Your complete guide to Canada Labor Market Impact Assessment (LMIA)

In order to hire a foreign worker, Canadian employers obtain a document know as Labor Market Impact Assessment (LMIA) which is issued by Employment and Social Development Canada (ESDC) before applying for a work permit. The primary purpose of LMIA is to protect the interest of the Canadian workers and Permanent Residents from unfair treatment and to allow them first access to jobs. A positive LMIA is a sign that there is a need for a foreign worker to fill a job and no Canadian worker is available to do the job.

While it is not easy to get a positive LMIA, a Canadian employer must demonstrate that there is a genuine and acute shortage of skills, which is affecting his business to the service Canada. Employment and Social Development Canada (ESDC) conducts assessment of employer’s business needs and their hiring process to assess whether the foreign worker will likely have a positive effect on the labor market in Canada.


Process of Hiring Temporary foreign workers

To fill the labor & skill shortage, the Immigration Refugees & Citizenship Canada (IRCC) offers two programs to hire temporary foreign workers know as, International Mobility Program (IMP) and the Temporary Foreign Worker Program (TFWP).

International Mobility Program (IMP)

Temporary Foreign Worker Program (TFWP)

It is not mandatory for some employers to have a positive LMIA, and is exempted when hiring through the International Mobility Program (IMP).

It is mandatory for an employer to hire foreign worker through TFWP. A positive LMIA is a sign that there is a need for foreign worker and that there is no Canadian worker available to do the job.


Some of the exempted list that is classified under International Mobility Program (IMP) are as follows:

  • Workers covered under NAFTA agreement.
  • Agreement with Provincial/Territorial programs.
  • Intra-company transferees.
  • Post-Graduate Work Permit holders.

The LMIA processing time can be unpredictable and can range from a couple of weeks to few months.


Categories of Labor Market Impact Assessment (LMIA)

There are two categories of LMIA, the below chart illustrates them in detail.

High-Wage LMIAs

Low-Wage LMIAs

High wage positions are offered a salary at or above the provincial/territorial median hourly wage. Low wage positions are offered salary below the provincial/territorial median hourly wage.
Employers must furnish a transition plan explaining how they intend to permanently fill the job held by temporary foreign worker. Transitional measures will apply to employers whose work forces do not comply with the new rules.
Certain applications will be processed more quickly. Foreign workers in skilled trades, high paid workers with salaries in the top 10% of Canadian earnings, and workers coming for 120 days or less will all receive LMIA decisions in 10 business days Employers in the accommodation and food service sector as well as the retail trade sector will no longer be allowed to apply for LMIAs for jobs in 10 lower-skill occupations


English test to immigrate to Canada with a TFWP

People are often motivated to get a LMIA to support their points for Express Entry, it is however, important that LMIA application needs to be employer driven from a genuine labor shortage. In order to demonstrate that you have good English proficiency it is advised to take IELTS test which is widely recognized and a good score can help you in securing a Canada Permanent Resident status.

LMIA and Temporary Work Permit Application

While it is obvious that the LMIA process is complicated, and costs $1000 per application, Service Canada has significant powers to enforce large fines and bans for misusing the program. It is thus important to apply for a LMIA approved work permits to avoid any legal hurdles.

If you wish to apply for a LMIA approved work permit, schedule a one on one consultation session with our ICCRC registered counselors.

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Atlantic Immigration Pilot Program: Everything you need to know

The Federal Government and the Atlantic Provinces of Canada introduced Atlantic Immigration Pilot Program (AIPP) to address the labor Market shortage in the Atlantic provinces of Canada. The Atlantic Pilot Program helps employers of Atlantic Canada, hire skilled foreign workers and International Graduates to drive the economic growth of Atlantic Canada.

After its initial success, AIPP was extended for 2 years till December 2021, and this makes AIPP a pathway to Permanent Residence for skilled foreign workers and International Graduates who aspire to work and live in one of the 4 Atlantic Provinces of Canada. The Atlantic Canada includes Provinces such as:

  • Newfoundland and Labrador
  • New Brunswick
  • Nova Scotia
  • Prince Edward Island

The average processing time for AIPP application is 6 months and this is primarily because of rules that do not make it mandatory for most employers to apply and receive a positive Labor Market Impact Assessment (LMIA).


A substitute for fresh Graduates & Candidates with Low CRS under Express Entry

Finding a job in Canada for fresh graduates can be challenging. The common immigration programs such as Federal skilled workers program and Canadian Experience Class, requires a minimum of one year work experience before applying for Permanent Residence. AIPP offers a solution for international students who graduate in Atlantic Provinces, because it does not require any work experience to be eligible and makes it easier to acquire Permanent Residence in Canada after graduation.

Candidates with Low Comprehensive Ranking System (CRS) points under Express Entry often struggle to get an Invitation to Apply (ITA) for Permanent Residence. However, AIPP does not follow point-based system and also the Language requirements under AIPP are lower than almost all other immigration program making it one of the easiest pathways for permanent Residence in Canada.


The Structure & Eligibility of Atlantic Immigration Pilot Program


It is mandatory for the employer to support the new comers and their family as they integrate into their new lives in Atlantic Canada. To hire skilled immigrants under AIPP, employers are not required to apply for Labor Market Impact Assessment (LMIA) but will have to follow the below steps:

  • Designation – The employer must apply to Atlantic Provinces for designation and co-operate with a settlement service provider organization in the province to help new comers settle and integrate in Canada.
  • Recruitment – Follow the basic guidelines of recruitment and
  • Endorsement – The employer must complete endorsement for each applicant, also it is important for the employer to get the settlement plan for each applicant and his family and send the whole application package to the province for review.

There are specific requirements for each province for the employers,
to know more you can click here


Skilled Immigrants and International Graduates

The skilled Immigrants and International graduates can follow the below steps to apply for Permanent Residence under Atlantic Immigration Pilot Program (AIPP)

  • Job Offer – Receive a full time Job offer from a designated employer
  • Settlement Plan – Get a need assessment and settlement plan from a designated settlement service provider organization.
  • Letter of Endorsement – Receive a letter of Endorsement from the province and
  • PR Application – Apply for Permanent Residence under AIPP.

As discussed earlier international students that graduate in Atlantic Provinces do not require any work experience, thus making it easier for them to apply for Permanent Residence of Canada.


AIPP a popular choice

With a fairly relaxed language points and unique criteria, Atlantic Immigration Pilot Program offers a new pathway for Permanent Residence to skilled workers and International Graduates. Atlantic Provinces offer competitive advantage and bring wide variety of opportunities for Aspiring immigrants and international students to support the economic growth. It is fair to conclude that AIPP is a popular choice for Canadian Immigration

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Yukon Pilot Program- a pathway to nominate qualified foreign nationals for a Canadian permanent Residency

It is the tide of popular opinion that makes Yukon Community pilot (YCP) an innovative option to immigrate to Canada. As a part of Yukon Nominee Program, Yukon community pilot was launched to nominate qualified foreign nationals to the federal government for the Permanent Residency. The (YCP) Yukon Community Pilot allows foreign nationals to live and work in Canada without a Labour Market Impact Assessment (LMIA). Started in January 2020 the YCP is set to run till June 2023.

Candidates nominated under Yukon Community Pilot enjoy the flexibility to work for multiple employers because the work permit is not restricted to single employer, but instead the work permit is tied to specific community that encourages candidates to take multiple part-time jobs to support themselves and fulfill the labour needs of the participating community.

The Yukon Participating communities are:

  • Whitehorse
  • Watson Lake
  • Dawson City
  • Haines Junction
  • Carmacks
  • Carcross

Eligibility for Yukon Community pilot (YCP)

Candidates who have received Provincial Nomination through Yukon nominee program are eligible to apply for community based work permit through YCP if they meet the following requirements:

  • Have 2 or 3 eligible job offers form one of the participating communities
  • Have a signed letter of support from the Government of Yukon and
  • Be eligible for a work permit.


Job offer Requirements

  • The jobs must be in the same participating Yukon community and must add up to at least 30 hours of work per week.
  • The job must be non-seasonal and the wages must meet or exceed the minimum wage and
  • The candidate must have relevant work experience.


Yukon Community pilot (YCP) application process

The candidates must first apply for a Job. It is possible to acquire a slot in YCP if you have two or three eligible job offers in one of the participating communities of Yukon. Click here to know more

Candidates with valid job offers must apply for a nomination through Yukon Provincial Nominee Program for a successful immigration to Canada. Candidates will generally be honored with Nomination letter from the Government of Yukon along with signed letter of Support from the Government of Yukon that contains details of the Job offer such as, location, employers name, number of working hours etc. The signed letter of support from the Government of Yukon acts as a conformation for candidates to live and work in Yukon Canada and that the employer needs the candidate to work for the community.

The final step is to apply for an Open work permit once the candidate has a valid job offer along with a copy of Provincial Nomination certificate and a signed letter from the Yukon Government. Once the application is successful, candidates will be issued a two year open work permit which is restricted by location to one of the participating communities. The two year open work permit can be extended if the candidate’s permanent residence application takes longer than two years to process.

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Marginal dip was witnessed in Canada’s Permanent Resident admission

The Canadian Government had earlier announced that the borders will remain closed till the end of August 31, 2020 as a step to stop the spread of Coronavirus. While the ban on H-1B, L-1 and J-1 visa till the end of 2020 saw the aspiring candidates transitioning towards Canada, the first half of Canadian Immigration witnessed a marginal dip in the admission of Permanent Residents, which could be fairly attributed to the travel restrictions due to Coronavirus.

Canada invited 160,230 new Permanent Residents in the first half 2019, but only 103,420 new comers were invited in the first half of 2020.The numbers however, started to recover in May and June, where 11,000 and 19,000 new comers were welcomed respectively.

The Recovery process

While easing of coronavirus related restrictions has shown significant change in the employment figures. The data from statistics Canada, suggest an improvement in the employment which saw a sharp decline in the month of March and April. According to labour Force Survey, about 55% of the 3 million jobs lost since April was recovered and 419,000 jobs were added in the month of July.

Once the travel restrictions are lifted we can expect more jobs to be added, thus speeding up the process of economic recovery.


Canada’s Immigration Policy to propel Growth

The most part of Canada’s economic growth has always been attributed for its friendly Immigration policy. Canada has always been welcoming the newcomers, who bring cultural vibrancy, skills and innovative mindset that create new jobs. With various immigration pathways Canada still remains the preferred destination for most aspiring candidates. With the Ageing population and declining birth rate, Canada has maintained a steady intake of immigrants to support its economy and population growth.

The next wave of Permanent residents and newcomers entering Canada will play a significant role in the economic growth of Canada.


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Despite the current efforts of extending the Travel restrictions, Immigration still plays a key role in growing Canada’s future

The Canada Border Services Agency (CBSA) made an announcement of extending the travel restrictions until August 31 2020. To stop the spread of Corona virus Canadian government remains committed in protecting the health and safety of Canadians and have imposed travel restrictions which includes optional and is discretionary in nature. Immigration, Refugee, and Citizenship Canada (IRCC) however, has exempted travel restrictions if you fall under below category.


You can travel and enter Canada if you’re a:

  • Canadian Citizen
  • Permanent Resident
  • Recently approved Permanent Residents
  • Temporary foreign workers (Exceptional list)
  • International students
  • Immediate family member of Canadian Citizens and permanent residents.

Despite the ongoing Crisis caused by the Coronavirus, Canada ranks ahead of US in the world’s most competitive economies. Canada’s economic success can be attributed to its flexible Immigration policy and Canada proved the importance of Immigrants by continuing to operate its immigration system when the whole world went under a complete lockdown.


Canada’s Economic growth & role of Immigrants

With the ageing population there was always a demand for skilled professionals in various sectors. Immigrants play a key role in the economic growth of Canada & their contribution cannot be ignored. Health-care sector for example employs over 1.6 million people. Immigrants account for 1 out of every 4 health-care sector workers.The immigrants are employed in important areas of nursing and residential care facilities as well as home-health care services. Over 36% of immigrants are pharmacists and family physicians across Canada.

While health care sector is dominated by Immigrants in Canada, Business sector is no exception. Canada employs more than 12 million people and there are more than 47,000 immigrants in senior management role across the country. With 600,000 and more self-employed immigrants in the country, Canada has a fair share of Immigrant business owners who actively do business in finance, communications, construction, transportation, business services, production, utilities and various other sectors. Immigrant entrepreneurs and business leaders continue to contribute towards the economic success of Canada.

Canada continues to be the most preferred study destination for International students and has attracted talents from across the world that has helped in building country’s economy in science and technology sector. Over 500,000 immigrants working in Canada are trained in science, technology, engineering and mathematics (STEM) fields.Fair shares of immigrants are Computer Programmers, physicists, astronomers, software engineers, designers, and chemist.  Many international students enrolled in STEM field build their Careers in Canada, enhancing the country’s capacity for innovation and build a stronger economy.


Growth Trajectory of Canada

Canada’s exceptional economic performance can be attributed for having a transparent approach and a flexible immigration policy. A country that is globally oriented with huge investment potential, Canada remains competitive in various ways and continues to sustain long-term economic growth by inviting more immigrants.

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UK pushes for strategic policy for International students to boost recovery

In a move to withdraw financial dependency on China by UK universities, the conservatives have called for caps on number of international students from any one country. A recent report states that UK universities rely on overseas students that offer £5.8 billion annually out of which £2.1 billion is estimated to come from Chinese students. The number of Chinese students enrolling in UK universities saw a significant rise since the mid-90‘s and it is feared that UK universities are worryingly dependent on Chinese students for their finances, undermining their long term sustainability.

While countries such has Australia, USA have expressed concerns over Chines international students in regard to both financial and security reasons, Canada has opted for diversified policy in their overseas students education plans. A third of UK universities funding comes from China and the Chinese government in recent times have demonstrated to block students flow in response to criticisms.

Tim Bradshaw, chief executive of the Russel Group said that they have grown UK student numbers alongside international students and will continue to welcome the most talented students and staff regardless of nationality and are working with government to maintain their standing as a globally attractive destination for students from the widest range of countries.

The new graduate visa will help the Universities in UK to compete for students from around the world including countries like India, Pakistan, Saudi Arabia, Sri Lanka, Brazil and Africa, which will be a significant market for quality higher education in the coming days.


Concerns of International students

Institutions were cautioned to bolster their finances in case of a dip in Chinese students; however, the researchers at the Centre for Global Higher Education said the majority of the Chinese students with letter of acceptance in the UK still intend to study abroad as planned. It was noted that most of the international students were more concerned about safety than geopolitical issues like Huawei’s 5G contracts in the UK. The common concerns were about the format of courses in the upcoming academic year, tuition fees, English Language Test, Student Visa Applications.

We got to acknowledge that international education is always going to be linked with ties between countries; the global impact of the Coronavirus cannot be ignored. The political tensions between US and China are going to be significant and it will be interesting to see how things turn out in the coming days.


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Canada’s recent changes with Express Entry Draw

Despite the continued uncertainty surrounding the coronavirus pandemic, Canadian government is still holding Express Entry Draw which exhibits the actual example of Immigrants, who purely play a significant role in Canada’s economic growth.

The recent Express Entry draw held on July 23, 2020 witnessed an ITA’s issued to 3,343 candidates who had 445 points or more. IRCC in its 157th Express Entry Draw limited the draw to invite candidates with active profile in Canadian Experience Class (CEC) program. However, Candidates from Federal Skill worker (FSW) and Federal Skills Trade (FST) were not considered. Candidates qualify for Canadian Experience Class Program if they have minimum of one year of full-time skilled work experience in Canada and must show proficiency in English or French equivalent to CLB 7 or higher.

With over hundred immigration pathways, Canadian immigration authorities have had a fair intake of immigrants over the past few decades. These immigrants are highly skilled and have positively contributed towards Canada’s economic growth.

While jobs in the Information Technology sector has been fairly contributing towards economic growth across the world, Countries like Australia, USA, UK, Canada France & Germany have been competing to have a competitive edge in the field of Artificial intelligence. In a recent study released by Centre of Security and Emerging Technology, Canada appears to be having a competitive edge over these countries because of its flexible immigration policy which attracts highly skilled foreign workers. An overwhelming amount of immigrants are gaining permanent residence with Canada work and Study experience. Talking of study let’s look at what to expect for the fall semester in the below section.


Fall Semester & what to expect in the coming days.

The outbreak of coronavirus has jeopardized the plans of students who are currently in process of completing their university degree and aspiring students who are yet to begin their student journey in Canada.

Earlier in March 2020, many universities across Canada made the decision to move the reminder of classes online. These universities however, have now announced that academic program will continue to be administered primarily online and also be offering courses with in-person components for labs and tutorials. Immigration, Refugee, and Citizenship Canada (IRCC) has advised that the students with valid study permit that were approved before or on 18 March 2020 will be allowed to travel to Canada to resume their studies in fall 2020. While those students who did not receive a study permit by 18 March 2020 and most students who received their acceptance in April and May can still have some hope. IRCC states that it is continuing to process study permits, and has developed a two-stage process to allow students who were not issued study permits before or on 18 March 2020 to begin their studies online. After the first-stage approval, students will be assessed for eligibility that requires submission of biometrics, Police clearance certificate, etc. And once the final approval is granted, applicants will be allowed to travel to Canada, states IRCC. Students who have received first stage approval and hoping to take courses with In-person components should contact their universities for further information.


Canadian Citizenship by Descent recent changes.

The Canadian Federal Government recently changed the rules on Canadian Citizenship by descent. Before July 2020, only biological parents could pass down Canadian citizenship to their children born outside Canada. The new rule however, states that non- biological parents can now pass on their Canadian citizenship to their children born outside of Canada if they are the child’s legal parent at birth. The rule however, does not change for children born outside of Canada who are adopted by Canadian Citizen Parents after their birth.


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Travel ban to be lifted between January 1 and June 30, 2021 based on Australia budget

The assumption based on Australia’s budget outlook released in Canberra on Thursday indicates that the country will lift its border restrictions progressively from January 2021. This comes as a cue based on the economic outlook delivered by Finance minister Mathias Cormann and Treasurer Josh Frydenberg. The Treasurer, however, insisted that no decision has been made on opening the borders. But the budget forecast relies on the travel ban ending by start of January 2021. A two-week mandatory quarantine will still remain in place for all arrivals.

“This leads to resumption of arrivals by temporary and permanent migrants, but at lower levels overall than normal” the economic outlook statement says.

Key takeaway of the budget outlook

It is predicted that international migration is likely to fall from 232,000 in 2018-19 to 154,000 in 2019-20 and 31,000 in 2020-21. 

Australia’s Health Minister Greg hunt said from a Health perspective, the border closure will be constantly reviewed. However, Frydenberg acknowledged that only citizen, permanent Residents, and a small number of international students will be able to travel to Australia between July and December 2020 and insisted that Morrison government has not yet made any policy decisions regarding the opening of international borders, and said that most of the Treasury’s forecast on international border restrictions were made in dynamic conditions and are subject to change in accordance with evolving coronavirus situation.

Reopening of borders in January sounds optimistic

The assumption to reopen the borders in January sounds optimistic and Australia is anticipating a decent-sized migration program this financial year. It is believed that these assumptions are in place to facilitate the return of international students, 20 percent of whom are currently stranded overseas.

The January deadline comes as good news for all the aspiring Permanent Residents as this deadline could lead to recommencement of Permanent Resident visa processing. It is assumed that processing of Permanent Resident visa applications would resume by November-December and it is quite possible to witness a large sized migration program in the coming days.

Here’s what we would suggest the aspiring Australian Permanent Residents, start your visa application process to avoid any backlogs. Given the complexity of coronavirus situation we could expect changes in the policy as the situation subsides. 

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International first-year students will not be able to come to Harvard campus due to federal visa restrictions

The Federal Lawsuit filed by Harvard and Massachusetts Institute of Technology to stop the Department of Homeland Security from enforcing guidelines saw positive results following the dissent from the education communities. The Directive, however, was withdrawn by US Immigration and Custom Enforcement, which initially prohibited currently enrolled International students from taking an all-online course load in the fall. Harvard University in its recent announcement said that International first-year students will not be able to come to the campus due to federal visa restrictions.

On July 21, addressing the current students, Harvard Dean, Rakesh khurana, wrote that the reversal of the directive does not apply to the newly admitted international students requiring F-1 sponsorship. The guidelines issued by the ICE in March allowed currently enrolled International students to continue online, but it did not change the regulation to address new students.

According to ICE, “F-1 students enrolled in classes for credit or classroom hours, no more than the equivalent of one class or three credits per session, term, semester, trimester, or quarter may be counted toward the full course of study requirement if the class is taken online or through distance education and does not require the student’s physical attendance for classes, examination or other purposes integral to completion of the class”.

The possibility of offering courses in-person or through hybrid model that includes in-person instruction as a way to help first year international students to obtain F-1 visa was also explored, but was concluded not to be a suitable alternative said Khurana.

The prolonged travel bans, the unpredictability of current Government policies and the uncertainty of the Covid-19 crisis has jeopardize the path for International students’ ability to enter or leave the United States in the future. The current move from the Harvard makes more sense because it protects the International students from the possibility of coming to the United States only to be asked to return to their home country when local travel restrictions might make that impossible.

Harvard’s first-year International students have a choice of taking their course remotely online from home or choose to defer. The university has extended the deadlines for deferral for first-year international students to July 31 and has guaranteed all International first-year students housing when they can come to campus safely.

The International first-year students are now faced with a difficult situation. Will more universities from US follow the suit? Let’s wait & hope that things get better as Covid-19 situation eases.


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Australia resumes student visa processing as a measure to boost the Education sector

The annual contribution of International students is roughly estimated around AUD $40 Billion annually which also supports 250,000 jobs. However, as a result of border closure due to Coronavirus crisis, it is estimated that 22% of university students still remain outside Australia.

The Australian government made an announcement to resume granting international student visa and allow current students to count online study while overseas. This announcement was made to boost the number of international students once borders reopens and ensure that Australia remains a priority study abroad destination as it emerges from Coronavirus crisis.

New Amendments for the Continuing students

The announcement from acting immigration minister, Alan Tudge, comes as part of five measures aimed at keeping international students in Australia amid concerns that some students won’t return to Australia once the pandemic subsides.Some of the key highlights of the changes include:

  1. Current student visa holders studying online outside Australia due to Covid-19 will be able to use that study to count towards the Australian study requirement for a post-study work visa.
  2. The government will recommence granting student visas in all locations lodged outside Australia. This means when borders re-open, students will already have visas and be able to make arrangements to travel.
  3. International students will be able to lodge a further student visa application free of charge, if they are unable to complete their studies within their original visa validity due to Covid-19.
  4. Graduates who held a student visa will be eligible to apply for a post-study work visa outside Australia if they are unable to return due to Covid-19.
  5. Additional time will be given for applicants to provide English language results where Covid-19 has disrupted access to these services.

“These measures back the international education sector – our fourth largest export sector – and will assist its recovery. They will not only support the education sector, it will also have flow-on effects for many local communities and businesses, including accommodation services, tourism, hospitality and retail.” acting immigration minister Alan Tudge said.


Can Australia still remain an attractive destination for International Students?

Given the circumstances, these moves were fairly welcomed by universities and Educational Councils. But there are still issues that need to be addressed. While it’s great to see the changes for existing international students in providing certainty for their future plans in Australia, we need to understand what the changes mean for prospective students. We hope that new, as well as current students should be included in the amended arrangements for post-study work rights. It is still not clear that this is the case, and we continue to seek confirmation of this point. At this point many new students are going to be adversely affected by the Covid-19, and they should be treated the same as continuing students.

Australian universities estimate a drop of $16 billion in revenue due to Covid-19 related travel restrictions and further more Australia could see a sharp decline in International students arriving from China.

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