A Labour Market Impact Assessment (LMIA) is an assessment an employer asks Employment and Social Development Canada (ESDC) to make before it hires a foreign worker. A positive LMIA lets the worker apply for an employer-specific work permit. At that stage, an officer checks the job offer. Under IRPR s.203(1), the officer confirms the offer is genuine. The officer also confirms the employer has not charged the worker the LMIA fee or any recruitment fee. A worker who paid for the LMIA puts that check at risk. This guide explains what the law says. It is education only, and an officer decides every case.
Who Pays for an LMIA
The employer pays. IRPR s.315.2(1) sets the fee for an ESDC assessment “requested by an employer or group of employers”. The fee applies to each offer of employment.
ESDC’s page for low-wage positions was modified on September 22, 2026. It tells employers: “You must pay $1,000 for each position requested to cover the cost of processing your LMIA application”. The same page says: “The processing fee can’t be paid by nor be recovered from temporary foreign workers”.
The worker still pays for their own documents. ESDC explained this when the rule on recruitment fees came in. In its words: “Workers will continue to pay the fees related to temporary visas, temporary resident permits and work permits”. The Regulations carve out the same three fees, in IRPR s.296(1), 298(1) and 299(1).
What the Regulations Say About Recruitment Fees
IRPR s.209.3 lists the conditions an employer accepts when it hires through an LMIA. Two of them target fees. The employer must not “directly or indirectly, charge or recover” the LMIA fee from the worker. The same bar covers “any fees related to the recruitment of the foreign national”. The employer must also make sure its recruiters do not charge or recover those fees.
The employer pays the LMIA fee and may not recover it, or any recruitment fee, from the worker. IRPR s.209.2 sets the same rule for employer-specific jobs that need no LMIA. There, the fee the worker may not repay is the employer compliance fee in IRPR s.303.1. One carve-out exists. Recruitment fees allowed under a seasonal agricultural worker agreement between Canada and other countries fall outside the rule.
An employer that breaks the rule has one defence. IRPR s.209.3(5) treats the failure as justified in one case only. The employer must have “made all reasonable efforts to comply”. It must then have “provided full compensation” to the worker for the fees.
IRCC publishes the employers found non-compliant. One listed reason reads: “The employer charged the foreign national fees related to their hiring, not including application processing fees”. IRPR s.196.2 also defines abuse of a foreign worker. The list includes “financial abuse, including fraud and extortion”.
The rule
The employer pays the LMIA fee and may not recover it, or any recruitment fee, from the worker.
What an LMIA Scam Looks Like Under the Law
ESDC tells employers what they must ensure. Neither “you or anybody recruiting on your behalf” may charge or recover recruitment fees from the workers. Read with IRPR s.209.3, that rule makes each of these requests a breach.
- • Money for the LMIA itself, or a share of its processing fee (IRPR s.209.3 and s.315.2).
- • A placement, recruitment or “job offer” fee paid to the employer or its recruiter (IRPR s.209.3).
- • Money taken back later, from wages or in cash, to repay those fees. The Regulations cover this with the words “directly or indirectly”.
- • The bill of a paid third-party representative, passed on to the worker. ESDC says employers “must not recover” that cost from the worker.
The rule covers every job hired through an LMIA. A truck driver and a cook get the same protection. In each case, the employer applies to ESDC and pays the fee.
Paid immigration advice is regulated too. IRPA s.91 names who may charge for it. The list is lawyers, Quebec notaries, paralegals who belong to a law society and members of the College of Immigration and Citizenship Consultants. Our guide on immigration lawyers vs RCICs shows how to check a representative.
The Risk to the Worker: Misrepresentation
A fake job offer can harm the worker who uses it. IRCC’s page on the consequences of fraud was modified on September 1, 2026. It says submitting false or altered documents is fraud, including “proof of employment or job offers”. IRPA s.40(1)(a) makes a person inadmissible for “directly or indirectly misrepresenting or withholding material facts” that could lead to an error.
The penalty lasts. Under IRPA s.40(2)(a), the inadmissibility runs for five years. Under s.40(3), the person may not apply for permanent residence during that time. IRCC also warns: “You are responsible for all the information in your application, even if a representative completes it for you”.
The seller faces the law as well. IRPA s.126 makes it an offence to knowingly counsel or help another person misrepresent material facts. Read the section in full on IRPA s.40 explained.
How to Report LMIA Fraud
ESDC runs a tip line for abuse of temporary foreign workers. Its page says: “You can call 1-866-602-9448 to report abuse. It’s available 24 hours a day, 7 days a week”. Live agents speak more than 200 languages on weekdays, from 6:30 am to 8 pm Eastern time. ESDC also runs an online reporting tool.
A report can be anonymous. ESDC says you do not have to give your name, phone number or LMIA or work permit number. It adds: “We’ll never tell your employer or anyone at your workplace who made the report”. Anyone can report. That includes a worker, a co-worker, an employer or a member of the public.
IRCC’s page on reporting fraud was modified on May 11, 2026. It names other contacts for other cases.
- • Immigration fraud in Canada goes to the Border Watch Line of the Canada Border Services Agency.
- • Online, phone or text scams go to the Canadian Anti-Fraud Centre, or to your local police or the RCMP.
- • A representative who committed fraud on your application can be reported to IRCC through its online form.
- • Human trafficking goes to the Canadian Human Trafficking Hotline at 1-833-900-1010, or to 911.
To see how a real LMIA moves from the employer’s application to the work permit, read the LMIA process explained.
Frequently Asked Questions
Can you buy an LMIA?+
No. A worker cannot lawfully pay for an LMIA. The employer asks ESDC for the assessment and pays the $1,000 fee for each position. IRPR s.209.3 bars the employer, and anyone recruiting for it, from charging or recovering that fee from the worker. The same bar covers any recruitment fee. Our LMIA Canada guide explains the employer’s side.
Is an LMIA for sale ever legal?+
No. An offer to sell an LMIA asks the worker to pay a fee the law puts on the employer. IRPR s.315.2 makes the employer pay the processing fee. IRPR s.209.3 bars recovering it from the worker. IRCC lists employers found non-compliant, and charging hiring fees is one listed reason. The LMIA Process Explained guide walks through each step an employer takes.
What is LMIA sponsorship?+
It is a common name for a job offer backed by a positive LMIA. The employer applies to ESDC and pays for the assessment. A positive LMIA then lets the worker apply for an employer-specific work permit. The worker pays their own permit fee. Our LMIA Canada guide explains how an LMIA can connect to permanent residence.
How can I check an LMIA business for legitimacy?+
Check the offer against the fee rule and against IRCC’s public list of non-compliant employers. A lawful employer pays for the LMIA and does not recover recruitment fees from the worker (IRPR s.209.3). A paid representative must be a lawyer, a Quebec notary, a law society paralegal or a College member (IRPA s.91). Our guide on immigration lawyers vs RCICs shows how to check one.
Who pays for the LMIA, the employer or the worker?+
The employer pays. IRPR s.315.2(1) sets the fee for an ESDC assessment requested by an employer. ESDC puts it at $1,000 for each position. ESDC also says the fee “can’t be paid by nor be recovered from temporary foreign workers”. The worker pays only their own visa, temporary resident permit and work permit fees. The IRCC fee calculator on this site lists those fees.
Can I pay for an LMIA truck driver job?+
No. IRPR s.209.3 covers every job hired through an LMIA, trucking included. It bars the employer and its recruiters from charging or recovering the LMIA fee or recruitment fees from the worker. Its only carve-out is for recruitment fees allowed under seasonal agricultural worker agreements. The NOC finder on this site shows the code and duties for any occupation.
How do I report an LMIA scam?+
Call ESDC’s tip line at 1-866-602-9448, open 24 hours a day, or use its online reporting tool. You can report without giving your name. IRCC sends immigration fraud in Canada to the CBSA Border Watch Line. It sends online or phone scams to the Canadian Anti-Fraud Centre. The section on reporting LMIA fraud above lists each contact.
What happens if I use a fake LMIA or job offer?+
The application can be refused, and IRCC says you could be banned from Canada for at least 5 years. IRPA s.40(1)(a) makes misrepresenting material facts a ground of inadmissibility. IRPA s.40(2)(a) sets the five-year period, and s.40(3) bars a permanent residence application during it. An officer decides each case. Read IRPA s.40 explained for the full text.
Official sources
This page is based on law and policy published by the Government of Canada.
- IRPR section 209.3 (employer conditions, LMIA), Justice Laws
- ESDC: Program requirements for low-wage positions
- ESDC: New amendments to the IRPR (temporary foreign workers), 2022
- ESDC: How to report abuse of temporary foreign workers
- IRCC: How to report fraud or abuse
- IRCC: Consequences of fraud
- IRCC: Employers who have been found non-compliant
- IRPA section 40 (misrepresentation), Justice Laws