LOW-WAGE LMIA APPLICATIONS TO BE SUSPENDED FROM APRIL 4 ONWARDS

Immigration law

24 Apr

The federal government has published its quarterly update identifying metropolitan regions where low-wage LMIA applications will be suspended from April 4 to July 10.

These adjustments to the Temporary Foreign Worker Program (TFWP) arrive as Canada increases focus on the initiative and the overall number of temporary residents—such as individuals holding work or study permits, visitor visas, or electronic Travel Authorizations (eTAs)—within the country.

Employers can only fill up to 10% of positions at a specific job site with Temporary Foreign Workers (TFWs) in low-wage roles. This restriction is in place to make sure that job opportunities are offered to Canadian citizens or permanent residents before considering TFWs.

The policy aligns with today’s update from ESDC, allowing exemptions for some workers based on job type, region, and/or pay level, as well as for those who apply for an LMIA before September 3, 2024. The pause is anticipated to continue for six months.

Based on public policy set out in Ministerial instructions, Service Canada may decline to process LMIA applications for:

1. Roles exceeding the allowable limit of low-wage positions

2. Low-wage jobs in CMAs with unemployment rates of 6% or more (Updated)

3. In-home caregiver roles that require living in the employer’s home

4. Any job if the employer had an LMIA revoked within the past two years

5. Select low-wage jobs in the Montréal and Laval economic regions

For the next three months, low-wage LMIA processing is off the menu in these parts of Canada — so if you're in one of those regions, it's a no-go zone for now. Time to hit pause, not panic. The government has identified 24 CMAs with unemployment rates of 6% or higher. During the next three months, these Canadian regions won't be eligible for low-wage LMIA processing. These are:

1. St. John’s in Newfoundland and Labrador.

2. Saint John, and  Fredericton in New Brunswick.

3. Drummondville and Montréal in Quebec.

4. Kingston, Peterborough, Oshawa, Toronto, Hamilton, St. Catharines, Niagara, Kitchener, Cambridge, Waterloo, Brantford, Guelph, Windsor and Barrie in  Ontario.

5. Calgary, Red Deer and Edmonton in Alberta.

6. Kelowna, Kamloops, Abbotsford, Mission, Vancouver, and Nanaimo in British Columbia.

For specific industries, sub-industries, and job types, LMIA requests will be rejected if low-wage roles make up more than 20% of the total staff at a particular job site. These occupations include:

Certain designated live-in caregiver roles under:

Before applying for an LMIA, check whether the low-wage job locations fall within a Census Metropolitan Area (CMA) by following the steps below. If they do, verify the CMA’s unemployment rate using the provided chart. Applications tied to locations in CMAs with a 6% or higher unemployment rate will not be processed.

1. Enter the full postal code of the job site into the Census of Population tool.

2. On the search results page, look for the “Census metropolitan area / Census agglomeration” level.

3. If this level does not appear in the results, the application is still eligible for review.

The processing fee will not be applied if your LMIA application is declined for processing or if you are identified as an ineligible employer. Additionally, you will receive written notification outlining the reason your application was not accepted.

Businesses located in Atlantic Canada — including Nova Scotia, NB, Newfoundland and Labrador, and Prince Edward Island — are now able to employ foreign workers without needing a Labour Market Impact Assessment (LMIA), thanks to the Atlantic Immigration Pilot Program (AIPP).

At RRM Law,  we assist individuals with immigration matters such as work permits, LMIA applications, PR pathways, and citizenship, while also guiding employers on compliance and foreign worker recruitment. In employment law, we represent both employers and employees in matters like wrongful dismissal or workplace disputes.   

RRM Law  also provides comprehensive legal support across various areas, including immigration, employment, corporate, real estate, and family law. Additionally, they offer services for real estate transactions, business incorporation, and family matters such as divorce, custody, and estate planning, delivering tailored legal solutions based on each client’s unique needs. 

Speak with an experienced attorney today. Call (905)798-3776