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Amer Rehman, RCIC #R515343 | Member, CICC
Employer Services

Labour Market Impact Assessment (LMIA)

Before hiring a temporary foreign worker, most Canadian employers must obtain a positive LMIA, a determination by Employment and Social Development Canada (ESDC) that no qualified Canadian or permanent resident is available to fill the position.

LMIA applications are employer-initiated. A foreign worker cannot apply for an LMIA on their own behalf, only the Canadian employer can submit the application. Explore each stream below to review its specific eligibility, fee treatment, and requirements.

Check LMIA Exemptions First

Not every position requires an LMIA. The International Mobility Program (IMP) allows employers to hire foreign nationals without one, and typically processes faster. Before investing in an LMIA application, confirm whether any of the following applies:

  • CUSMA/USMCA: American and Mexican citizens in eligible professional categories (engineers, accountants, scientists, lawyers) can enter without an LMIA under the Canada-US-Mexico Agreement
  • Intracompany Transfers (ICT): Executives, managers, and specialized knowledge workers transferring within a multinational company are LMIA-exempt
  • International Experience Canada (IEC): Workers from reciprocal agreement countries under 35 may hold open working holiday permits, no employer LMIA required
  • Significant Benefit (R205): Positions that provide cultural, social, or economic benefit to Canada, including researchers, performers, and certain specialists, may be exempt

LMIA Streams

ESDC administers six active LMIA streams. Each has distinct eligibility criteria, fee treatment, and requirements. Select a stream below to review it in full.

Recognized Employer Pilot (REP)

REP closed to new applications on September 16, 2024, and is scheduled to conclude on December 31, 2026. Employers already recognized under REP retain access to the simplified LMIA process, with permits of up to 36 months validity, until the pilot concludes. This is not an option for employers who are not already REP-recognized.

Quick Facts

  • Standard fee:$1,000/position
  • Fee waived:Agricultural, some caregiver
  • Processing time:Varies by stream
  • Who applies:Employer only
  • Active streams:6, plus REP

LMIA applications are employer-initiated. A foreign worker cannot apply for an LMIA on their own behalf. Contact us to assess LMIA requirements and exemptions.

Schedule your consultation

A consultation is required for case-specific advice.

Where Most LMIA Applications Go Wrong

These are the six most common, and most preventable, reasons LMIA applications are refused or delayed. Each is specific to the LMIA process, not generic immigration advice.

Advertising the wrong NOC/TEER category

The job advertisement, the recruitment efforts, and the LMIA application must all reference the same occupation. ESDC officers check for alignment. An employer who advertised a TEER 3 position but files an LMIA for a TEER 2 role faces an automatic flag.

Treating the Transition Plan as a formality

High-wage LMIA Transition Plans are reviewed for substance. Commitments must be specific, named, and time-bound. Generic language about "supporting Canadian training" results in a Request for Information, extending processing by weeks.

Applying in a restricted CMA for low-wage positions

ESDC will generally not process low-wage LMIA applications in census metropolitan areas with unemployment at or above 6%, unless a recognized exemption applies. This is checked at intake. Verify the Statistics Canada Labour Force Survey data for your specific CMA before filing.

Submitting before the advertising period is complete

Low-wage LMIAs require 8 consecutive weeks of advertising, along with a mandatory youth-focused recruitment activity. Applications filed before this period is completed are returned without review.

Conflating LMIA with work permit

A positive LMIA is not a work permit. The foreign national must separately apply to IRCC for the work permit using the positive LMIA as supporting documentation. Two separate processes, two separate timelines.

Forgetting the LMIA exemption analysis

Many positions that are processed through LMIA could have proceeded under the International Mobility Program with no LMIA required, and faster. CUSMA/USMCA, ICT intracompany transfers, and IEC working holidays all bypass the LMIA. Assess LMIA-exempt options first.

LMIA vs. International Mobility Program

The LMIA and IMP are parallel pathways under the Temporary Foreign Worker regime. The decision between them is not always obvious. Position characteristics, worker nationality, and business structure all affect which is available.

Use LMIA when:

  • No LMIA exemption category applies to the position or worker
  • Worker is not a national of a CUSMA/USMCA or IEC-eligible country
  • Employer needs to demonstrate labour market testing for immigration planning purposes

Avoid LMIA when:

  • The worker is eligible for a CUSMA/USMCA professional work permit (faster, no recruitment required)
  • The position qualifies as an ICT intracompany transfer
  • The worker holds or is eligible for an IEC open work permit
  • The employer is in a sector with a TFWP moratorium in their region

Compliance Reminder

A positive LMIA does not give ESDC the right to inspect your workplace, but ESDC does conduct employer compliance reviews of TFWP employers. These can occur at any time during or after a TFW's employment period.

Violations can result in a 1 or 2-year ban from the TFWP, publication of the employer's name on ESDC's non-compliant employer list, and financial penalties up to $1 million per year.

The most common compliance finding is a wage discrepancy between the LMIA application and actual payroll records.

Book a Professional Assessment

A consultation is required for case-specific advice. Discuss your immigration goals with a regulated consultant.

Amer Rehman, RCIC #R515343 | Member, CICC

Information provided is general in nature and current as of the page's last update. Immigration laws, processing times, eligibility criteria, and program requirements are subject to change per IRCC policy updates. This page does not constitute legal advice. Specific cases require individual consultation with a Regulated Canadian Immigration Consultant. Amer Rehman is an RCIC (R515343), member in good standing with CICC.