Labour Market Impact Assessment

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A Labour Market Impact Assessment (LMIA) is a document that an employer in Canada needs to get before hiring a foreign worker.

A positive LMIA shows that there is a need for a foreign worker to fill a job. It also states that no Permanent Resident or Canadian Worker is available to do a specific job. A positive LMIA is at times called a confirmation letter. If the employer needs an LMIA, they must apply for one and once the employer gets the LMIA, the worker is eligible for applying for a work permit to Canada.

The LMIA (Labour Market Impact Assessment) process varies depending on whether the chosen employee is classified as “high-wage” or “low-wage”. Temporary foreign workers that are being paid under the provincial/territorial median wage are considered as low-wage, while those who are being paid at or above are considered high-wage. Further depending on whether a potential employee is classified as high-wage or low-wage, certain specific provisions apply.

In general, all Canadian employers must be capable of providing a shred of evidence that they have attempted to seek qualified Canadian citizens or permanent residents to fill in the job positions before turning to the foreign workers. In addition to this, the employers may be inspected for agreement with government regulations after their employee has begun working in Canada.

Under LMIA the different categories of workers that an employer can hire are:

  • Low-Wage Workers
  • Median Hourly Wages by province/territory
  • High-Wage Workers

Factors considered while making an LMIA decision:

  • Impact of hiring foreign worker on the Canadian Labour Market
  • Wages & Working Conditions offered to the foreign worker
  • Whether a transfer of useful skills would result from hiring the foreign worker

Applying for LMIA(Labour Market Impact Assessment)

Have a glance at the various steps you need to take when applying for LMIA:

  • Determine the Skill Level
  • Meet minimum advertising requirements
  • Meet or exceed the Median Wage Rate
  • Check you meet the Eligibility Criteria for the same
  • Check for any Special Conditions that apply
  • Submit your application
  • Contact your Foreign Worker
  • Ensure the Foreign Worker meets all the requirements

Requirements for Employers applying for LMIA:

Have a glance at the essential documents required by the employers for applying for LMIA in Canada

  • a job offer letter
  • a contract
  • a copy of the LMIA, and
  • the LMIA number

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