What Is LMIA, and How Do You Apply for One?

In an increasingly competitive business environment, recruiting the right talent can be the difference between stagnation and success. With widespread labour shortages and a 66,000 decline in employment impacting Canada’s job market, employing foreign workers has become a viable option to boost the country’s economy.

The influx of global talent doesn’t just bring valuable expertise to the Canadian workforce—it also allows you to tap into new markets, reduce operating costs, and fill specific skill gaps. But if you’re looking to expand your recruitment net for a short period, you’ll need a Labour Market Impact Assessment (LMIA) first.

Read on to uncover what LMIA is, how to apply for LMIA, and more. Recruit diverse talent and give your small business a competitive advantage.

What is LMIA?

LMIA, or Labour Market Impact Assessment, is a document that employers in Canada may need if they wish to hire a foreign worker. It’s issued by Employment and Social Development Canada (ESDC).

LMIA serves as official confirmation that:

• There is a genuine need for a foreign worker temporarily.
• No qualified Canadians or permanent residents are available to fill the position.

A positive LMIA is also known as a confirmation letter. LMIA isn’t required for all roles, but if it is, the employer must apply for one. Once approved, the worker can apply for a work permit.

How long is LMIA valid for?

A positive LMIA is valid for up to six months from the date it’s issued.

During this period, employers must:

• Notify the temporary foreign worker (TFW) that the LMIA was approved.
• Send the confirmation letter to the TFW.

Meanwhile, the TFW must:

• Submit their work application to Immigration, Refugees and Citizenship Canada (IRCC).
• Use the LMIA and employment contract to apply for a work permit.

The LMIA will expire if the TFW doesn’t apply for a work permit by the specified date. If the employer fails to provide the names of the TFWs during the LMIA application process, they must try to hire Canadians and permanent residents until they choose a TFW.

Who needs an LMIA?

Most employers looking to hire a foreign worker need an LMIA. However, it’s best to check the LMIA exemptions codes before applying. Essentially, a worker will need an LMIA if they’re filling a role that cannot be carried out by a Canadian or permanent resident.

To confirm if you and the TFW you wish to hire are exempt from LMIA, you can:

• Review work permit exemptions and LMIA exemption codes: Choose the most relevant code. If the code applies, you’ll need to include it in your employment offer.
• Contact the International Mobility Workers Unit: Applicable if you’re hiring a TFW who is currently outside of Canada and from a country with visa-exempt nationals.

How to apply for LMIA work permit

Employers can apply for LMIA through LMIA Online—an online portal where you manage LMIA applications to Service Canada. You can submit your application up to six months before the expected job start date.

It’s important to note that the LMIA application process depends on the type of foreign worker you’re hiring, including:

• Low-wage workers
• High-wage workers
• Workers through the Agricultural Stream
• Workers through the Seasonal Agricultural Worker Program.

Before applying, you’ll need to do the following:

• Determine if you need an LMIA, or if your application can’t be processed due to specific circumstances.
• Understand the program requirements. Do you want to use a third-party representative? Are there any processing fees?
• Review eligibility requirements for Categories A and B to confirm you’re able to apply.
• Fill out documents that align with your business LMIA application, such as:
  • recruitment and advertisement documents
  • most recent business license
  • any provincial requirements
  • most recent Canada Revenue Agency (CRA) tax documents
  • referral forms (Category A only)

You’ll also need to create a Job Bank for employers account before signing into LMIA Online.

How long is the process of LMIA?

The LMIA application processing time can vary depending on the type of TFW you’re looking to hire and the volume of applications received. This is broken down into streams.

As of August 2025, the average processing times are as follows:

The LMIA process begins the moment you submit your application. For positions in Quebec, an application is considered complete when the employer:

• Submits at the same time to Service Canada and Quebec’s Ministère de l'Immigration, de la Francisation et de l'Intégration (MIFI).
• Submits the application in the format required by the provincial government.

What happens after LMIA is approved?

After an LMIA is approved, the employer receives a positive LMIA letter. They must provide a copy of the LMIA and Annex A to the worker, who will then use it to apply for a work permit. The TFW must also sign the employment agreement.

Employers need to keep the Annex B provided with the positive LMIA (for privacy reasons). If there are any errors or changes needed on the positive LMIA or its annexes, employers must inform Service Canada as soon as possible.

It’s essential to retain all accompanying documents for a minimum of six years, commencing on the TFW’s first working day.

LMIA FAQs

Need more information on LMIA? We’ve answered some additional questions you may have, so you can manage the process easier.

What is the cost of LMIA application?

The cost of an LMIA application is $1,000 CAD. Employers must pay the fee for each position requested. This covers the cost of processing a dual-intent LMIA, which allows the employer to hire a foreign worker while also supporting their ability to apply for permanent residency.

Who approves LMIA in Canada?

The Service Canada branch of Employment and Social Development Canada (ESDC) approves LMIAs in Canada. When employers apply for an LMIA, Service Canada assesses whether hiring a foreign worker would impact the Canadian job market. It will then issue a positive or negative decision after reviewing the application.

Does LMIA give you a work permit?

No, LMIA does not directly give you a work permit. It’s a document that an employer must obtain to prove they need to hire a foreign worker. When approved, the worker then uses the LMIA in a separate work permit application. In short, LMIA is a crucial first step to hiring a foreign worker, but they must still meet their own eligibility requirements for a work permit.

Which jobs do not need LMIA?

Specific jobs that don’t need LMIA include:

• An international agreement: traders, investors, industry-dependent professionals
• “Canadian interest”: self-employed engineers, artists, technical workers
• Significant benefit: airline personnel, live-in caregivers, foreign physicians
• Reciprocal employment: professional coaches, athletes
• Designated by the Minister: academics under a recognized program
• Charity and religious work, not including volunteers

Next steps: Look into LMIA

Ready to recruit global talent and grow your organization? Look into the process of LMIA and how to apply to ensure you stay compliant when hiring foreign workers. With positive impacts on Canada’s economy, LMIA is your first step to building a stronger, more dynamic workforce.