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  • Writer's pictureCalver Immigration Consulting Inc.

LMIA Applications: How To Avoid Refusal

We Outline The Main Reasons For LMIA Refusals And What You Can Do To Avoid One.

A Labour Market Impact Assessment (LMIA) is a document that a Canadian employer may need to obtain before they are able to hire a foreign worker for a job position. An LMIA confirms that a Canadian worker or permanent resident is unavailable to do the job so a foreign worker is needed to occupy the role. As with any immigration application, there are a number of reasons why an LMIA may be refused by Service Canada.

Two main reasons why an LMIA application may be refused
  1. Regulatory authority: an LMIA will not be given to employers who:

    • are on the Immigration, Refugees, and Canadian Citizenship Ineligibility list due to an unsuccessful employer compliant review, being banned from the Temporary Foreign Worker program for non-compliance, and/or owes an administrative monetary payment

    • actively participate in the sex industry

  2. Ministerial Instructions: public policy principles also help inform the decision-making process, so LMIA application may be refused for:

    • low wage workers above the limit of the proportion of foreign workers that can hold given positions in a given location. Generally, the rule is that a Canadian employer cannot have more than 20% of their workforce be low-wage foreign workers. In certain industries this cap is 30% as of June 2022. Exceptions to this cap limit can be issued for on-farm agricultural positions, caregiving positions in a private household or health care facility, highly mobile or truly temporary positions (120 days or less in duration), and seasonal industry positions (270 days or less in duration). Applications to support a temporary foreign worker’s permanent residence under an Express Entry Program are also exempt.

    • any position if you had an LMIA application revoked in the last 2 years for providing misinformation.

How to avoid a refusal
  • Be sure that you are considered an eligible employer and can prove the legitimacy of your business, you need to show that there is a genuine labour shortage, and that you have a real position in Canada.

  • Ensure that the position you seek to fill adheres to the conditions of the Temporary Foreign Worker Program (appropriate pay wage, proper working conditions and standards, etc).

  • Ensure that you show that you have enough money as a business to afford the worker's salary.

  • Make meaningful recruitment efforts. Advertise your job posting at least 4 weeks before submitting your LMIA application on Canada’s Job Bank and two additional platforms. Include the job description, salary, location, and other pertinent information in your posting. Use keywords from the National Occupational Classification, but avoid simply copying and pasting.

  • Clearly communicate why a foreign worker is needed for the job and how hiring one will be of benefit to Canada’s job market. Highlight the foreign worker’s strengths, competencies, and experience over other potential candidates.

  • Proofread your LMIA application carefully to check that you have completed each section and have included all required documents.

We’d love to help

Although Employment and Social Development Canada (ESDC) has vowed to process certain LMIA applications within 10 business days, high volumes of applications often cause delays. A fee of $1,000 is required per LMIA application and processing times generally range from 12 to 48 business days, depending on the nature of your application.

Jade would love to help you invest in your business by guiding you through the LMIA application process. Reach out to us today!


Our Services

Calver Immigration Consulting Inc. is rated Canada's number one boutique immigration consultancy. We serve clients across Canada and internationally. Our Registered Canadian Immigration Consultant has over 10 years of experience in Canadian Immigration law and over four years of experience serving those in Canada and abroad.

We can assist with applications for both temporary and permanent residency in Canada. We handle applications for study permits, permanent residency, family class sponsorship, visitor visas, work permits, and Canadian citizenship. We also handle criminal inadmissibility cases by developing remedies for refusal.

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