Questions about hiring foreign workers and LMIAs
If you’re thinking about adding temporary foreign workers to your team to minimize the impact of labour shortages in your company, Vermax Group Inc. can help. To get you started, we’ve provided some of the most common questions our clients ask about this process.
Looking for foreign workers?
What is a Labour Market Impact Assessment (LMIA)?
An LMIA is the document that a Canadian employer might need to obtain before hiring temporary foreign workers.
Do I need an LMIA to hire foreign workers?
Most employees do require one, as an LMIA confirms that there is a need to hire a temporary foreign worker and that there are no Canadians that can do the job. There are some exemptions to needing an LMIA such as a unique work situation, performing arts or someone in the International Experience Canada program. For more information on whether you need an LMIA, please visit the Government of Canada website or contact us.
What are the steps to obtaining an LMIA?
The employer that is looking to hire needs to submit an application to Employment and Social Development Canada (ESDC). The employer must also provide a detailed list of the number of Canadians that applied for the position, how many were interviewed and why they did not get the job. The ESDC will assess a number of areas such as whether there are Canadians that can do the job, working conditions and whether a foreign worker will have a positive, negative, or neutral impact on the Canadian labour market.
What’s the average LMIA processing time?
The average processing time ranges from 14-90 business days, depending on what type and where the application is submitted.
How much does an LMIA cost?
Currently the government fee for an LMIA is $1000 CDN per worker.
Do temporary foreign workers need a work permit?
Typically, a foreign worker requires a work permit, but there are some exceptions.
How long does a work permit last?
This is dependent on many different factors, but usually a work permit is valid for 1-2 years, with the possibility of extensions.
If an LMIA is granted, does that mean an employee can change jobs or employers?
LMIAs are specific to the employer, position and location for which they were granted. If an employee wishes to change jobs or move, a new employer will likely need an LMIA and the foreign worker will need a new work permit before they can commence employment.
What is a high-wage vs. low-wage worker?
If the position pays equal to or more than the provincial average, it is considered high wage; anything below the average, is considered low wage.
How does this affect LMIA status?
If a worker is considered to be high-wage, the employer must submit a transition plan. This plan is meant to show that the employer intends to reduce reliance on foreign workers, and plans to hire more Canadians. If a worker is low-wage, there is no need for a transition plan. However, there is a cap on how many low-wage temporary foreign workers an employer can hire. If an employer has more than 10 employees, the cap for temporary foreign workers is 10 to 20% of the workforce. Caps vary across Canada.
What languages can be listed as prerequisites for the position?
Unless the occupation requires another language, only English and/or French can be listed as required languages.
Where can I get more information about all of this?
To speak with one of our experienced immigration consultants, contact us.
