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Canadian employers sometimes need to apply for and secure a positive LMIA, “Labour Market Impact Assessment” before hiring a foreign worker. This confirmation letter will allow the worker to apply for a work permit.
How can you avoid a refusal? What can you do to put yourself in the best position to get the confirmation letter? There are some key points in the application that need particular attention. The following article will identify the common mistakes that we’ve seen employers make and give you the right tools to avoid the same pitfalls.
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 request a FREE email assessment using this link.
If a wage update is posted on the Service Canada Job Bank site while you’re running your job posting, you’ll need to update your ad with the new wage rate. The advertised wage for the job post needs to be at least the median wage for that specific position and region in Canada as per the Service Canada wage bank – if the advertised wage rate is anything below this wage, the application will be refused by default. Failure to update and repost will result in refusal. At the time of this article, the latest update was posted on November 29th, 2023. Typically, these are posted twice a year.
The requirements and qualifications for the advertised job should match the respective TEER code’s core duties, qualifications , and experience. You cannot be too far off from what the TEER code requirements are. For example: if the TEER code qualifications state any post-secondary degree or equivalent work experience, and you state a master’s degree in your ads, then your wage rate should be significantly higher than the median wage rate to justify this to Service Canada.
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 request a FREE email assessment using this link.
The job duties advertised on your job posting need to match the specific responsibilities listed with that TEER code. You cannot include duties that do not match 75% of the job title TEER code duties.
In your job advertisements, all work locations must be clearly stated. You cannot advertise for one location and ask the temporary foreign worker to work at another location or between 2 or 3 locations if it wasn't clearly stated in the job posting, the employment contract, and the LMIA application. If all the work will be done on project sites (i.e. construction), each of the site addresses must be included in the job posting and application.
If the position being advertised and applied for on the LMIA is a low wage position (as per the provincial high/low wage threshold, the Temporary Foreign Worker (TFW) must be able to find and afford suitable local accommodations that would not exceed 30% of their monthly gross wage. You may be required to provide proof in terms of ads or listings showing available housing that doesn’t need a major repair and include utilities.
In addition to confirming available housing, make sure that you calculate your low wage cap rate. You need to be either at or under 20% or 30% depending on your specific industry. The low wage cap rate is a specific formula based on your existing payroll of foreign workers and temporary workers.
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 request a FREE email assessment using this link.
If your LMIA application and postings are for highly skilled applicants, you will need to justify your foreign worker hire and explanation for your decision to not hire other qualified Canadian candidates. A detailed report is highly recommended. You can only use specific requirements that you posted on the job ad to disqualify or qualify candidates who apply for the position – you cannot consider any other factors if they were not clearly stated in all your job ads.
Also, if you are applying for a high-wage position (as per the provincial high/low wage threshold, then a transition plan is mandatory. It should be clear and concise in explaining how you will reduce dependency on TFWs in terms of continued recruitment and/or skill transfers to Canadians after the expiry of your temporary foreign worker’s contract/work permit inside Canada.
Whether you’re applying for a low or high-wage LMIA, make sure your employment contract conditions included in the LMIA application are the same as those advertised in the job posting.
You need to advertise the job on at least three platforms, including Canada’s Job Bank, for your LMIA recruitment efforts. It’s imperative to remember that the job bank advertisement must continue even after you’re approved, if your LMIA is a no-name application. During this time, the job bank advertisement must continue running until you link a foreign worker’s name to the no-name LMIA application.
For low-wage LMIA applications, it is highly suggested to focus and target platforms that are meant for underrepresented groups such as applicants who fall into any of these categories: newcomers, visible minorities, youth, applicants with disabilities, and Aboriginals.
One bonus tip: if you need to hire more than one person - but need to hire the foreign worker you already identified - advertise for more than one vacancy so that if you do find a qualified Canadian applicant, you can still apply for LMIA for the other position..
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 request a FREE email assessment using this link.
These are just a few key points to consider as a Canadian Employer, preparing your LMIA application. When it’s done the right way, the LMIA process can be very effective and successful.
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