efforts done to fill this position.
The employer will be limited on the number of workers needed to be hired based on a CAP limit. The CAP is a percentage calculation of the number of full time and part time workers already employed by the company. The CAP percentage allowed varies depending on the company’s current employee numbers and industry. The LMIA application willl include a review of the availability of Canadian workers for the job, the wage rate offered to the foreign worker, and the working conditions.
Find out if you are eligible to apply for an LMIA
Employer Requirement
🔲 Job Offer Information
One of the main requirements for an LMIA application is a detailed job offer, including information such as the job duties, wage rate, and working conditions. The job offer must be for a position that you are not able to fill with a Canadian citizen or permanent resident.
🔲 Recruitment Efforts
The employer must also provide evidence of recruitment efforts to hire Canadian citizens and/or permanent residents for the job. This may include proof of job postings on various Canadian websites, as well as an outreach to local job placement agencies. For some streams, it is mandatory to post the advertisement in a website addressed to underrepresented groups or specialized websites. The advertising that is required is very specific.
🔲 Wage Rate
The wage rate offered to the foreign worker must be in line with the prevailing wage rate for that occupation in the region where the job is located. Each province is broken into various regions and the wage rate required can vary between regions even when the province is the same. This information can be obtained from the Government of Canada’s Job Bank website, except for Quebec. For employers in Quebec, the wage is detailed in a guide issued by the province and updated each year.