Labour Market Impact Assessment

Earlier referred to as Labor Market Opinion (LMO), and now called Labour Market Impact Assessment (LMIA), assists foreign nationals reach Canada for temporary work duration.Canada employer has to get approval from LMIA when foreign worker needs to be hired.

LMIA Process
Process begins by submitting 2 applications, one to the Employment and Social Development Canada (ESDC) for assessment, other to the Citizenship and Immigration Canada (CIC) to access work permit.

Applicant Requirement (for Canadian Employer)

  • Application cost to submit application to LMIA is $1000.
  • Official English and French languages have to be mentioned in job advertisements unless any another language is required.
  • The job must be advertised in the Canadian job market for minimum 4 weeks before submitting application to LMIA. Besides advertising on Canada’s job market, employers must advertise job in 2 other recruitment methods/media.
  • For high-pay positions, employers have to show transition plan to ESDC. The transition plan shows that the foreign worker hired will benefit Canada’s workforce.
  • Canadian employer cannot fire Canada’ workers or reduce their work hours looking to hire foreign workers.
  • Employer needs to give information about job description, number of Canadians applied, Canadians interviewed with other aspects (in detail) as to why a foreign worker is needed over Canadian citizen.
  • Facility to be given to foreign worker as per LMIA requisites like accommodation, food Service, etc. has to be mentioned.
  • The vacant job location should have an annual unemployment rate of over 6%.
  • Airline position requisites are more.


Type of LMIA

  • High Wage Position
  • Low Wage Position

How LMIA Gives Assessment Approval

LMIA assess that a foreign worker to be hired will not affect Canada’s labor market besides following.

  • Wage offered is equivalent as per job location.
  • Associated working conditions, labor laws and collective bargaining agreements.
  • Shortage of labor in Canada.
  • Hiring foreign worker will help Canadians to gain new skills.
  • New skills will develop more jobs in Canada.
  • Many other aspects are considered.

LMIA Exemption

There are provisions to hire foreign workers without any LMIA assessment under following International Mobility Programs.

  • Foreign worker under North American Free Trade Agreement (NAFTA) / United States Mexico Canada (USMCA).
  • Intra-company transferees.
  • International Experience Canada called working holiday permit holders.
  • Post-Graduates & Bridging Open workers.
  • Academic exchange and doctoral fellows, teacher-professors, etc.