You trained them, they’re good, and their work permit ends in March. If you hire through the low-wage stream, the Temporary Foreign Worker Program changes announced on November 6, 2026 affect you directly. Some of these changes work in your favour.
- Low-wage LMIAs submitted on or after November 6, 2026 can cover up to two years of work. Until now the limit was one year.
- Cities with unemployment of 6% or higher are still closed to most low-wage LMIAs. Early childhood educators are now an exception, alongside priority sectors such as healthcare, construction and food processing.
- A new model is proposed for March 1, 2027. Each province and territory decides whether it joins.
- Two things have not changed: you still advertise to Canadians first and pay the prevailing wage.
These Temporary Foreign Worker Program changes touch the low-wage stream in three ways: longer LMIAs, a new exception for early childhood educators and new funding. The table sums them up.
A labour market impact assessment (LMIA) is the approval from Employment and Social Development Canada (ESDC) that lets you hire a foreign worker. It shows that hiring from abroad won’t hurt Canadian workers.
| Topic | Before November 6, 2026 · From November 6, 2026 |
|---|---|
| Maximum duration of a low-wage LMIA |
|
| Exceptions in cities with 6%+ unemployment |
|
| Service delivery funding |
|
| Support for temporary foreign workers |
|
Yes, if your application is submitted on or after November 6, 2026. Applications submitted before that date keep the one-year maximum. The LMIA is only the first step: Immigration, Refugees and Citizenship Canada (IRCC) decides on the work permit and how long it lasts.
For you as an employer, two years means fewer renewals. Each renewal involves a new job ad, a $1,000 fee per position and weeks of waiting. With a two-year LMIA, you go through that process about half as often.
ESDC does not process low-wage LMIAs for jobs in Census Metropolitan Areas (CMAs) where unemployment is 6% or higher. The list of these cities is updated every quarter. Exceptions apply to priority sectors such as healthcare, construction and food processing, and now to early childhood educators.
Jobs in primary agriculture and fish processing have also been excluded from this rule since it started in 2024. Check ESDC’s current list for your city and occupation before you apply.
Think of it like an airport departures board. The flight exists, but if your city shows as closed that quarter, it doesn’t take off. And if the model proposed for March 2027 goes ahead, each province would decide which gates it opens.
The refusal-to-process list is updated every quarter.
These rules exist so that Canadians and permanent residents get the first chance at available jobs. You still need to advertise the position and pay the prevailing wage for the occupation and region, wherever your business is located.
Our free assessment reviews your case.
If you want to keep someone who already works for you in Canada and whose permit is about to expire, the two-year LMIA is the most useful change: less paperwork, fewer renewal fees and more stability for your team.
Budget 2026 also opens doors beyond the LMIA. It offers provinces and territories additional, time-limited spaces in the Provincial Nominee Program, and provinces can use existing federal economic immigration programs to retain workers who are already in Canada. For some of your workers, this could become a path to permanent residence.
If you have a one-year LMIA that was approved before November 6, have it reviewed before you plan your next step.
Get a free assessment of your renewal options.
The federal government has proposed a new model for the low-wage stream starting March 1, 2027. It only applies in provinces and territories that choose to join. Here is how it would work:
Proposed model. It applies only in provinces and territories that opt in.
- Cities with unemployment of 6% or higher: still closed to low-wage LMIAs, except for priority sectors.
- Large cities (more than 250,000 people) with unemployment below 6%: access only for occupations on the Canadian Occupational Projection System (COPS) list, the federal projection of which occupations are likely to face labour shortages, plus any occupations the province adds. Provinces may also remove occupations.
- Rural areas of large cities and smaller cities (100,000 to 250,000 people): the same targeted model.
- Rural communities: full access to all low-wage occupations continues.
- Workforce limit: at a province’s request, employers in communities it identifies could fill up to 15% of their workforce through the low-wage stream, up from 10%. Priority sectors stay at 20%.
To find out whether your province or territory has joined, check the Temporary Foreign Worker Program page on canada.ca and the news releases of your provincial or territorial labour or immigration ministry.
- You advertise the job to Canadians and permanent residents before applying.
- You pay at least the prevailing wage for the occupation and region.
- The processing fee is $1,000 per position.
- A positive LMIA is valid for six months. Your worker must apply for the work permit within that time.
- The limit on low-wage foreign workers stays in place: 10% of your workforce for most employers, and 20% in priority sectors.
- ESDC still inspects employers. Penalties of up to $1 million per year and program bans apply, so keep your job ads, pay records and contracts organized.
Planning your next hire or renewal? Our team can review your case and explain your options. Start Your Free Assessment Today!
Reviewed by Galo Castillo, RCIC (R408519).
- Labour Market Impact Assessment (LMIA)
- LMIA-based work permit
- Canada Work Permit Fees: Every Fee Listed, and Who Pays It
- Employment and Social Development Canada, “Government of Canada announces targeted reforms to the Temporary Foreign Worker Program,” November 6, 2026
- Employment and Social Development Canada, “Minister Boissonnault reducing the number of temporary foreign workers in Canada,” August 26, 2024 (refusal to process and its exceptions)

