Labour Impact Market Assessment (LMIA)
Who is a Labour Impact Market Assessment For?
Labour Impact Market Assessments are for prospective Canadian employers who need to prove that a labour and skill shortage exists that justifies employing a foreign worker.
What Does a Labour Impact Market Assessment Provide?
Labour Market Impact Assessments allow potential employers of foreign workers to demonstrate the need to hire those workers from abroad as opposed to using Canadians to fill those positions.
Who is Eligible for a Labour Impact Market Assessment?
According to the Government of Canada, if Employment and Social Development Canada (ESDC)/Service Canada determines that the employer in question has need of a temporary worker and that no Canadians are available to fill a given position, an employer will be issued a Labour Impact Market Assessment verifying that fact.
The employer must be a good standing with Employment and Social Development Canada having no prior unresolved dispute or violation of employment rules of Canada. If the employer has a dispute known to ESDC, a justification is required to ensure the new hiring is not related to the dispute.
Some cases are exempt from the need for a Labour Impact Market Assessment through the International Mobility Program based on “broader economic, cultural or other competitive advantages for Canada; and reciprocal benefits enjoyed by Canadians and permanent residents.”
The Labour Impact Market Assessment Process
Obtaining a Labour Impact Market Assessment is part of the process for hiring a temporary worker through the Temporary Foreign Worker Program.
In order to receive a Labour Impact Market Assessment, the prospective employer must:
- submit complete application forms with supporting documents to Employment and Social Development Canada, at which time ESDC will review the request. There is a fee associated with the application. A positive Labour Impact Market Assessment will then allow the employer to proceed with the Temporary Foreign Worker Program.
If Employment and Social Development Canada determines that the job could be filled by a Canadian, the results could be negative.
If an employer thinks they may not need a Labour Impact Market Assessment, they can:
- peruse the government’s list of exemption codes or contact the International Mobility Worker Unit for their province or territory.
Canada LMIA Processing Time
LMIA Requirements for Employers
Employers must meet specific requirements to hire foreign workers and uphold the conditions as set out in the Immigration and Refugee Protection Regulations (IRPR). Employers of temporary foreign workers are expected to be aware of their responsibilities and obligations under the Immigration and Refugee Protection Act (IRPA), and the IRPR.
Employers are responsible for:
- ensuring they meet all of the conditions and requirements of the Temporary Worker (TFW) Program, as outlined in documents such as the Labour Market Impact Assessment (LMIA) application, the LMIA decision letter and annexes
- keeping all records associated to their LMIA application and any other documents that demonstrate their compliance with the program conditions that are set out in the LMIA decision letter and annexes for a period of six years
- informing Employment and Social Development Canada (ESDC)/Service Canada of any changes or errors relating to an approved LMIA, the temporary foreign worker or the working conditions
Employers must regularly review the activities related to the employment of temporary foreign workers to ensure they continue to uphold the TFW Program conditions. Employers are required to take action to rectify errors and/or non-compliance as soon as it is discovered, and contact ESDC/Service Canada of any changes that occur.
The employer may be selected to go through a series of actions to be determined eligible for an LMIA. The Employer or company will go through an Employer Compliance which is made up of:
- Employer Compliance Review
- Review under Ministerial inspection
Processing of a LMIA application may be delayed if the employer is undergoing a compliance review.
Learn more about the LMIA Employer Requirements.
We Are Labour Impact Market Assessment Experts
The rules surrounding the hiring of foreign workers can be confusing and frustrating, but our education and experience allow us to understand immigration’s requirements. We know the process well and can help guide you through it.