Canada Stops Processing of Low-Wage LMIAs in Sure Cities


In a serious coverage shift, the Canadian authorities has introduced it should cease processing Low-Wage Labour Market Impression Assessments (LMIAs) for the Momentary Overseas Employee Program (TFWP) in choose cities. This determination, unveiled on August twenty sixth, 2024, marks a big change within the administration of international labor in Canada and goals to handle ongoing labor market and financial considerations.

Efficient September 26, 2024, the Authorities of Canada will implement the next modifications to the TFW Program:

  1. Labour Market Impression Evaluation:  The federal government will refuse to course of LMIAs within the Low-Wage stream for census metropolitan areas the place the unemployment price is 6% or larger. Nonetheless, exceptions will probably be made for jobs in sectors essential to meals safety, together with main agriculture, meals processing, and fish processing, in addition to in development and healthcare.
  2. 10% Cap on Overseas Staff: employers won’t be permitted to rent greater than 10% of their whole workforce by means of the Momentary Overseas Employee Program (TFWP). Exceptions will apply to the identical essential sectors talked about above.
  3. Diminished Employment Length: The utmost length of employment for employees employed by means of the Low-Wage stream will probably be lowered to 1 yr from the earlier two-year restrict.

A Plan To Make investments In Native Workforce

Minister of Employment, Workforce Growth, and Official Languages, Randy Boissonnault, emphasised the significance of investing within the home workforce.

“The Momentary Overseas Employee program was designed to handle labour market shortages when certified Canadians weren’t in a position to fill these roles. Proper now, we all know that there are extra Canadians certified to fill open positions. The modifications we’re making as we speak will prioritize Canadians employees and ensures Canadians can belief this system is assembly the wants of our financial system.”

Employers are actually inspired to discover home expertise swimming pools, together with younger folks, newcomers, and individuals with disabilities.  

The federal government additionally urges employers to spend money on retraining and upskilling their present workers to regulate to the altering financial circumstances. 

The federal government has pledged to observe labour market circumstances carefully and make additional changes to the TFW Program as wanted.  

A assessment of this system is deliberate throughout the subsequent 90 days, which can result in modifications within the high-wage stream, sectoral exceptions, and processing of present LMIA purposes. 

The choice to halt processing low-wage LMIA purposes in sure cities marks a notable shift in Canada’s strategy to managing its labor market and momentary international workforce. Whereas the coverage goals to boost job alternatives for Canadian employees and encourage funding in native expertise, it additionally presents new challenges for employers who might want to adapt to those modifications.

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