LMIA Applications
Labour Market Impact Assessments for Canadian employers hiring temporary foreign workers. Expert guidance through one of Canada's most complex and frequently changing immigration processes.
Important — New Low-Wage LMIA Rules Effective April 1, 2026
Advertising period doubled to 8 weeks. New youth recruitment requirement added. 30 CMAs currently frozen for low-wage processing. Rules change quarterly — contact Asteco before starting any LMIA recruitment.
What is an LMIA?
A Labour Market Impact Assessment (LMIA) is a document issued by Employment and Social Development Canada (ESDC) through Service Canada that an employer must obtain before hiring most temporary foreign workers under the Temporary Foreign Worker Program (TFWP). A positive LMIA confirms that no qualified Canadian citizen or permanent resident was available to fill the position, and that hiring a foreign worker will not negatively affect the Canadian labour market. The LMIA process is one of the most document-intensive and time-sensitive processes in Canadian immigration — and the rules change frequently. Asteco works directly with employers throughout the entire process.
LMIA Processing Fee
$1,000 CAD per position
High-Wage LMIA Stream
Wage at or above provincial/territorial median
The high-wage stream applies when the wage offered to the temporary foreign worker is at or above the provincial or territorial median hourly wage for the work location. High-wage thresholds vary by province and territory and are updated periodically by ESDC.
Key Requirements
Transition Plan Requirement
A Transition Plan is a mandatory requirement for high-wage LMIA applications. It outlines the steps the employer will take to hire Canadians and permanent residents for the position over time — such as training, apprenticeships, or increased recruitment efforts. Service Canada reviews the implementation of previous Transition Plans when assessing new applications.
The high-wage stream is not subject to the CMA unemployment-based processing freeze that applies to low-wage applications. If a position genuinely qualifies as high-wage based on the actual wage being offered, it may be processed regardless of local unemployment conditions.
Low-Wage LMIA Stream
Wage below provincial/territorial median — significant 2026 changes
The low-wage stream applies when the wage offered is below the provincial or territorial median hourly wage for the work location. The low-wage stream has undergone significant changes in 2026 and is subject to stricter requirements and processing restrictions.
Important Changes Effective April 1, 2026
Advertising period doubled to 8 weeks
Employers must now advertise the position for a minimum of 8 consecutive weeks within the 3 months before submitting the application. This is double the previous requirement of 4 consecutive weeks. At least one recruitment activity must remain active until ESDC issues a decision.
New youth recruitment requirement
Employers must demonstrate specific recruitment efforts to reach and encourage youth (ages 15–30) to apply before turning to a foreign worker. This can include posting on Job Bank's youth section, youth job boards, colleges, and youth employment programs. This requirement is in addition to the existing requirement to target underrepresented groups.
Minimum 4 advertising methods now required
With the addition of the youth recruitment requirement, low-wage LMIA applications must now use a minimum of 4 advertising methods: (1) Job Bank, (2) youth-targeted recruitment, and (3) at least 2 additional methods each targeting a different underrepresented group.
Key Requirements
Cap on Low-Wage TFWs
Standard Cap
10% of total workforce at a worksite can be low-wage TFWs for most industries
Elevated Cap — Selected Sectors
20% cap applies to certain sectors — including food services, retail, and hospitality (classified under specific NAICS codes)
No Cap — Exempt Positions
Employers with fewer than 10 total workers across all Canadian worksites are limited to 1 TFW (10% cap industries) or 2 TFWs (20% cap industries).
Low-Wage LMIA Processing Freeze — CMA Unemployment Rule
ESDC does not process low-wage LMIA applications for positions located in Census Metropolitan Areas (CMAs) where the unemployment rate is 6% or higher. This freeze applies only to the low-wage stream. The list of affected CMAs is updated every quarter based on Statistics Canada labour force data.
Currently Frozen
Q2 2026: April 10, 2026 – July 9, 2026
Recently Reopened
Effective April 10, 2026
Next quarterly update: July 10, 2026
Important Notes on the CMA Freeze
Temporary Rural Measures — April 1, 2026 to March 31, 2027
Employers located in rural areas (outside CMAs) of participating provinces and territories may be eligible for temporary measures that provide additional flexibility for low-wage TFW hiring.
Benefits
Conditions
The Government of Nunavut is not participating in these temporary measures. Contact Asteco to confirm whether your province or territory is participating.
LMIA-Exempt Alternatives — International Mobility Program
Many positions qualify for work permits without an LMIA through the International Mobility Program (IMP). LMIA-exempt pathways are often faster, less expensive, and not subject to the low-wage CMA freeze. Asteco will always assess whether an LMIA-exempt pathway is available before recommending the LMIA route.
Citizens of the United States and Mexico in eligible professional, trader, investor, and intra-company transferee categories can work in Canada without an LMIA under the Canada-United States-Mexico Agreement.
Executives, senior managers, and specialized knowledge workers being transferred from a foreign branch to a Canadian office of the same multinational company may qualify without an LMIA.
Foreign workers whose work provides a significant cultural, social, or economic benefit to Canada may qualify for an LMIA exemption. This includes certain researchers, artists, and highly specialized professionals.
French-speaking foreign nationals in TEER 0, 1, 2, or 3 occupations can work anywhere in Canada outside Quebec without an LMIA under the Francophone Mobility program.
Citizens of countries with trade agreements with Canada — including EU member states and CPTPP countries — may qualify for LMIA-exempt work permits in specific categories.
Positions that create reciprocal employment opportunities for Canadians abroad may qualify for an LMIA exemption.
Under the IMP, employers must submit an offer of employment through the IRCC Employer Portal and pay a $230 CAD employer compliance fee per worker. This fee is separate from LMIA processing fees and is charged per application — not per position.
How the LMIA Process Works
Eligibility Assessment
Asteco reviews the position, the wage, the work location, and the employer's situation to determine whether an LMIA is needed, which stream applies, and whether any LMIA-exempt pathways are available.
CMA & Cap Verification
For low-wage positions, Asteco verifies whether the work location is in a frozen CMA and whether the employer's current TFW proportion allows for additional hires.
Recruitment & Advertising
Asteco advises the employer on the required advertising methods, drafts the job advertisements, and tracks the recruitment timeline. For low-wage positions, the 8-week advertising period must be planned well in advance.
Application Preparation
Asteco prepares the complete LMIA application package — including all forms, supporting documents, recruitment evidence, wage information, and the Transition Plan (for high-wage positions).
Submission & Follow-Up
The application is submitted through the LMIA Online Portal. Asteco monitors the file and responds to any Service Canada requests for additional information.
Positive LMIA Issued
Once a positive LMIA is issued, the foreign worker can apply for a work permit using the LMIA number. Asteco can assist with the work permit application as well.
Employer Compliance Obligations
Employers who hire temporary foreign workers under the TFWP are subject to inspections by Service Canada. Non-compliance can result in monetary penalties, a ban from the TFW Program, and public disclosure of violations.
How Asteco Can Help
LMIA rules change frequently. Working with a licensed RCIC ensures your application is prepared correctly, submitted at the right time, and compliant with all current requirements.
Disclaimer: LMIA requirements, wage thresholds, CMA freeze lists, and program rules are established by ESDC and are subject to change without notice. The CMA unemployment freeze list is updated quarterly — always verify current status at canada.ca before submitting an application. This page reflects program requirements as of May 6, 2026. This information is for general guidance only and does not constitute legal or immigration advice. Consult Asteco before making any LMIA-related decisions.