LMIA
Labor Market Impact Assessment (LMIA) is a document which facilitates the entry of a temporary foreign worker (TFW) in Canadian labor market. It is an assessment issued by ESDC (Employment and Social Development Canada) or Service Canada. An employer in Canada may apply LMIA for hiring foreign worker provided there is a genuine need and shortage of staff and the employer is unable to find or hire a Canadian citizen or permanent resident for that position. Of course, the employer has to first undergo a recruitment process in Canada. If no Canadian or permanent resident is available to be hired, ESDC may issue a positive LMIA. After obtaining a positive LMIA, the employer can hire a foreign worker and ask that foreign worker to apply employer specific/restricted or closed LMIA based work permit with IRCC.
LMIA based work permit is also known as employer specific work permit, employer restricted work permit, closed work permit or sometimes bonded work permit. Before applying for LMIA, make sure that the employer meets all the requirements and is eligible for LMIA. Below are some requirements for Applying Labor Market Impact Assessment(LMIA)
Essential Requirements for Applying LMIA
He/She must be above 18 years of age and a Permanent Resident of Canada or Canadian citizen
The employer has an actual need of hiring Foreign Worker
Employer’s business or company must be at least one year old (In case of PR LMIA)
LMIA will only be approved when no PR or Canadian candidates are available to do the same job
If the employer wants to hire a foreign worker on a high wage position then they have to submit “transition plan” to ‘Employment and Social Development Canada’ (ESDC)
The job must have been available and advertised for atleast 4 weeks in the Canadian market before applying for LMIA and the employee has posted job advertisement on at least 3 sources of media.
Employers should need to mention English and the French language in the advertisement
The employer must have to pay the application submitting cost which is $1000 per foreign worker
>The location where the employer wants to give employment to foreign workers must have an annual unemployment rate of over 6%.
Neither can any Canadian worker be fired nor can the employer reduce the working hours of already employed Canadian workers
Employers have to mention in detail why they want to hire foreign workers instead of a Canadian Citizen or permanent resident.
Employers have to give full information about the job details, candidates applied for number, and Candidates interviewed number.
Types of LMIA
There are 8 main streams for Applying LMIA in which you have to choose anyone at the time of requesting for LMIA. Below are some major LMIA streams:-
Low-wage LMIA
If the employer wants to hire Foreign Workers on wages that are below the provincial/territorial median hourly wage then they should choose low-wage LMIA.
High-wage LMIA
If the employer offers foreign workers on wages that are above the provincial/territorial median hourly wage then they should choose high-wage LMIA