The Labour Market Impact Assessment (LMIA) is a document issued by Employment and Social Development Canada (ESDC) that an employer in Canada may need before hiring a temporary foreign worker. A positive LMIA confirms there is a need for a foreign worker to fill the job and that no Canadian worker is available to do it. This guide explains the LMIA process, employer obligations, the advertising requirement, processing fees, exempt categories, and the distinction between a positive and negative LMIA.
What Is an LMIA?
Under IRPR s.203, ESDC assesses the impact that hiring a temporary foreign worker will have on the Canadian labour market. Before most employers can hire a foreign national under the Temporary Foreign Worker Program (TFWP), they must obtain an LMIA. The worker then uses the positive LMIA to apply for a work permit.
Positive LMIA
ESDC approves the hire. Confirms there is a genuine need for the worker and that no qualified Canadian or PR was available. The worker can use this to apply for a work permit.
Negative LMIA
ESDC denies the application. Means there are likely Canadian workers available or the employer did not adequately demonstrate need. The employer cannot proceed with the foreign hire.
Employer Obligations & Advertising Requirements
Before applying for an LMIA, employers are required to demonstrate they made genuine efforts to hire Canadians and permanent residents first. The advertising requirement includes:
- ✓ Advertise the position on the Government of Canada Job Bank
- ✓ Advertise on at least 2 additional recruitment sources (e.g., national job boards, professional associations, local/regional job boards)
- ✓ Minimum advertising period: 4 weeks (28 days), within the 3 months prior to submitting the LMIA application
- ✓ Document all recruitment efforts, responses received, and reasons for not hiring Canadians who applied
Important
ESDC reviewers examine the quality of the recruitment effort, not just that advertising occurred. Job ads must list accurate wages (meeting or exceeding the prevailing wage), realistic qualifications, and full-time hours where applicable. Ads designed to screen out Canadians may result in a negative LMIA.
Processing Fee — $1,000 per Position
The LMIA processing fee is $1,000 CAD per position requested. This fee is paid by the employer and is non-refundable regardless of whether the LMIA is approved.
- ✓ Fee is per position — hiring 3 foreign workers requires 3 separate LMIAs at $1,000 each (or one application for multiple positions in the same occupation)
- ✓ Employers are prohibited from charging or recovering the LMIA fee from the worker
- ✗ LMIA fee exemptions exist for caregivers in certain streams and agricultural workers — verify on the ESDC website
LMIA-Exempt Categories
Many workers can obtain a Canadian work permit without an LMIA under IRPR R204 and R205. Common LMIA-exempt categories include:
CUSMA / USMCA (formerly NAFTA) — R204(a)
Citizens of the United States and Mexico who fall under specific occupational categories listed in CUSMA can obtain work permits without an LMIA. Covers professionals, intra-company transferees, traders, and investors.
Intra-Company Transfers (ICT) — R205(a)
Employees transferred from a foreign office of a company to a Canadian affiliate, subsidiary, or parent. Must be managers, executives, or specialized knowledge workers.
Significant Benefit to Canada — R205(c)
Includes positions that are of significant social, cultural, or economic benefit to Canada. This covers open work permits for spouses of skilled workers/students, post-graduation work permits, and vulnerable workers.
Reciprocal Employment — R205(b)
Work permits based on reciprocal employment agreements, such as bilateral youth exchange programs (International Experience Canada / Working Holiday).
Francophone Mobility — R205(a) unique provisions
IRCC has specific LMIA-exempt pathways for francophone workers destined to work outside Quebec, to support francophone minority communities across Canada.
Check work permit processing times
Use our free processing times tool to check current wait times for LMIA-based and LMIA-exempt work permits.
Check Processing TimesFrequently Asked Questions
How long does an LMIA take to process?+
Processing times vary by stream and ESDC workload. Global Talent Stream (high-wage LMIA for specific tech occupations) has a 2-week processing standard. Regular high-wage and low-wage streams typically take 2–6 months. Always check the ESDC website for current estimates.
Can a worker apply for permanent residence with an LMIA?+
Yes. A positive LMIA for a permanent position can be used to support an Express Entry application under the Federal Skilled Worker Program (FSWP). A valid job offer supported by an LMIA adds 50 CRS points (or 200 for senior manager NOC codes).
What is dual intent in the LMIA context?+
Dual intent means a person can simultaneously intend to work temporarily in Canada while also intending to apply for permanent residence. IRPR s.22(2) explicitly allows dual intent. An employer offering a permanent position and supporting an LMIA does not preclude the worker from also pursuing PR.
Can an employer charge the worker for LMIA costs?+
No. Employers are prohibited by law from charging or recovering the $1,000 LMIA fee from the worker. Doing so is a violation that can result in the employer being banned from the Temporary Foreign Worker Program.
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Get Pathway Report → $149.99Important: This tool provides general information based on publicly available Canadian immigration law (IRPA). Results are not a determination of admissibility. Only a CBSA officer at a port of entry can make admissibility decisions. For complex legal situations, professional guidance may also be beneficial.