High-Wage vs. Low-Wage LMIA

High-Wage vs. Low-Wage LMIA

The Low-Wage and High-Wage LMIA categories are important parts of Canada’s immigration process. An LMIA is a document provided by Employment and Social Development Canada (ESDC) to evaluate how hiring foreign workers may affect Canadian jobs. Jobs are considered low-wage if the offered pay is below the average hourly wage in that region. On the other hand, high-wage jobs are those that pay above this median rate. The difference between low-wage and high-wage is important for employers as the rules change based on the wage level. The LMIA process ensures Canadian workers get the first chance at jobs and that foreign workers are paid fairly, keeping the job market fair and balanced.

High-Wage LMIA

An LMIA application for high-wage positions is submitted when the pay offered to an international worker is equal to or higher than the average hourly wage in the province or territory. This type of application is usually for jobs that pay well because they require higher skills, experience, or are influenced by the local economy. Employers applying for a high-wage LMIA often need to include a plan showing how they will reduce the need for temporary international workers by hiring and training Canadian citizens or permanent residents.

Key Requirements for Application of High-Wage LMIA

  • Transition Plan Requirement: Employers must provide a transition plan that outlines their strategy to hire and retain Canadian workers, reducing reliance on temporary foreign workers (TFWs).
  • Market Analysis and Recruitment Efforts: Employers must document their efforts to hire Canadian workers locally before seeking international candidates.
  • Training and Development Programs: Employers should create programs such as mentorship and workshops to improve the skills of Canadian employees.
  • Succession Planning: Employers should identify and train current employees for future high-wage roles.
  • Collaboration with Educational Institutions: Partnering with local schools and training centers to create a skilled workforce.
  • Supporting Permanent Residency: Employers can assist TFWs in transitioning to permanent residency by providing necessary support and documentation.

Low-Wage LMIA

A low-wage LMIA is required when the hourly pay offered to a foreign worker is below the average wage in the province or territory. These LMIAs are often used in industries with entry-level or less specialized jobs. Employers applying for low-wage LMIAs don’t need to submit a transition plan but must meet certain conditions, such as limits on the number of low-wage temporary foreign workers they can hire and covering costs like transportation, housing, and health insurance.

Key Program Requirements for Low-Wage

  • Cap on Temporary Foreign Workers: Employers are limited in the number of low-wage TFWs they can hire.
  • Transportation Costs: Employers must pay for the worker’s round-trip transportation.
  • Accommodation Requirements: Employers must provide adequate housing, particularly in remote locations.
  • Health and Workplace Safety: Employers must ensure workers have health insurance and a safe workplace.
  • Employment Contract: Employers must provide a written contract outlining pay, work hours, job tasks, and benefits.

Comparison Table: High-Wage vs. Low-Wage LMIA

Province/TerritoryMedian Hourly Wage (Before Nov 8, 2024)Median Hourly Wage (As of Nov 8, 2024)
Alberta$29.50$35.40
British Columbia$28.85$34.62
Manitoba$25.00$30.00
New Brunswick$24.04$28.85
Newfoundland and Labrador$26.00$31.20
Northwest Territories$39.24$47.09
Nova Scotia$24.00$28.80
Nunavut$35.00$42.00
Ontario$28.39$34.07
Prince Edward Island$24.00$28.80
Quebec$27.47$32.96
Saskatchewan$27.00$32.40
Yukon$36.00$43.20

Processing Times for High-Wage and Low-Wage LMIA Applications

StreamProcessing Time (Business Days)
Global Talent7
Agriculture Workers14
Seasonal Agricultural Worker Program6
High-Wage51
Low-Wage53
In-Home Caregivers24
Permanent Residence97

How CWC Can Help?

CWC can simplify the LMIA process for employers looking to hire foreign workers. We offer a free assessment to check eligibility and guide you through the job advertisement requirements to ensure compliance with Canadian regulations.

Our team handles LMIA applications, work permit submissions, and representation with ESDC, ensuring a smooth and efficient process. Contact us today for a FREE Assessment!

FAQs

A high-Wage LMIA is for those jobs that pay the same amount or more than the average wage in the area. Employers must also share a plan to show how they will train and hire Canadians in the future.

A Low-Wage LMIA is for jobs that pay below the average wage in the area. Employers don’t need to provide a hiring plan, but they must follow rules like limiting the number of workers, covering travel costs, and sometimes providing housing.

A Transition Plan is required for high-wage LMIA applications. It explains how an employer plans to hire and train Canadians or permanent residents in the future, reducing the reliance on temporary foreign workers.

Yes! LMIA rules and requirements can change as time passes, including updates to job types, timeframes, and exemptions.

Yes, there are exemptions for some jobs, such as roles in healthcare, agriculture, short-term work, or special programs like the Quebec pilot project.

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