Labour Market Impact Assessment (LMIA): The 2026 Guide

What is an LMIA?

A Labour Market Impact Assessment (LMIA) is a document a Canadian employer gets from Employment and Social Development Canada (ESDC), through Service Canada, before hiring a foreign worker. It shows that the employer tried to hire Canadians and permanent residents first, and that hiring a foreign worker will not hurt the Canadian job market.

A positive LMIA (also called a confirmation letter) means ESDC agrees the employer can hire a foreign worker for that job. The worker then uses the LMIA number to apply to IRCC for an employer-specific work permit. A negative LMIA means the employer cannot hire a foreign worker for that position.

The LMIA is the employer's application, not the worker's. The worker cannot apply for one, and it is illegal for an employer or a recruiter to make a worker pay for it.

High-wage vs low-wage LMIA

ESDC decides which stream applies by comparing the wage you offer to the median hourly wage in the province or territory where the job is. If the wage is at or above the threshold, the job is high-wage. If it is below, it is low-wage.

The thresholds changed on July 17, 2026. Ontario is now $36.92 an hour, British Columbia $38.40 and Alberta $37.50. The full list is in the board at the top of this page. Even if your wage meets the threshold, you must also pay at least the prevailing wage for the job and region on Job Bank, and the same wage you pay Canadians in the same role.

LMIA changes in 2026

1. Low-wage pause by regionESDC does not process most low-wage LMIAs in census metropolitan areas where unemployment is 6% or higher. The list changes every quarter. In the first quarter of 2026, cities such as Vancouver, Winnipeg and Halifax came off the list, while large centres such as Toronto stayed on it. Montreal and Laval have a separate pause until December 31, 2026.
2. 8 weeks of advertising for low-wage jobsLow-wage positions need at least 8 weeks of advertising, up from 4. Ads must run within the 3 months before you apply and finish before you submit.
3. More recruitment methodsBesides Job Bank, employers must use at least two more methods aimed at under-represented groups such as youth, newcomers, Indigenous people and people with disabilities.
4. Job Bank Direct ApplySince September 2025, LMIA job ads on Job Bank must use Direct Apply, and employers must review the applications they receive.
5. Rural cap raised to 15%Rural employers can fill up to 15% of their workforce with low-wage foreign workers from April 1, 2026 to March 31, 2027. Most other employers stay at 10%.
6. Fewer permits overallThe 2026 Immigration Levels Plan targets about 60,000 new Temporary Foreign Worker Program permits, much lower than past years. Expect more scrutiny of every application.

LMIA advertising and recruitment rules

Most LMIA refusals come down to recruitment. Before you apply, you must show a real effort to hire locally:

• Post the job on Job Bank (or the provincial equivalent in some provinces), using Direct Apply
• Use at least two more recruitment methods, with at least one that reaches a national audience, and target under-represented groups
• Show the job title, duties, wage range, location, hours, benefits and required skills in every ad
• Keep a record of every Canadian who applied, whether you interviewed them and why they were not hired
• Keep the ads running for the full period: 4 weeks for high-wage jobs and 8 weeks for low-wage jobs

Some positions are exempt from advertising, including the Global Talent Stream and some highly specialized or short term roles. Agricultural employers must advertise again from January 1, 2026.

How to apply for an LMIA

1. Confirm you need an LMIACheck if the worker could come through an LMIA-exempt route first. It is faster and cheaper.
2. Set the wage and streamCheck the prevailing wage on Job Bank and the provincial threshold to know which stream applies.
3. Recruit in CanadaRun your ads and keep proof. Track every applicant.
4. Prepare and submitApply through the LMIA Online Portal with your business documents, recruitment proof, job offer details and the $1,000 fee per position.
5. Answer Service CanadaAn officer may call you with questions. Answer quickly and consistently.
6. Worker applies for the permitAfter a positive LMIA, send the confirmation letter and number to the worker. They have to apply for the work permit while the LMIA is valid.

LMIA processing time and cost

LMIA processing times are posted by ESDC and change every month. As of September 2026, recent average times were:

Costs: the government fee is $1,000 per position, with exemptions for some primary agriculture and caregiver positions. You also pay for job advertising and any professional help. A worker must never be asked to repay any of these costs.

Employer duties after a positive LMIA

Getting the LMIA is not the end. ESDC inspects employers, sometimes years later, and can check that you:

• Pay the wage and give the hours, job duties and benefits written in the LMIA
• Provide a workplace free of abuse and follow provincial employment and safety laws
• Do not charge the worker recruitment fees or take back any LMIA costs
• Keep records for six years

Penalties can reach $100,000 per violation and up to $1 million in a year, plus a ban from hiring foreign workers and public listing of your business name.

LMIA jobs: advice for workers

If you are a worker looking for an LMIA job, protect yourself:

• Never pay for an LMIA or a job offer. Employers who charge workers break the law.
• Ask for the LMIA number and the confirmation letter, and check that the employer, job and location match your offer.
• Check the business is real and that the job is posted on Job Bank.
• Know your rights. You have the same workplace rights as Canadians. If you face abuse, you may qualify for a vulnerable worker open work permit.

An LMIA job can also lead to permanent residence through the Canadian Experience Class or a Provincial Nominee Program.

Frequently asked questions