Canada Temporary Foreign Worker Program (TFWP)

Understanding the Labour Market Impact Assessment (LMIA)

A crucial component of the TFWP is the Labour Market Impact Assessment (LMIA). This is a document that a Canadian employer must obtain from Employment and Social Development Canada (ESDC) before they can hire a temporary foreign worker. A positive LMIA confirms that there is a genuine need for a foreign worker to fill the job and that no qualified Canadian citizens or permanent residents were available to do the work.

The LMIA process has different streams, primarily distinguished by the wage offered for the position:

• High-Wage Stream: For positions where the wage is at or above the provincial/territorial median hourly wage.
• Low-Wage Stream: For positions where the wage is below the provincial/territorial median hourly wage.
• Global Talent Stream (GTS): An expedited process for highly skilled workers in specific tech and STEM occupations.
• Agricultural Stream: For agricultural workers in specific commodity sectors.
• In-Home Caregivers Stream: For caregivers of seniors and people with disabilities.

Note: A foreign national cannot apply for an LMIA; it is the responsibility of the employer to complete this process.

Recent Program Updates and Changes (2024-2025)

The TFWP has seen several important changes to better align with Canada’s labor market needs and address concerns about worker protection. Here are some of the most significant updates:

• LMIA Validity Reduced: The validity of a positive LMIA has been reduced from 12 months to 6 months to ensure that employers are hiring based on current labor market needs.
• Low-Wage Worker Cap: The cap on the proportion of low-wage temporary foreign workers an employer can hire has been reduced from 30% to 20% of their total workforce in certain sectors.
• Annual Wage Review: As of January 2024, employers must annually review and adjust a TFW’s wage to ensure it continues to meet or exceed the prevailing wage for that occupation and location.
• Recognized Employer Pilot (REP): This program was introduced for employers who regularly use the TFWP and have a history of compliance. REP employers benefit from a streamlined LMIA application process and LMIAs that are valid for up to 36 months.
• New Work Permit Process: Starting in May 2025, temporary foreign workers with valid work authorization can begin a new job immediately after applying for a new work permit, replacing the previous temporary measure and creating a more permanent solution.
• Stricter Wage Thresholds: In regions with an unemployment rate of 6% or higher, employers are required to pay wages at least 20% above the regional median.

Eligibility Requirements for Foreign Workers

To be eligible to work in Canada under the TFWP, a foreign national must:

1. Have a valid job offer from a Canadian employer with a positive LMIA (unless the position is LMIA-exempt under the International Mobility Program).
2. Meet the specific requirements of the job, including qualifications, education, and language skills.
3. Be able to prove they will leave Canada once their work permit expires.
4. Be admissible to Canada, meaning they must not have criminal or serious medical inadmissibility issues.
5. Have sufficient funds to support themselves and their family members upon arrival.

The TFWP Application Process: Step-by-Step

The application for the TFWP is a collaborative effort between the employer and the foreign worker.

For the Employer:

1. Advertising the Job: The employer must first advertise the position on the Canada Job Bank and use at least two other recruitment methods for a minimum of four weeks to show they have made genuine efforts to hire a Canadian.
2. LMIA Application: The employer submits a complete LMIA application to ESDC, including the non-refundable processing fee of CAD$1,000 per position, along with the required business legitimacy documents and proof of recruitment efforts.
3. Positive LMIA: If the application is approved, the employer receives a positive LMIA, which they must then send to the foreign worker.

For the Foreign Worker:

1. Gather Documents: Collect all necessary documents, including a copy of the positive LMIA, the job offer letter, a valid passport, proof of qualifications (e.g., resume, diplomas), and police certificates (if required).
2. Submit Work Permit Application: The foreign worker submits an online work permit application to Immigration, Refugees and Citizenship Canada (IRCC) through the Permanent Residence Portal.
3. Medical & Biometrics: Depending on their country of citizenship and the nature of the job, the applicant may need to undergo a medical examination and provide biometrics.
4. Receive Work Permit: If the application is approved, the work permit will be issued at the Port of Entry upon arrival in Canada, or it will be sent to the applicant if they are applying from within Canada.

Required Documents

Here is a general list of documents you will need to prepare for a TFWP work permit application. Please note that this list is not exhaustive, and additional documents may be requested based on your specific situation.