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Are you looking to help your clients with a potential employer ready to hire them? Or, perhaps, you're an employer struggling to find the right talent despite extensive recruitment efforts? Welcome to today’s video where we will discuss essential insights based on the frequent questions we receive from our partners. Today, we’re not just covering the basics but tackling specialized topics such as LMIA expiry dates, as well as the responsibilities of employers. We’ll also discuss what constitutes minor and significant changes to the LMIA, and whether you need to inform Service Canada. This information is vital for both employers and recruiters looking to navigate these complexities successfully.
If you have an employer who is looking to hire you and either you or they need help going through the LMIA or Provincial Nomination process or any other work permit-based program, reach out to our specialized B2B team at our office in Canada. You can also apply for a FREE email assessment using this link.
As of May 1, 2024, a Labour Market Impact Assessment is valid for up to 6 months after it is issued.
During this period, employers have important responsibilities, such as notifying temporary foreign workers of the LMIA approval and ensuring timely work permit applications. It means that the temporary foreign worker needs to apply for the work permit within the validity period of the LMIA, which is six months from the date of issuance.
It's crucial to differentiate between LMIA expiry, work duration, and work permit expiry.
So we now know that the LMIA expiry date marks the deadline for work permit applications. Meanwhile, work duration refers to the length of employment, typically proposed by the employer in the Job Offer but ultimately determined by Service Canada. This period is carefully assessed to ensure it does not adversely affect the local labor market and is clearly specified in the LMIA. Lastly, the work permit expiry is determined by IRCC upon application approval.
Regardless of the date of the Job Offer, foreign workers must apply before the LMIA expiry.
If you have an employer who is looking to hire you and either you or they need help going through the LMIA or Provincial Nomination process or any other work permit-based program, reach out to our specialized B2B team at our office in Canada. You can also apply for a FREE email assessment using this link.
As an employer, understanding your obligations is vital.
It's your responsibility to ensure adherence to the terms outlined in the positive LMIA letter, its annexes, and the Immigration and Refugee Protection Act. If you intend to modify any of these terms, or if modifications have already been made, it's imperative that you take necessary steps accordingly. IRCC can conduct a compliance inspection at any time.
If you have an employer who is looking to hire you and either you or they need help going through the LMIA or Provincial Nomination process or any other work permit-based program, reach out to our specialized B2B team at our office in Canada. You can also apply for a FREE email assessment using this link.
Let’s now discuss the minor and material modifications to LMIA, ensuring you stay compliant with Employment and Social Development Canada regulations.
Minor modifications typically do not necessitate the submission of a new LMIA. Nevertheless, certain minor adjustments are advisable to be reported to Employment and Social Development Canada (ESDC). On the other hand, in the case of material modifications, you need to report it to Service Canada and they may advise submitting a new LMIA application.
Changes that qualify as "minor" modifications, which need to be reported but do not require a new LMIA submission can include:
1: Increases in wages that are within specified limits If you're considering raising wages after receiving a positive LMIA, you can do so as long as the increase is equal to or less than the highest of the following:
* A 2% increase.
* The prevailing wage.
* The average annual inflation rate from Statistics Canada's Consumer Price Index of the previous year.
2: Administrative Errors such as spelling mistakes in the original LMIA documentation.
3: Updates to contact details for the employer or their representative.
4: Information regarding employment relationship breakdowns, such as layoffs, leaves of absence, deportations, or job offer cancellations or refusals.
5: Change in Work Location.
On the other hand, "material" changes that may require a new LMIA can be:
1: Change in Occupation or Job Duties: especially if this means a different classification under the National Occupational Classification code.
2: Change in Employer
3: Any Significant Wage Changes such as wages greater than the highest of:
* 2%
* the prevailing wage, or
* Statistics Canada’s Consumer Price Index, the average annual inflation rate of the previous year.
Even decreasing pay is considered a material modification.
1: Alterations to benefits or non-monetary compensation offered to the worker.
2: Any changes to the specified hours
3: Specifically for the Global Talent Stream (GTS), if a worker's wages fall below the prevailing wage in a new economic region due to a change in work location, it's considered a material modification.
4: Any changes that would affect the type of LMIA application stream that was applied for.
5: In certain cases, failing to fulfill commitments or altering transition plans, especially in high-wage situations.
6: Change in Educational Requirements for the job change.
If you have an employer who is looking to hire you and either you or they need help going through the LMIA or Provincial Nomination process or any other work permit-based program, reach out to our specialized B2B team at our office in Canada. You can also apply for a FREE email assessment using this link.
To wrap up, it's crucial to recognize that while certain details may seem minor and are often overlooked at the beginning of the process, compliance inspections are frequent. Being prepared is key. Document everything meticulously, adhere strictly to your LMIA conditions, and promptly notify IRCC of any changes. Taking these steps will ensure a smoother process and help avoid any potential complications.
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