Finding qualified and reliable employees has become increasingly challenging for many Canadian businesses. Employers in industries such as construction, transportation, agriculture, food services, hospitality, manufacturing, retail and healthcare may experience ongoing vacancies that affect productivity, customer service and business growth.
When genuine efforts to recruit Canadian citizens and permanent residents are unsuccessful, an employer may be able to hire a temporary foreign worker through the Temporary Foreign Worker Program.
In most cases, the employer must first obtain a positive Labour Market Impact Assessment. Because an LMIA application involves strict recruitment, wage, documentation and employer-compliance requirements, professional LMIA services can help employers understand their obligations and prepare a complete application.
What Is a Labour Market Impact Assessment?
A Labour Market Impact Assessment, commonly known as an LMIA, is a decision issued by Employment and Social Development Canada.
The assessment determines whether hiring a temporary foreign worker is likely to have a positive or neutral impact on the Canadian labour market.
A positive LMIA generally confirms that:
- The employer has a genuine need for the position.
- The job offer is legitimate.
- The employer made the required efforts to recruit Canadians and permanent residents.
- No qualified Canadian citizen or permanent resident was available for the position.
- The offered wage and working conditions meet program requirements.
- Hiring the foreign worker is not expected to negatively affect the Canadian labour market.
After receiving a positive LMIA, the selected foreign worker may use it to apply to Immigration, Refugees and Citizenship Canada for an employer-specific work permit.
A positive LMIA does not itself authorize the foreign national to work in Canada and does not guarantee approval of the work permit.
Employers can review the different federal options on the Government of Canada’s Temporary Foreign Worker Program website.
When Should an Employer Consider an LMIA?
An LMIA may be worth considering when an employer:
- Has been unable to find qualified Canadian or permanent resident workers.
- Has experienced repeated or long-term vacancies.
- Is losing business because of insufficient staffing.
- Needs workers with specialized qualifications or experience.
- Is expanding operations but cannot meet its staffing requirements.
- Wants to retain an existing temporary foreign worker whose work permit is expiring.
- Has identified a suitable foreign worker for a genuine vacant position.
- Operates in an industry or location experiencing a documented labour shortage.
The Temporary Foreign Worker Program is intended to address temporary labour shortages when qualified Canadians or permanent residents are not available. It should not be used to avoid hiring available Canadian workers or to reduce wages and employment standards.
Does Every Foreign Worker Require an LMIA?
No. Some foreign nationals may qualify for an LMIA-exempt work permit under the International Mobility Program or another federal immigration provision.
Possible LMIA-exempt options may include:
- Intra-company transfers
- Certain free-trade agreement professionals
- Francophone Mobility
- Significant-benefit work permits
- International Experience Canada
- Certain open work permits
- Other employer-specific exemptions
Before beginning an LMIA application, an employer should determine whether the proposed worker qualifies for an LMIA exemption. If an exemption is available, the employer may be able to hire the worker through the IRCC Employer Portal instead of applying through the Temporary Foreign Worker Program.
A professional assessment can help the employer compare the available options and determine the appropriate process.
High-Wage and Low-Wage LMIA Applications
One of the first steps in preparing an LMIA application is determining whether the position falls under the high-wage or low-wage stream.
The classification is based on the wage offered for the position compared with the applicable provincial or territorial wage threshold.
- If the offered wage is at or above the applicable threshold, the employer generally applies under the high-wage stream.
- If the offered wage is below the applicable threshold, the employer generally applies under the low-wage stream.
Offering a wage above the threshold does not automatically make an application eligible for the high-wage stream. The employer must still offer at least the applicable prevailing wage for the occupation and work location.
Employers can review the latest thresholds on the Government of Canada’s high-wage and low-wage LMIA page.
High-Wage LMIA
Employers applying under the high-wage stream are generally required to submit a transition plan.
The transition plan explains the employer’s efforts to recruit, retain and train Canadians and permanent residents and reduce its future reliance on the Temporary Foreign Worker Program.
The employer may need to commit to activities such as:
- Increasing recruitment efforts
- Training existing employees
- Supporting apprenticeships
- Hiring underrepresented workers
- Assisting the foreign worker in pursuing permanent residence
- Developing internal succession plans
When an employer previously submitted a transition plan for the same position and work location, it may also need to report on the results of its earlier commitments.
Low-Wage LMIA
Low-wage LMIA applications are subject to additional requirements intended to protect workers and limit an employer’s reliance on temporary foreign labour.
Depending on the circumstances, these requirements may include:
- A limit on the percentage of low-wage temporary foreign workers at a work location
- Additional recruitment requirements
- Payment of round-trip transportation costs
- Assistance with suitable and affordable housing
- Private health insurance where required
- Workplace-safety coverage
- Additional employment-agreement obligations
Certain low-wage LMIA applications may not be processed if the work location is in a census metropolitan area with an unemployment rate at or above the federal threshold. Exceptions may apply to specified sectors, occupations or temporary regional measures.
As of July 2026, employers seeking workers under the low-wage stream are generally required to advertise the position for eight consecutive weeks before submitting the LMIA application and demonstrate appropriate efforts to recruit youth.
Because low-wage rules, caps, exemptions and unemployment-rate tables can change, employers should review the requirements before beginning recruitment.
The LMIA Process for Canadian Employers
Step 1: Confirm Whether an LMIA Is Required
The employer should first determine whether the proposed worker requires an LMIA or qualifies for an exemption.
Starting an unnecessary LMIA application can result in wasted time and expense. Conversely, incorrectly treating a position as exempt may prevent the worker from obtaining a valid work permit.
Step 2: Select the Correct Occupation and NOC Code
The position must be classified under the appropriate National Occupational Classification code.
The classification should be based on:
- The actual job duties
- The position’s responsibilities
- Required education and experience
- Employment requirements
- Level of responsibility
- Working conditions
The job title alone is not enough to determine the correct NOC. An incorrect occupational classification may affect the prevailing wage, recruitment requirements, application stream and LMIA decision.
Step 3: Determine the Required Wage
Employers must generally offer at least the prevailing wage for the occupation and work location.
The wage should also be consistent with what the employer pays Canadian citizens and permanent residents performing substantially the same work at the same location with comparable skills and experience.
Only guaranteed wages are generally considered when assessing the wage offer. Overtime, tips, bonuses, commissions, benefits and profit-sharing arrangements may not be counted as part of the guaranteed wage.
Employers may also be required to review and update the temporary foreign worker’s wage during employment to ensure it continues to meet the applicable prevailing wage.
Step 4: Review Refusal-to-Process Rules
Before advertising the position, the employer should determine whether the application may be affected by federal refusal-to-process rules.
These rules may apply because of:
- The wage level
- The unemployment rate in the work location
- The percentage of temporary foreign workers at the worksite
- The employer’s previous compliance history
- The occupation or industry
- A live-in requirement
- A previous LMIA revocation
Identifying a refusal-to-process issue before spending money on recruitment and government fees can save the employer significant time and expense.
Step 5: Conduct the Required Recruitment
Employers must generally demonstrate genuine efforts to recruit Canadian citizens and permanent residents before applying for an LMIA.
Depending on the stream and occupation, recruitment may include:
- Advertising on Government of Canada Job Bank
- Using additional recruitment platforms
- Advertising for the required period
- Targeting appropriate occupational audiences
- Recruiting from underrepresented groups
- Reviewing applications from Canadian and permanent resident candidates
- Maintaining detailed recruitment records
- Continuing recruitment while the LMIA is being assessed, where required
Advertisements must generally remain consistent with the LMIA application regarding the job title, wage, duties, location, working hours, experience and educational requirements.
Unnecessarily restrictive job requirements may raise concerns unless the employer can demonstrate that they are genuinely required for the position.
Step 6: Document the Recruitment Results
The employer should maintain a clear record of:
- Where and when the position was advertised
- The number of applications received
- The number of Canadian citizens and permanent residents who applied
- The candidates interviewed
- The reasons applicants were not hired
- Copies of advertisements
- Recruitment invoices or receipts
- Interview notes and recruitment summaries
Simply stating that no suitable applicants were available may not be sufficient. The employer should be able to demonstrate that recruitment was genuine and that Canadian applicants were considered fairly.
Step 7: Establish Business and Job-Offer Legitimacy
Employment and Social Development Canada may assess whether:
- The business is legally operating.
- The business provides the goods or services connected to the job offer.
- The employer can reasonably afford the worker’s wages.
- There is a genuine need for the position.
- The job duties are reasonable for the business.
- The employer can meet all employment obligations.
- The position is full-time and meets program requirements.
- The employer has complied with previous immigration and employment commitments.
Supporting documents may include business registration records, municipal licences, tax information, payroll records, financial documents, commercial leases, contracts, invoices and evidence of ongoing business activity.
Step 8: Submit the LMIA Application
Most LMIA applications are submitted through the federal LMIA Online system. A Job Bank employer account is generally required.
The application must include the applicable forms, recruitment information, business documents, job-offer details and government processing fee.
The employer is responsible for paying the LMIA processing fee. The fee and other recruitment costs cannot be charged to or recovered from the foreign worker.
Step 9: Respond to the ESDC Assessment
An Employment and Social Development Canada officer may contact the employer or authorized representative to:
- Verify business information
- Review the recruitment results
- Discuss the need for the position
- Confirm the job duties and wage
- Review the employer’s staffing levels
- Discuss the transition plan
- Request additional documents
- Confirm the employer’s understanding of its obligations
The employer should be prepared to provide accurate and consistent information. A professional representative can help the employer prepare for the assessment and respond to document requests.
Step 10: Complete the Work Permit Process
If the employer receives a positive LMIA, the selected foreign worker may use the decision and employment documents to apply for an employer-specific work permit.
The worker must independently meet the applicable immigration requirements. These may include admissibility, qualifications for the position, temporary-resident requirements and biometrics or medical examination requirements.
A positive LMIA does not guarantee that the work permit will be approved.
Employer Responsibilities After Hiring a Foreign Worker
Employer obligations do not end when the LMIA is approved.
The employer must generally provide the foreign worker with employment that is substantially the same as the offer described in the LMIA application, including:
- Occupation and job duties
- Wage
- Working hours
- Work location
- Benefits
- Working conditions
Employers must also comply with federal and provincial employment laws and maintain records relating to the foreign worker’s employment.
The employer cannot:
- Charge or recover LMIA fees from the worker
- Charge the worker recruitment fees
- Reduce the approved wage without authorization
- Provide significantly different duties or working conditions
- Retaliate against a worker who raises a workplace concern
- Take possession of the worker’s passport or personal documents
- Prevent the worker from accessing healthcare or legal assistance
Employers may be inspected to confirm compliance. Non-compliance may result in monetary penalties, loss of LMIA privileges or a temporary or permanent ban from hiring foreign workers.
More information is available through the Government of Canada’s employer-compliance guidance.
Common Reasons for LMIA Problems
An LMIA application may face difficulties when:
- The employer uses the wrong NOC code.
- The offered wage does not meet the prevailing wage.
- Recruitment advertisements contain inconsistent information.
- Recruitment was not completed for the required period.
- The employer cannot explain why Canadian applicants were not hired.
- The position does not appear reasonable for the business.
- Business-legitimacy documents are insufficient.
- The employer is affected by a refusal-to-process rule.
- The transition plan is incomplete or unrealistic.
- The employer exceeds the low-wage workforce cap.
- The employer has previously failed to meet program obligations.
- Information provided during the employer interview is inconsistent with the application.
- The position appears to have been created primarily to facilitate immigration.
Professional advice at the beginning of the process can help identify these concerns before the employer commits time and resources to an application.
How Can a RCIC (Immigration Consultant) Help an Employer?
An experienced consultant can assist with:
- Determining whether an LMIA is required
- Reviewing possible LMIA-exempt alternatives
- Selecting the appropriate LMIA stream
- Identifying the correct NOC code
- Determining the prevailing wage
- Reviewing refusal-to-process rules
- Preparing a compliant recruitment strategy
- Reviewing job advertisements
- Organizing recruitment results
- Preparing the transition plan
- Reviewing business-legitimacy documents
- Completing the LMIA application
- Communicating with Employment and Social Development Canada
- Preparing the employer for an interview
- Responding to additional document requests
- Coordinating the foreign worker’s work permit application
- Advising on ongoing employer-compliance obligations
Professional representation does not guarantee a positive LMIA. Its value lies in helping the employer understand the requirements, reduce preventable errors and present a complete and consistent application.
Experienced LMIA/Immigration Services from HV Global Immigration Ltd.
HV Global Immigration Ltd. has been providing professional Canadian immigration services since 2019. The firm assists Canadian employers, business owners and organizations with employer-driven immigration matters, including Labour Market Impact Assessment applications and LMIA-supported work permits.
HV Global Immigration Ltd. is led by Harish Sharma, a Regulated Canadian Immigration Consultant with RCIC number R534969.
Harish combines professional immigration knowledge with extensive business and management experience. This allows him to understand not only the immigration requirements but also the practical staffing and operational challenges employers face when they are unable to recruit suitable workers locally.
Our LMIA services include assistance with:
- High-wage LMIA applications
- Low-wage LMIA applications
- Agricultural positions
- Construction positions
- Hospitality and food-service positions
- Transportation and trucking positions
- Manufacturing positions
- Retail positions
- Employer-specific work permits
- Employer compliance
- Corporate immigration and global mobility
Employers can learn more about our services on the HV Global Immigration Ltd. LMIA Services page.
Frequently Asked Questions for Employers
Does an LMIA guarantee that I can hire a foreign worker?
No. A positive LMIA allows the selected foreign national to apply for a work permit. Immigration, Refugees and Citizenship Canada makes the final decision on the work permit application.
Can I apply for an LMIA without selecting a foreign worker?
Some LMIA categories may allow an employer to apply without immediately identifying a worker. Whether an unnamed LMIA is appropriate depends on the stream and circumstances.
Can the employee pay the LMIA fee?
No. The employer is responsible for the LMIA processing fee. An employer or representative cannot charge or recover the LMIA or recruitment costs from the foreign worker, either directly or indirectly.
How long does an LMIA application take?
Processing times vary according to the application stream, occupation, location, application volume and whether additional information is requested. Employers should review current federal processing times and begin workforce planning early.
Can I hire a foreign worker who is already in Canada?
Possibly. The worker’s current immigration status and work permit conditions must be reviewed. A positive LMIA may be used to support a new employer-specific work permit, but the worker cannot normally begin working for the new employer until legally authorized.
What if my employee’s work permit is expiring?
Employers should begin planning well before the work permit expires. Recruitment and LMIA processing can take considerable time. An LMIA application alone does not automatically extend a worker’s status or authorization to work.
Can an LMIA support permanent residence?
Certain LMIA applications or qualifying job offers may support a worker’s permanent residence strategy. However, the employer and worker should obtain advice because the requirements differ from those for a temporary foreign worker application.
Is a positive LMIA guaranteed if I completed the advertising?
No. Recruitment is only one part of the assessment. Employment and Social Development Canada will also consider business legitimacy, the wage, working conditions, labour-market impact, employer compliance and the genuineness of the employment need.
Get Professional Help With Your LMIA Application
If your business is facing a genuine labour shortage and you have been unable to recruit qualified Canadian citizens or permanent residents, hiring a temporary foreign worker may be an available option.
The LMIA process requires careful planning. Recruitment should not begin until the employer understands the applicable stream, wage, advertising requirements, refusal-to-process rules and documentation standards.
HV Global Immigration Ltd. has been assisting clients with Canadian immigration matters since 2019. Harish Sharma and the HV Global team provide professional services designed around the employer’s workforce requirements and compliance responsibilities.
Contact HV Global Immigration Ltd. to schedule an employer consultation and determine whether an LMIA or another foreign-worker option is appropriate for your business.
Disclaimer: This article provides general information and does not constitute legal advice. LMIA requirements, wage thresholds, unemployment-rate restrictions, processing rules and government fees may change. Employers should review the latest Government of Canada requirements or obtain professional advice based on their particular circumstances.
Cost-Effective LMIA Services for Canadian Employers
For a business already facing staffing challenges, professional immigration fees should be predictable, reasonable and proportionate to the assistance provided.
HV Global Immigration Ltd. has been providing Canadian immigration services since 2019. Led by Harish Sharma, RCIC, we offer experienced LMIA application support at fair and competitively structured professional fees.
Our objective is to provide employers with practical value through:
- Preliminary LMIA and employer eligibility assessment
- Review of possible LMIA-exempt alternatives
- Recruitment and advertising guidance
- Wage and NOC assessment
- Application preparation and document review
- Assistance with ESDC requests and employer interviews
- Work permit and employer-compliance guidance
Before accepting an engagement, we explain the proposed scope of work and professional fees. This allows the employer to understand the process and expected costs before making a commitment.
We do not promise a positive LMIA or work permit approval. We provide honest advice, experienced representation and careful application preparation without making professional assistance unnecessarily expensive.
Experienced employer immigration support. Transparent scope. Fair professional fees.
If your business is experiencing a genuine labour shortage, speak with us before beginning recruitment or submitting an LMIA application.
Book an Employer LMIA Consultation with HV Global Immigration Ltd.
