Things To Know About Labour Market Impact Assessment

Navigating the Canadian job market as an employer or a far-off worker is often complex, especially when considering the hiring of temporary foreign workers. Understanding the Labour Market Impact Assessment (LMIA) process is important for both employers seeking to hire foreign talent and individuals looking to figure in Canada. If you’re a Canadian employer considering hiring someone from another country, you would possibly be required to use LMIA (Labour Market Impact Assessment) first. 

A positive Labour Market Impact Assessment (LMIA) is important for a Canada-based employer who wants to use a foreign worker. An LMIA may be a procedure of market confirmation that has been intended to guard the local job market of Canada and foreign nationals employed in Canada. LMIA-exempt work permits are often issued only under special circumstances. This article is here to assist you in understanding everything about LMIA.

What do you mean by LMIA?

An LMIA may be a document from Employment and Social Development Canada (ESDC) that a Canadian employer may have to get before hiring a far-off worker. ESDC will assess how hiring a far-off worker might impact the work market in Canada. 

If it determines the effect on the Canadian market is positive or neutral, ESDC will grant your company a positive decision (LMIA) to rent a far-off worker. LMIA is a way for the government to make sure that bringing in a foreign worker doesn’t negatively impact Canadian workers. 

A positive LMIA is usually called a confirmation letter. A negative LMIA indicates that an edge should be filled by a Canadian citizen or permanent resident. Not all employers are required to use LMIA. Check if you’ll hire your foreign worker without LMIA through one of the International Mobility Programs.

Who Can Apply for an LMIA in Canada?

Employers

Any employer in Canada who wants to rent a far-off worker can generally apply for an LMIA as long as they can’t find a Canadian citizen or permanent resident to fill the position. This includes both small businesses and enormous corporations. However, to be eligible, the employer must demonstrate that there’s an instantaneous goal to hire a worker and therefore the financial capacity to pay his/her wages.

Foreign Workers

Foreign workers who are offered employment in Canada and need to figure within the country must have a positive LMIA from their prospective employer to use for a work permit. Note that there are some exceptions to the LMIA process, including the International Mobility Program, which allows some foreign workers to enter Canada without an LMIA. However, this program is predicated on international trade agreements and reciprocal

agreements between Canada and other select countries. Fill out the form and find out if you are eligible to apply for an LMIA.

Applying for an LMIA For High and Low Wage Positions in Canada

The Labour Market Impact Assessment (LMIA) application process in Canada can vary depending on the sort of job being offered to a far-off worker. Two main categories of jobs are considered within the LMIA process: high-wage and low-wage positions. 

High Wage Positions

High-wage positions ask for jobs that pay a wage above the median wage published by the Canadian government for that occupation within the region where the work is found. These jobs typically require higher levels of skill and knowledge, and therefore the LMIA application process for top-wage positions requires a transition plan or supporting the longer-term permanent residence of the foreign worker.

Low Wage Positions

Low-wage positions ask for jobs that pay a wage less than the median wage published by the Canadian government for that occupation within the region where the work is found. The LMIA application process for low-wage positions will involve a more in-depth assessment of the impact that the hiring of a far-off worker will have on the Canadian market and therefore the recruitment efforts done to fill this position.

The LMIA application will include a review of the supply of Canadian workers for the work, the wage rate offered to the foreign worker, and therefore the working conditions

LMIA : Application Process in Canada

To apply for an LMIA in Canada, an employer must follow these steps:

Step 1: Determine Eligibility

The first step within the LMIA application process is to work out if you’re eligible to use it. you want to be an employer in Canada who is unable or struggling to seek out an appropriate Canadian citizen or permanent resident for the work.

Step 2: Gather Information

Before you submit an LMIA, you’ll get to gather a variety of important pieces of data. This includes information about the work offer, like the work duties, wage rate, and dealing conditions. you’ll also have to provide financial documents to demonstrate that you simply are capable of paying the wage and to point out evidence of recruitment efforts to rent Canadian citizens or permanent residents for the work.

Step 3: Submit an LMIA Application

Once you’ve got all of the specified information, you’ll submit your LMIA application to Employment and Social Development Canada (ESDC). you’ll do that online. There’s a fee for LMIA applications, which must be paid at the time of its submission.

Step 4: Await Approval

Once you’ve submitted your LMIA application, you’ll have to wait for it to be processed. The time interval for LMIA applications can vary, but you’ll expect to attend anywhere from a couple of weeks to many months. Once your application is assigned to a politician you’ll be contacted for extra information or to schedule a phone interview. The officer will issue a final judgment when all information and documents are provided and assessed.

Step 5: Receive LMIA Approval Letter

If your LMIA application is approved, you’ll receive a document called a positive LMIA confirmation. This document will include the conditions of the LMIA, like the wage rate, working conditions, and duration of the work offer. The choice letter will include the employer information, work location, and therefore the name of the worker(s). Presently the LMIA is valid for 18 months from the date it was issued, which suggests that the employer has this amount of time during which a candidate can submit their working papers application(s).

Step 6: Obtain working papers

With an approved LMIA in hand, the foreign worker can then apply for closed working papers to enter Canada. The foreign worker must submit the positive LMIA confirmation with their working papers application.

LMIA : Application Processing Time

One of the questions that a lot of employers have is how long the LMIA application process will take.

Factors that Affect Time Interval

The time interval for an LMIA application can vary depending on a variety of things, including the sort of job being offered, the situation of the work, and therefore the time of year. Here is a little more information few few about the factors that will affect the processing time:

Type of Job

Service Canada may process essential occupations faster than non-essential. An important occupation may be a position of high impact on the Canadian community like farm laborers, who are needed to supply food and food products, or seasonal workers that are required to arrive in Canada for a particular high season. A non-essential occupation could also be something like an administrative position.

Location

LMIA applications are assessed in several processing centers counting on the stream and therefore the company’s location. Some processing centers are faster than others. Applications in Quebec generally take longer to process than the other centers.

Time of Year

LMIA processing times also can be suffering from the time of year. For instance, processing times could also be longer during high season, like the summer months.

Average time interval

While the LMIA time interval can vary, you’ll expect the method to require anywhere from a couple of weeks to many months. It’s important to notice that the time interval for LMIA applications can change at any time, so it’s always best to see the foremost up-to-date processing times once you apply, albeit this is often only an estimation.

LMIA Exemptions Simplified

There are certain circumstances where an LMIA isn’t required. There may be a checkout once you can hire a far-off worker without an LMIA.

International Mobility Program

The International Mobility Program (IMP) may be a program offered by the govt of Canada that permits Canadian employers to rent foreign workers without having a Labour Market Impact Assessment (LMIA). The IMP is meant to assist Canadian employers fill labor shortages, usher in specialized talent, and promote the exchange of data and expertise between Canada and other countries. The program offers a variety of labor permits that are LMIA-exempt. 

Some of the kinds of labor permits available include.

1. Intra-Company Transfer (ICT) working papers

This allows multinational companies to transfer their employees to Canada for temporary work assignments. 

2. Trade Agreement (FTA) working papers

This type of labor permit allows citizens of nations that have a trade agreement with Canada to figure in Canada without an LMIA. 

3. International Experience Canada (IEC) working papers

This type of labor permit allows children from certain countries to figure and travel in Canada for up to 2 years. The IEC program has three categories: Working Holiday, Young Professional, and International Co-op.

4. Global Talent Stream (GTS) working papers

This type of labor permit allows employers in Canada to usher in highly skilled foreign workers in certain occupations without the necessity for an LMIA. The GTS program is meant to assist companies fill high-demand positions in science, technology, engineering, and arithmetic (STEM) fields.

5. Researcher working papers

This type of labor permit allows foreign researchers to study in Canada on a short-lived basis to conduct research activities. The researcher must be used by a delegated research organization in Canada.

These are just a few examples of the types of work permits available under the IMP. Each work permit has its own eligibility criteria and requirements.