Labour Market Impact Assessment
Canadian employers who wish to hire foreign workers must generally apply for a Labour Market Impact Assessment (LMIA) from Employment and Social Development Canada (ESDC). This application is used to assess whether hiring a foreign worker for a specific position will have a positive or neutral impact on the local labour market. An LMIA can be used to support an LMIA work permit application under the Temporary Foreign Worker Program, or a permanent residence application in the Federal Skilled Worker category through Express Entry. To receive a “positive LMIA”, the employer must offer a wage that is consistent with the labour market and conditions that comply with program requirements. A key element is that employers must show recruitment efforts and establish that no Canadians or permanent residents of Canada are available or suitable to fill the position. The specified details and conditions of the job such as work location, position, duties, salary, benefits, vacation, and duration of employment will appear on the LMIA. Once authorized to work, it is the employer’s responsibility to ensure that work conditions reflect those on the LMIA. ESDC may conduct an inspection at any time (records must be kept for 6 years) and non-compliance may lead to serious consequences. The LMIA may also be eligible for expedited processing under the Global Talent Stream. Some types of employment are exempt from the LMIA requirement. Our lawyers will determine whether the foreign worker falls under an LMIA exempt category; if an LMIA is required, we can guide you through the necessary steps and educate you on your responsibilities as an employer to avoid any issues. We can also advise you on the work permit and permanent residence application processes to ensure work begins as soon as possible.