Canada Stops Low-Wage LMIAs in Select Regions

Surya Rathee
[Published 05 Apr, 2025 | 04:16 AM]
About Author - 5 min read
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The Canadian government, has finally shared an important update about the Temporary Foreign Worker Program (TFWP). Starting April 4, 2025, some parts of Canada, will not accept - low-wage Labour Market Impact Assessment (LMIA) applications for three months. These areas are called “Census Metropolitan Areas” or CMAs.

This rule was first announced - in August 2024. Ever since, the government has been checking the unemployment rate in each CMA. So now, if the unemployment rate is 6% or higher, low-wage LMIA applications from that CMA will not be accepted.

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See, to hire a foreign worker under the low-wage stream of the TFWP, employers need an LMIA. It proves that no Canadian worker is available for the job. If an LMIA is not approved, the employer cannot hire the foreign worker, and the worker cannot extend their Canadian Work Permit.

What Is a CMA?

A Census Metropolitan Area (CMA) is a group of nearby towns and cities around a large city. It must have at least 100,000 people, with at least 50,000 living in the main city area. Once an area becomes a CMA, it stays a CMA, even if the population goes down later.

Which Places Are Affected?

The government has listed 24 CMAs where the unemployment rate is 6% or higher. From April 4 to July 10, 2025, these CMAs will not process low-wage LMIA applications. The government updates this list every three months. The next update will come on July 11, 2025.

How Can You Check If a Job Location Is in a CMA?

If you want to know whether a job falls in one of these CMAs:

Go to the Census of Population search tool online and enter the postal code of the job location. Look at the "Census Metropolitan Area/Census Agglomeration" result.

• If nothing is listed at that level, your job is still eligible.
• If it says Census agglomeration, it is also eligible.
• If it says Census Metropolitan Area (CMA), check if that CMA is on the government’s list.
• If it is, then the application will not be accepted during this time.

Which CMAs Were Removed From the List?

Some areas had high unemployment earlier this year but are now removed because their unemployment rates have dropped below 6%. These areas are:

• Regina, Saskatchewan - now at 5.9%
• London, Ontario - now at 5.5%

This means these two cities can now process low-wage LMIA applications again.

What Can Employers and Workers Do?

If a job is in a CMA with an unemployment rate over 6%, the low-wage LMIA will not be accepted. But there are options. For example, employers can increase the wage so the job qualifies under the high-wage stream, which is not affected by this rule. Or, workers can ask employers if they are willing to wait three months in case the CMA gets removed from the list in the next update.

Also, job seekers can focus on looking for jobs in CMAs that still accept low-wage LMIA applications. And, if a worker already in Canada under a low-wage TFWP cannot extend their permit, they must stop working. However, they can apply for a visitor record to stay in Canada as a visitor.

Read More: IRCC removes LMIA points from CRS

Source: canada.ca