What is an LMIA and why do employers need one?
A Labour Market Impact Assessment (LMIA) is a document from Employment and Social Development Canada (ESDC) confirming there is a genuine need to hire a foreign worker and no qualified Canadian or PR is available. Most Temporary Foreign Worker Program positions require a positive LMIA before the worker can apply for a work permit.
How much does an LMIA cost in Canada?
Employers pay $1,000 CAD per position (agricultural workers are exempt). This fee is non-refundable even if the application is refused. Adding recruitment costs ($0-$3,000+) and legal fees ($2,000-$5,000+), total costs per position typically range from $3,000 to $8,000+.
How long does LMIA processing take?
High-wage positions generally take 50-90 business days. Low-wage and some agricultural streams have priority processing tracks that can be as fast as 10 business days. Global Talent Stream LMIAs targeting specialized tech roles process in as little as 2 weeks.
Are any positions exempt from needing an LMIA?
Yes. LMIA-exempt positions include intracompany transferees, CUSMA professionals, significant benefit workers (researchers), and reciprocal employment categories. These workers apply under the International Mobility Program (IMP) instead of the Temporary Foreign Worker Program.
Can the foreign worker pay the LMIA fee?
No. Under IRPA regulations, employers cannot charge or recover the $1,000 LMIA fee from the foreign worker. Doing so is illegal and can result in the employer being banned from the Temporary Foreign Worker Program. Employers must bear this cost entirely.