Immigration Pros Consultancy Services official logo with red maple leaf symbolizing Canada

Labour Market Impact Assessment: All you Need to Know about LMIA Application

Our team of professionals is ready to assist you with your LMIA needs.

LMIA and Foreign Worker immigration services are our specialty.
We build your case so that it will likely result in a successful outcome.
Are you an employer in Canada looking to hire a foreign worker? Or are you a foreign worker looking to come to Canada to work? If so, you may have heard of the term “LMIA” (Labour Market Impact Assessment). But what exactly is an LMIA, and why is it important? Let’s take a closer look at the LMIA meaning.
Before July 1st, 2014, the LMIA meaning was known as an “LMO” (Labour Market Opinion). This change was part of the government’s efforts to improve the foreign worker hiring process and ensure the protection of Canadian jobs.

1. 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.
The LMIA process protects Canadian workers by ensuring foreign workers are only hired when necessary, maintaining fair wages and working conditions.

Two workers in safety gear shaking hands in a warehouse, representing successful LMIA-based employment in Canada.

Components of an LMIA Document

The components of an LMIA document include employer and job details, wages and benefits, work location, employment terms, recruitment efforts, labour market impact, a transition plan, workplace safety compliance, and ESDC’s assessment results.

Role of ESDC

The role of Employment and Social Development Canada (ESDC) is to assess LMIA applications, ensuring that hiring foreign workers does not negatively impact the Canadian labour market.
They evaluate recruitment efforts, wage standards, work conditions, and economic benefits, ensuring employer compliance through monitoring.

2. LMIA Work Permit: How It Works

An LMIA work permit is a closed work permit that allows a foreign worker to legally work in Canada for a specific employer after the employer obtains a positive Labour Market Impact Assessment (LMIA).
Employers must apply for the LMIA first, and only after approval can the worker apply for a work permit. This permit is employer-specific, meaning:

  • The worker can only work for the employer listed in the LMIA.
  • The worker must follow the conditions of the permit, including job role, salary, and location.

LMIA Work Permit Application Process

After a positive LMIA decision, foreign workers must complete the work permit application.
Step1 : Gather Required Documents
Applicants must provide:

  • copy of the positive LMIA decision letter.
  • The Job Offer Letter and Employment Contract from the Canadian employer.
  • A completed IMM 1295 Application for a Work Permit Outside Canada (if applying from abroad).
  • Proof of qualifications (education, experience, certifications).
  • A valid passport and, if applicable, a police clearance certificate.
  • A completed medical exam (for certain occupations).
Step 2: Submit Work Permit Application
The application is submitted through IRCC’s online portal or at a Canadian visa office abroad. Processing times vary by country.
Step 3: Biometrics & Additional Requirements
Some applicants must provide fingerprints and a photo (biometrics).
Step 4: Receive Decision & Travel to Canada
Once approved, the worker receives a Port of Entry (POE) Letter of Introduction and can travel to Canada. The work permit is issued upon arrival.

Pro Tip:
 If applying from inside Canada, the work permit will be mailed to the worker.

LMIA Applications in Quebec

LMIA applications in Quebec follow a specific process, with unique requirements like wage determination and the assessment of applications by Service Canada. While these steps are similar to the rest of Canada, Quebec has distinct differences that employers need to consider.
Quebec has its own provincial immigration program, the Quebec Skilled Worker Program. Through this program, employers in Quebec can hire foreign workers who have obtained their Quebec Selection Certificate (CSQ) without needing an LMIA. However, if a foreign worker is not eligible for this program or hasn’t reached the necessary stage in their application, employers must apply for an LMIA through the federal government to secure a work permit.
For applications in Quebec, employers must submit a provincial application at the same time as the federal application (LMIA). The name of this provincial application is “Demande de Sélection Temporaire” (DST).
To process the LMIA, Service Canada will communicate with the Ministère de l’Immigration, de la Francisation et de l’Intégration du Québec (MIFI) to evaluate both applications at the same time and reach a final decision on both.
If the applications are approved, the employer will receive an LMIA approval letter, while the foreign worker will receive a Certificate of Acceptance of Quebec / “Certificat d’Acceptation du Québec” (CAQ). The worker has to include both documents with the work permit application and they will have the same validity period.
In terms of the LMIA application itself, the process is the same for employers in Quebec as it is for employers in the rest of Canada. You will need to complete the LMIA application form, provide all required documentation, and pay the LMIA fee.
However, you must also include proof that the provincial application (DST) was submitted to the MIFI.

3. Who Can Apply for an LMIA in Canada?

Employers in Canada can apply for an LMIA to hire foreign workers when they can’t find suitable Canadian candidates. Foreign workers, on the other hand, need this document to obtain a work permit, making both parties crucial in the LMIA process:

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 exemptions 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.
In the case of foreign workers is important to note that IELTS or other type of certificates are not required for obtaining an LMIA; however, language proficiency may be necessary for the work permit or immigration application process.

Who Else is Involved in the LMIA Process?

In addition to employers and foreign workers, several other key actors play vital roles in the LMIA process. These players include Service Canada, Employment and Social Development Canada (ESDC), immigration consultants and lawyers, and specific provincial bodies like Quebec’s MIFI.

What Are the Key Criteria for Employer Eligibility?

The key criteria for employer eligibility in the LMIA process include demonstrating that the job offer is legitimate, that thorough recruitment efforts were made to hire Canadian workers, and that fair wages and working conditions are provided. Employers must also show their business legitimacy and financial stability. Additionally, for certain streams like the Global Talent Stream, employers are required to create a Labour Market Benefits Plan to illustrate how hiring a foreign worker will benefit the Canadian labour market.

What is the Recognized Employer Pilot (REP) Program?

The Recognized Employer Pilot (REP) is a 3-year program designed to streamline the process for employers who regularly use the Temporary Foreign Worker Program (TFWP) to fill in-demand positions. The pilot offers simplified Labor Market Impact Assessment (LMIA) applications and longer validity periods for approved employers. To apply for the REP, employers must submit a new LMIA application with a request to enroll in the REP included within the LMIA. Only employers who meet the requirements mentioned below will be considered:

The program will be implemented in two phases: Phase 1 begins in September 2023, followed by Phase 2 in January 2024. The LMIA validity periods will extend up to 36 months for approved positions under the Simplified LMIA application process for future hiring needs. Applications are accepted until September 16, 2024, and the program will conclude on December 31, 2026, for employers enrolled in the REP.

Employers participating in the Recognized Employer Pilot (REP) must adhere to several key commitments to maintain their status in the program. These include:
Random REP Check-ins: Employers will participate in random check-ins to verify ongoing compliance with REP requirements.
Annual Wage Reviews: Employers must conduct annual wage reviews on January 1 each year to ensure wages remain competitive.
Recruitment Efforts: Employers must continue to actively recruit Canadian workers, even while participating in the REP.
Housing and Wage Compliance: Employers must meet housing inspection requirements and adhere to caps on low-wage Temporary Foreign Workers (TFWs) where applicable.
TFWP Compliance: Employers must ensure compliance with all standard TFWP requirements, including paying prevailing wages and providing workplace safety insurance.

Remember that LMIA Applications can be submitted up to 6 months before the expected job start date.

4. Applying for an LMIA: High and Low Wage Positions in Canada

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. Employers must provide accurate information and maintain compliance with wage criteria to avoid penalties. Regular updates on median wages ensure current compliance.
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, wage verification 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.
CAP Limit for Hiring Foreign Workers
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
Province/TerritoryFor LMIAs received before November 8, 2024For LMIAs received as of November 8, 2024
Alberta$29.50$35.40
British Columbia$28.85$34.62
Manitoba$25.00$30.00
New Brunswick$24.04$28.85
Newfoundland and Labrador$26.00$31.20
Northwest Territories$39.24$47.09
Nova Scotia$24.00$28.80
Nunavut$35.00$42.00
Ontario$28.39$34.07
Prince Edward Island$24.00$28.80
Quebec$27.47$32.96
Saskatchewan$27.00$32.40
Yukon$36.00$43.20

Primary Agriculture Stream: A Vital LMIA Pathway for Canadian Agriculture

The Primary Agriculture Stream under the LMIA process is essential for supporting Canada’s food supply and agricultural economy. This stream allows employers to hire foreign workers for key activities such as planting, harvesting, and raising livestock. To qualify, employers must meet specific LMIA requirements, including providing proof of their agricultural operations, submitting detailed job offers, and ensuring compliance with Canadian labor standards. The stream also includes a Commodity List that outlines the eligible agricultural products and activities.

Immigration Pros Inc. place picture
4.8
Canadian Association of Professional Immigration Consultants
Official bilingual RCIC logo verifying that Immigration Pros is licensed by the College of Immigration and Citizenship Consultants (CICC).

5. LMIA Employer Requirement Checklist

To successfully apply for an LMIA in Canada, employers must meet several essential requirements. This checklist outlines the key elements that employers need to prepare, including detailed job offer information, comprehensive recruitment efforts to hire Canadian citizens or permanent residents, and ensuring the offered wage rate is in line with prevailing regional standards.

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.
Employers are recommended to consult with an immigration expert to ensure all requirements are met and documentation is properly prepared.

Can an LMIA Be Extended?

Extending an LMIA is possible if labour shortages persist, meet compliance requirements, and demonstrate efforts to hire Canadian workers. If you are a foreign worker and would like to extend your work permit with the same employer, you typically need a new LMIA unless the position is LMIA-exempt.
LMIA-approved companies in Canada vary, as approval is granted on a case-by-case basis based on individual applications and the fulfillment of LMIA requirements.

What are the required documents for the LMIA process as an employer

Required LMIA documents for employers include a detailed job description, job title, duties, responsibilities, qualifications, wage rate, working conditions, proof of business registration, financial statements, bank statements, and profit and loss statements.

Provincial Differences in LMIA Requirements

Labour Market Impact Assessment requirements are different according to the province and nature of work. Each province may have specific criteria or additional requirements based on their unique labour market needs and economic conditions.

6. LMIA Exemptions Simplified

LMIA exemptions are situations where a Labour Market Impact Assessment isn’t required to hire a foreign worker. These exemptions apply to certain jobs or categories, often because they benefit Canada’s interests or fall under international agreements. Here’s a quick look at when you can hire without needing an LMIA.

International Mobility Program

The International Mobility Program (IMP) is a program offered by the Government of Canada that allows Canadian employers to hire foreign workers without needing a Labour Market Impact Assessment (LMIA). The IMP is designed to help Canadian employers fill labour shortages, bring in specialised talent, and promote the exchange of knowledge and expertise between Canada and other countries. The program offers a range of work permits that are LMIA exempt. Some of the types of work permits available include.

1- Intra-Company Transfer (ICT) Work Permit:
This allows multinational companies to transfer their employees to Canada for temporary work assignments. The employee must have been working for the company for a certain period of time prior and have specialised knowledge or be in a senior management position.
2- Free Trade Agreement (FTA) Work Permit:
This type of work permit allows citizens of countries that have a free trade agreement with Canada to work in Canada without an LMIA. Some of the FTAs that Canada has signed include NAFTA, CETA, and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
3- International Experience Canada (IEC) Work Permit:
This type of work permit allows young people from certain countries to work and travel in Canada for up to two years. The IEC program has three categories: Working Holiday, Young Professional, and International Co-op.
4- Global Talent Stream (GTS) Work Permit:
This type of work permit allows employers in Canada to bring in highly skilled foreign workers in certain occupations without the need for an LMIA. The GTS program is intended to help companies fill high-demand positions in science, technology, engineering, and mathematics (STEM) fields.
Eligibility for the Global Talent Stream:
Category A – Designated Partner Referral: Employers must be referred by one of the stream’s designated partners.
Category B – In-Demand Occupation: The position must be in an occupation listed as in-demand by the Canadian government.
5- Researcher Work Permit:
This type of work permit allows foreign researchers to work in Canada on a temporary basis to conduct research activities. The researcher must be employed by a designated research organisation in Canada.

These are just a few examples of the types of work permits available under the IMP. Each work permit has its own eligibility criteria and requirements.

We recommend you consult with one of our immigration consultants to determine which type of work permit is appropriate for your situation.

LMIA Exemptions in Quebec​

In Quebec, there are specific exemptions and facilitated processes that can streamline or even bypass the standard LMIA requirements. Below are key pathways available for employers in Quebec.

The Quebec Acceptation Certificate

If a foreign national has not applied for permanent residence in Canada, they may be eligible for an LMIA-exempt, employer-specific work permit through the Certificat d’acceptation du Québec (CAQ – Quebec Acceptance Certificate). This remains a viable option for employers seeking to hire workers who are not yet permanent residents.

Facilitated LMIA Processing for Quebec Employers

Quebec’s facilitated LMIA process allows employers to hire temporary foreign workers for specific high-demand occupations without needing to provide proof of recruitment efforts. The list of eligible occupations, updated annually by the Quebec Ministry of Immigration (MIFI), includes roles classified under TEER categories 0, 1, 2, and 3 (previously NOC skill levels 0, A, B). However, it’s important to note that starting in September 2024, there is a temporary suspension on processing LMIA applications for low-wage positions in Montreal where wages are below $27.47/hour. This measure is part of a broader effort to manage labour market dynamics in specific regions and sectors.

LMIA Exempt Work Permit

An LMIA exempt work permit is a type of work permit that allows a foreign worker to come to Canada without an employer first obtaining an LMIA. This means that the foreign worker can start working in Canada without the employer going through the LMIA process.

Special Agreements

There are several special categories and agreements that allow for exemptions or simplified processes for obtaining an LMIA. These categories and agreements aim to facilitate the hiring of foreign workers in specific circumstances and under international trade agreements.

LMBP: What It Is and Why Employers Need It

In Canada, the Labour Market Benefits Plan (LMBP) is a document primarily required for hiring high-skilled foreign workers through the Global Talent Stream (GTS) under the Temporary Foreign Worker Program (TFWP). It demonstrates how the hiring will benefit the Canadian labour market, including job creation, skills training, and knowledge transfer.

Foreign Workers Without a Job Offer

There are several pathways to immigrate to Canada for Foreign Workers without a job offer, such as through the Express Entry system, Provincial Nominee Programs (PNPs), and the Canadian Experience Class (CEC)

7. LMIA Process Steps

To apply for an LMIA in Canada, an employer must follow these steps:

Step 1: Determine Eligibility
The first step in the LMIA application process is to determine if you are eligible to apply. You must be an employer in Canada who is unable or struggling to find a suitable Canadian citizen or permanent resident for the job.
Step 2: Gather Information
Before you can submit an LMIA, you will need to gather a number of important pieces of information. This includes information about the job offer, such as the job duties, wage rate, and working conditions. You will also need to provide financial documents to demonstrate that you are capable of paying the wage and to show evidence of recruitment efforts to hire Canadian citizens or permanent residents for the job.
Step 3: Submit an LMIA Application
Once you have all of the required information, you can submit your LMIA application to Employment and Social Development Canada (ESDC). You can do this online. There is a fee for LMIA applications, which must be paid at the time of its submission.
Step 4: Wait for Approval
Once you have submitted your LMIA application, you will need to wait for it to be processed. The processing time for LMIA applications can vary, but you can expect to wait anywhere from a few weeks to several months. Once your application is assigned to an officer you may be contacted for additional information or to schedule a phone interview. The officer will issue a final decision when all information and documents are provided and assessed.
Step 5: Receive LMIA Approval Letter
If your LMIA application is approved, you will receive a document called a positive LMIA confirmation. This document will include the conditions of the LMIA, such as the wage rate, working conditions, and duration of the job offer. The decision letter will include the employer information, work location and the name of the worker(s).
Step 6: Obtain Work Permit
With an approved LMIA in hand, the foreign worker can then apply for a closed work permit to enter Canada. The foreign worker must submit the positive LMIA confirmation with their work permit application.

LMIA Validity and Employment Duration

The LMIA is valid for 6 months from the date it was issued, which means that the employer has this amount of time in which a candidate can submit their work permit application(s).
The employment duration of an LMIA is determined by ESDC and is based on the specific job offer and the expected duration of the work. Some situations can allow for a maximum duration of three years in one approval.

What happens Once the LMIA Application is Approved

Once an employer receives a positive LMIA, they can hire foreign workers who need approved work permits before starting.

8. LMIA Application Processing Time

The LMIA application processing time typically takes several weeks to a few months. Below is an overview of the average LMIA processing times for January 2025, categorized by stream. These timelines are updated monthly and can vary based on demand:

LMIA StreamProcessing Time (Business Days)
Global Talent Stream7
Agricultural Stream22
Seasonal Agricultural Worker Program14
High-Wage Stream68
Low-Wage Stream76
Permanent Resident Stream156

The time it takes to process a Labour Market Impact Assessment (LMIA) application depends on several factors, including the number of applications received by the Temporary Foreign Worker (TFW) Program and the specific LMIA stream. Learn more below about the factors that can influence this timeline:

Factors that Affect Processing Time

The processing time for an LMIA application can vary depending on a number of factors, including the type of job being offered, the location of the job, and the time of year. Here is some more information about a few of the factors that can affect the processing time:

Type of Job
Service Canada may process essential occupations faster than non-essential. An essential occupation is a position of high-impact on the Canadian community such as farm labourers, who are needed to produce food and food products or seasonal workers that need to arrive in Canada for a certain peak season. A non-essential occupation may be something like an administrative position.
Location
LMIA applications are assessed in different processing centres depending on the stream and the company’s location. Some processing centres are faster than others. Applications in Quebec generally take longer to process than any other centre.
Time of Year
LMIA processing times can also be affected by the time of year. For example, processing times may be longer during peak season, such as the summer months.

Average Processing Time

While the LMIA processing time can vary, you can expect the process to take anywhere from a few weeks to several months. It’s important to note that the processing time for LMIA applications can change at any time, so it is always best to check the most up-to-date processing times when you apply even if this is only an estimation.

What Influences Processing Time?

Processing times will vary depending on the number of applications being processed by Service Canada and the type of application. Consulting with an immigration consultant can help expedite the process by ensuring your application is accurately filled out and all necessary documents are promptly provided. The ESDC has also pledged to process certain types of LMIA applications within 10 business days. This includes:
Highest-Demand Occupations: All LMIA applications for the highest-demand occupations (skilled trades).
Highest-Paid Occupations: Highest-paid (top 10%) occupations.
Short-Duration Occupations: Short-duration work periods (120 days or less).

Why is the LMIA Processing Taking So Long?

LMIA application processing times in Canada can be lengthy due to high application volumes and the complexity of some applications.

Tips for a Faster LMIA Processing Time

To help ensure a faster LMIA processing time, it is important to follow these tips:

  1. Ensure that your LMIA application is complete and accurate.
  2. Provide all required documentation, such as evidence of recruitment efforts, job advertisements on Canadian websites to hire Canadian citizens or permanent residents and financial documents.
  3. Pay the LMIA fee promptly.

9. Working with an Immigration Consultant for an LMIA

Immigration Pros offers much more than a filled out form. Our team will take care of the entire LMIA application process, from determining the correct stream for your business to filling out and submitting the application.
Our LMIA services include:

LMIA application assistance
Job posting and advertising according to government requirements
Guidance to collect necessary documentation
Assistance with communication with the government
We also provide separate services to assist new employees with work permit applications once the LMIA has been approved

Benefits of obtaining an LMIA

Obtaining an LMIA allows employers to access a global talent pool of qualified candidates, support foreign workers’ permanent residency applications, and address critical labour shortages.

Official Workvantage logo with “International Workforce Solutions” tagline, symbolizing global recruitment services

Looking for Qualified Foreign Workers for Your Company ?

10. FAQ for LMIA Applications:

Start your Free Assessment

LMIA Simplified IP ENG

Provide complete information:

1. Required position(s), location(s), wage(s), weekly hours, employment duration

2. Workforce at location(s): total current employees & number of current foreign workers

3. Business start date (year established)

4. Observations

After you submit, our assistant asks a few quick questions to finish — about 2 minutes.

Scroll to Top