High Wage and Low Wage Positions

If a foreign national will be earning a wage that is at or above the median hourly wage in the province or territory in which they will be working, their employer or prospective employer will be required to submit a Labour Market Impact Assessment (LMIA) application under the stream for high wage positions. 

Conversely, if a foreign national will be earning a wage that is below the median hourly wage in the province or territory in which they will be working, their employer or prospective employer will be required to submit an LMIA application under the stream for low wage positions. 

The median hourly wages by province or territory are as follows:

Province / Territory

Wage (CAD$ per hour)

Alberta $25.89
British Columbia $22.50
Manitoba $20.00
New Brunswick $18.90
Newfoundland and Labrador $20.31
Northwest Territories $32.25
Nova Scotia $19.49
Nunavut $30.00
Ontario $22.12
Prince Edward Island $18.44
Quebec $21.00
Saskatchewan $23.60
Yukon $28.00

*Please note that these wages are updated on an annual basis.

 

Labour Market Impact Assessments for High Wage Positions


Advertising and Recruitment Requirements

When an employer or prospective employer files an LMIA application, they are required to demonstrate that they have satisfied specific advertising requirements unless an exemption applies.

To meet the minimum advertising requirements for a high wage position, an employer or prospective employer must advertise the position as follows:

  • On the National Job Bank or its provincial or territorial equivalent in British Columbia, Saskatchewan, and Quebec; and
  • Using two or more additional methods which are normal practice for the occupation.

Some additional methods of advertising include the following:

  • General employment websites;
  • Online classified websites; and
  • Professional associations. 

One of the additional methods of advertising must be national in scope and the two additional methods of advertising cannot be too similar in scope (e.g. Craigslist and Kijiji or Workopolis and Monster). The additional methods of advertising should target different audiences. 

The advertisements must be posted for at least 28 consecutive days and the advertisement published on the National Job Bank must remain posted until the LMIA application has been processed. The advertising must be conducted within the three months preceding the LMIA application. 

To the greatest extent possible, all advertisements must consistently include the following:

  • Employer’s operating name;
  • Employer’s complete business address;
  • Title of the position;
  • Duties of the position;
  • Terms of employment (e.g. project based, permanent, etc.);
  • Wage (including any incremental pay rises, performance pay or bonuses, profit sharing, etc.);
  • Benefits package (e.g. private health insurance, RRSP, etc.);
  • Location of work (e.g. local area, city, or town);
  • Language requirements (if applicable);
  • Name of company contact and their contact details; and
  • Qualifications required for the position (including education and work experience).

When posting an advertisement on the National Job Bank, an employer or prospective employer is required to indicate the qualifications and skills required for the position. Similarly, when a job seeker completes a profile on the National Job Bank, they are required to indicate the qualifications and skills they have.

The National Job Bank has a Job Match service matches job seekers with employers based on qualifications and skills using a rating system (one to five stars). An employer or prospective employer is required to invite all job seekers to apply for the position if they are matched within the first 30 calendar days and they are rated four stars or more. 

An employer or prospective employer is required to review each and every application received in response to the advertisements. If they do not receive an application from a qualified Canadian citizen or permanent resident (Canadian), they can proceed to submit their LMIA application. An employer or prospective employer is expected to continue to receive and review applications until the LMIA application has been processed. 

An employer or prospective employer will be required to provide evidence that they have satisfied the minimum advertising requirements as well as an explanation as to why each and every Canadian applicant is not qualified for the position as part of their LMIA application. An employer or prospective employer is required to retain any documentation that evidences their advertising and recruitment efforts and the results of their said efforts for at least six years.

Wages

The wage being offered must meet at least the prevailing wage for the occupation in the province or territory in which the foreign national will be working unless a “unique wage requirement” applies. The prevailing wage is the higher of the following:

  • The median wage listed on the National Job Bank; or
  • A wage which is within the wage range that the employer is paying existing employees in the same occupation, at the same work location, and with the same qualifications.

Transition Plan

An employer or prospective employer is also required to provide a “transition plan” as part of their LMIA application unless an exemption applies. A transition plan must describes the activities that an employer or prospective employer will undertake to recruit, retain, and train Canadians to reduce their reliance upon temporary foreign workers during the validity of the positive LMIA confirmation, if issued. A transition plan must include the following:

  • At least three distinct activities to recruit, retain, and / or train a Canadian for the position and one additional activity to engage an organization serving underrepresented groups to identify potential candidates for recruitment or training; or
  • At least one activity to support the foreign national in transitioning to a Canadian permanent resident.

Labour Market Impact Assessments for Low Wage Positions 


Cap 

An employer is subject to a cap on the number of foreign nationals they can employ in low wage positions at a specific work location unless an exemption applies. If an employer hired a foreign national in a low wage position before June 20, 2014, they are subject to a 20% cap or their established estimated cap (which is lower) on the number of foreign nationals they can hire in low wage positions. However, if an employer did not employ a foreign national in a low wage position before June 20, 2014, they are subject to a 10% cap. 

Advertising and Recruitment Requirements

When an employer or prospective employer files an LMIA application, they are required to demonstrate that they have satisfied specific advertising requirements unless an exemption applies.

To meet the minimum advertising requirements for a low wage position, an employer or prospective employer must advertise the position as follows:

  • On the National Job Bank or its provincial or territorial equivalent in British Columbia, Saskatchewan, and Quebec; and
  • Using two or more additional methods which are normal practice for the occupation and which target underrepresented groups.

Some additional methods of advertising include the following:

  • Online classified websites;
  • Local, regional, or national newspapers;
  • Local stores, places of worship, or community resources centres; and
  • Local, regional, or provincial / territorial employment centres. 

Unlike LMIA applications for high wage positions, the two additional methods of advertising must target a different underrepresented group (Indigenous persons, vulnerable youth, newcomers, and persons with disabilities). 

To the greatest extent possible, all advertisements must consistently include the following:

  • Employer’s operating name;
  • Employer’s complete business address;
  • Title of the position;
  • Duties of the position;
  • Terms of employment (e.g. project based, permanent, etc.);
  • Wage (including any incremental pay rises, performance pay or bonuses, profit sharing, etc.);
  • Benefits package (e.g. private health insurance, RRSP, etc.);
  • Location of work (e.g. local area, city, or town);
  • Language requirements (if applicable);
  • Name of company contact and their contact details; and
  • Qualifications required for the position (including education and work experience).

Similarly to high wage positions, an employer or prospective employer is required to use the Job Match service on the National Job Bank. An employer or prospective employer is required to invite all job seekers to apply for the position if they are matched within the first 30 calendar days and they are rated two stars or more. 

Wages

The wage being offered must meet at least the prevailing wage for the occupation in the province or territory in which the foreign national will be working unless a “unique wage requirement” applies. The prevailing wage is the higher of the following:

  • The median wage listed on the National Job Bank; or
  • A wage which is within the wage range that the employer is paying existing employees in the same occupation, at the same work location, and with the same qualifications.

Transportation, Housing, and Health Care

If an employer is hiring a foreign national in a low wage position, they are required to:

  • Pay all costs associated with transporting a foreign national from their country of residence to Canada and back again;
  • Provide or ensure that suitable and affordable housing is available for the foreign national from the first day that they arrive in Canada; and
  • Ensure that the foreign national is covered by private, provincial, or territorial health insurance from the first day that they arrive in Canada.