What is an LMIA?

A Labour Market Impact Assessment (LMIA) is essentially Canada’s quality check to ensure that hiring a foreign worker is truly necessary. Managed by Employment and Social Development Canada (ESDC), the LMIA process confirms that no qualified Canadian citizens or permanent residents are available for the job. Although there are specific exemptions for roles that meet certain international or high-priority criteria, most employers still need an LMIA to support a foreign worker’s application for a valid work permit.

How Does the LMIA Process Work?

Recent policy updates have emphasized the need for employers to provide current financial documentation and adhere to stricter business legitimacy guidelines, ensuring that the foreign worker’s position supports both their career growth and Canada’s economic health.

How to Hire a Foreign Worker with an LMIA

Once a positive LMIA is issued, Immigration, Refugees and Citizenship Canada (IRCC) will process a work permit—typically an employer-specific permit—allowing the foreign worker to join the Canadian workforce. This step is crucial for balancing Canada’s labor market needs while safeguarding opportunities for domestic workers.

Processing Times

Historically, LMIA applications took around three months to process. However, recent improvements have introduced a streamlined service standard: for high-demand roles, skilled trades, jobs with wages in the top 10% bracket, and short-duration assignments (120 days or less), ESDC now aims to issue a decision within approximately 10 days. This rapid turnaround helps employers respond swiftly to evolving labor market challenges.

Employer Requirements and Latest Regulations

To obtain an LMIA, employers must meet several updated criteria:

Additionally, 2025’s regulatory updates include increased wage thresholds for high-wage positions and more rigorous checks to ensure that employers adhere to all business and recruitment standards.

Conclusion

In summary, the LMIA is a crucial mechanism that ensures Canadian employers can only hire foreign talent when there isn’t a suitable local candidate available. With recent updates that streamline processing times and tighten job offer requirements, the LMIA process continues to balance the need for skilled international workers with the protection of Canada’s domestic labor market. For the most accurate and current information, employers and applicants alike should regularly consult ESDC and IRCC advisories.

To know about other programs for which you may be eligible for: