Canada Work Permit Labour Market Impact Assessment (LMIA)
Transfer U.S. Workers to Canada
As an employer, here may be several reasons you may want to transfer your U.S.-based employees to Canada and there are equally as many options available for you to do so with or without a LMIA. The option you choose depends on several factors such as employment duration, presence of a foreign subsidiary or branch of business in Canada or lack thereof and much more.
What is LMIA?
A Labour Market Impact Assessment (LMIA) is a formal document provided by Employment and Social Development Canada (ESDC), to grant a Canadian employer the ability to hire a temporary foreign worker. In most cases, obtaining a Labour Market Impact Assessment (LMIA) is mandatory for applicants when they are applying for a Canadian work permit. Obtaining an LMIA indicates that Canadian employers have made the effort to hire Canadian workers before hiring temporary foreign workers, but they have not been successful which is why they are hiring foreign workers now.
LMIA-Exempt Work Permits
However, there are certain situations where an LMIA is not necessary, which in turn, streamlines the work permit application process. LMIA-exempt work permits are available through specific programs such as through the Intra-Company Transfer (ICT) category where multi-national companies can transfer employees to their Canadian branches of their business without needing an LMIA.
Under the CUSMA agreement (formerly known as NAFTA), certain professionals from the United States, Mexico, and Canada can work in each other’s countries without requiring an LMIA, if they meet the specified qualifications. The CUSMA agreement is unique in that it is an agreement amongst the three countries and individuals who are professionals, intra-company transferees, investors, traders, or business visitors who reside in these countries, can freely work in either of the three countries.
There is also the Francophone Mobility Program, which allows French-speaking workers to come to Canada and reside in a Canadian province besides Quebec without requiring an LMIA. The Francophone Mobility program is in place as Canada continues to prioritize expanding its francophone population through immigration across Canada and not just Quebec, as highlighted in the 2025-2027 immigration levels plan.
LMIA-Based Work Permits
The above programs are the only exceptions to requiring an LMIA. If you are applying through a different program, often, an LMIA-based work permit will be necessary. The Canadian government understandably prioritizes and relies on citizens and permanent residents to fill labour gaps, however, there are numerous cases when that it not possible and therefor employers rely heavily on and need temporary foreign workers to fill those gaps instead. In these cases, an LMIA acts as proof to confirm that a foreign worker is only being hired because the employer demonstrates/indicates that there were no qualified or viable Canadian available to work the job.
In LMIA-based job offers, the employer must first obtain an approved LMIA from Employment and Social Development Canada (ESDC), and the temporary foreign worker can only then apply for a work permit through Immigration, Refugees and Citizenship Canada (IRCC), by submitting the LMIA approval letter along with their job offer letter, and other supporting documentation depending on the type of work permit they are applying for.
LMIA Processing Times
Labour Market Impact Assessment application processing times and additional information can be found on the government of Canada website as the processing times vary for different streams.
Work Permit Application Process
After determining the most viable program for your situation, the employer will submit the job offer on your behalf, along with a positive LMIA if required. Next, you will apply for the work permit either online or at the port of entry. Depending on the type of work permit you are applying for, it is crucial to include all necessary supporting documentation. Missing or incomplete documents can lead to rejection, so be sure to fill out all forms accurately and truthfully. Once you’ve gathered all required materials, you may also need to provide biometrics, undergo a medical exam, and pay the fees associated with each. After submitting everything, you will need to wait for the approval of your application.
Long-term Employment
While most employers rely on temporary foreign workers to address labour shortages, in cases of long-term employment, a foreign worker may become eligible for Canadian permanent residency. This can happen by receiving a nomination by a Canadian province through the Provincial Nominee Program (PNP) or by qualifying to apply under a Canadian Express Entry (EE) stream.
If your business is seeking to bring U.S. workers to Canada and you require assistance with a specific case, contact us at Canadim. We can help you navigate the various work permit options available to you, as well as support your recruitment efforts for U.S. workers coming to Canada.
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