LABOUR MARKET IMPACT ASSESSMENT

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A Labour Market Impact Assessment (LMIA) may be required by Canadian employers seeking to hire foreign workers. This document serves as an evaluation of the potential impact the foreign worker may have on the domestic labour market.

A positive LMIA is evidence that a foreign worker is required to fill a job as no Canadian worker is available to perform the task. This document, also referred to as a confirmation letter, verifies the need for the foreign worker.

To obtain an LMIA, the employer must apply for it.

Getting the LMIA allows the worker to then apply for a work permit.

A worker's application for a work permit requires:

  • A job offer letter
  • A contract
  • A copy of the LMIA, along with its number

The Temporary Foreign Workers Program relies on three crucial departments:

  • ESDC, responsible for employer compliance assessments and LMIA determinations.
  • IRCC, which handles the processing of applications.
  • CBSA, which performs port-of-entry exams and admits foreign nationals.

The TEMPORARY FOREIGN WORKERS PROGRAM operates based on wage, not NOC.

Employers must determine if they pay a high or low wage. Foreign worker hiring requirements exist within one of the program's occupation streams. These streams fall under the TEMPORARY FOREIGN WORKERS PROGRAM.

High-wage positions: These positions, which offer pay equal to or greater than the provincial/territorial median wage, include management, professional, scientific, technical, and skilled trade jobs. These positions are typically considered high-skilled and can be found in various sectors, leading to diverse recruitment practices and regulatory requirements. These occupations are in high demand due to their prevalence in the economy and the high wages they offer.

Low-wage positions: These positions offer pay below the provincial/territorial median wage and are designed to address labor market imbalances caused by a shortage of Canadian and permanent residents. There is a 10% cap on the number of temporary foreign workers that employers can hire for these positions. Examples include general laborers, food counter attendants, sales and service workers, cleaners, cashiers, and drivers. These jobs typically require a high school diploma or a maximum of two years of job-specific training. Despite low wages, the government has faced criticism for its inability to determine if the need to fill these labor shortages is short-term or a result of long-term economic changes.

In-Home Caregiver Program: This Program is for foreign caregivers who provide full-time care. They can work either live-in or live-out in a private residence for children, seniors, or those with medical needs. Employers can hire foreign caregivers for their homes under two streams.

  • The In-Home Caregiver Program provides a pathway for foreign caregivers to work in private homes to care for children under 18 years of age. These positions are considered lower-skilled and include jobs like babysitter, live-in caregiver, and nanny. These positions fall under NOC code 4411.
  • The Caregiver Program for people with high medical needs covers elderly persons 65 years of age or over and individuals with disabilities including chronic or terminal illnesses. Such caregiving positions require higher-skilled occupations, including registered nurses, licensed practical nurses, and nurses' aides, orderlies, and patient service associates under NOC codes 3012, 3233, and 3413 respectively. However, home support workers, housekeepers, and related occupations under NOC code 4412 do not qualify. Employers should keep in mind to check the latest ministerial instructions (MIs) and Employment and Social Development Canada (ESDC) websites for updates and further information about the program.
  • Foreign agricultural stream : The Foreign Agricultural Stream provides employment opportunities in primary agriculture. Workers are employed on a farm, greenhouse, or nursery, where they operate machinery, care for animals, collect and assess raw animal products, and work with crops, trees, and plants for market purposes. Jobs related to this stream include handling, boarding, breeding, and sanitation of animals, and preparation of crops for market. The Foreign Agricultural Stream does not include positions such as housekeepers or home support workers.

As an employer facing difficulties in finding the right employee for your business, you have the option to utilize the Temporary Foreign Workers program. To do so, reach out to Global Era Immigration