What is an LMIA?

A Labour Market Impact Assessment (LMIA) is a document issued by Employment and Social Development Canada (ESDC), formerly known as Service Canada. It’s designed to assess the potential impact of hiring a foreign worker on the Canadian labour market.

Purpose of an LMIA:

The primary purpose of an LMIA is to ensure that hiring a foreign worker will not have a negative impact on the Canadian workforce. It helps to verify that there are no qualified Canadian citizens or permanent residents available to fill the job position being offered to a foreign worker.

When is an LMIA Required?

In most cases, Canadian employers must obtain a positive LMIA before they can hire a foreign worker through the Temporary Foreign Worker Program (TFWP). The LMIA process is typically required for employers seeking to hire foreign workers for low-wage or high-wage positions in Canada.

Types of LMIA:

1.  1. High-wage LMIA: This applies to job positions that offer wages at or above the provincial or territorial median hourly wage.
2. 2. Low-wage LMIA: This applies to job positions that offer wages below the provincial or territorial median hourly wage.

Steps in the LMIA Process:

1. 1. Employer Applies for an LMIA: The Canadian employer applies to ESDC for an LMIA by submitting a detailed application that includes information about the job position, efforts made to recruit Canadians, and a Labour Market Benefits Plan.
2. 2. ESDC Assessment: ESDC assesses the application to determine if the job offer meets the requirements and if there is a genuine need to hire a foreign worker.
3. 3. Decision on the LMIA: ESDC will issue either a positive or negative LMIA based on its assessment of the application.
   • – Positive LMIA: Indicates that there is a genuine need for a foreign worker and that hiring one will not have a negative impact on the Canadian labour market.
   • – Negative LMIA: Indicates that the job offer does not meet the requirements or that there are qualified Canadians available to fill the position.
4. 4. Employer Notifies the Foreign Worker: If the LMIA is positive, the employer must inform the foreign worker, who can then use the positive LMIA to apply for a work permit from Immigration, Refugees and Citizenship Canada (IRCC).

Exemptions from the LMIA Requirement:

Certain categories of foreign workers are exempt from the LMIA requirement. This includes individuals who qualify under international agreements (such as NAFTA), those nominated through Provincial Nominee Programs (PNPs), and participants in specific streams of the International Mobility Program (IMP).

Validity of an LMIA:

An LMIA is typically valid for six months from the date it is issued by ESDC. If the work permit application is not submitted within this timeframe, the employer may need to reapply for a new LMIA.

Appeals and Reconsideration:

If an employer’s LMIA application is denied, they have the option to request a reconsideration or appeal the decision. This involves providing additional information or addressing any concerns raised by ESDC.

Overall, the LMIA process is a critical step for Canadian employers looking to hire foreign workers, and it’s important to understand the requirements and procedures involved to ensure compliance with Canadian immigration regulations.