Are you a Canadian employer struggling to find skilled workers? Or a foreign worker looking to secure permanent residency (PR) in Canada? A Labour Market Impact Assessment (LMIA) could be the key to hiring top talent and supporting PR applications through Canada’s Express Entry system.
What is a Labour Market Impact Assessment (LMIA)?
A Labour Market Impact Assessment (LMIA) is a document issued by Employment and Social Development Canada (ESDC) that allows a Canadian employer to hire a temporary foreign worker (TFW) when there are no qualified Canadian citizens or permanent residents available for the job.
- Formerly known as a Labour Market Opinion (LMO)
- Confirms the need for a foreign worker in a specific role
- Ensures that hiring will not negatively impact Canada’s job market
If you are an employer looking to hire internationally, securing an LMIA-approved job offer can also help foreign workers gain additional Comprehensive Ranking System (CRS) points in Express Entry, improving their chances of obtaining Canadian PR.
How LMIA Supports Permanent Residency Applications
Employers can use an LMIA to support PR applications through Canada’s Express Entry system under these economic programs:
- Federal Skilled Worker Program (FSWP)
- Federal Skilled Trades Program (FSTP) (allows job offers from up to two employers)
- Canadian Experience Class (CEC)
LMIA Benefits for Foreign Workers in Express Entry
- A valid LMIA-based job offer can add 50 to 200 CRS points (depending on the NOC code), increasing the chances of receiving an Invitation to Apply (ITA) for PR.
- Open Work Permit holders are not affected by LMIA requirements, as this program is designed for employers hiring skilled workers specifically for PR applications.
Types of LMIA for Permanent Residency and Work Permits
LMIA to Support Permanent Residency Application (No Processing Fee)
This LMIA is used exclusively to support the PR application of a foreign national. The employer does not hire the worker until after their immigration application is approved and PR is granted.
- No LMIA processing fee required
- Employer commits to hiring the foreign worker only after PR approval
LMIA to Support Both PR and Temporary Work Permit (Dual Intent LMIA) (Processing Fee Applies)
Employers who need to hire a skilled foreign worker temporarily while their PR application is in progress can apply for a Dual Intent LMIA.
- Allows the worker to get a work permit while their PR application is processed
- Requires a processing fee
- Can be used for both PR applications and temporary work permits
Why is an LMIA Important?
A positive LMIA confirms that hiring a foreign worker will have a positive or neutral impact on the Canadian labor market. It ensures that:
- No qualified Canadian citizens or permanent residents are available for the role
- Employers are paying fair wages and maintaining good working conditions
- Foreign workers are not displacing Canadian workers
Employers must meet specific criteria to get LMIA approval, ensuring a fair and balanced hiring process.
Final Thoughts
The Labour Market Impact Assessment (LMIA) is a powerful tool for Canadian employers to hire skilled foreign workers and for foreign nationals to enhance their Express Entry profile. Whether you need an LMIA to support PR or a dual intent LMIA for both PR and a work permit, understanding the process is crucial.
Looking to hire internationally or apply for PR with an LMIA-backed job offer? Start your application today and secure your pathway to Canadian permanent residency.