A Labour Market Impact Assessment (LMIA) is a document that a Canadian employer may need to obtain before hiring a foreign worker. The LMIA verifies that there is a genuine need for a foreign worker and that no Canadian citizen or permanent resident is available to fill the position. A positive LMIA (sometimes called a "confirmation letter") allows the foreign worker to apply for a work permit. This guide covers the full LMIA process, exemptions, and how LMIA fits into the broader Canadian immigration system.
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The LMIA application requires the employer to specify the NOC code for the position. Find the correct 5-digit NOC code and TEER level.
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Read the work permit guideWhat Is an LMIA and Why Does It Exist?
An LMIA is issued by Employment and Social Development Canada (ESDC/Service Canada). Its purpose is to protect the Canadian labour market by ensuring that:
- No qualified Canadian citizen or permanent resident is available for the position
- Hiring a foreign worker will not negatively affect Canadian wages or working conditions
- The employer has made genuine efforts to recruit Canadians first
- The foreign worker will be paid at or above the prevailing wage for the occupation and region
The legal basis for the LMIA requirement is found in IRPR r.200(1)(c) — employer-specific work permits generally require a positive LMIA unless an exemption applies under IRPR r.204, r.205, or r.206.
LMIA Process for Employers
- 1
Determine the wage category
Compare the offered wage to the provincial/territorial median hourly wage. At or above median = high-wage LMIA. Below median = low-wage LMIA. This determines which stream you apply under and the requirements.
- 2
Conduct recruitment efforts
Advertise the position for a minimum of 4 weeks on Job Bank (mandatory) and at least 2 additional recruitment methods appropriate for the occupation. Document all applications received and reasons for rejecting Canadian candidates.
- 3
Prepare the LMIA application
Complete the LMIA application form (EMP 5593 or EMP 5626 for agricultural streams). Include business legitimacy documents, recruitment evidence, transition plan (high-wage), and the job offer details.
- 4
Pay the processing fee
$1,000 CAD per position (paid by the employer — NOT the worker). Fee is non-refundable even if the LMIA is denied. Seasonal agricultural stream: $0 fee.
- 5
Submit to Service Canada
Submit the application to the Service Canada processing centre for your region. Include all supporting documents, proof of recruitment, and the processing fee payment.
- 6
Respond to any requests
Service Canada may request additional information or clarification. Respond promptly — delays can result in a negative LMIA decision.
- 7
Receive the LMIA decision
If positive, you'll receive a confirmation letter with an LMIA number. Share this with the foreign worker so they can apply for their work permit. A positive LMIA is valid for 6 months from the date of issue.
High-Wage vs Low-Wage LMIA
| Feature | High-Wage | Low-Wage |
|---|---|---|
| Wage threshold | At or above provincial median | Below provincial median |
| Transition plan required | Yes — must show plan to reduce reliance on TFWs | No transition plan |
| Cap on TFWs | No cap | 20% of workforce (10% for some sectors) |
| Maximum work permit duration | Up to 3 years | Up to 1 year (2 years in some cases) |
| Transportation & housing | Not required | Employer must provide or ensure affordable housing |
| Health insurance | Not required | Employer must provide until provincial coverage kicks in |
Provincial median hourly wages are updated annually by ESDC. Check the current median wage by province →
LMIA-Exempt Categories
Not all work permits require an LMIA. The following categories are exempt under IRPR r.204, r.205, and r.206:
International Agreements (IRPR r.204)
- CUSMA/USMCA (formerly NAFTA) — TN status for US and Mexican professionals in 60+ occupations
- Intra-Company Transfers (ICT) — executives, managers, and specialized knowledge workers transferring within a multinational
- International Experience Canada (IEC) — Working Holiday, Young Professionals, International Co-op for citizens of partner countries
- CETA (Canada-EU) — similar provisions for EU nationals
- Other bilateral agreements — various country-specific arrangements
Canadian Interests (IRPR r.205)
- Significant benefit to Canada (R205(a)) — covers entrepreneurs, self-employed artists, athletes with significant economic/cultural/social benefit
- Reciprocal employment (R205(b)) — Canadians abroad receive reciprocal employment opportunities
- Charitable or religious work — genuine religious or charitable roles
- Bridging Open Work Permits (BOWP) — for workers transitioning from a work permit to PR
- Post-Graduation Work Permits (PGWP) — for graduates of Canadian DLIs
- Spousal Open Work Permits — for spouses of skilled workers or international students
Francophone Mobility (IRPR r.205(c)(ii))
French-speaking foreign workers destined to work outside Quebec are LMIA-exempt under the Francophone Mobility stream. This requires a genuine job offer and CLB 5+ in French. The employer must submit an offer of employment through the IRCC Employer Portal and pay the $230 compliance fee.
Global Talent Stream (GTS)
The Global Talent Stream is a fast-tracked LMIA process under the Temporary Foreign Worker Program designed for innovative companies hiring highly skilled global talent. Two categories:
Category A
For employers referred by a designated referral partner (e.g., Innovation, Science and Economic Development Canada, provincial tech associations). The employer must demonstrate that hiring the foreign worker will create jobs for Canadians or transfer knowledge/skills. No occupation list — any unique, specialized talent qualifies.
Category B
For employers hiring workers in occupations on the Global Talent Occupations List. Includes NOC codes for software engineers, data scientists, AI researchers, cybersecurity specialists, and other high-demand tech roles. Minimum salary thresholds apply (varies by occupation).
- LMIA processing target: 10 business days (vs. weeks/months for standard LMIA)
- Work permit processing: 2 weeks after positive LMIA
- Employer must submit a Labour Market Benefits Plan (LMBP) committing to job creation and skills transfer
- $1,000 LMIA processing fee still applies
- Strong pathway to PR through Express Entry (CEC after 1 year of Canadian experience)
Seasonal Agricultural Worker Program (SAWP)
SAWP allows Canadian agricultural employers to hire temporary workers from Mexico and select Caribbean countries for seasonal farm work. Key features:
- Maximum contract: 8 months per year
- LMIA processing fee: $0 (waived for SAWP)
- Workers come from Mexico, Jamaica, Trinidad & Tobago, Barbados, and the Organization of Eastern Caribbean States
- Employer must provide housing (inspected and approved), transportation to/from Canada, and workplace safety insurance
- Workers are covered by provincial employment standards, minimum wage, and workplace safety legislation
- Bilateral agreements between Canada and sending countries govern terms and conditions
- Does not lead to permanent residence directly — workers return home at contract end
How Workers Can Find LMIA-Approved Jobs
As a foreign worker, you do not apply for the LMIA yourself — the employer does. However, you can increase your chances of finding an employer willing to go through the LMIA process:
- 1
Search Job Bank
Canada's official job board (jobbank.gc.ca) lists positions from LMIA-applying employers. Filter for "foreign workers eligible" to find positions where employers are open to the LMIA process.
- 2
Target labour shortage occupations
Focus on NOC codes with documented labour shortages — healthcare, tech, trades, and agriculture have the highest LMIA approval rates because employers can easily demonstrate inability to find Canadian workers.
- 3
Network in your industry
Many LMIA positions are filled through industry networks, professional associations, and recruiters specializing in international talent. LinkedIn is increasingly used by Canadian employers seeking global talent.
- 4
Consider the Global Talent Stream
If you work in tech or a highly specialized field, employers can get an LMIA in 10 business days through GTS. Tech companies are the most LMIA-friendly employers in Canada.
Fees & Processing Times
| Item | Details |
|---|---|
| LMIA processing fee (employer) | $1,000 CAD per position |
| SAWP LMIA fee | $0 (waived) |
| Work permit fee (worker) | $155 CAD |
| Biometrics (worker) | $85 CAD |
| Standard LMIA processing | 8–14 weeks |
| Global Talent Stream LMIA | 10 business days (target) |
| LMIA validity (after approval) | 6 months |
The $1,000 LMIA fee must be paid by the employer. It is illegal for an employer to recover the LMIA fee from the worker. Calculate all fees → Check processing times →
Need help navigating work permits?
Our Immigration Pathway Report includes work permit strategy, LMIA vs LMIA-exempt analysis, and immigration program matching.
View ReportsFrequently Asked Questions
Can a worker apply for their own LMIA?
No. The LMIA application must be submitted by the Canadian employer, not the foreign worker. The employer bears the responsibility, cost ($1,000), and recruitment obligations. Workers who are asked to pay for the LMIA or submit it themselves should report this to Service Canada — it's a violation of program rules.
What happens if the LMIA is denied?
A negative LMIA means Service Canada determined that Canadians or PRs are available for the position, or the application was incomplete/non-compliant. The $1,000 fee is non-refundable. The employer can reapply with a stronger application, additional recruitment evidence, or for a different position.
Can an LMIA help me get permanent residence?
Yes. A valid LMIA-based job offer adds 50–200 CRS points to your Express Entry profile. Working in Canada on an LMIA work permit also builds Canadian work experience, which qualifies you for the Canadian Experience Class (CEC) after 1 year. LMIA is one of the strongest PR pathways for economic immigrants.
How long is a positive LMIA valid?
A positive LMIA is valid for 6 months from the date of issue. The worker must apply for their work permit within this 6-month window. If the LMIA expires before the work permit application is submitted, a new LMIA must be obtained.
Can I change employers on an LMIA work permit?
No — an LMIA work permit is employer-specific. If you want to change employers, your new employer must obtain a new positive LMIA, and you must apply for a new work permit. Working for a different employer without authorization is a violation that can affect future immigration applications.
What is the difference between LMIA and LMIA-exempt work permits?
An LMIA work permit requires the employer to first obtain a positive Labour Market Impact Assessment from Service Canada. LMIA-exempt work permits (under CUSMA, ICT, PGWP, spousal permits, etc.) skip this step — the employer submits an offer through the Employer Portal and pays a $230 compliance fee instead of the $1,000 LMIA fee.
Is it illegal for an employer to charge me the LMIA fee?
Yes. Under IRPR r.209.2, employers cannot recover LMIA processing costs from the foreign worker. If an employer asks you to pay the $1,000 LMIA fee, this is a program violation and should be reported to Service Canada's confidential tip line.
Important: Based on publicly available IRPA, IRPR, and ESDC policy. Not legal advice. For complex employer or worker situations, consult an immigration lawyer licensed by your provincial law society.
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