LMIA Changes 2024: Reduction in Temporary Foreign Workers
The Government of Canada is implementing new LMIA changes in 2024, which will lower the number of temporary foreign workers allowed in the country. These changes aim to address labor market needs and ensure that Canadian employers focus more on hiring local workers.
The following Changes will Take Effect Starting September 26, 2024
- The Government of Canada will not process Labour Market Impact Assessments (LMIAs) for low-wage jobs in areas where the unemployment rate is 6% or higher. However, there are exceptions for certain jobs in food security (like farming, food processing, and fish processing), construction, and healthcare.
- Employers can only hire up to 10% of their total workers through the Temporary Foreign Worker (TFW) Program. It means that employers can’t have more than 10% of their workforce in low-wage positions filled by temporary foreign workers. This is a stricter rule than the one introduced in March 2024, which allowed a higher percentage.
- Workers hired for low-wage jobs through the Temporary Foreign Worker Program will only be allowed to work for one year instead of two.
Reason For These LMIA Changes
The Government of Canada wants employers in Canada need to focus on hiring a wide range of workers within the country, like young people, newcomers, and persons with disabilities, who are often overlooked.
Employers should also invest in retraining and improving the skills of their current employees to help them keep up with the changing economy.
However, the Government of Canada will keep working with businesses and organizations to help them find the workers they need and also make sure Canadian workers get the opportunities they deserve through training and education support.
Conclusion
The Government of Canada will keep checking the job market and may change the rules for the Temporary Foreign Worker Program to ensure only employers who really need workers can use it. In the next 90 days, they will review the Program again, and this might lead to changes in rules for high-wage jobs, unfilled job applications, special cases for certain sectors, or even stopping some applications from being processed, including those from rural areas.
