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Five Things You Need to Know About Labour Market Impact Assessments (LMIA)

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Thrus, 23rd May 2024

If you're a foreign worker aiming to work in Canada, understanding Labour Market Impact Assessments (LMIAs) is crucial. Here are five essential things to know about LMIAs, including how they can impact your work permit and Express Entry application.

1. What is a Labour Market Impact Assessment (LMIA)?

A Labour Market Impact Assessment (LMIA) is a document some employers in Canada need before hiring a temporary foreign worker. This document ensures that hiring a foreign worker will have a positive or neutral effect on the Canadian job market. When approved, it's sometimes called a positive LMIA or confirmation letter.

2. Do I Need an LMIA for a Canada Work Permit?

Most employers need an LMIA to hire temporary foreign workers unless it's the LMIA-exempt jobs. The need for an LMIA depends on various factors, including the type of job and the specific circumstances of the employer and employee. For detailed information on LMIA requirements and exemptions, you can refer to the Employment and Social Development Canada (ESDC) guidelines.

3. Why Do I Need Another LMIA to Extend My Work Permit in Canada?

When you apply for a work permit in Canada, your LMIA must be valid. If the LMIA expires, your employer must get a new one to extend your work permit. This process involves the ESDC reassessing the application to ensure no Canadian citizens or permanent residents are available to fill the position. Hence, renewing an LMIA is necessary for work permit extensions in Canada.

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4. Do Entrepreneurs Need an LMIA for a Work Permit in Canada?

Entrepreneurs do not require an LMIA to apply for a work permit in Canada. However, they must demonstrate that their business will create significant social, cultural, or economic benefits or maintain or create jobs for Canadian citizens or permanent residents. This provision helps support the Canadian job market and economy.

5. How Can an LMIA Help with Express Entry CRS Points?

Even though candidates under the Canadian Experience Class (CEC) do not need an LMIA to be eligible, having one can still be beneficial. A valid job offer supported by an LMIA can boost your Comprehensive Ranking System (CRS) points, enhancing your chances of receiving an Invitation to Apply (ITA) for Canadian permanent residency through Express Entry. Therefore, securing an LMIA can significantly improve your prospects in the Canadian immigration process.

Changes in Canada's Temporary Foreign Worker Program

In a recent announcement, Immigration Minister Marc Miller and Employment Minister Randy Boissonnault revealed changes to Canada's Temporary Foreign Worker Program (TFWP).

Canada temporarily increased the validity period of an LMIA to 12 months. As of May 1st, 2024, the validity period of an LMIA will now return to 6 months. Note, employer's part of the Recognised Employer Pilot program will not be impacted by this change.

Understanding these key aspects of Labour Market Impact Assessments (LMIAs) can help you navigate the Canadian immigration process more effectively. Whether you're aiming for a work permit or improving your Express Entry profile, knowing the role of an LMIA is essential.

For more information on LMIA requirements and how they impact your work permit and Express Entry application, contact us!

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